The Intelligent Factory: How IoT is optimising operations across the value chain

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1 The Intelligent Factory: How IoT is optimising operations across the value chain Internet of Manufacturing Munich 7 th February 2017 Heiko Witte Head of Engineering Improvement & Quality 2017 Rolls-Royce Deutschland Ltd & Co KG The information in this document is the property of Rolls-Royce Deutschland Ltd & Co KG and may not be copied or communicated to a third party, or used for any purpose other than that for which it is supplied without the express written consent of Rolls-Royce Deutschland Ltd & Co KG. This information is given in good faith based upon the latest information available to Rolls-Royce Deutschland Ltd & Co KG, no warranty or representation is given concerning such information, which must not be taken as establishing any contractual or other commitment binding upon Rolls-Royce Deutschland Ltd & Co KG or any of its subsidiary or associated companies.

2 Trusted to deliver excellence Rolls-Royce Proprietary information 2

3 Trusted to deliver excellence Rolls-Royce Proprietary information 3

4 Trusted to deliver excellence Rolls-Royce Proprietary information 4

5 Trusted to deliver excellence Rolls-Royce Proprietary information 5

6 Big Data is our business We process 8 million data points per day Rolls-Royce proprietary information 6

7 Digital and Industry 4.0 in Rolls-Royce 7 Jointly with our partners, we aim to apply the principles of Digitisation and Industry 4.0 to create future oriented hightech value-chains Trusted to deliver excellence Rolls-Royce Proprietary information

8 BDLI Model Basis for Rolls-Royce Activities in Germany 8 Trusted to deliver excellence Rolls-Royce Proprietary information

9 Industrialisation of the Internet of Things Todays IoT Evolving Technology The Vision Nano Sensors 5G Communications Micro Electronics Digital In-Service Cyber security Energy Scavenging DESIGN MANUFACTURE IN-SERVICE Location Awareness Advanced Packaging Factory Part Tracking High Temp Electronics Surviving Hostile Environments Billions of connected devices Universities Tech App companies Developers SME s Micro electronic tags Rolls-Royce proprietary information 96

10 Future: Model Based Enterprise 10 Enables in service inspection feedback True Design in Context Service/MRO Requirements MBD Design Enables thru life product integration Supply Chain Simulation Enables multi functional simulation Enables in context assembly instruction Assembly Manufacturing Integration of ME model based operations Rolls-Royce proprietary information

11 Industry 4.0 Rolls-Royce proprietary information 11

12 Use Case: Project Insight 12 Optimization of planning and control of factory (assembly) operations Improve process, reduce variability Learning systems reacting on arising issues in logistics and planning Predictable lead times Trusted to deliver excellence Rolls-Royce Proprietary information

13 InSight Assembly, Planning & Control Question optimize planning and control of engine assembly from many legacy systems including *.xls, *.ppt, *.pdf and s How can we optimize production? Insights Real time tracking of: Assembly line performance Demand plan objectives Resource planning Production Optimizer is a continuously learning application that helps production planners synthesize improve productivity and operational efficiency.

14 Production Optimizer Outcome PROF. DR.-ING. U. BERGER Chair of Automation Technology Compare Plans Historical View Fleet View Up-stream View Remedial Actions On-time delivery Reduce production days Improved quality Confidence level of the plan by artificial intelligence Capacity utilization reduce production days / up to 40%

15 Process Integration: LEAN-Flowline and Scrum Methodology Flowline Scrum-Methodology 15 Rolls-Royce proprietary information

16 Summary 16 Value stream approach to implement digital technologies IoT providing key opportunities for improvements in a facory environment Linking digital technologies with Lean product development methods is key Focus for digitization is on BETTER PRODUCT BETTER PROCESS NEW BUSINESS MODEL OPPORTUNITIES Trusted to deliver excellence Rolls-Royce Proprietary information