WELCOME. Middle East Press Delegation: Digitalization of the Process Industries. Siemens AG 2018

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1 WELCOME Middle East Press Delegation: Digitalization of the Process Industries siemens.com

2 Digitalization and automation of the process industries Bernhard Kienlein Head of Division, Siemens CEE Middle East Press Delegation Vienna, September 13 th, 28 Restricted siemens.com/processautomation Page 2

3 We serve process industries with digitalization, automation, electrification and more Electrification Digitalization Automation HV/MV/LV switchgears and more COMOS XHQ Operations Intelligence DCS, HMI and Automation Systems Positioner Motor control centers SILYZER Transformers SIMIT simulation MOM/MES Panels Level metering Gas-/Steamturbines Product Lifecycle Management Pressure / Temperature transmitters Flow metering Motors, Drives and Starters Digital and Lifecycle Services Industrial Communication and Identification Weighing Analyzer Energy Management Page 3

4 We leverage our industry know-how rooted in electrification and automation as a differentiator for digitalization Digitalization MindSphere 1 Digital Expertise Siemens Software Digital Services Automation Chemical Pharma Electrification Digital enhanced Electrification and Automation Glass and Solar Oil and Gas Water and WW Fiber Minerals Marine 1 The cloud-based, open IoT operating system Page 4

5 With our support, process industry companies can meet essential market and customer requirements Speed Flexibility Quality Efficiency New business models Security Page 5

6 How can we achieve personalized, safe but affordable medicine? Digitalization in the pharmaceutical industry Pharma Pharmaceutical Industry How can I profitably produce and release small batches? Page 6

7 Pharma Challenges >25% cost of quality in drug manufacture Pharmaceutical Manufacturing Challenges 600% increase in FDA warning letters >500 pages of paper batch documentation Page 7

8 Drivers: Personalized Medicine, Digitalization & Industry 4.0 Tomorrow Today Personalized Medicine is transforming Healthcare & Pharma Industry Trends Healthcare Pharma Market Adoption One does not fit all Today s Drugs are ineffective in up to 50% and more of the Patients 1. Large Scale Production Patent Protection and large Markets balance long Development Times and fail Batches Trends are translating to Markets The Number of registered clinical Trials in personalized / individualized Medicine 2 is exponentially increasing and new Products are expected to enter and transform the Market Personalized Medicine Individualized Production Individualized Treatment tailored to the Patient s Molecular Profile. Platform Processes and Integrated Production Control Strategies are key Enabler for individualized Manufacturing. Individualized Medicine/Manufacturing Solutions need to enable flexible and fully controlled, small-scale Processes as part of a holistic Product Life Cycle Management from Patient to Patient. Page 8 1 Spear et al queried for Trials with Keywords individualized and/or personalized in /16

9 What digitalization means to pharmaceutical manufacturing Providing digital solutions along entire value chain Integrated Operations Integrated Engineering Product design Production planning Production engineering Production execution Service Efficiency Flexibility Time to market Quality/Regulation Operational excellence Resources and COGS International collaboration Personalized medicine Data integrity from lab to patient From idea to production Continuous Manufacturing Smart Modular Standards Right first time production Data integrity Data consistency Page 9

10 Focused on bringing innovation to the pharmaceutical industry through initiatives Paperless (ebr) Continuous (PAT) Personalized Medicine Cloud & Fog MindSphere Integrated Engineering Process & Plant Simulation Digital Twin Smart Bio-Production Page

11 SIPAT as enable for Continuous Manufacturing First FDA approved change 1 from traditional batch to continuous Feeders Raw Material 1 Raw Material 2 Raw Material 3 Raw Material 4 Innovative partnerships to transform manufacturing operations Transforming assembled unit operations to continuous NIR NIR Tablet Press Reject Blender PAT Enabled central control system Continuous quality verification Real-time release testing Smaller footprint and reduced waste Improved yield and labor cost savings Coating solution End product Coating pan FDA Food Drug Administration; NIR Near Infrared; PAT Process Analytical Technology; 1 Yu, Lawrence, Ph.D. Continuous Manufacturing Has a Strong Impact on Drug Quality. FDA Voice.12 Apr. 26. Page

12 BioNTech, Germany A digital plant for personalized vaccines Advanced paperless manufacturing Central access point for data Customer benefits Access your data centrally Eliminate paper-based reports Time-to-Market Enable fast scale up Eliminate paper-based batch reports and release by exception Intelligent guidance, planning and scheduling Page 12

13 Living Lab Process Industries in Vienna Integrated Siemens portfolio based on fermentation process Page 13

14 Digitizing Oil and Gas Optimizing oil production by applying digital technologies Restricted siemens.at

15 Oil & Gas is a more than 150 years old industry About 40 percent of global crude oil and natural gas production comes from fields that have been in operation for more than 25 years. About 175 fields have been producing for more than 0 years. Drake Well, 1859, Cherrytree Township, USA Seite 15 Helmut Schnabl / RC-AT PD SLN

16 Mature fields are essential to supply global oil demand Seite 16 Helmut Schnabl / RC-AT PD SLN

17 Artifial lift systems are essential to keep production high in mature oilfields More than 94% of the wells globally will require artificial lifts during their life cycle Seite 17 Helmut Schnabl / RC-AT PD SLN

18 SIWELL is Siemens next generation digital solution to automate and optimize artificial lift systems SRP ESP PCP Gaslift WIMAX IoT Platform and O&G Applications Oil & Gas Applications Control Room / SCADA Reservoir Performance Management Optimization of energy consumption Learning Systems Production Planning Artificial Intelligence Monitoring Alarms Software upgrades Central shutdown Nat. Flow Seite 18 Helmut Schnabl / RC-AT PD SLN

19 Example: Edge analytics and smart automation optimize pumps in the field 1 Smart Motor Control Motor Management Safety/automation functionality Power measurement 2 IoT gateway / Edge Analytics Industrial Intel -based gateway Soft sensing Alarming 3 Connectivity WLan, 3G/4G, LoRa,WIMAX Industrial Tablet Industrial IoT Platform SCADA 4 Power supply: Complete equipment for power supply Seite 19 Helmut Schnabl / RC-AT PD SLN

20 Failure Example: Artificial intelligence in the cloud predicts failure of ESP pumps days before they would happen Alarm Prediction Significant Anomaly Level P2 Deep Learning Neural Networks Statistical Models P1 P3 E Seite 20 Helmut Schnabl / RC-AT PD SLN

21 Digitalization will transform the oil & gas industry Automation, interaction and informed decisions based on data, digital twins and artifical intelligence will make the competitive difference in O&G Seite 21 Helmut Schnabl / RC-AT PD SLN

22 Helmut Schnabl Siemens AG Österreich Phone: Seite 22 Helmut Schnabl / RC-AT PD SLN