How Video Analytics and IoT work together to streamline operations and boost productivities in Manufacturing

In recent years, the widespread adoption of wireless connectivity, advancements in sensor technology, and the emergence of edge computing at affordable prices have further propelled the application of new technologies in manufacturing. This enables real-time data collection, analysis, and decision-making, enhancing operational efficiency and productivity.

Manufacturers are transforming industries with concepts such as predictive maintenance, digital twins, and smart factories. This creates favorable conditions for remote monitoring, predictive analysis, and intelligent automation, supporting manufacturers in optimizing production, reducing downtime, improving quality, and fostering innovation.

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According to a study by Capgemini, 76% of manufacturers consider IoT or new technology solutions critical for driving digital manufacturing initiatives and improving operational efficiency. However, the challenge for businesses is not to get lost in a forest of technological concepts but to have a “Big Plan, Small Steps” strategy. Large global enterprises are implementing long-term innovation plans while efficiently executing small-scale improvements.

This article focuses on the combined application of Video Analytics and IoT, two cost-effective products that enhance manufacturing operations, through the analysis of real-world business use cases.

The Foundation of Change: Data

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The cornerstone of the manufacturing operational transformation is data, encompassing various types from text and numbers to images and videos, collected in structured or unstructured formats. The importance of data cannot be overstated, as it is the root of building products, processes, and effective forecasting models. The combination of IoT devices collecting environmental and production data, along with image analysis from cameras, generates a vast amount of data at a low cost yet comprehensive and detailed. Tesla employs similar solutions for their autonomous vehicles.

Production chain control with Cameras and IoT

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In China, CP Group employs 18 Nanny Robots equipped with cameras and sensors to move easily around a poultry farm of three million chickens, conducting care tasks and monitoring environmental parameters for 12 hours a day. This application helps CP Group address disease issues, improve livestock quality, and minimize human interaction with the flock, reducing the risk of disease transmission. This platform allows CP Group to produce around 400 million chickens, with plans to triple this number in the next 5-10 years.

Access Control and Time Attendance

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Access control and time attendance systems are not new, but not all systems are truly efficient in managing the movement of a large workforce within a 15-30 minute timeframe before and after each shift. Many factories use facial recognition cameras and IoT sensors to fully automate security, safety, and time attendance operations, reducing employee entry and exit times by over 40%. This also eliminates risks such as fraudulent clocking in/out and unauthorized entry due to lost or stolen access cards.

Warehouse and Inventory Management

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Logistics businesses have successfully implemented IoT sensors and cameras to improve warehouse operations. Companies like Amazon, DHL, and Alibaba use IoT to count incoming and outgoing shipments, minimizing the risk of loss and damage during warehouse handling. With the emergence of IoT and image analysis from cameras, managing inventory becomes easier with real-time, accurate data on stock levels, personnel requirements, and maintenance needs.

Predictive Maintenance

IoT enables predictive maintenance, identifying potential equipment failures in real-time to reduce unplanned downtime, optimize maintenance schedules, and extend equipment lifespan. Combining predictive equipment quality analysis with image analysis from cameras allows the detection of changes in color, cracks, and mechanical changes in devices and production lines. This solution is particularly effective in the oil and gas industry, where it is applied to operate their pipeline systems.

Supply Chain Optimization

IoT plays a crucial role in optimizing supply chain management in manufacturing. By tracking and monitoring assets, inventory, and shipments, IoT enables real-time visibility and efficient inventory management, minimizing stockouts and reducing overall costs. While 28% of manufacturers have implemented IoT solutions to improve supply chain visibility and traceability, challenges remain, and companies can do more to elevate their supply chains in the digital age, according to the 2023 Survey report by PWC.

Minimizing Occupational Safety Risks

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In manufacturing operations, occupational safety risks are a significant concern for businesses. A notable example is the operation of forklifts in production. Forklifts account for numerous injuries and deaths annually, and AI cameras, combined with IoT sensors, continuously monitor activities and environmental factors. When a potential collision is detected, real-time data and image analysis help predict hidden issues, enabling rapid alerting or control actions within milliseconds, far faster than human reactions that typically take about 2 seconds. These alerts can range from sound warnings to automatic interventions, such as reducing speed or stopping completely. Toyota’s factory in the U.S. successfully applies this solution, analyzing 62,000 welds in about two and a half minutes.

Efficiency in Training

The aviation industry has been a leader in applying simulation technology to train employees and simulate flight scenarios during emergencies. However, with data collected from IoT sensors and cameras, along with the development of AR/VR technology, manufacturing businesses can transform their entire production line and operations into a 3D simulated environment for training and simulating handling scenarios during incidents. Coca-Cola and many other global companies have shifted their training activities to use AR/VR environments instead of direct training, saving costs and reducing risks associated with real operations.

Digital Twin

Creating a digital twin requires businesses to have comprehensive data collected at every link of the production process to build an accurate digital replica. Although costly and time-consuming, this approach yields significant results for businesses. The Port of Rotterdam in the Netherlands, for instance, is creating a digital twin of the port using IoT, mirroring all its resources, shipping movements, infrastructure, weather, geographical and water depth with 100% accuracy. This digital twin allows accurate scenario testing and better understanding of how to improve efficiencies while maintaining safety standards, potentially saving up to one hour in berthing time, equivalent to about US$80,000 in savings for ship operators.

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Beyond these examples, many other real-world instances exist where businesses are applying these technologies to optimize manufacturing operations in various sectors such as consumer goods, fashion, healthcare, agriculture, etc. However, it can be summarized that two prerequisites for businesses to thrive in manufacturing and business operations in the digital age are thorough and detailed data collection early on through the use of IoT devices, cameras, software input, or even paper-based methods, as the value of this resource is immense. The second factor is that alongside a grand transformation plan, businesses should opt for small, quick steps to deliver tangible results rather than engaging in longer projects and waiting for outcomes.

With over 20 years of in-depth experience, FPT has a team of technology experts capable of advising businesses on specific challenges that trends, partners, or customers of FPT have already, are currently, or plan to address effectively.

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Exclusive article by FPT IS Technology Expert

Nguyen Hung Cuong

Senior Expert

FPT Information System Company.