Fujitsu Value Proposition for Manufacturing Industry. Enabling Digital with Connected Enterprise

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1 Fujitsu Value Proposition for Manufacturing Industry Enabling Digital with Connected Enterprise

2 Digital is different things to different people Business-model transformation Transforming customer & user experience Digitalizing business operations Product leadership & innovation Copyright Fujitsu Services Copyright FUJITSU

3 Customer Business Challenges Industrie 4.0 & Industrial Internet Improved Sales & Operations Reduce Inventory Delivery Reduce Lead-time Artificial Intelligence (AI) Better business planning with Analytics Differentiation / Shorten Time-to-Market Minimized production downtime Transform / expand Product to Service New Sales Channels / B2B and B2C Sales Manufacturing Customers Production / Replenishment Increased manufacturing automation Cost / Sourcing control Robotics Extended revenue stream Preventive maintenance After Sales Product Lifecycle Management / Resource & Development Increased partner collaboration Shorter Time to Market Control of Installed Base 2

4 Industrie 4.0 and Industrial Internet Industrie th Industrial revolution Industrie 4.0 is the extension of industrial digitalization to the Internet of Things (IoT) in manufacturing Industrie 4.0 constitutes an evolution and an integration into IoT of previously separate IT- application areas in automation (MES, PLC) and administration (ERP, SCM) today, such concepts are often called Industrie 3.0 (3rd industrial revolution, since 1970) Stakeholder group Plattform Industrie 4.0 consists about 70 members, 50 of which are industrial companies. Companies are individually selected and become members by invitation only. FUJITSU has been a member since last June Industrial Internet Has been coined as a name by the Industrial Internet Consortium (IIC), founded in 2014 This industry consortium was founded by 10 US members and follows their charter of enabling the industrial application of the Internet of Things (IoT) Industrial means anything that is the basis of a business. The IIC wants to enable solutions in energy, health, transport and other sectors, not just in manufacturing The IIC has now more than 250 members, most of which are IT or OT companies FUJITSU is in the 9 member steering committee Fujitsu is also Manufacturer 3

5 Smart manufacturing New technologies (IoT, simulation, algorithms, 3D printers) are converging physical and digital operations 4

6 Digital Transformation: The Connected Enterprise Leverages the convergence of Information Technology and Operational Technology to enable smart, connected operations and significantly improve operations effectiveness and reduce operating cost 5

7 IT & OT seamlessly working together The seamless integration between Information Technology & Operational Technology is the key for successful Connected Enterprise implementation. IT Query Based Data at Rest Non-real time OT Event Based Data in Motion Real Time 6 7 Collaboration & Processes 6 Application 5 Data Abstraction 4 Data Accumulation 3 Edge Computing 2 Connectivity 1 Physical Devices & Controllers IoT World Forum Reference Model

8 Enabling Digital: The Fujitsu Connected Enterprise in a nut shell IT Simplified Work Management Connected Asset Industrial Operational Intelligence Semantic (ISO Data Model) Connected Workers Predictive Maintenance and Service MFG Execution Asset Tracking & Visibility Quality Inspection & Control Connected Manufacturing Manufacturing Analytics & Manufacturing Performance Management Semantic (ANSI/ISA 95) OT Fujitsu GlobeRanger imotion Fujitsu M2M-GW for FENICS Fujitsu Ubiquitousware Other Industrial M2M 3 rd party sensors

9 What this means for Manufacturing operations? 8

10 Connected Asset: Real-Time Supply Chain Visibility Up to 80% inventory writeoff reduction by end of % reduction in 2016 Average seek time for critical components is down from 2 days to 1 hour

11 Connected Manufacturing for Work in Process Real time visibility into the velocity of the manufacturing process Full electronic accountability of raw material life cycle

12 Proactive Maintenance with Augmented Reality Replaced paper and manual processes which were quickly outdated or required extensive training Operators can work more quickly and accurately with real-time onsite access to data and central support

13 Warehouse Operations Optimization Finished goods handling from manufacture through cold storage & shipping: improved shipping accuracy Truck loading time reduced from 60 minutes to 20 minutes

14 Our value Portfolio of technologies and services, driving digital transformation for Manufacturing Industry Mobile Cloud SDCI IoT Human Centric Innovation Analytics Integrated Computing AI Security Connected Enterprise 13

15 Getting started - on Digital Journey Executive Workshop Focussed session up to 2 hours Interventions- e.g. trends, art of the possible, threats & opportunities Outcome common understanding, sponsorship & agreed priorities Digital Innovation Session In-depth session up to half a day Interventions e.g. facilitated discussion, demonstrations, concept jam Outcome identified opportunities for solutions Digital Vision and Roadmap Develop consistent strategy for digital up to 4 weeks Interventions e.g. visioning workshop, road-mapping Outcome agreed approach, outcomes, initiatives and milestones Proof of Concept and Value Real-life application of digital up to 3 months Interventions e.g. day in the life, hackathon, agile solutions integration Outcome business case for the solution Think big, start small; learn fast and scale quickly Copyright Fujitsu Services Copyright FUJITSU

16 Why Fujitsu? Framework and method to help customers drive yield from the Digital Transformation Lean tools help our customers rethink current supply chain and reduce costs Innovation driven company with availability of smart solutions and patents End-to-end service from business process to applications and infrastructure layer Fujitsu being a long term global partner with strong Nordic presence Fujitsu is also Manufacturer 15