SlideShare a Scribd company logo
Will Stirling December 2014
©Stirling Media 2014
Big trends in manufacturing and industry –
2015 and beyond
5 big trends in manufacturing and industry
This is not an exclusive list!
1. Servitisation and Product Service Systems
2. Mass personalisation
3. Automation and Next generation machines
4. Industrial Internet of Things
5. Industrial Sustainability
6. Also: Collaboration and Networks
©StirlingMedia2014
Servitisation
The future is all about the service
Products are so good, what is the
differentiator?
 Product Service Systems
Including:
 Availability contracts
 Total care – engines, rail
systems
 Street Car model: Pay-as-you-
go personal transportation
©StirlingMedia2014
Power by the hour. Airlines and MoD now buy flight hours not
engines
Through-life Engineering
 One of 16 EPSRC Centres for Innovative
Manufacturing
 Cranfield and Durham universities
 All about WHOLE LIFE COST.
The purpose is:
To enable UK plc to deliver high value
products with outstanding
availability, predictability and
reliability at the optimum whole-life
cost.
©StirlingMedia2014
Bombardier and Siemens are members of the EPSRC
Through-life Engineering Centre
Six core projects and areas of TES
 No fault found
 Degradation of components
 Systems design
 Self-healing systems
 Autonomous maintenance
 Deterioration of linear machines
IS THIS RELEVANT TO SMALL COMPANIES?
 Smaller companies are joining the CIM,
inc Intelligent Energy, Copernicus
Technologies
 But company needs to make a complex
assembly
©StirlingMedia2014
Mass personalisation
 The 5th stage in the evolution of manufacturing
 Bentley – any colour you like
 More consumer goods: Essilor
 French spectacle lenses company
 2010: 320 millions lenses. Roughly 100m were
unique.
 2-stage manufacturing process, 1. making “blanks”
in 14 mass production plants
 Blanks customised using machine-based cutting +
coatings
 Essilor has 20k computers globally: convert
prescriptions to a production schedule
©StirlingMedia2014
Mass personalisation – Commodity goods
 Example: Makie Doll
 Design your own doll: skin, hair,
shape, clothes and accessories
 £69.00 – dearer than mass market
but not inaccessible
 Part of mymakie.com – make
several products to your own
design. A ‘maker movement’ = the
age of the garage manufacturer.
Arduino boards, Maker Bot 3D
printers.
 WHAT NEXT?
©StirlingMedia2014
Automation and next gen machines
 Automation: Paradigm shift or hype?
 The Argument: If factories do not automate
they will die
 UK factories should invest more: BARA says
UK is 17th in a global league table for
industrial robots installed
 Intelligent Automation
 EPSRC Centre for Intelligent Automation –
Prof Steve Jackson, Loughborough
University
 Factory of the Future – see next section
©StirlingMedia2014
The Human / Machine interface
 Increasing studies of how people will work
alongside machines in future factories
 Companies inc AIRBUS, Aero Engine
Controls, Rolls-Royce = need for speed
 Research projects include:
 Capture human skill: to derive which
operations, in aircraft assembly for
example, are best automated
 The Business Case for Automation: to produce
decision making tools that will enable companies
of different sizes to identify the individual cost-
benefit of introducing new automation.
 Next gen machines: Hybrid Manufacturing
©StirlingMedia2014
Industrial Internet of Things
 Total communication between devices – personal, business, orders, mfg operations
 Any device can be connected. Most quoted figures range between 20 billion and 50 billion
(Sources: Cisco, Ericsson). Siemens says 26bn objects will be linked via the internet by 2020.
 Real Application: Remote factory operation and management. Energy management. Customer-to-
factory data processing.
©StirlingMedia2014
Evolution of RFID to Internet of
Things (IoT)
©StirlingMedia2014
• RFID = Radio frequency identification,
use of electromagnetic fields to transfer
data.
• Now embedded in everything:
palletised freight, Oyster cards,
contactless payment, Point of sales
devices, phones.
• With greater RFID adoption, the no. of
functions has increased, from:
• Simple item-numbering scheme ->
Integrate RFID info into business
workflows -> to:
Develop device intelligence and self-
organization
The smart factory
 The Factory of the Future = buzzword but with meaning behind it
 Industry 4.0: part of High Tech Strategy 2020 - Federal Government
of Germany set aside budget of EU8.4bn from 2012-2015 to
implement the plan.
 What does it mean? Bottling line >> each bottle or short batch can
be customised to an order – different fluids, labels and caps.
