The document discusses the European Commission's efforts towards developing a digital industrial strategy for Europe. It outlines initiatives taken in previous framework programs to boost innovation through ICT, including projects with companies like Airbus. It then discusses ongoing and planned actions under Horizon 2020 to foster digital innovation in manufacturing through public-private partnerships and support for SMEs. These include funding for topics like modeling/simulation and pilot lines to demonstrate new technologies. The overall aim is to develop an integrated strategy across Europe that harnesses ICT to strengthen competitiveness and innovation in industry.

1. Towards a European Digital Industrial Strategy
BERLIN
17th & 18th of June 2014
BERLIN
Khalil Rouhana
Director Components and Systems
DG CONNECT, European Commission

2. CONTENT
1. Towards a Digital Industrial strategy
2. What is behind us2. What is behind us
3. Looking ahead

3. ICT boosting innovation, resource efficiency and
competitiveness
PRODUCT
Innovation
MANUFACTURING
Advances in
I C T
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
PRODUCTPRODUCTDESIGNDESIGN PRODUCTIONPRODUCTION SERVICESSERVICES
MANUFACTURING
PROCESS
Innovation
I C T

4. ICT-based product innovation
ICT equipment
Photonics
~25% of AV
~25% of AV
Smart
Everywhere
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
Electronic Components
ICTdevices
Photonics
~25% of AV
~33% of
Added value
~41% of AV
~25% of AV
Product
Innovation
for

5. Digital process innovation
Modelling, Simulation, Analytics Cyber-physical systems for
process (chain) optimisation
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
Robotics
Laser-based manufacturing

6. Smart and Connected industry
Industry 4.0, industrial Internet etc..
Every product smarter:
Wider Integration of ICT in all types of products and relevant services
Enabling "Smart connected objects" and "Internet of Things"
Upraising our comfort, safety, security, energy efficiency, healthy life and well
being
Every process smarter:
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
Every process smarter:
Wider integration of IoT and smart objects in all industrial processes,
Higher quality, higher resource efficiency, better work environment, ..
Mass customisation, flexible and agile production processes, urban
manufacturing,, Real time reaction to markets and needs
Dynamic reorganisation of the supply chains an of business alliances
Better customer relationship..
"Smarty and connected industry: Product innovation meets process innovation."

7. Five digital tracks transforming industries
"Big data" technologies
Advanced computing power
(cloud, HPC, embedded microservers)
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
Microsystems, smart sensors and laser technology
Cyber-physical systems, connected smart objects, IoT
Robotics and autonomous systems

8. Our objectives
Bring the benefits of latest ICT to all industry in Europe
Wider uptake of latest ICT
Ensure a strong supply industry of ICT systems for
manufacturing
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
manufacturing
Essential to bring value across sectors
Build a strong ICT industry for a strong economy in all
sectors
Essential strengths for innovative products development

9. Our Approach
Work in partnerships
PPPs as EU–wide ecosystems for innovation and business growth
FoF, SPARC, ECSEL, Photonics21, …
Address the whole value chain and innovation chain
R&D&I providing differentiating factors to compete across the value chain
Supply-demand interaction, multiple stakeholders
SMEs as key players – I4MS Innovation Support
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
SMEs as key players – I4MS Innovation Support
Connect to national and regional policies
Pool resources to reach critical mass, align strategies and policies
Links to hubs of excellence and regional clusters
Establishing Design Centers / Competence Centers
Combine policies to achieve goals
Beyond just financial support to R&D&I
An integrated programming approach through Smart Specialisation Strategy
State aid, standards, access to finance, etc.

10. Our Instruments
Financial instruments
R&D&I instrument toolbox (Horizon 2020)
R&I projects, innovation actions, pilot lines, scale demonstrators, PCP, SMEs
European Structural and Investment Funds (ESIF)
Bringing regions to dedicate investments to ICT, tl smart specialisation strategies
But also EIB, IF..
Regulatory and legislative measures
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
Regulatory and legislative measures
Data protection, Cyber-security, Labour, Energy, Environment, State aid rules,..
Mobilisation of stakeholders
Standardisation
Stakeholder engagement, community building
Act as game changers in Europe, mobilising resources, investments
Partnerships and alliances
Facilitating co-ordination with and between national or regional initiatives

