Accelerating the digitization of operations with Vitesse, the industrial digitization platform.
Super insightful, thank you Renan Devillieres for some valuable insights - as always. I’ve just learned from one of our investors that their rate of failure for startups in the field of manufacturing more than doubles compared with startups in the already tough operations market. Manufacturing, with a high cost of failure, tends to be conservative, but on the other hand those who don’t rapidly adopt modern digital platforms are left behind, and those who start their operations with traditional (read: centralized, monolithic, using old languages) platforms almost never manage to scale. The challenge indeed for startups is to find the application and ideal customer, filling a part of the ‘advanced manufacturing pipe dream’ for most factories, and I’ve learned that to solve a pain point isn’t the answer that operation leaders seek. And as much as we want to blame them, it makes sense: for instance what is reducing lead time and bring up cost by 50% when these savings ultimately represent less than a day’s worth of production? Startups in manufacturing need to bring a new value proposition, where the manufacturer can now achieve things that were harder to achieve with established platforms alone, and I found out that it works better coming up as a supplement, rather than frontal competition. For instance, we’ve evolved into making Vitesse work exceptionally well with the top PLC and robot platforms, by allowing for interoperability, telemetry, insights and deep automation to efficiently digitize existing systems, instead of competing to be just faster and cheaper…
Advanced manufacturing is a pipe dream, except for 6% of the factories! The most common feedback we receive from Industrials after visiting is along the lines of, ”We believed our progress lagged significantly behind the industry standard.” The lack of communication between industrials regardless of their industry is a constant setback these days. At OSS Ventures we have created an overview from the 800+ factories visited throughout Europe. Here is what we have found. Reach out for a digital diagnostic of your factory to see where you stand and if you're a founder, come build the future of manufacturing with us!
Builder, investor. Deploying 🤖 in 🏭
2moindeed ! there are upsides. manufacturing is a big market to grow in, revenue quality is very high (churn of implemented solutions is very low), but its a tougher initial go to market.