Let's take a typical situation: A manager usually knows what they manage in detail. The plant is a big system with many subsystems working together, including people, departments, equipment and machinery, technologies, warehouse, etc. There are many processes that run simultaneously in both Physical World (raw materials delivery, processing, transformation into final products, packaging, shipments and so on) and Virtual World (accounting, finance, automation, production planning, operator commands, interactions between employees and machines using web and mobile applications, quality control, etc.).
Usually, managers evaluate the results using Key Performance Indicators (KPIs) and various reports that were calculated using multiple data, then saved by employees during the day or week. Its preparation and aggregation are tedious and time-consuming routine work, prone to human errors, delays, and inefficiencies presenting the report's fixed, rigid structure, which is difficult to change upon demand.
However, in a dynamic and complex production environment, such reporting becomes non-productive, not helpful and late for effective management. As a result, an entrepreneur may not be aware of possible issues and inefficiencies until it appears in full growth due to accumulated negative economic impact, loss of competitiveness or customers.