For decades, ERP systems have been sold as the “brain” of the enterprise. They manage orders, accounting, and planning with remarkable efficiency. But ask any manufacturer: when it comes to what’s actually happening on the shop floor, ERP doesn’t have a direct line of sight.
That visibility gap is where operational losses, inefficiencies, and missed opportunities accumulate.
The Traditional Stack
Manufacturers often bolt together layers of technology:
- ERP → financials, scheduling, and business logic
- Custom Engineering → one-off connectors to bridge gaps
- MES → production tracking and work execution
- Factory Data Collection → machine connectivity and operator inputs
- TPM (Preventive Maintenance) → uptime and reliability management
- SIMS (Smart Inventory Management Systems) → real-time material and logistics control
Each solves a piece of the puzzle. But individually? They leave blind spots. Worse still is the
"Baker's Dozen" approach where a traditional stack vendor tries to incorporate everything needed into their respective offering. Historically, that approach has proven a dismal failure for both the customer and the vendor. The added stacks are simply a bolt-on to satisfy a perceived need for the customers. Or else the vendor acquires another vendor with an IP that they leverage to satisfy a need. This creates silos.
The Problem: Silos Between Systems
ERP may tell you what should happen. MES can confirm what’s happening on the line. TPM may know when a failure is coming. SIMS can report inventory shortages.
But without orchestration across these layers, manufacturers struggle with:
- Redundant data entry
- Conflicting versions of the truth
- Delays in replenishment between buildings or sites
- Wasted engineering spend on brittle, one-off integrations
- Inability to scale AI, digital twin, or predictive models
The result: projects stall, ROI suffers, and leadership loses faith in “smart factory” promises.
The Opportunity: A Syndicate for Smart Manufacturing
What if we stop treating these solutions as competitors—and start treating them as collaborators?
A syndicate or partnership model could bring together:
- ERP vendors → as the enterprise backbone
- MES and Factory Data providers → for real-time context
- TPM specialists → to safeguard asset reliability
- SIMS innovators → to master inter-building inventory flow
Together, this coalition delivers more than the sum of its parts:
- Unified data streams (via UNS or middleware)
- Standardized methods for machine and manual process capture
- True process digital twins that combine material, people, and machines
- Lower integration costs through shared frameworks
- Accelerated adoption of AI and predictive analytics
Why Now?
80% of manufacturing data is currently unusable for AI. Most of it sits in unstructured formats, stranded in silos. Without a coalition approach, Industry 4.0 initiatives will remain stuck in pilot mode.
By contrast, a syndicated model unlocks:
- Scalable AI (predictive scheduling, demand forecasting, autonomous replenishment)
- Dynamic decision-making (cross-building inventory control, automatic reallocation)
- Resilient supply chains (visibility across plants, not just within one)
The Call to Action
Manufacturers don’t want more disconnected vendors. They want partners who play well together.
The next stage of smart manufacturing will be defined by ecosystems, not silos. Vendors who collaborate to deliver ERP + MES + TPM + SIMS as a unified service offering will lead the market.
It’s time to move from point solutions to coalition solutions. The manufacturers who embrace this—and the vendors who enable it—will unlock the full promise of Industry 4.0.
--
Tim Smith, Managing Partner