Cim 4.0 putting things in perspective
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Here are some key steps your company can take to adapt to creative disruption: 1. Conduct a thorough assessment of your industry and company to understand how digital technologies and new business models are impacting your business. Identify both threats and opportunities. 2. Develop a digital transformation strategy with clear goals, priorities, timeline and budget. The strategy should focus on both incremental changes as well as "big bets" that could significantly disrupt your business model. 3. Upgrade technology infrastructure to support digital initiatives. This may require investments in areas like cloud, mobile, analytics, automation, etc. 4. Re-evaluate organizational structure and culture. A more agile, collaborative culture is needed to foster innovation. Consider new roles like
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Cim 4.0 putting things in perspective
- 1. Putting Things In Perspective The Most Important Realization About 4IR, Factories Of the Future, and CIM 4.0 Phil Andrews March 2019 1
- 2. Some Negative Aspects of 4IR • The explosion of technologies (too many, too fast) cannot be comprehended and implemented or adopted by most companies and individuals ➔ Core industries disruption issue • The pace is too frantic. Modern life is giving us brain fatigue. See: https://www.salon.com/2021/12/12/the-dangers-of-overtaxing-your- prefrontal-cortex/ ➔ Health issue • The gap between the Haves and Have-Nots is getting bigger ➔ Inequality issue • Vulnerability of systems and devices ➔ Cybersecurity issue • Misuse of data/information ➔ Ethical issue Phillip Andrews 2
- 3. Phillip Andrews 3 Pan = All Dora = Gifts
- 5. Phillip Andrews 5 Information glut and information overload is too much for most people’s lives!
- 6. Phillip Andrews 6 Advice: We all need to focus on the vital few and pay less attention to trivial many (a.k.a. Pareto’s Law or the 80-20 Rule) Let’s decipher this rule for this course. The following represent the “Trivial Many” of CIM 4.0: • Motors • Valves • Controller boxes • Manufacturing Metrics • Conveyors • Storage Systems • Inventory Control • Capacity Planning • Production Control • Master Production Schedule, etc. The Vital Few are: New Strategies, Philosophies, Culture New Disruptive Business Models New Technologies The essence of 4IR and Smart Manufacturing Understanding The Big Picture of 4IR Holistic Thinking We will cover them briefly because they are part of this book. This book does not cover these topics!
- 7. Phillip Andrews 7 Our Focus:
- 8. CIM 1.0 and CIM 2.0 focus CIM 4.0 focus Phillip Andrews 8 NEW SERVICES NEW CULTURE NEW MFG METHODS & TECHNIQUES NEW CAPABILITIES NEW PHILOSOPHY ABOUT WORK NEW PRODUCTS
- 9. CIM 4.0 New Philosophy • The Digital Age encourages collaboration (creating business ecosystems and online communities), expanding globally, reaching markets around the planet, being unafraid of sharing information … treating manufacturing as a service (MaaS). • ICT is no longer a mere tool. It is now a strategic weapon, and a critical part of competing globally. • ICT is inescapably entwined with the environment we live in. It’s omnipresent and ubiquitous (just like electricity). It enables omni-convergence. • Connectivity is essential. Intelligence is essential. Improving QoL is essential. • The barriers between our online (connected to the internet) and offline (outside the digital sphere) worlds are fading; we now move within the maelstrom of the “infosphere”, living an “onlife” (living simultaneously between both worlds). Phillip Andrews 9
- 12. Deciphering The Acronyms • PaaS – Platform as a Service • IaaS – Infrastructure as a Service • SaaS – SW as a Service • DaaS – Data as a Service • DbaaS – DB as a Service • FaaS – Functions as a Service • EaaS – Equipment as a Service • EaaS – Everything as a Service Phillip Andrews 12 https://blog.britesys.com/blog/a- guide-to-the-everything-as-a- service-model
- 13. Ubiquitous Computing • Information and knowledge are available Anytime, Anyplace, in Any Time Zone, in Any Language, and in Any Format (suitable for different devices) • The interface is transparent or invisible • The technology itself is transparent • It promotes Calm Technology (systems and apps that “calm” and inform simultaneously). Calm Technology utilizes the users’ periphery • It promotes staying in touch and being informed on a continuous basis Phillip Andrews 13
- 14. Phillip Andrews 14 This concept only applies for certain industries and products
- 15. Phillip Andrews 15 Citizens and employees care more about what they see (above the visibility barrier). They care very little about infrastructural elements/components. They care about what improves and makes their lives better and easier. The inner workings are of no one’s concern! The best technologies are the ones that are transparent to the users.
