Go Digital A Fully Automated Masterplan for Global Performance Monitoring

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1 Go Digital A Fully Automated Masterplan for Global Performance Monitoring /////////// ARC Industry Forum Europe 2018 May 15-16, 2018 Barcelona (Sitges), Spain

2 Introduction 2 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

3 Our Purpose: Science for a better life A growing and aging world population requires an adequate supply of food and improved medical care. Our research and development activities are therefore focused on improving people s quality of life by preventing, alleviating and treating diseases. At the same time, we are making an important contribution to providing a reliable supply of high-quality food, feed and plantbased raw materials. Our understanding of the biochemical processes in living organisms helps us address these demanding challenges. 3 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

4 Our Business Areas Pharmaceuticals Consumer Health Crop Science Prescription drugs Over-the-counter medicines, dietary supplements, dermatology products, foot care and sunscreen Innovative crop protection and seeds Animal Health 4 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

5 Bayer Consumer Health 5 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

6 Consumer Health Headquarters Basel (Switzerland) Number of employees* 11,760 Sales 2017 Division Head 5,862 million Heiko Schipper * As of December 31, 2017 in full-time equivalents 6 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

7 Consumer Health Business Areas Analgesics Cough and cold Allergy Digestive health Nutrition Sun care Foot care Dermatology 7 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

8 Consumer Health Top Products Analgesics Cough and cold Allergy Digestive health Aspirin Aspirin Claritin MiraLAX Aleve Alka-Seltzer Rennie Afrin Iberogast 8 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

9 Consumer Health Top Products Nutrition Sun care Foot care Dermatology One A Day Elevit Berocca Supradyn Redoxon Coppertone Dr. Scholl s Bepanthen Canesten 9 /// Bayer Company Profile /// Fiscal 2017 /// As of April 1, 2018

10 Business Drivers & Challenges 10 /// ETCC /// /// Krickenbeck,

11 Market Direct competition with FMCG companies requires improved capabilities Increased competition FMCG s entry into Consumer Health Mass market Product development/ Claim Support/ Switch Regulatory Pharmacy / professional endorsement Fast-moving consumer good companies Consumer-focused healthcare New mass market linked to accelerated growth of chronic diseases Niche market Pharma companies Disease Pre-disease Risk factors Source: A.T. Kearney study Winning the Battle for Consumer Healthcare Science Versus the Marketers, 2012; BAG-CD analysis Human needs Channel/ Customer Management Consumer marketing/ brand development Consumer-centric innovation Delight Customer s requirement Page 11 /// ETCC /// Co-Innovation:Digital@CHPS /// Krickenbeck,

12 Velocity & Scale Quality Clarity Digitalization Strategic Enabler Today Manual Digital Foundation Fully Pervasive Data-Driven Leader Global Scale Phase 0: Aggregated Data Sources Single Platform Digitized Assets Phase 3: Paper-Driven Multiple Meetings to Reach Consensus Static Reports Inconsistent Priorities Database File-Based Cloud OPC Phase 1: Historian Single Real-Time View Root Cause Drill-Down Other Phase 2: Zero Duplication Zero Redundancy Automated Reporting Excel & Static Reports Eliminated AI-based Advice Product Predictability through datadriven release strategy 2-Week Dispense-to-Release Plant Capability in models to change on short notice & to customer needs Inability to quickly react to changing demands Real Numbers + Transparency = Empowered Employees Lean Review Process + Reliance = Empowered Employees Automated Decision Support = Empowered Employees 12 /// Consumer Health Product Supply Leadership Conference /// March 2018

13 enterprise:inmation Data Platform Motivation and Technology Selection 13 /// ETCC /// /// Krickenbeck,

