3 WAYS SECURE NETWORKS MAXIMIZE OVERALL EQUIPMENT EFFECTIVENESS

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1 3 WAYS SECURE NETWORKS MAXIMIZE OVERALL EQUIPMENT EFFECTIVENESS Manufacturers are looking for ways to boost operational efficiencies with connected factories, but concerns about security can stand in the way. It doesn t have to be this way: Factory networks can be secured as part of a holistic strategy that converges OT (Operational Technology) with IT (Information Technology). Once these worlds are united, manufacturers gain real operational and business value. Smart, connected automation systems can gather and respond to information in real time. And the connected approach can be scaled to multiple sites to enable enterprise resource planning (ERP) systems at a global level. Let s take a look at how secure networks are driving this kind of value. CONTENT SOLUTIONS

2 PROVEN VALUE IN CONNECTED FACTORIES Tool manufacturer Stanley Black & Decker, like most manufacturers, needed a way to boost productivity and reduce errors. After implementing a new wireless network and leveraging location-based services at its plant in Reynosa, Mexico, equipment effectiveness rose 24 percent and labeling defects dropped 16 percent. On the other side of the globe, Indian automaker Tata Motors updated its networks to connect people, process, data, and things. Now Tata can offer connected car services, thus improving customer satisfaction and retention. Both companies are part of a manufacturing revolution where once-isolated machines and systems are coming online. Using Internet of Things (IoT) technology, factory owners can pull high-value data from even the oldest machines. This data can then be analyzed for major improvements in overall equipment effectiveness (OEE) and to create opportunities across the company. UP 10-50% Increase employee productivity by 10 to 50 percent DOWN 30-50% WAIT-AND-SEE APPROACH IS RISKY There is real-world data to back this up. Recent research shows that a modern factory network can increase employee productivity 10 to 50 percent. Meanwhile, it can reduce unplanned downtime 30 to 50 percent. And yet, many factory owners are holding back on making such network improvements. By some estimates,87 percent of factory equipment remains unconnected. The reason for hesitation is simple. Many factory owners lack confidence in their siloed, legacy networks. Security is a primary concern, as news of network breaches and IoT hacks highlight the risk. Unlike conventional closed systems, connected factories are susceptible to cyber threats that can breach confidential data or manipulate processes. Cyber attacks can place a manufacturer s productivity, reputation and equipment in harm s way. Reduce unplanned downtime 30 to 50 percent 87% 87 percent of factory equipment remains unconnected. 2

3 WAIT-AND-SEE APPROACH IS RISKY (CON T) The newness of IoT technologies such as fog computing which brings cloud analytics to the factory floor also leads many factory owners to take a wait-and-see approach. But factory owners who don t adopt fog computing may be left behind. Research firm IDC predicts that by 2019, nearly half (45 percent) of IoT-created data will be stored, processed, analyzed, and acted upon close to, or at the edge of, the network. By 2019, nearly half of IoT-created data will be stored, processed, analyzed, and acted upon close to, or at the edge of, the network. 3

4 INTELLIGENCE, AND SECURITY, AT EVERY LEVEL There is good reason for this. When machine data is analyzed where it s created, manufacturers gain far greater insights and much greater ability to improve equipment effectiveness. What s more, faster decisions can be made, and network loads are reduced. A good example is the Cisco Connected Factory. This portfolio of industrial solutions builds on a foundation of Intel technology to provide intelligence at every level of the network. Data no longer has to travel to a data center for processing. It s collected and analyzed by industrial switches right in the network. Security is also built in at every level. Using Connected Factory, more data is kept inside the perimeter of the factory floor, which means there s less risk of information loss or theft. Cisco s ruggedized firewalls and gateways, both powered by Intel technology, get data where it needs to go quickly and securely. In addition, when these systems have built-in security, centralized management of security policies and software is easier. You can manage all aspects of security through a central point of control. The bottom line is a notable improvement in production quality, uptime and equipment availability. HERE ARE THREE WAYS SECURE NETWORKS DELIVER THESE BENEFITS: 1. DOWNTIME IS NIPPED IN THE BUD Modern networking reduces risk and downtime while maximizing reliability, availability and serviceability (RAS) because it s designed with the highest level of security, which benefits everyone in the channel, from operators to customers. In this type of environment, switches can proactively identify issues before they become problems. For example, if a piece of rotating machinery starts vibrating, the switch can throttle back the machine to avoid damage and send operators an alert. It can also keep the assembly line running at full speed by automatically failing over to a different machine to pick up the slack. The same reliability applies to the network itself. Smart switches with built-in monitoring and failover capabilities can detect problems in the network, diagnose the source, and automatically correct the issue to keep communications going without interruption. 4

5 THREE WAYS SECURE NETWORKS DELIVER THESE BENEFITS (CON T) 2. WASTE WITHERS, QUALITY GROWS In the connected factory, waste goes down and output quality goes up. According to the Quality, organizations that have moved to a digitized platform say they have experienced increased efficiency (82 percent), fewer product defects (49 percent) and increased customer satisfaction (45 percent). The addition of a secure network improves productivity and equipment effectiveness by giving machine operators an immediate 360-degree view of the production environment. When workers on the factory floor are alerted to network issues, they can address them immediately, reducing downtime and errors. And when operators don t have to worry about maintenance and repairs, they are more productive and can concentrate on improving quality and throughput. 3. PARTNERS AND CUSTOMERS SEE BETTER SERVICE AND PRODUCTS It s not just operations that benefit from a modern, secure network. The supply chain benefits, too. Everything is automated, connecting ERP and allowing for instant changes. Manufacturers can tightly optimize supplies to minimize inventory. Down the line, a connected factory floor lets partners and customers know when products are complete and shipping. Ultimately, the product becomes a piece of the connected network, opening the manufacturer up to customization and runs of one. Secure, robust communication can even open up new service business models for machine builders and factory operators. When all the elements come together once factories start connecting machines and the network meets the needs of operations as well as IT management gets real-time visibility and an instant boost across the board, thus saving time, money and headaches and enabling the factory of the future. 5

6 THE CISCO-INTEL ADVANTAGE Together, Cisco and Intel have the solutions, influence and breadth of knowledge to drive operational, business and technical value across manufacturing. These industry leaders are partnering to create solutions that transform the factory. In traditional factory automation architecture, there are different pieces of equipment that do narrowly defined tasks. A typical factory has different subsets of equipment running on different, proprietary network standards and special purpose-built networks. Cisco s Connected Factory solution turns this model on its head with a range of offerings including Factory Wireless, Factory Security and Factory Network. First, the Cisco portfolio brings together different sets of communication protocols and unites them into standards-based systems like Industrial Ethernet. Second, the solutions let factory owners consolidate existing equipment protocols into multifunction network switches with fog-computing capabilities. Because it uses standards-based technology most notably, Intel s leading-edge computing and security technology Cisco s Connected Factory interoperates smoothly with existing manufacturing environments, reducing the amount of maintenance and management. This lets you reallocate staff and reduce the amount of redundant equipment you need to keep on hand. Powering it all is the Intel IoT platform, which enables a new generation of digitized, intelligent factories that are self-monitored, self-aware and self-optimized. By taking advantage of this robust platform, Cisco gives manufacturers the power to unlock new levels of insight, drive more profit, lower costs and explore new business models that deliver value. Most importantly, Cisco s portfolio of validated, proven architectures gives manufacturers the ability to tailor a solution for their specific needs. For more information visit Business Intelligence. 6

7 THE CISCO-INTEL ADVANTAGE Together, Cisco and Intel have the solutions, influence and breadth of knowledge to drive operational, business and technical value across manufacturing.