A Framework for Achieving Data-Driven Decision Making in Production Development

Abstract: Industry 4.0 and the development of novel digital technologies is forcing manufacturing companies to introduce drastic changes to their productions systems. These technologies provide unique opportunities for manufacturing companies to collect, process and store large data volumes, which can be used to facilitate the coordination of factory elements. Previous research indicate that decisions based on data can provide fact-based decisions which can contribute to an increased productivity. However, manufacturing companies are not fully exploiting data as support for decision-making, which is desirable for an increased competitiveness. Currently, much attention is pointed towards the technology instead of the humans responsible for interpreting data and making decisions. Adding to this, there is a lack of guidance on how manufacturing companies can go from current decision making practices (i.e., decisions based on gut feelings) to fact-based decisions driven by data. To address this gap, the purpose of this thesis is to propose a framework for achieving data-driven decision making in production development in the context of Industry 4.0. The purpose is accomplished by using a qualitative-based case study approach at a small and medium sized enterprise in the electronics industry. The results indicate that both challenges and enablers for achieving data-driven decision making in production development are related to perspectives and attitudes, processes for data quality, technology and processes for decision making. Four maturity levels of data-data driven decision making are also identified. The proposed framework can be used by manufacturing companies to help them plan and prepare for their own specific development path towards data-driven decision making. Contributing to current understanding, this thesis considers the human decision makers perspective to develop the ability to collect, process, analyze and use the data to support time efficient and high-quality decisions, an insight lacking in prior academic studies. Future research may include confirmation of the findings presented in this thesis with additional use cases and industry types.