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Industry 4.0: Merging Internet and Factories

Fabernovel
Fabernovel
FabernovelResponsable Communication chez FABERNOVEL INNOVATE

Industrial IoT and connected objects for factories are part of our research at FABERNOVEL OBJET, our activity dedicated to IoT. The future of industry is at the crossroads of internet and factories. Some call it INDUSTRY 4.0 or FACTORY 4.0 in reference to the upcoming fourth industrial revolution. Governments and private companies in Germany, UK and the USA have acknowledged the importance of industrial IoT and its central role in future industrial transformation. The adoption of Industrial Internet has both near-term and long-term impacts and will be characterized by the emergence of new models such as the “Outcome Economy” and the “Autonomous, Pull Economy”. We believe that INDUSTRY 4.0 is a growth opportunity for industrial companies, and have decrypted this very phenomenon in the following presentation.

Industry 4.0: Merging Internet and Factories

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INDUSTRY 4.0
MERGING INTERNET AND FACTORIES
//2
A STORY OF
INDUSTRIAL
REVOLUTIONS
//3
3 MAJOR INDUSTRIAL REVOLUTIONS
1800
Hydropower and fossil
1890-1910
Electric energy
Mass Production
1960-1970
Telecommunications
Programmable Logic
I II III
# Steam machine (1803) #Electricity (1891) # Programmable Logic (1969)
//4
THE 4TH
INDUSTRIAL
REVOLUTION?
//5
INDUSTRY 4.0
WHAT IS IT?
The concept of “Industry 4.0” comes from Germany. It defines a new way of organizing factories,
also called smart factories, aiming to better serve costumers through greater flexibility of
production and resource optimization.
KEY PRINCIPLES OF THE FACTORY 4.0
THE FACTORY BECOMES
DIGITAL AND FLEXIBLE
It is characterized by continuous
and instantaneous communication
between the various workstations
and tools, integrated into the
supply and production lines.
SIMULATION TOOLS AND
POWERFULL DATA
PROCESSING
The collection and analysis of data
produced throughout the assembly
line can be used for modeling and
testing. This is of great value for
w o r k e r s w h o w i s h t o g e t
familiarized with industrial tools
and processes.
AN EFFICIENT FACTORY
REGARDING ENERGY AND
RESOURCES
Industry 4.0 is energy efficient by
using communication networks to
exchange information instantly and
continuously to coordinate needs
and availability.
//6
INDUSTRY 4.0
THE LEVERS USED FOR ITS PROLIFERATION
CONNECTED SENSORS PREDICTIVE ANALYSISBIG DATA

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Industry 4.0: Merging Internet and Factories

