Developing data-driven operations management

Abstract

The focus of this thesis is to explore the advantages of simulation technologies for operations management in a case company, with an emphasis on developing data-driven decision-making capabilities. The main objective is to identify challenges related to decision-making practices and data utilisation and propose a framework to standardise a data-driven decision-making process while taking into consideration the current challenges of the company. The results of the study and the proposals based on them aim to improve the practices of the case company in line with Industry 4.0 standards, support the growth forecast for the case company, and create a better understanding of the requirements of digital transformation.

The study was conducted in collaboration with a company that operates in the electrical manufacturing industry, mainly in the data centre sector. A qualitative case study method was utilised, and data was gathered through conducting a literature review and a series of semi-structured interviews.

After analysing the data collected from the interviews, challenges related to decision-making, simulation technologies, and operations management were identified. A solution was proposed via a framework based on the DMAIC process to provide a standardised data-driven decision-making process. The framework increases the use of data collected from manufacturing operations in the case company’s decision-making. With enhanced data-driven decision-making, the case company can make more accurate operations related decisions, which streamlines processes and supports the development of the efficiency and productivity of the manufacturing operations at the case company based on its strategy and profitability.

It should be noted that the results of this qualitative case study are specific to one company and cannot be generalised to other companies. However, some of the challenges related to data utilisation and Industry 4.0 technologies’ solutions are more common, and some of the related proposals can be modified to be suitable for other organisations. The DMAIC process is a widely known continuous improvement process that provides the opportunity to utilise the proposed framework in other contexts through slight modifications.