 UK examples: AkzoNobel, the coatings company. Built factory in
Ashington with features of “Industry 3.8”.
©StirlingMedia2014
Industrial Sustainability
 Quite simply, how will we manufacture stuff when the resources run
out? Should we wait until they do?
 Ref. The Foresight Report (Govt Science Office) and EPSRC Centre for Innovative
Manufacturing in Industrial Sustainability. Three main focuses:
 1. Eco-products
 2. Eco-factories
 3. Eco-industrial system = complete redesign of industry for sustainability
 Example: Shwopping, pioneered by Marks & Spencer. Don’t keep clothes,
recycle.
14
More Sustainable
Professor Steve Evans, University of Cambridge
Share of manufacturing exports in manufacturing outputForesight Future of Manufacturing Project: 30th October 2013
#FoMn #manufacturing
• Potential volatility of supply / price of resources
• Climate change affecting vulnerable supply chains
• Greater use of regulation ‘pricing the environment’
• Consumer pull for eco-products
• Robust products for ‘collaborative consumption’
• Emergence of a circular economy in which products are
reused, remanufactured and recycled
Collaboration and Networks
©StirlingMedia2014
• Proliferation of organisations to support manufacturing since 2008/2009
(financial crisis).
• How effective is this ecosystem?
The Dept for BIS, Innovate UK, UK Trade & Investment, The EPSRC, other Research
Councils and university research.
Trade and Membership organisations: CBI, EEF, IMechE, IET, FDF, ADS, CIA, FSB, MAS, The
Manufacturing Institute, Institute for Manufacturing (!), The Mfg Alliance, Made in the
Midlands, The Manufacturing Cooperative, WMG SME etc etc.
The Manufacturing Cooperative
A bit different?
 Run by the Operations Excellence Institute at Cranfield
University
 Cooperative has account with Anglia Farmers Unity (bulk)
 Companies in a co-operative can get cheaper prices for:
 - Energy procurement
 - Raw materials
 - Insurance and other services
©StirlingMedia2014
THE MANUFACTURING
CO-OPERATIVE
Working together for supply chain innovation
 Developing a British Mittelstand: Conference in Manchester,
January 28
 Best Practice Study Tour to four German manufacturing
companies, February 4-5
Any questions?
Stirling Media Projects
©StirlingMedia2014

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W.stirling, stirling media mega trends in manufacturing

  • 1. Will Stirling December 2014 ©Stirling Media 2014 Big trends in manufacturing and industry – 2015 and beyond
  • 2. 5 big trends in manufacturing and industry This is not an exclusive list! 1. Servitisation and Product Service Systems 2. Mass personalisation 3. Automation and Next generation machines 4. Industrial Internet of Things 5. Industrial Sustainability 6. Also: Collaboration and Networks ©StirlingMedia2014
  • 3. Servitisation The future is all about the service Products are so good, what is the differentiator?  Product Service Systems Including:  Availability contracts  Total care – engines, rail systems  Street Car model: Pay-as-you- go personal transportation ©StirlingMedia2014 Power by the hour. Airlines and MoD now buy flight hours not engines
  • 4. Through-life Engineering  One of 16 EPSRC Centres for Innovative Manufacturing  Cranfield and Durham universities  All about WHOLE LIFE COST. The purpose is: To enable UK plc to deliver high value products with outstanding availability, predictability and reliability at the optimum whole-life cost. ©StirlingMedia2014 Bombardier and Siemens are members of the EPSRC Through-life Engineering Centre
  • 5. Six core projects and areas of TES  No fault found  Degradation of components  Systems design  Self-healing systems  Autonomous maintenance  Deterioration of linear machines IS THIS RELEVANT TO SMALL COMPANIES?  Smaller companies are joining the CIM, inc Intelligent Energy, Copernicus Technologies  But company needs to make a complex assembly ©StirlingMedia2014
  • 6. Mass personalisation  The 5th stage in the evolution of manufacturing  Bentley – any colour you like  More consumer goods: Essilor  French spectacle lenses company  2010: 320 millions lenses. Roughly 100m were unique.  2-stage manufacturing process, 1. making “blanks” in 14 mass production plants  Blanks customised using machine-based cutting + coatings  Essilor has 20k computers globally: convert prescriptions to a production schedule ©StirlingMedia2014
  • 7. Mass personalisation – Commodity goods  Example: Makie Doll  Design your own doll: skin, hair, shape, clothes and accessories  £69.00 – dearer than mass market but not inaccessible  Part of mymakie.com – make several products to your own design. A ‘maker movement’ = the age of the garage manufacturer. Arduino boards, Maker Bot 3D printers.  WHAT NEXT? ©StirlingMedia2014