- 16. CIM 4.0 New Culture Phillip Andrews 16
- 19. Phillip Andrews 19 Lockheed Martin Innovation Lockheed Martin's innovation culture is considered extremely innovative by its employees. Lockheed Martin's innovative company culture has to be ingrained within the work culture, and adopted by new hires. At Lockheed Martin, employees think the most important qualities a new hire must have are work ethic and prior experience. Lockheed Martin's innovation stems from the health of their work culture which their employees believe is healthy. Work Culture: B- (Lockheed Martin is in the Top 40% of Similar Sized companies on Comparably) Meetings: C (Lockheed Martin is in the Bottom 45% of Similar Sized companies on Comparably) Leadership: C+ (Lockheed Martin is in the Top 50% of Similar Sized companies on Comparably) https://www.comparably.com/companies/lockheed-martin/innovation
- 20. Comparative Results Overall Rating • IBM A+ • Raytheon Technologies C • Boeing C- • Northrup Grumman C • SAIC B Phillip Andrews 20
- 21. Phillip Andrews 21 Fostering Innovation at Lockheed Martin One facet of fostering innovation is maximising employee potential, many employees at Lockheed Martin feel as though they’re using their full potential. Another method for encouraging innovation is using meetings for knowledge sharing, 56% of employees think Lockheed Martin meetings are effective. Lastly, at Lockheed Martin most employees receive valuable feedback on a every week basis, which allows employees to feel comfortable with failure. How innovative is your company? Extremely Innovative 44% Somewhat Innovative 22% Neutral 11% Needs Improvement 12% Stuck in the Past 11% How often do you get valuable feedback on how to improve at work? Every week 30% Once a month 11% Once a quarter 12% Once a year 21% Never 26%
- 24. Phillip Andrews 24 Some Important
- 25. 1st Realization • The 4th Industrial Revolution is focused on ALL Industries and Sectors. Previous revolutions put more emphasis on Manufacturing. Phillip Andrews 25 Manufacturing has fallen to 8th place in terms of employment. Manufacturing was #1 in employment in 1960. However, Manufacturing is still among the top 2 industries in terms of value and importance for the country!
- 26. 2nd Realization • All key technologies are strongly interrelated. Smart Chips and Sensors Smart Networks and Smart Grids Smart Apps (incl. Analytical Tools) Smart Computing (Edge and Cloud Computing) Smart Storage (Cloud) and Big Data Smart Equipment Smart Products and Smart Services Cybersecurity Etc. Phillip Andrews 26
- 27. Big Data Is One Of The Most Strategic Aspects In An Enterprise Phillip Andrews 27 Data is the “new oil” for the country. Where data flows, money and power will flow as well. The key is to convert data into knowledge!
- 28. The New Mentality • Collecting data continuously and in real time ➔ • Converting data into knowledge in real time ➔ • Translating and analyzing the knowledge in real time ➔ • Aiding Decision Making in real time based on the newly acquired information/knowledge ➔ • Taking action in real time ➔ • Storing the new lessons learned (if any) into a knowledge warehouse for future reference • Leveraging the acquired knowledge forever Phillip Andrews 28
- 30. 3rd Realization • The label CIM is being replaced with CIE. • The focus has shifted from Computer Integration to “Smart” or “Intelligent”. Thus, Smart Manufacturing is a better label for manufacturing plants today. And eventually, the label “Autonomous Manufacturing” will be even more fitting. Thus, the focus has shifted as follows: Integration ➔ Smart ➔ Autonomy Phillip Andrews 30
- 31. 4th Realization • The focus of the value chain has also shifted away from the factories. In the past the factory was the lynchpin of all almost all value chains because that’s where most of the value was being created. But now, services offer as much or more value than products. Thus: the focus shifted as well: Factory ➔ Enterprise ➔ Extended Enterprise ➔ Networked Enterprise ➔ Business Ecosystems Phillip Andrews 31
- 32. 5th Realization • Omni-Convergence will accelerate and transform industries, technologies, devices, systems, networks, services, lines of business, value chains, market segments, etc. Tremendous new opportunities. Phillip Andrews 32
