Glossary
Smart manufacturing, defined.
Canonical definitions of every smart-manufacturing term we work with — written by Ajinkya Technologies and grounded in 500+ enterprise deployments at JSW Steel, Hindalco, Samsung Electronics and Aditya Birla Group.
Smart Manufacturing
What is Industry 4.0?
Industry 4.0 is the fourth industrial revolution — manufacturing where machines, software and people are connected through Industrial IoT, AI, cloud computing and digital twins, enabling real-time visibility, predictive decisions and autonomous optimisation. It moves factories from reactive operations to data-driven, self-optimising production.
Read the full definition →Smart Manufacturing
What is Manufacturing Execution System (MES)?
A Manufacturing Execution System (MES) is shop-floor software that controls and tracks production in real time. It captures machine data, production output, downtime, quality and operator activity, then exchanges this with ERP systems like SAP S/4HANA. MES delivers real-time OEE, traceability and ISA-95 Level 3 manufacturing visibility.
Read the full definition →Manufacturing Performance
What is Overall Equipment Effectiveness (OEE)?
OEE (Overall Equipment Effectiveness) measures how effectively manufacturing equipment is utilised. OEE = Availability × Performance × Quality. World-class OEE is 85% or higher. The global manufacturing average is 60–65% for discrete manufacturing. MES software automates OEE calculation by capturing real-time machine data.
Read the full definition →Quality & Compliance
What is Manufacturing Traceability?
Manufacturing traceability is the ability to track raw materials, components and finished products through every step of production, distribution and use. Forward traceability tracks downstream; backward traceability tracks upstream. Achieved via RFID, QR, barcode and MES genealogy, it is mandatory for automotive (IATF 16949), pharma (FDA 21 CFR Part 11) and food (FSMA 204).
Read the full definition →Smart Manufacturing
What is Industrial IoT (IIoT)?
Industrial IoT (IIoT) is the network of connected machines, sensors and assets in a factory that stream operational data through protocols like OPC UA, Modbus, MQTT and PROFINET. IIoT enables real-time visibility, predictive maintenance, energy optimisation, automated quality inspection and remote machine monitoring — typically delivering 30–50% downtime reduction.
Read the full definition →Workforce & Compliance
What is Workforce Intelligence?
Workforce Intelligence is the integration of biometric attendance, contract-labour management, multi-state payroll, Factories Act compliance and operator productivity analytics into a single platform. For Indian manufacturers it eliminates the 3–7% labour leakage caused by buddy punching, contractor billing errors and missed statutory deductions — proven across 71,000+ employees managed in Ankastra.
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