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Mitigating Operational Losses in Manufacturing Industries through Low-Cost Asset Tracking




Overview:


Assetflo helps manufacturing companies in Latin America facing significant operational losses within their supply chains, with approximately 1.5% of annual revenues lost due to theft. This problem is particularly prevalent in industries such as food and beverage manufacturing, pharmaceuticals, tobacco, clothing, and shoes.


Problem:


Internal theft poses a persistent challenge for companies, with numerous opportunities for pilferage throughout the distribution channels. The sources of operational loss include:


Inadequate handling during the production process, resulting in product damage while being mounted on pallets or transported with forklifts in the first storage area. Loss or damage of products during the transition from the first storage area to the loading bay, during which some items fail to reach the trucks or sustain damage during the loading process. Unscheduled stops during transportation lead to products falling off or going missing. Inspection at the reception areas where a small number of products are classified as losses due to failing to meet conservation requirements, as determined by the buyers. The above factors contribute to approximately 50% of the operational loss experienced by the target segments.


Solution:


To address these challenges, implementing low-cost asset tracking and condition monitoring technology can provide manufacturers with comprehensive visibility and control over their supply chains. Assetflo tags, in combination with 5G anchors, offer a viable solution.

By utilizing Assetflo tags, manufacturers can track the location of their products throughout the supply chain. Additionally, these tags enable the monitoring of critical parameters such as temperature and light conditions. The ability to detect changes in light conditions is particularly crucial as it helps identify instances when doors are opened, potentially indicating unauthorized access or tampering.


The Assetflo tags are equipped with sensors that transmit real-time data to a centralized platform accessible to manufacturers. This platform provides a user-friendly interface that displays the location, temperature, and light conditions of each tagged item. Manufacturers can set up alerts and notifications to proactively address potential issues and deviations from the desired conditions.


The benefits of implementing low-cost asset tracking and condition monitoring include:


  • Improved theft prevention: Real-time tracking and monitoring enable manufacturers to identify and address potential theft or unauthorized access incidents promptly, reducing operational losses.


  • Enhanced product quality and preservation: Monitoring temperature and light conditions allow manufacturers to ensure that products are maintained within specified requirements, reducing the likelihood of losses due to quality deterioration.


  • Optimal handling and transit: By closely monitoring the location and condition of products during transportation, manufacturers can proactively address issues such as unscheduled stops or mishandling, minimizing operational losses.


  • Data-driven decision-making: Access to comprehensive real-time data empowers manufacturers to make informed decisions, optimize supply chain processes, and reduce operational inefficiencies.


Conclusion


In conclusion, the implementation of low-cost asset tracking and condition monitoring, utilizing Assetflo tags and 5G anchors, provides an effective solution to mitigate operational losses in manufacturing industries. By leveraging real-time data and analytics, manufacturers can enhance theft prevention, ensure product quality, optimize handling and transit, and make data-driven decisions to drive operational excellence throughout their supply chains.


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