  • 1. La partie de l'image avec l'ID de relation rId2 n'a pas été trouvée dans le fichier. INDUSTRY 4.0 MERGING INTERNET AND FACTORIES
  • 3. //3 3 MAJOR INDUSTRIAL REVOLUTIONS 1800 Hydropower and fossil 1890-1910 Electric energy Mass Production 1960-1970 Telecommunications Programmable Logic I II III # Steam machine (1803) #Electricity (1891) # Programmable Logic (1969)
  • 5. //5 INDUSTRY 4.0 WHAT IS IT? The concept of “Industry 4.0” comes from Germany. It defines a new way of organizing factories, also called smart factories, aiming to better serve costumers through greater flexibility of production and resource optimization. KEY PRINCIPLES OF THE FACTORY 4.0 THE FACTORY BECOMES DIGITAL AND FLEXIBLE It is characterized by continuous and instantaneous communication between the various workstations and tools, integrated into the supply and production lines. SIMULATION TOOLS AND POWERFULL DATA PROCESSING The collection and analysis of data produced throughout the assembly line can be used for modeling and testing. This is of great value for w o r k e r s w h o w i s h t o g e t familiarized with industrial tools and processes. AN EFFICIENT FACTORY REGARDING ENERGY AND RESOURCES Industry 4.0 is energy efficient by using communication networks to exchange information instantly and continuously to coordinate needs and availability.
  • 6. //6 INDUSTRY 4.0 THE LEVERS USED FOR ITS PROLIFERATION CONNECTED SENSORS PREDICTIVE ANALYSISBIG DATA
  • 7. //7 INDUSTRY 4.0 KEY FIGURES By 2020, more than 1 BILLION CONNECTED OBJECTS will equip factories (237M today). This represents an ANNUAL GROWTH OF MORE THAN 55% IN THE USA, INDUSTRIAL IOT COULD IMPROVE PRODUCTIVITY BY 40% UNTIL 2035 Sources : BI Intelligence 2015, GE 2014
  • 8. //8 INDUSTRY 4.0 WHAT ARE THE BENEFITS? FACTORIES OF THE FUTURE COMBINE MASS PRODUCTION EFFICIENCY WITH CUSTOM MANUFACTURING (ON DEMAND) AND OPTIMIZE THE SUPPLY CHAIN IN REAL TIME Sources : World Economic Forum 2015 1 Operational efficiency •  Asset utilization •  Operational cost reduction •  Worker productivity New products and services •  Pay-per-use •  Software-based services •  Data monetization Outcome economy •  Pay-per-outcome •  New connected ecosystems •  Platform-enabled marketplace Autonomous, pull economy •  Continuous demand- sensing •  End-to-end automation •  Resource optimization & waste reduction short term long term 2 3 4
  • 10. “ // 10 When you look at Industry 4.0, it’s based on a logic of cyber-physical systems (i.e. connected systems). That is to say you’ve got autocratic, independently operating systems, which self-optimize, communicate with each other and, ultimately, optimize production as a whole ECKARD EBERLE CEO Process Automation @Siemens FACTORY 4.0 BY SIEMENS
  • 11. “ // 11 FACTORY 4.0 BY SIEMENS
  • 12. “ // 12 FACTORY 4.0 BY SIEMENS LIQUID PACKAGING PLANT (SIEMENS LABS) 1. A bottle with an RFID tag comes on the packaging line 2. The filling machine reads the RFID tag and detects which liquid (among many) corresponds to the bottle 3. Similarly for the type of spout and screw. 4. And for the label to stick on the bottle A PRODUCTION LINE WHICH IS CONNECTED, MODULAR SMART AND SELF-ADAPTABLE YET DOES NOT HAVE MUCH MORE EMBEDDED TECHNOLOGY COMPARED TO A STANDARD PRODUCTION LINE
  • 14. //14 Nouveaux produits et services •  Business model du product-as-a-service ou pay-per-use •  Création de nouveaux services basés sur du software (analyse de données, algorithmes) •  Valorisation / monétisation des datas Economie de la performance •  Business model du Pay- per-outcome •  Création de nouveaux écosystèmes connectés (partenaires industriels) Economie autonome et dynamique •  Analyse et modélisation de la demande en continu et alignement en conséquence de la chaine de production grâce à une automatisation complète long-terme 2 3 4 Sources : World Economic Forum 2015 INDUSTRY 4.0 WHAT ARE THE BENEFITS? 1 Operational efficiency •  Asset utilization •  Operational cost reduction •  Worker productivity short term
  • 15. //15 OPERATIONAL EFFICIENCY WATER MANAGEMENT Thames Water The largest water services provider and wastewater treatment in the UK, uses MEMS sensors in all its facilities, and analyses in real time all collected data. RESULTS This allows to anticipate equipment failures and respond more quickly to critical situations, such as leaks or critical weather events. In 2 years, Thames Water was able to see a TOTEX (CAPEX + OPEX) decrease of 15 to 20%.
  • 16. //16 OPERATIONAL EFFICIENCY PREDICTIVE MAINTENANCE ThyssenKrupp The company operates more than 1.1 million elevators worldwide. In 2013, a partnership was launched with Microsoft (Azure IoT service) in order to remotely obtain and store several measurements and settings for their lifts (engine temperature, shaft alignment, speed, door functionality, etc.). RESULTS All these parameters analyzed in real time using algorithms help anticipate, operations related to maintenance and to minimize breakdowns.
  • 17. //17 Airbus introduced in 2014 on its Puerto Real plant the first cobot operating on an assembly line for the A380. A gradual implementation of cobots allows workers to focus on higher value-added tasks that require dexterity and inventiveness. RESULTS An efficiency leap in aircraft assembly with: •  50% decrease in production cost and •  85% decrease of the worker’s downtime when working with robots. OPERATIONAL EFFICIENCY THE COBOTS (COWORKING ROBOTS)
  • 18. //18 OPERATIONAL EFFICIENCY PREDICTIVE MAINTENANCE Apache is a company that operates oil and gas fields in several countries. Apache uses sensors to collect data that will: •  predict failures •  minimize production losses RESULTS •  An increase in efficiency of 1% for Apache pumps (this would generate an additional production of half a million barrels / day for the entire oil industry )
  • 19. //19 1 Efficacité opérationnelle •  Optimiser l’utilisation des ressources (matière, machines, humain) •  Diminuer les coûts d’exploitation •  Améliorer le productivité des employés Economie de la performance •  Business model du Pay- per-outcome •  Création de nouveaux écosystèmes connectés (partenaires industriels) Economie autonome et dynamique •  Analyse et modélisation de la demande en continu et alignement en conséquence de la chaine de production grâce à une automatisation complète court-terme long-terme 3 4 Sources : World Economic Forum 2015 INDUSTRY 4.0 WHAT ARE THE BENEFITS? New products and services •  Pay-per-use •  Software-based services •  Data monetization 2