- 34. 6th Realization • The speed of technology-related introductions (incl. apps, systems, networks, devices, etc.) will accelerate in the years ahead. Here are some great technologies that will revolutionize everything: • Quantum Computing • Advanced Analytics and Cognitive AI • Cognitive and Autonomous Robots • Network (or Internet) of Everything • Zero Trust Security • Telehealth, Telemedicine • Remote and Ubiquitous Learning Phillip Andrews 34
- 35. 7th Realization • Digital Transformation (DTX) is more difficult and challenging than most people realize and anticipate for these reasons: • Lack of in-house skills (incl. leadership skills) • Lack of correct mindset • Lack of shared vision, shared understanding, shared commitment • DTX is a multiyear journey (many projects), not a single project • DTX must bedriven top-down (with executive sponsorship) • Lack of proper funding • DTX requires extensive and relentless business and personal transformation • Insufficient training, mentoring and coaching • Too much “ugly package” left over from old systems, networks, devices, etc. Phillip Andrews 35
- 36. Sample Technologies That Will Continue to Drive and Enable The 4IR Phillip Andrews 36
- 37. You’ve Heard Creative Disruption In Previous Lectures, But Let’s Review It One More Time •Upfront you must know that this Creative Disruption is different •It’s one of the biggest and most dramatic ones ever! In reality, it represents a New Renaissance! Phillip Andrews 37
- 38. Breakthrough Technologies 1. Unhackable Internet 2. Hyper-personalized medicine 3. Anti-Aging Drugs 4. Digital Money 5. AI-Discovered Molecules 6. Satellite Mega-Constellations 7. Quantum Supremacy 8. Tiny AI 9. Differential Privacy 10. Climate Change Attribution 38
- 39. 39 Other Emerging Technologies 1. Array Of Things (AoT) 2. Genetic Fortune Telling 3. Hyperloop 4. Self-Driving Vehicles, Self-Flying Planes, and Self-Navigating Boats 5. 4-D Printing 6. Commercial Space Explorations 7. 6G 8. Computer Vision 9. Generative Adversarial Network 10.Mixed Reality 11.Memory Bubbles 12.Telepathy w/robots/devices
- 40. 40
- 41. 41 AI and Sentient Robots Foldable Cars Can Park Anywhere https://www.dezeen.com/tag/mit-media-lab/ AR “Lamp” that turns a table into an iPad Health Tracker Tattoo Conversing with the inner thoughts Wearable Personal Assistant Spider Robots 4 Dangerous Missions http://www.zerogenie.org/mit-media-lab-where-tomorrows-technology-is-born-60-minutes-overtime-cbs-news/
- 43. Phillip Andrews 43 6G is coming Mixed Reality (MX)
- 44. The Big Question For Everyone Now Is: Phillip Andrews 44
- 45. 45 A new bright future is straight ahead! And it is dramatically different from today! The Post-Industrial Age The Service-Based Economy The Relationship-Centric Era 4IR and 5IR … The Digital Age The Technological Age The Conceptual Age The Post-Capitalist Era The Trillion Sensor Economy The Petabyte Era The Sharing Economy The Gig Economy A New Renaissance The Exponential Age The Age Of Transitions The Age Of Sustainable Development The Age Of Opportunity The Age Of Regeneration and Reinvention … Phillip Andrews
- 46. Why Are The Experts Calling This a New Renaissance? What is so special? Phillip Andrews 46
- 47. … Because It Changes Everything! • New approaches to Mobility (Smart Mobility) • New sources of energy and ways to save energy (Smart Energy) • New ways to collect and reuse waste (Smart Waste Management) • New ways to educate and learn (Smart Education) • New methods for taking care of health (Smart Healthcare) • New ways to do business (Smart Business / Smart Manufacturing) • New ways to perform agriculture (Smart Farming) • New ways to live, work, and enjoy life (Smart Living) • New types of Cities (Smart Cities) (Cities Of The Future) • New thought processes, new mental models, new values … (Digital Culture) 47 Phillip Andrews
- 48. CIM 4.0 Represents Creative Disruption For Several Industries, Companies, and Professions • Movie Theaters • Small Retailers • Bookstores, Libraries • Newspapers • Job Recruiting Companies • Real Estate Companies • Hotels and Motels • Book Publishing Companies • Manufacturing Companies • Logistics Companies • Traditional Schools • Taxi Drivers • Truck Drivers • Pilots • Financial Advisors, Brokers • Tax Preparers • Clerks, Cashiers, Bank Tellers • Translators • Editors, Proofreaders • Fast Food Workers • Postal Workers • Farmers and Ranchers Phillip Andrews 48 They all are threatened. And there are many more! They all are threatened. And there are many more!
