The first major study in the field of Industrial Manufacturing to shed light on asset efficiency as a major driver for competiveness and to identify company-specific readiness and maturity for Industry 4.0 enabled asset efficiency.

1. Industry 4.0:
The State of the
Nations
Reshaping the
world
with software
Visit us at www.infosys.com/industry-4-0

2. 2
Asset Efficiency Report: Research Methodology
The first major study in the field of Industrial Manufacturing to shed light on the field of
asset efficiency as a major driver for competiveness and to identify company
specific readiness and maturity for Industry 4.0 enabled asset efficiency
This comprehensive global research project studied producing companies, mainly
in the field of manufacturing, and the assets on shop floor level the company uses
for production
1
The study polled 433 industrial manufacturing executives in companies’ plant or
production management (manufacturing managers, plant technical managers, COOs,
asset efficiency consultants and heads of R&D/manufacturing) in China, France,
Germany, UK, and US
2
Prestigious FIR Institute at the University of Aachen, together with Infosys, designed
and analyzed the study over all five countries; FIR surveyed in Germany between
January and March 2015 while independent research firm Vanson Bourne conducted
the study in China, France, UK, and US between February and March 2015
3
The survey was conducted online as well through telephone and personal interviews.4

3. 3
Asset Efficiency Report: Survey Demographics
A fairly equal split of the participants per region and per industry production type
36%
11%
12%
12%
35%
USA
UK
France
Germany
19%
China
23%
n = 433 7%
16%
19%
12%
Others
Process
industry
Electronics
Aerospace
Automotive
17%
Machinery
29%
Configure
to order
30%
Make to
stock
24%
Engineer to
order
Make to order
Regions Industries
Production type Revenue (in USD)
x > 3 bn
17%
0.5 bn < x < 3 bn
12%
x < 0.5 bn
71%
n = 433
n = 433 n = 433

4. 4
Asset Efficiency Report: Research Dimensions
Key dimensions of asset efficiency
Manufacturing industry is energy intensive. Energy efficiency aims to
reduce consumption of energy, resources (raw material, water and
fuels) and waste generation. It saves costs and improves the overall
sustainability of an enterprise
Every manufacturing process involves data and that provides the
foundation for operational and strategic decisions. Information
efficiency can address efficient data management with focus on data
standards and security for high data quality and interoperability
Operational efficiency has an integrated view by monitoring all levels
beginning from the asset to entire supply chain. The vision of the
future manufacturing processes is real-time visibility with a closed
control loop at all levels
Planning and execution of maintenance tasks using real-time
conditional data of production systems coupled with strong predictive
analytics will help in improving the overall maintenance efficiency of
assets by reducing unexpected breakdowns
Maintenance
efficiency
Energy
efficiency
Operational
efficiency
Information
efficiency
Maturity level of implementation
Systematically implemented
and benefits realized
Partly implemented
Potential recognized
Not implemented
4
3
2
1

5. The study shows that awareness has
not been reflected in action, yet.
• Vast majority (85%) of
companies are aware of the high
potential in implementing
Industry 4.0 concepts
• Only 15% have already
implemented dedicated
strategies for asset efficiency;
additional 39% have partially
implemented these strategies
• 48% want to implement
Industry 4.0 solutions
systematically for enhanced asset
efficiency by 2020; 20% of the
respondents will have made at
best piecemeal progress
5
Asset Efficiency Report: High-level Findings
15
7
31
13
39
32
15
48
2020Today
Potential recognizedSystematically implemented
Partly implemented No awareness

6. Across the five countries surveyed - China,
France, Germany, the UK and the US – the level of
maturity in Industry 4.0 varied significantly
• No country can claim to be the global early
adopter in implementing Industry 4.0 in asset
efficiency; however, more companies in China
claim to be early adopters
• Number of factors are driving this; focused
initiatives and governmental investments;
manufacturing is core for China, market
implements new technology fast
• Germany (21%), the UK (26%) and the US
(32%) have similar maturity footprints
• In France (14%), the Industry 4.0 implementation
is comparatively less mature
• Average maturity rate in 2015 and expected
rate in 2020 reflects progress of Industry 4.0
adoption: expected progress in each country to
be broadly the same
6
Asset Efficiency Report: Global Comparison
China
German speaking
countries
France
UK
USA
Distribution of early adopters
per country (%)
Follower
Early adopters
43
57
86
14
79
21
74
26
68
32

7. 7
Asset Efficiency Report: Industry Comparison
Study was executed across sectors including
aerospace, automotive, electronics,
machinery and process industry.
• Automotive, electronics, and process
industries have the highest maturity
levels
• Automotive and electronics industries
currently have the highest maturity
levels, due to significant investments in
technology
• Process industry owns a long history in
application of sensors in processes to
control and regulate complex process
chains
• Looking to the future, the process,
machinery, and electronics industries
are planning most extensive
improvements between now and 2020
Maturity comparison by industry sector
2015 2020
2.46
3.18
+0.72
2.61
3.10
+0.48
2.42
3.01
+0.59
2.58
3.25
+0.67
2.55
3.36
+0.82Process
Machinery
Electronics
Aerospace
Automotive

8. 8
Asset Efficiency Report: 2020 Vision
The next five years will be vital to the adoption of Industry 4.0 for many global
industries. We see six leadership characteristics that will help ensure a strong
foundation for success:
Fundamental shortage of skilled talent in key areas, especially core engineering and
advanced data and automation technologies, although there will be others over time; being
nimble and flexible in how these skills are resourced will be critical
Information management needs to be improved for achieving maintenance and
operational efficiency. Industry-wide data standards need to be agreed and implemented;
data security must be a constant focus
Those with legacy infrastructures can succeed, but they may need to adopt innovation
more aggressively: by bold use of technology and building new partnerships with
companies, large and small, research organizations and academic institutions
This is a revolution in manufacturing that can be predicted: Embracing the inevitable
change and building a clear roadmap that can flex over time is critical; learn from
competitors and other companies outside your traditional sphere
Implementation needs to be faster than most companies are prepared for. Hence, a
robust ecosystem and open partnering behaviour will be necessary
Focusing on quick wins brings advantage: for example, energy efficiency is monitored, but
not yet managed
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4
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