  • 8. Automation and next gen machines  Automation: Paradigm shift or hype?  The Argument: If factories do not automate they will die  UK factories should invest more: BARA says UK is 17th in a global league table for industrial robots installed  Intelligent Automation  EPSRC Centre for Intelligent Automation – Prof Steve Jackson, Loughborough University  Factory of the Future – see next section ©StirlingMedia2014
  • 9. The Human / Machine interface  Increasing studies of how people will work alongside machines in future factories  Companies inc AIRBUS, Aero Engine Controls, Rolls-Royce = need for speed  Research projects include:  Capture human skill: to derive which operations, in aircraft assembly for example, are best automated  The Business Case for Automation: to produce decision making tools that will enable companies of different sizes to identify the individual cost- benefit of introducing new automation.  Next gen machines: Hybrid Manufacturing ©StirlingMedia2014
  • 10. Industrial Internet of Things  Total communication between devices – personal, business, orders, mfg operations  Any device can be connected. Most quoted figures range between 20 billion and 50 billion (Sources: Cisco, Ericsson). Siemens says 26bn objects will be linked via the internet by 2020.  Real Application: Remote factory operation and management. Energy management. Customer-to- factory data processing. ©StirlingMedia2014
  • 11. Evolution of RFID to Internet of Things (IoT) ©StirlingMedia2014 • RFID = Radio frequency identification, use of electromagnetic fields to transfer data. • Now embedded in everything: palletised freight, Oyster cards, contactless payment, Point of sales devices, phones. • With greater RFID adoption, the no. of functions has increased, from: • Simple item-numbering scheme -> Integrate RFID info into business workflows -> to: Develop device intelligence and self- organization
  • 12. The smart factory  The Factory of the Future = buzzword but with meaning behind it  Industry 4.0: part of High Tech Strategy 2020 - Federal Government of Germany set aside budget of EU8.4bn from 2012-2015 to implement the plan.  What does it mean? Bottling line >> each bottle or short batch can be customised to an order – different fluids, labels and caps.  UK examples: AkzoNobel, the coatings company. Built factory in Ashington with features of “Industry 3.8”. ©StirlingMedia2014
  • 13. Industrial Sustainability  Quite simply, how will we manufacture stuff when the resources run out? Should we wait until they do?  Ref. The Foresight Report (Govt Science Office) and EPSRC Centre for Innovative Manufacturing in Industrial Sustainability. Three main focuses:  1. Eco-products  2. Eco-factories  3. Eco-industrial system = complete redesign of industry for sustainability  Example: Shwopping, pioneered by Marks & Spencer. Don’t keep clothes, recycle.
  • 14. 14 More Sustainable Professor Steve Evans, University of Cambridge Share of manufacturing exports in manufacturing outputForesight Future of Manufacturing Project: 30th October 2013 #FoMn #manufacturing • Potential volatility of supply / price of resources • Climate change affecting vulnerable supply chains • Greater use of regulation ‘pricing the environment’ • Consumer pull for eco-products • Robust products for ‘collaborative consumption’ • Emergence of a circular economy in which products are reused, remanufactured and recycled
  • 15.
  • 16. Collaboration and Networks ©StirlingMedia2014 • Proliferation of organisations to support manufacturing since 2008/2009 (financial crisis). • How effective is this ecosystem? The Dept for BIS, Innovate UK, UK Trade & Investment, The EPSRC, other Research Councils and university research. Trade and Membership organisations: CBI, EEF, IMechE, IET, FDF, ADS, CIA, FSB, MAS, The Manufacturing Institute, Institute for Manufacturing (!), The Mfg Alliance, Made in the Midlands, The Manufacturing Cooperative, WMG SME etc etc.
  • 17. The Manufacturing Cooperative A bit different?  Run by the Operations Excellence Institute at Cranfield University  Cooperative has account with Anglia Farmers Unity (bulk)  Companies in a co-operative can get cheaper prices for:  - Energy procurement  - Raw materials  - Insurance and other services ©StirlingMedia2014 THE MANUFACTURING CO-OPERATIVE Working together for supply chain innovation
  • 18.  Developing a British Mittelstand: Conference in Manchester, January 28  Best Practice Study Tour to four German manufacturing companies, February 4-5 Any questions? Stirling Media Projects ©StirlingMedia2014