Jul 31, 2020

KPMG: unlocking the value of 5G in manufacturing

Manufacturing
KPMG
5G
Digital Transformation
Sean Galea-Pace
2 min
Manufacturing Global examines KPMG’s report “Unlocking the value of 5G for enterprise customers” and looks at the technology’s influence in manufacturing.
Manufacturing Global examines KPMG’s report “Unlocking the value of 5G for enterprise customers” and looks at the technology’s influence in manu...

5G holds the potential to unlock previously unthought of opportunities for mobile network operators (MNOs). However, many MNOs are concerned about making a profitable return on the significant investments required to create the new networks. 

Most of the new value created via 5G will go to service platforms - up to 95% - rather than the telcos paying the money. As a result, the operator’s focus must zone in on their enterprise divisions. Enterprises may be unlikely to pay more for the higher speeds 5G will introduce but will invest to dramatically improve productivity, safety, security and efficiency.

KPMG estimated that around US$4.3bn in value is waiting to be unlocked through use cases over the next seven years globally. KPMG’s research found the manufacturing industry will be the first to significantly unlock the value of 5G, amounting to around 5% of a typical manufacturer’s annual revenue. With manufacturing consisting of 11% of the UK’s Gross Value Added (GVA), this could be significant, not just for individual businesses but for the national economy in total.

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As a result of 5G, KPMG anticipates that there will be a more dynamic, self-regulating and self-adjusting process that will translate into agility, speed and higher productivity. Smart sensors, enabled by 5G, will further accelerate automated processes, and allow machines to update themselves and initiate a new process when there is demand. These smart sensors will be able to assess the quality of components that are being manufactured in real time, reducing re-working requirements. Through a combination of AI-based planning, edge computing, high bandwidth with low latency, connected machines, AR-enabled workers and integrated logistics, 5G has the potential to transform the way manufacturers work.

In KPMG’s article ‘The march of the makers accelerated through 5G’, Stephen Cooper, Head of Industrial Manufacturing at KPMG UK, comments: “5G and the Fourth Industrial Revolution hold the potential to revolutionise the manufacturing process. Our conversations with clients highlight the need for C-suite manufacturers to take an informed, strategic approach, mapping out a clear journey towards transformation that will make the most of these innovative technologies and drive lasting performance improvement.”

Interested in reading more? Click here for KPMG’s report. 

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May 10, 2021

Lion Electric to Construct US EV Manufacturing Facility

ElectricVehicles
SmartManufacturing
Sustainability
Technology
Georgia Wilson
3 min
Lion Electric |Smart Manufacturing | Sustainable Manufacturing | Electric Vehicles | Electric School Buses | Electric Medium and Heavy Duty Vehicles | Sustainability | Technology | Freight | Transportation
Lion Electric announces its selection of Illinois to construct its all-electric medium and heavy-duty urban vehicle manufacturing facility...

Who is Lion Electric?

Founded in 2008, Lion Electric is an innovative manufacturer of all-electric, zero-emissions, medium and heavy-duty urban vehicles. Lion Electric designs, manufactures, and assembles all components for its vehicles that have unique features specifically adapted to the users and their needs. “We believe that transitioning to all-electric vehicles will lead to major improvements in our society, environment and overall quality of life,” believes Lion Electric. 

Lion Electric’s new Illinois Manufacturing Facility

Just two months after announcing plans to construct a battery manufacturing plant and innovation centre in Quebec, Lion Electric is expanding its locations further, selecting Joliet, Illinois for its new manufacturing facility in the US.

The new facility is said to “represent the largest dedicated production site for zero-emission medium and heavy-duty vehicles in the US,” as well as being the company’s biggest footprint in the market. The new facility will give Lion Electric the capacity to meet increasing demand for ‘Made in America’ zero-emission vehicles and bring production closer to customers. 

It is expected that the first vehicles off the production line will be in the second half of 2022.

“Lion’s historic investment to bring its largest production facility to Illinois represents not only a win for our communities, but a strong step forward in our work to expand clean energy alternatives and the jobs they bring to our communities,” said Gov. J.B. Pritzker. 

“The new Joliet facility will put Illinois at the forefront of a national movement to transition to zero-emission vehicle use, advancing our own goals of putting one million of these cars on the road by 2030. In Illinois, we know that a clean energy economy is about more than just vehicles – it’s about healthier communities and jobs for those who live there. We are excited to welcome Lion to the Land of Lincoln and look forward to their future success here.”

Lion Electric’s Agreement with the Government of Illinois

Over the next three years, Lion Electric will invest a minimum of US$70mn into Illinois. The new facility - totalling 900,000 square feet - is expected to create a minimum of 745 clean energy direct jobs in the next three years, and have an annual production capacity of up to 20,000 all electric buses and trucks.

Scaling electric bus production and decarbonising freight and transportation

As the US moves to electrifying its school buses, the additional production capacity at the facility will help Lion Electric to scale its electric bus production, as well as produce an increased volume of heavy-duty zero-emission trucks to help governments and operators in the US further the decarbonisation of freight and transportation fleets.

“Lion is the leader in electric school buses and has always been dedicated to the U.S. market, and our commitment to be close to our customers is one of the core values we have as a company. This significant expansion into the U.S. market will not only allow us to drastically increase our overall manufacturing capacity of electric trucks and buses but to also better serve our customers, while adding critical clean manufacturing jobs that will form the backbone of the green economy,” said Marc Bedard, CEO and Founder of Lion.

“I also want to acknowledge the crucial role that P33 and Intersect Illinois, civic groups committed to developing developing a long-term roadmap for the local tech industry, played in connecting Lion with the Chicago area’s business and civic community to help further commercial traction, as well as engagement with key workforce and supplier partners.” 

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