- 49. What Does Digital Disruption Look Like? 1. The largest movie theater company owns NO cinemas 2. The largest SW companies DON’T write their apps 3. The world’s largest taxi company owns NO vehicles 4. The largest accommodation provider owns NO real estate 5. Large phone companies own NO telecom info 6. Popular media owners create NO content 7. The fastest growing banks have NO actual money Phillip Andrews 49
- 50. What Does Digital Disruption Look Like? 1. Movie theaters ➔ 2. SW companies ➔ 3. Taxi companies 4. Accommodation providers ➔ 5. Phone companies 6. Media owners ➔ 7. Banks ➔ Phillip Andrews 50
- 52. And There Are Hundreds More New Biz Models! … and there are hundreds more to come with the 4IR! … and there are hundreds more to come with the 4IR! Phillip Andrews
- 53. These Companies Are Failing At Innovation • Xerox • Yahoo • AOL • Nokia • JC Penney • Segway • Hitachi • Toshiba • KODAK 53 Phillip Andrews
- 54. Sample Of Major Business Fumbles • Chester Carlson invents Xerography. Takes it to Kodak, which sends him away ➔ Xerox is invented as a new company • Xerox invents a usable PC in PARC (with GUI … and a precursor to Widows OS) ➔ Its senior execs ignore it ➔ PCs migrated to other companies like Tandy, Commodore, Wang, Apple, and IBM ➔ Xerox is now struggling to survive • Kodak invents the first digital camera ➔ Its senior executives ignore it ➔ Other companies jumped on it, like Canon, Nikon, and Olympus ➔ Kodak is now struggling to survive Phillip Andrews 54
- 57. Reminder • Over 85% of the largest corporations have disappeared in the last 50 years, and over 95% of the SMEs have disappeared as well. • And the trend (or carnage) will continue unless companies espouse: • The 4IR and CIM 4.0 (Smart Factories, Smart Businesses) • Continuous Innovation/Invention • Creative Disruption • Digital Transformation (DTX) • Key Technologies (viewing and leveraging them as strategic weapons) • Key Business and Manufacturing Approaches and Techniques Phillip Andrews 57
- 60. Please help! Creative Disruption is chasing my company! Phillip Andrews 60
- 61. https://www.cnbc.com/2019/10/30/heres-why-ge-fords- digital-transformation-programs-failed-last-year.html They said this and yet their digital transformation so far was unsuccessful Phillip Andrews 61 And Ford is NOT the only one that has hard time with Digital Transformation
- 62. Phillip Andrews 62 Getting “fit” requires applying: • Lean and Agile Manufacturing concepts • Sustainable, Green, and Resilient Manufacturing concepts • Smart/Intelligent Manufacturing concepts Getting “fit” also requires: • Enterprise Transformation, involving improving corporate culture (adopting the Innovation Culture), implementing Digital Transformation, etc.) Cont’d:
- 63. Phillip Andrews 63 https://www.forbes.com/sites/brucerogers/2016/01/07/why- 84-of-companies-fail-at-digital- transformation/?sh=43ce9cec397b Forbes claims that the number of failed implementations is 84% The 75% of companies declaring partial success are mostly sugarcoating their failures.
- 64. They are missing the point! What is the main point of 4IR and what is HP missing? Here is one of the main reasons why companies fail at implementing DX: They are only focused on technologies. They miss the big picture.
- 65. What HP and Most Other Companies Are Missing Is: Phillip Andrews 65 And all the things that are mentioned on slide #2 And all the things that are mentioned on slide #2
- 66. Phillip Andrews 66 DX is about a new way of doing business, with more powerful Business Models, better business and technical infrastructures, new styles of leadership … and more powerful cultures. Strategic Technologies help all that, but companies must first espouse the new ways of doing business.
- 67. Phillip Andrews 67 Even this explanation is incomplete. DX affects the Business Model, the Business Strategy, the Enterprise Culture, and the Style Of Leadership.
- 68. Shell Oil Digital Strategy A more Holistic approach to DTX
- 69. Phillip Andrews 69 IKEA A better approach than HP because the main focus is the customer
- 72. Phillip Andrews 72 •Design and build • Product life cycle management (PLM) • Enterprise requirements planning (ERP) • Manufacturing operations management (MOM) •Schedule and operate • Airline operations center (AOC) • Flight control system (FCS) • Flight planning •Monitor and maintain • Aircraft maintenance systems (AMS) • Materials requirements planning (MRP) •Dispose • Aircraft demolition management (ADM) Boeing Key Systems Are these systems enough to carry Boeing to the next plateau of excellence and DTX? The answer is: NO
- 73. Phillip Andrews 73 Here are some of Boeing’s Key CIM 4.0-related initiatives. So, Boeing is now looking beyond systems integration. Here are some of Boeing’s Key CIM 4.0-related initiatives. So, Boeing is now looking beyond systems integration. See next slide
- 74. Phillip Andrews 74 The real value is here
- 75. Phillip Andrews 75 https://www.altoros.com/blog/boeing-improves-operations- with-blockchain-and-the-internet-of-things/ Boeing Blockchain Initiative (a great example of DX) Why is Blockchain an example of DX?
- 76. Phillip Andrews 76 There are other important questions to ask that will help define one’s Digital Transformation. I hope you and your company spending time figuring out and answering the right questions.
- 77. Phillip Andrews 77 https://blog.tmcnet.com/blog/rich-tehrani/e-commerce/digital- transformation-helps-lockheed-martin-go-hypersonic.html https://www.youtube.com/watch?v=wyvDCUtf_5o You are leading the DTX movement and the Fourth Industrial Revolution! Keep it up. Your future and the country’s future depend on it!