14 Technology Selection Motivations & Reasoning Single pane of glass for manufacturing information 2 Compatibility with all legacy, future production systems In-memory-based, unlimited scalability 4 Global update deployment & life cycle management Central administration of a worldwide infrastructure 6 Plug & Play Integration, object-oriented, reduced engineering efforts Role-based access for company decision makers Easy integration of 3rd party products 9 Decision support & technical analysis 11 Centralized control of security, inherent consistency monitoring Smart license agreement 14 /// ETCC /// Co-Innovation:Digital@CHPS /// Krickenbeck,

15 Ensuring Project Efficiency Top-Down/ Bottom-Up Global Deployment 15 /// ETCC /// /// Krickenbeck,

16 Top-Down/Bottom-Up Global Deployment Bayer headquarter with one single inmation Core (D/Q/P Instances) Data Center HQ Firewall inmation Core Single Auto-updating Executable Bottom-Up: Sites do the Asset Inventory Inventory Data is (continuously) imported in the global inmation system Top-Down: inmation populates the models by automation Level 4 Site Contextualization Aggregation Custom Logic Level 3 Contextualization Aggregation Custom Logic Level 2 Contextualization Aggregation Custom Logic Site Firewall Office/ERP/BI MES DCS/PLC/HMI/ Lab Interfaces inmation Connector Project status to be the first live KPIs available at early stage Single Port TCP Socket Bi-directional Prioritized, Compressed Communication Transport Layer Security Bayer WAN VPN 16

17 Summary - DIGITAL@CHPS Global Roll-out Private Cloud Lean Architecture Central Management Information Everywhere Velocity & Scale Quality Clarity 18

18 Live Demo Interactive Session Bring your own device! 18 /// ETCC /// /// Krickenbeck,

19 Live Demo Architecture Managing the Global Rollout in Real-Time * * using the system which is to be rolled out. Project Teams Work on Single Document Inventory Team Grenzach (D) Basel (CH) Inventory Team Myerstown (US) Program Manager Divisional Sponsors Periodic Export Inventory Team Lerma (MEX) Phase 0: 3 of 15 sites in lead Analytics Real-time Dashboard Generation Contextualization and Model Generation VISION, EXPERIENCE, ANSWERS FOR INDUSTRY ARC Advisory Group 19

20 Audience get ready. Take out your Smart Phones. VISION, EXPERIENCE, ANSWERS FOR INDUSTRY ARC Advisory Group 20

21 Live Demo barcelona.inmation.com tinyurl.com/ybjr4gmx Log in to barcelona.inmation.com Your login information will be sent securely. arcif sitges Cancel Log In VISION, EXPERIENCE, ANSWERS FOR INDUSTRY ARC Advisory Group 21

22 Competition Time! Find the Easter Egg. VISION, EXPERIENCE, ANSWERS FOR INDUSTRY ARC Advisory Group 22

23 Thank You! We are happy to answer your questions (now and one on one) Dr. Nina Schwalb VENTURE MANAGER INDUSTRIAL AUTOMATION Bayer AG Product Supply, Consumer Health Engineering Holding a PhD in Natural Sciences, Nina has 13 years experience in imaging & automation technologies and data science. She is with Bayer since 2009 in various functions and at all Bayer business areas. She has been managing process optimization of AI production for crop protections. She was responsible for online quality control for continuous production processes from 2010 to After that she worked on machine vision and image processing in drug discovery screening processes until Then, manufacturing intelligence & MES in regulated industry were her main focus until Today she is Venture Manager Industrial Automation and Program Manager Digitalization at Bayer Consumer Health. Timo Klingenmeier MANAGING DIRECTOR inmation Software GmbH CTO Timo has a history of 30 years in industrial information management. He started off in 1989 as a Software Developer writing first data historians for MS/DOS with such ancient tools like Turbo Pascal and dbase. From 1993 to 2003 he acted as general manager for the industrial system integration companies idv and best solutions. After the acquisition by Matrikon, Timo functioned as specialist for industrial software and head of German operations until 2010, when Matrikon was acquired by Honeywell. In 2011 and 2012 he was consultant for international offshore wind projects. Since 2013 he focuses on the development of the NextGen information management software that is enterprise:inmation. Guido Stein MANAGING DIRECTOR inmation Software GmbH CMO, CSO Guido has over 30 years of experience in deployment of Decision Support Software enabling Operational Excellence Programs in various industries. Guido worked with leading providers for Manufacturing Execution System including Honeywell and AspenTech. Guido held responsibility for Project Execution, Consulting and moved into Business Development about 20 years ago addressing a European and Global Customer basis. In recent years Guido focused on growing business and building an organization for a global Process Licensor in Europe and Russia. In this role Guido focused on the Oil and Gas industry as well as large scale global Chemical Companies. He recently joined inmation to help growing the global technology footprint of enterprise:inmation. VISION, EXPERIENCE, ANSWERS FOR INDUSTRY ARC Advisory Group 23

