Implementation Concept of Industry 4.0 to Manufacturing Industry in Indonesia in Order to Optimize Supply Chain Management

Abstract

. Common manufacturing Industries in Indonesia are labour intensive industry, paper-based information flow thus un-well recorded. This behaviour can’t give real time and accurate information from shop floor which is important to make an effective production planned. This paper presents an approach to change the current behaviour by adding digital factor into the production process. The process to change the production process behaviour will be minor and focusing on the information flow. The process will be called digitalization process in this paper. The digitalization process can be categorized as an implementation of industry 4.0 concept. Information flow in digital based form will be easy to be distributed accurately and in real time. By knowing accurate information from shop floor in real time, a production process can be managed effectively in general and especially to optimize the supply chain management.