The Effect of IoT Technology, Real-Time Analytics, and Digital Asset Management on Energy Efficiency and Productivity in Indonesia's Manufacturing Industry

Authors

  • Dwi Setiawan Department of Game Technology, STMM MMTC Yogyakarta
  • Budi Sulistiyo Nugroho Politeknik Energi dan Mineral Akamigas
  • Arif Nurrahman Politeknik Energi dan Mineral Akamigas
  • Farid Alfalaki Hamid Politeknik Energi dan Mineral Akamigas
  • Kurniawan Saputra Politeknik Energi dan Mineral Akamigas

DOI:

https://doi.org/10.58812/wsshs.v2i06.977

Keywords:

IoT (Internet of Things), Real-time Analytics, Digital Asset Management, Energy Efficiency, Productivity

Abstract

This research investigates the impact of IoT (Internet of Things) technology, real-time analytics, and digital asset management on energy efficiency and productivity in the Indonesian manufacturing industry. A quantitative approach, employing structural equation modeling (SEM) with Partial Least Squares (PLS) 3 software, is utilized to analyze survey data collected from manufacturing firms across different sectors and sizes in Indonesia. The results reveal significant positive relationships between digital technologies (IoT, real-time analytics, digital asset management) and energy efficiency/productivity. Specifically, Digital Asset Management, IoT Technology, and Real-Time Analytics are found to have statistically significant effects on enhancing energy efficiency and productivity levels in Indonesian manufacturing operations. These findings underscore the transformative potential of digital technologies in driving operational performance and sustainability in the manufacturing sector. Policymakers, industry stakeholders, and practitioners can leverage these insights to inform strategic decision-making and investments in digital infrastructure, workforce development, and regulatory frameworks to foster innovation and competitiveness in the Indonesian manufacturing landscape.

References

M. R. Primanthi and K. Kalirajan, “Sources of productivity growth in the indonesian manufacturing industries,” J. Econ. Anal., vol. 2, no. 4, pp. 31–46, 2023.

A. D. Saputra, R. Yanuardi, and A. Maharani, “THE ROLE OF THE MANUFACTURING ON THE INDONESIAN ECONOMY,” Indones. J. Multidiscip. Sci., vol. 2, no. 1, pp. 157–166, 2023.

E. Wolok, L. M. Yapanto, A. L. C. H. P. Lapian, T. Wolok, and A. Aneta, “Manufacturing Industry Strategy in Increasing the Acceleration of Economic Growth in Indonesia,” Int. J. Prof. Bus. Rev., vol. 8, no. 4, pp. e01927–e01927, 2023.

T. A. Nugroho, A. K. Amarco, and M. Yasin, “Perkembangan Industri 5.0 Terhadap Perekonomian Indonesia,” Manaj. Kreat. J., vol. 1, no. 3, pp. 95–106, 2023.

N. A. P. Harahap, F. Al Qadri, D. I. Y. Harahap, M. Situmorang, and S. Wulandari, “Analisis Perkkembangan Industri Manufaktur Indonesia,” El-Mal J. Kaji. Ekon. Bisnis Islam, vol. 4, no. 5, pp. 1444–1450, 2023.

T. C. Kusuma, R. Nurcahyo, and M. Dachyar, “Analysis of The Effect of Workload on Work Stress Level in Indonesia Manufacturing Industry,” 2022.

F. C. Fenerich, K. Guedes, N. H. M. Cordeiro, G. de Souza Lima, and A. L. G. de Oliveira, “Energy efficiency in industrial environments: an updated review and a new research agenda,” Rev. Gestão e Secr. (Management Adm. Prof. Rev., vol. 14, no. 3, pp. 3319–3347, 2023.

S. Sundaramoorthy, D. Kamath, S. Nimbalkar, C. Price, T. Wenning, and J. Cresko, “Energy Efficiency as a Foundational Technology Pillar for Industrial Decarbonization,” Sustainability, vol. 15, no. 12, p. 9487, 2023.