24 Thank you! /////////// Bye-Bye

25 Forward-Looking Statements This website/release/presentation may contain forward-looking statements based on current assumptions and forecasts made by Bayer management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in Bayer s public reports which are available on the Bayer website at The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments. 25 /// Consumer Health Product Supply Leadership Conference /// March 2018

26 Go Digital A Fully Automated Masterplan for Global Performance Monitoring Abstract Nina Schwalb will present the Digital@CHPS project, a multi-year, full-scale digitization effort of our manufacturing assets, which Bayer Consumer Health, a division of Bayer AG, has embarked on. The presentation will first focus on the market challenges and the organizational goals and operational improvements which are set as clear targets for the program. Nina will share drivers for the technology selection in favor of enterprise:inmation, and some key differentiators of the chosen data platform. The platform capabilities are well aligned with the global project deployment strategy, covering all international production sites and hundreds of subordinated assets and systems, which are going to be integrated in form of a digitization masterplan. The presentation is supported by a bring-your-own-device live demo in the exhibition area. 26

27 Project Partners We are happy to answer your questions Dr. Nina Schwalb VENTURE MANAGER INDUSTRIAL AUTOMATION Bayer AG Product Supply, Consumer Health Engineering Holding a PhD in Natural Sciences, Nina has 13 years experience in imaging & automation technologies and data science. She is with Bayer since 2009 in various functions and at all Bayer business areas. She has been managing process optimization of AI production for crop protections. She was responsible for online quality control for continuous production processes from 2010 to After that she worked on machine vision and image processing in drug discovery screening processes until Then, manufacturing intelligence & MES in regulated industry were her main focus until Today she is Venture Manager Industrial Automation and Program Manager Digitalization at Bayer Consumer Health. Timo Klingenmeier MANAGING DIRECTOR inmation Software GmbH CTO Timo has a history of 30 years in industrial information management. He started off in 1989 as a Software Developer writing first data historians for MS/DOS with such ancient tools like Turbo Pascal and dbase. From 1993 to 2003 he acted as general manager for the industrial system integration companies idv and best solutions. After the acquisition by Matrikon, Timo functioned as specialist for industrial software and head of German operations until 2010, when Matrikon was acquired by Honeywell. In 2011 and 2012 he was consultant for international offshore wind projects. Since 2013 he focuses on the development of the NextGen information management software that is enterprise:inmation. Guido Stein MANAGING DIRECTOR inmation Software GmbH CMO, CSO Guido has over 30 years of experience in deployment of Decision Support Software enabling Operational Excellence Programs in various industries. Guido worked with leading providers for Manufacturing Execution System including Honeywell and AspenTech. Guido held responsibility for Project Execution, Consulting and moved into Business Development about 20 years ago addressing a European and Global Customer basis. In recent years Guido focused on growing business and building an organization for a global Process Licensor in Europe and Russia. In this role Guido focused on the Oil and Gas industry as well as large scale global Chemical Companies. He recently joined inmation to help growing the global technology footprint of enterprise:inmation. 27