11. CONTENT
1. A Digital Industrial Policy
2. What is behind us2. What is behind us
3. Looking ahead

12. ICT in the FoF PPP in FP7
- 252 M€ ICT funding in Framework Programme 7
ICT part of total FoF ~40%
- ~50 projects launched
- High industrial participation
ICT
FOF
ICT In FP7
Total
252M€
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
- High industrial participation
33% large industries, 35% SMEs
- Focus: Smart, digital and virtual factory
driving product and production innovation from design, development,
production to end of life
• + Robotics + Photonics technologies in FP7 (> 400 M€ )

13. In avionics around Airbus
- Problem: Complex re-design and ramp-up cycles lead to delays in production
- Cause:
CAD and production set up are not yet integrated
Complex value chain and supplier network structure not fully integrated
- Our contribution to a solution: Strengthen the integration of the Airbus supplier network
from ERP down to production and customization level
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
FoFdation
Integrate CAD and production
– Manufacturing "TO-GO"
– CNC machines understand CAD
– Win-Win
• OEM can produce 'on the fly'
• Supplier save time and resources
• Prototype successfully demonstrated
ARUM
Integrate supply chain actors
– A350 real use case:
First Full Digital PLM cycle
– Smart assembly station
that triggers, monitors and schedules
supply chain and assembly steps
– Concept phase

14. Competitive Advantage in Production
Ramp up through ICT
OEMs + HiTech SMEs = Back to business in Europe
Gaming & training of production ramp-up in Automotive
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE

15. Serious Gaming technologies for
training
VISTRA solution: Faster & more efficient assembly training
higher production quality
less failures
higher flexibility
Project Value Chain Virtual Training as Gaming on the shop floor
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
Project Value Chain Virtual Training as
Competitive Edge SME "Serious Games"
• to commercialise training framework
OPEL as pilot user
• Headquarters for VECTRA ramp-up
• Manage plants in Mexico & Spain
Gaming on the shop floor
• Collar workers to learn and work with CAD files
• A 'gaming engine' to power visual training and
validate assembly sequences
• First time right – in a fraction of time
• Visualization of assembly steps and virtual
training environment

16. CONTENT
1. A Digital Industrial Policy
2. What is behind us2. What is behind us
3. Looking ahead

17. LEIT ICT Supporting Europe's
Manufacturing industries
Direct Contribution to
Factories of the Future PPP
driven by EFFRA Roadmap
WP 2014/15: 102M€
Photonics21Photonics21
PPP
ECSELJoint
Undertaking
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
WP 2014/15: 102M€
Total H2020: up to 450M€
Indirect Contribution to SPIRE PPP
and their Strategic Research Agenda
SPARC
PPP
ICTWork
Programme

18. ICT topics in FoF WP 2014/15 Calls
FoF1: Process and Process Chain Optimization
FoF8: Modelling, Simulation, Analytics Tools
WP2014
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
FoF8: Modelling, Simulation, Analytics Tools
FoF9: ICT Innovation Pilots & SMEs
WP2015

19. Competence centres based innovation schemes
Connect innovators across value chains
Specifically targeting SMEs & Mid Caps
on demand- and supply-side
Clustered around pan-EU networks of competence centres
Flexible, light and SME-friendly
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
Flexible, light and SME-friendly
implementation – Open Calls
Connect to regional/ national actions (including ESIF)
Pilots started in FP7: ECHORD,
More broadly applied in Horizon 2020:
Smart anything everywhere,
Compute-intensive embedded / cyber-physical systems, …

20. • Developing an innovative
Addressing the innovation gap: Pilot Lines
Already pioneered in Components,
Can be supported in other fields..
• Executed by an
industrial consortium
• Using an innovative
technology
• Developing an innovative
product, meeting a social
challenge
• Demonstrating its
value and potential
• Establishing a realistic
environment, a facility
• Having a deployment
plan to a real life
European
manufacturing site

21. Concluding Remarks
Towards a digital industrial strategy for Europe
Bold, agile, open and transparent
Develop the strategy in partnership with PPPs: FoF, SPARC, …
Cover full value and innovation chains
Special emphasis on innovative SMEs in the manufacturing sector:
supply and demand side – e.g. I4MS
I4MS: FOSTERING DIGITAL INDUSTRIAL INNOVATION IN EUROPE
supply and demand side – e.g. I4MS
Capitalize on the size of EU markets & diversity of strengths
Smart specialization, co-operation, ...
Align policies and resources
EU, Member States, Regions
Horizon 2020, ESIF, national and regional programs

22. THANK YOU FOR YOUR ATTENTION
DG CONNECT (Communications Networks, Content and
Technology):Technology):
http://ec.europa.eu/dgs/connect/index_en.htm
Horizon 2020 on the web:
http://ec.europa.eu/research/horizon2020/index_en.cfm