M. Beccarello and G. Di Foggia, “The Strategic Role of Energy Efficiency and Industry 4.0 Interventions in Manufacturing,” J. Manag. Sustain., vol. 13, no. 1, pp. 31–44, 2023.

L. Kılıç, G. Dural, H. Bilgin, and B. Tüzer, “Industrial Energy Efficiency Lessons from Past Experience for Today and Tomorrow,” in International Symposium on Energy Management and Sustainability, Springer, 2022, pp. 23–30.

T. Sengyu and V. Khare, “Analysis of the Efficiency of Energy Management at the Metallurgical Enterprise,” in Economic Development and the Environmental Ecosystem: The Role of Energy Policy in Economic Growth, Springer, 2023, pp. 87–99.

H. Samanta, P. K. Talapatra, K. Golui, and P. Chakraborty, “IoT‐Based Intelligent Manufacturing System: A Review,” Intell. Manuf. Manag. Syst. Oper. Appl. Evol. Digit. Technol. Mech. Ind. Eng., pp. 59–84, 2023.

M. R. Kumar, B. R. Devi, K. Rangaswamy, M. Sangeetha, and K. V. R. Kumar, “IoT-Edge Computing for Efficient and Effective Information Process on Industrial Automation,” in 2023 International Conference on Networking and Communications (ICNWC), IEEE, 2023, pp. 1–6.

G. Kiradoo, “The Prominence of IoT in Enhancing Business Success in the Context of Industry 4.0,” Recent Prog. Sci. Technol., vol. 6, pp. 188–204, 2023.

S. Ahmetoglu, Z. Che Cob, and N. Ali, “Internet of Things Adoption in the Manufacturing Sector: A Conceptual Model from a Multi-Theoretical Perspective,” Appl. Sci., vol. 13, no. 6, p. 3856, 2023.

S. Singh, R. Batheri, and J. Dias, “Predictive Analytics: How to Improve Availability of Manufacturing Equipment in Automotive Firms,” IEEE Eng. Manag. Rev., 2023.

R. Dashora and M. R. Babu, “A Survey on Advancements of Real-Time Analytics Architecture Components,” in Computational Methods and Data Engineering: Proceedings of ICCMDE 2021, Springer, 2022, pp. 547–559.

A. Cakir, Ö. Akın, H. F. Deniz, and A. Yılmaz, “Enabling real time big data solutions for manufacturing at scale,” J. Big Data, vol. 9, no. 1, p. 118, 2022.

S. C. Prabha, P. Sivaraaj, and S. K. Lakshmi, “Data analysis and machine learning-based modeling for real-time production,” Sci. Temper, vol. 14, no. 03, pp. 637–640, 2023.

P. Vats and S. S. Biswas, “Big data analytics in real time for enterprise applications to produce useful intelligence,” Data Wrangling Concepts, Appl. Tools, pp. 187–211, 2023.

S. Mo, “The dilemma and path of digital empowerment of enterprise asset management,” BCP Bus. Manag., vol. 29, pp. 265–272, Oct. 2022, doi: 10.54691/bcpbm.v29i.2280.

L. Rauh, M. Reichardt, and H. D. Schotten, “AI asset management: a case study with the asset administration shell (AAS),” in 2022 IEEE 27th International Conference on Emerging Technologies and Factory Automation (ETFA), IEEE, 2022, pp. 1–8.

G. Attencia and C. Mattos, “Adoption of digital technologies for asset management in construction projects.,” J. Inf. Technol. Constr., vol. 27, pp. 619–629, 2022.

M. N. Bin Masrom, A. B. J. Rizal, T. S. Kee, and S. N. Bin Mustafa, “Reinventing Operation Through Visual Asset Management System & Digitalization,” in IOP Conference Series: Earth and Environmental Science, IOP Publishing, 2022, p. 12014.

