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Production automation as a service (PAaaS) is seen as a new trend that enables the possibility to use production automation technologies as a service. The technologies are cloud-based which makes the implementation of production automation more effective and cost-effective. This approach is attractive to the companies that have a limited capital investment. The purpose of this thesis was to analyse and understand the implementation of Production Automation as a Service (PAaaS) in the manufacturing industry. In order to understand its implementation, it is important to know what the drivers and benefits with PAaaS implementation and what challenges there are and how to overcome them for a successful implementation. To provide with a comprehensive answer and conclusion about PAaaS implementation in the manufacturing industry the following research questions was studied:1. What are the drivers and benefits of PAaaS implementation in the manufacturing industry, and what needs does it fulfil?2. What are the challenges of implementing PAaaS in the manufacturing industry, and how can they be overcome for a successful implementation and scale-up?To be able to answer these questions, a qualitative research study based on literature review and interviews was conducted. The combination between the literature and the real-life experience in PAaaS implementation provided a greater understanding of the concept. The aim of the research questions is to provide guidance and recommendation for companies seeking for a successful implementation of PAaaS which leads to improved operational efficiency and the ability to utilise the technological advancement provided through PAaaS. The approach applied in this study has been qualitative research with an abductive research approach. By obtaining data through scientific articles and interviews it was possible to analyse it more in-depth in order to find similarities between them.In conclusion, PAaaS implementation in the manufacturing industry provides with key benefits such as cost-effectiveness, improved flexibility, scalability, productivity, efficiency, and improved product quality. These benefits fulfil several needs of manufacturing companies such as being more flexible and being able to use automated solutions at a lower cost. These needs also act as the drivers for the implementation of PAaaS. The drivers are an important aspect of PAaaS implementation, because without any drive and motivation, there won’t be any implementation of PAaaS that can fulfil a certain need of the company. The drivers and motivation for a PAaaS implementation in the manufacturing industry is the possibility for a business model transformation and the technological advancements that the manufacturer gain with the implementation.In addition, there are key challenges that makes the PAaaS implementation more complex for the manufacturing companies. These challenges are, Integration with legacy systems, internet dependency and lack of expertise and knowledge. To able to achieve a successful implementation, it is important to address the challenges, by addressing these problems it was possible to provide with strategies on how to overcome them. Which lays the foundation for future research about this topic.

The purpose of this bachelor’s degree work was to analyse a packaging station in a global manufacturing company in Sweden, and to provide an answer on why it is important with standardised work in preventing wrong deliveries. The purpose of the analysis was to come up with various improvement proposals in order to reduce and prevent wrong deliveries. The analysis of the packaging station was conducted by observing the station and understanding how the workers work and what kind of work procedure do they follow. The observations made it possible to conduct several conclusions on why the problems occurred, one of these conclusions was that the work procedure is not standardised which in turn increased the errors in the station. Through a clear problem description, it was possible to come up with improvement proposals by answering the following research questions:

 Main RQ: Why is a standardised workplace important in a manufacturing company?

To be able to answer the main research question, the question has been divided into two smaller sub-questions:

1.     How can a packaging area be standardised by using lean process improvement tools?

2.     How can operating standards improve the efficiency in a packaging station?

The approach applied in this study and project has been qualitative research with an inductive approach, by reviewing scientific articles and observing the work in the packaging station it was possible to analyse and compare the collected data in order to come with a conclusion to the problem. The data that was collected in form of interviews has been continuously analysed in order to have as relevant data as possible for the improvements work. 

By comparing the collected data from the literature and the case findings it was possible to lay a foundation for the analysis where the proposed improvements came from and to conclude a final proposed improvements that reduces the wrong deliveries in the packaging station. In conclusion, standardised work is important in order to prevent wrong deliveries because it contributes to a more clear and sustainable structure that the workers follow. By having standardised instructions and methods that is being followed, the amount of errors is reduced in the packaging station. 

Wrong deliveries are reduced and prevented when there is a standardised work procedure that is based on the lean ideology in a packaging station