  • 20. //20 NEW PRODUCTS AND SERVICES AUGMENTED MAINTENANCE In October 2013, Volkswagen developed an application for tablets and smartphones named MARTA (Mobile Augmented Reality Technical Assistance). Thanks to data collected by onboard electronics, the application allows: •  Instant identification of a problem via a mixture of real images and virtual information •  Help repair with technical explanations and video simulations for each step RESULTS It becomes impossible for a technician not to know where the problem relies. MARTA simplifies vehicle maintenance by analyzing information provided by onboard electronics.
  • 21. //21 1 Efficacité opérationnelle •  Optimiser l’utilisation des ressources (matière, machines, humain) •  Diminuer les coûts d’exploitation •  Améliorer le productivité des employés Nouveaux produits et services •  Business model du product-as-a-service ou pay-per-use •  Création de nouveaux services basés sur du software (analyse de données, algorithmes) •  Valorisation / monétisation des datas Economie autonome et dynamique •  Analyse et modélisation de la demande en continu et alignement en conséquence de la chaine de production grâce à une automatisation complète court-terme long-terme 2 4 Sources : World Economic Forum 2015 INDUSTRY 4.0 WHAT BENEFITS? Outcome economy •  Pay-per-outcome •  New connected ecosystems •  Platform-enabled marketplace 3
  • 22. //22 OUTCOME ECONOMY MAXIMIZE THE PRODUCTION OF RENEWABLE ENERGY General Electric launched its Wind Power Up platform. By placing sensors on wind turbines (existing or new) and with accurate weather data, GE is now able to optimize in real time the use of turbines, power generation and maintenance through analysis of collected data. With E.ON (Climate and Renewables in North America), GE is compensated by taking a percentage of the incremental income due to improved power generation. RESULTS •  A 5 to 20% growth of renewable energy produced by E.ON wind farms.
  • 23. //23 OUTCOME ECONOMY HOW TO SELL FLIGHT TIME Rolls-Royce provides a range of services dedicated to predictive maintenance for its jet engines with a set of remote analysis tools based on sensors. This increases engine reliability and limits unexpected time spent on the ground for airline companies (i.e. maximizes flight time and generates more specific estimates and predictions). With the TotalCare program, Rolls-Royce is able to reimburse airline companies for losses due to unexpected outages. RESULTS 92% of Trent engines (latest generation) have a TotalCare maintenance program.
  • 24. //24 OUTCOME ECONOMY BENEFITS FROM HIGH PERFORMANCE TIRES With EFFIFUEL, MICHELIN solutions promises to lower fuel consumption for carriers. By analyzing transportation data and information of a truck fleet’s load, Michelin is able to predict fuel economy targets (with the use of new tires and an eco-driving training).   If targets are not met, Michelin commits to offer a refund in proportion to the expenses incurred. RESULTS •  1,5 l/100km saved with an even higher potential gain
  • 25. //25 1 Efficacité opérationnelle •  Optimiser l’utilisation des ressources (matière, machines, humain) •  Diminuer les coûts d’exploitation •  Améliorer le productivité des employés Nouveaux produits et services •  Business model du product-as-a-service ou pay-per-use •  Création de nouveaux services basés sur du software (analyse de données, algoritmes) •  Valorisation / monétisation des datas Economie de la performance •  Business model du Pay- per-outcome •  Création de nouveaux écosystèmes connectés (partenaires industriels) court-terme 2 3 Sources : World Economic Forum 2015 INDUSTRY 4.0 WHAT ARE THE BENEFITS? Autonomous, pull economy •  Continuous demand- sensing •  End-to-end automation •  Resource optimization & waste reduction long term 4
  • 26. //26 AUTONOMOUS, PULL ECONOMY DIGITALIZATION OF FACTORIES AREVA launched the Comurhex 2 project, which aims to create an uranium conversion site, used before the enrichment steps. A 3D modeling of the building facilitated the construction by: •  Optimization of space management •  Detection of possible conflicts between different types of equipment •  Better visualization of technical systems compared to a 2D plan •  Better on site management of human resources RESULTS •  Process optimization for the project and the company •  Time and money saved
  • 27. //27 AUTONOMOUS, PULL ECONOMY FACTORY MANAGEMENT General Electric, develops the Predix cloud platform, a Cloud-as-a-Service platform aimed at industries where issues of security and compliance are very important.  Application development on this platform started with GE and will eventually open following an on-demand pricing model. The development of analytics services will enable GE to provide reporting applications, maintenance and technology optimization services to its customers. RESULTS GE has the ambition to become one of the top ten software players by 2020, a sector where it already boasts a turnover of $ 6 billion.
  • 28. La partie de l'image avec l'ID de relation rId2 n'a pas été trouvée dans le fichier. Contacts Elodie Bongrain, director at Objet by FABERNOVEL elodie.bongrain@fabernovel.com Thomas Borie, Project Manager thomas.borie@fabernovel.com
  • 29. We are WE CRAFT THE FUTURE OF YOUR INDUSTRY AT STARTUP SPEED. WHO WE ARE  We are a global interdisciplinary team of 80 business, technology and design experts working together with our clients to make things happen with the speed and boldness of entrepreneurs. OUR OFFICES From our offices in San Francisco, Paris, Toulouse and Lisbon, we work with clients everywhere in the world to help them define and develop new opportunities. WHAT WE DO We design, implement and deploy product or services to create new business models and develop new streams of revenue and profit. We combine customer insights, strategy, design, marketing and technology services to create a journey from concept to impact. @FABERNOVEL facebook.com/FABERNOVEL FABERNOVEL.com