R. A. Hraiga, A. M. Muhammad Ali, and A. A. Abbas, “Improving Productivity Using Green Process Reengineering Technology.,” Polish J. Environ. Stud., vol. 32, no. 5, 2023.

A. Trubetskaya, A. Ryan, and F. Murphy, “An implementation model for digitisation of visual management to develop a smart manufacturing process,” Int. J. Lean Six Sigma, vol. 15, no. 8, pp. 32–49, 2023.

M. Hermans and P. Tamás, “Improving the efficiency of maintenance process in manufacturing systems using industry 4.0 tools,” Cut. Tools Technol. Syst., no. 98, pp. 93–100, 2023.

A. Hadjadji, S. Sattarpanah Karganroudi, N. Barka, and S. Echchakoui, “Advances in Smart Maintenance for Sustainable Manufacturing in Industry 4.0,” in Sustainable Manufacturing in Industry 4.0: Pathways and Practices, Springer, 2023, pp. 97–123.

C. Bode, “Maintenance Content Reduction and Digitalization for Performance Optimization,” in 2022 International Symposium on Semiconductor Manufacturing (ISSM), IEEE, 2022, pp. 1–4.

A. Bondin and J. P. Zammit, “A New Age for Plant Maintenance: Making use of Augmented Reality to Improve Maintenance of Production Assets,” in 2022 IEEE International Conference on Technology Management, Operations and Decisions (ICTMOD), IEEE, 2022, pp. 1–6.

R. Kassim, A. Rahmat, H. Mustapa, and A. Bakri, “Internet of Things Implementation in Manufacturing Value Chain Process,” in 2022 International Visualization, Informatics and Technology Conference (IVIT), IEEE, 2022, pp. 317–320.

A. Dash, P. Pant, S. P. Sarmah, and M. K. Tiwari, “The impact of IoT on manufacturing firm performance: the moderating role of firm-level IoT commitment and expertise,” Int. J. Prod. Res., vol. 62, no. 9, pp. 3120–3145, 2024.

L. L. Yadla, R. A. Mudragada, H. Poka, and T. Vignesh, “Smart Manufacturing In Industries Using Internet Of Things,” in 2023 International Conference on Computer Communication and Informatics (ICCCI), IEEE, 2023, pp. 1–5.

J. Huang, M. Irfan, S. S. Fatima, and R. M. Shahid, “The role of lean six sigma in driving sustainable manufacturing practices: an analysis of the relationship between lean six sigma principles, data-driven decision making, and environmental performance,” Front. Environ. Sci., vol. 11, p. 1184488, 2023.

S. K. H. Sit and C. K. M. Lee, “A Case Study on Data Analytics Based on Edge Computing for Smart Manufacturing System,” in Intelligent and Transformative Production in Pandemic Times: Proceedings of the 26th International Conference on Production Research, Springer, 2023, pp. 293–302.

C. H. Er and T. Al Mosawi, “Effects of Big Data Analytics on Sustainable Manufacturing: A Comparative Study Analysis,” Chinese J. Urban Environ. Stud., vol. 10, no. 04, p. 2250022, 2022.

Downloads

Published

2024-06-29

How to Cite

Setiawan, D., Nugroho, B. S., Nurrahman, A., Hamid, F. A., & Saputra, K. (2024). The Effect of IoT Technology, Real-Time Analytics, and Digital Asset Management on Energy Efficiency and Productivity in Indonesia’s Manufacturing Industry. West Science Social and Humanities Studies, 2(06), 960–971. https://doi.org/10.58812/wsshs.v2i06.977

Issue

Vol. 2 No. 06 (2024): West Science Social and Humanities Studies

Section

Articles

License

Copyright (c) 2024 Dwi Setiawan, Budi Sulistiyo Nugroho, Arif Nurrahman, Farid Alfalaki Hamid, Kurniawan Saputra

Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.