DIGITALIZATION IN MANUFACTURING SOME THOUGHTS

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1 DIGITALIZATION IN MANUFACTURING SOME THOUGHTS Tomi Kankainen, Chief Digital Officer, VP Digital Business

2 Fastems Intelligent Manufacturing 1901 Founded /7 7,200 >4000 First system installed and still in use Teleservice support world wide Fastems record: spindle hours per year Installed systems globally

3 VISION What we want to achieve Manufacturing is essential for the well-being of people. The cornerstone for prospering nations, is retaining or building a strong manufacturing base. This world, where manufacturing helps provide well-being, is the one that we want to build.

4 PURPOSE Our right to exist Digitalization and automation are the key factors to make manufacturing profitable in any country in the world. Our manufacturing oriented customers in the metalworking industries, fighting the battles for markets, talents and performance, trust in Fastems as the innovator.

5 IMPORTANCE OF THE DIGITALIZATION Quelle: Institut für angewandte Arbeitswissenschaft e. V.

6 CURRENT MATURITY OF THE DIGITALIZATION

7 THE ADOPTION AND IMPACT PATH OF THE INDUSTRIAL INTERNET

8 Case - MTU Aero Engines Airbus 320 NEO engine blisk manufacturing MTU message - video MTU challenge For 25 years MTU thought that manufacturing-intensive production can t be profitable in the high cost Bavarian area. The solution Automating manufacturing and workflow management with software and hardware. The consequence Fastems is mission critical for Hall 077 and subsequent assembly by choice of the customer

9 MTU Aero Engines Up to xxxx simultaneous orders generates xxx xxx manufacturing operations. One blisk requires xxx manufacturing operations From the complete operation mass MMS5 process and simulates continously the exact manufacturing horizon for the next xx hours xx hours manufacturing horizon has in average xxx load-mill-unload operations and xxx manual operations (quality checks etc.)

10 FASTEMS OUTLOOK E2E D2D E2E End to End: whole supply chain D2D Door to Door: one factory DOMAIN machining + supporting processes, quality mgmt, interim logistics Fastems - manufacturing systems and -cells DOMAIN PRODUCTION AUTOMATION FACTORY LEVEL PROCESSES DOMAIN PROCESSES DOMAIN PROCESSES FACTORY LEVEL PROCESSES

11 - Fastems has been on the path of digitalisation and Industrial Internet of Things far before this terminology emerged. - Exploitation of data in future service value creation - Emphasis on SW solutions - Product Service systems - Doping Kitchen / Agile methods - Collaboration with customers - Experimentation / MVP - Responding to the need for speed.

12 Digitalization benefits are unclear Distance between man and the system Multiple tools complexity. Lack of information flow Lack of trust Partner Security Low data and information quality (timing, format, content) Lack of visibility Factory Network Source: DIMECC MANU/LeanMES survey, 2013

13 1. Understand the problem, enable customer value, fast 2. Make it secure, build trust 3. Tackle legacy challenge 4. Bridge the gap between human and the system

14 1. Understand the problem, enable customer value, fast 2. Make it secure, build trust 3. Tackle the legacy challenge 4. Bridge the gap between human and the system

15 Performance baseline Enable More efficient asset usage Asset capacity increasing services Sustain Healthy assets Value = productivity booster Value = productivity assurance Asset monitoring & maintenance services

16 Sustain

17 Enable Lead Time Waiting Waiting Transportation Machining Welding Maching Set-up Waiting Finishing Painting Waiting Assembly Inventory Test run Value added activity Non-value added activity An activity that transforms or shapes raw material or information to meet customer requrements Those activities that take time, resources or space, but do not add to the value itself Eliminate Optimize Minimize

18 1. Understand the problem, enable customer value 2. Make it secure, build trust 3. Tackle the legacy challenge 4. Bridge the gap between human and the system

19 Connectivity Explosion + Industrialization of Hacking = + Increasing number of devices Security challenge

20 What if the device is lost? Can someone see the traffic? Is the IoT service secure? Can an attacker compromise the FMS? Mobile app Web access Internet Service VPN VPN IoT client FMS Data Fastems Admin IoT service VPN service Flexible Manufacturing System Can someone misuse admin access? Can outsiders access my data? Can I trust the overall level of security? What if something goes wrong?

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22 1. Understand the problem, enable customer value 2. Make it secure, build trust 3. Tackle the legacy challenge 4. Bridge the gap between human and the system

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24 1. Understand the problem, enable customer value 2. Make it secure, build trust 3. Tackle the legacy challenge 4. Bridge the gap between human and the system

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26 Thank You!