Digital Enterprise implement now.

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1 Digital Enterprise implement now. Smart Factory Conference 2018 Seoul, March 30, 2018 Dieter Schletterer, Head of Digital Factory and Process Automation & Drives Siemens Ltd. Seoul Unrestricted siemens.com

2 Industry 1.0 ~ Industry 2.0 ~1900 Industry 3.0 ~1970 Industry 4.0 Today 2018

3 Siemens way to Digitalization

4 Change before being changed even if you are a giant

5 Change before being changed even if you are a giant

6 Siemens ambition Be the global leader in industrial technology and a powerhouse in digitalization top10 software company 5.2bn digital revenue 24,500 software developers 1m major assets connected #1 automation position 75m Smart meter software licenses Unrestricted Siemens AG 2018 Siemens AG 2018

7 Bringing Industry 4.0 to life with technology and cooperation

8 Digitalization The next trillion dollars will be earned with data for our customers and for our industries. Michael Dell, founder of Dell Inc. changes half of the companies on the Fortune everything Digital is the main reason just over 500 have disappeared since the year Pierre Nanterme, CEO Accenture

9 Digital Transformation

10 Our customers have essential requirements Speed Flexibility Quality Efficiency Security

11 Our digital portfolio Data analysis Design Operate Service Artificial intelligence Siemens software Siemens digital services Simulation tools Cloud and platforms Secure networking Cyber security MindSphere the IoT operating system Digitally optimized automation Digitally optimized electrification Digital twin (products and infrastructure)

12 Digital Enterprise Software Suite Domains NX Solid Edge Catchbook Fibersim DESIGN PROGRAM Syncrofit Mastertrim Polarion Application Lifecycle Management ANALYZE Mindsphere Omneo SERVICE Siemens Digital Services NX Nastran Imagine.Lab Virtual.Lab Test.Lab Tecnomatix NX CAM SIMULATE BUILD Simcenter Star-CCM+ HEEDS Intosite Line Designer CONNECT Teamcenter SIMATIC SINUMERIK SIMATIC IT IBS QMS WinCC Camstar AUTOMATE TIA Portal EXECUTE SIMOTION Preactor Production Systems Engineering

13 Siemens Analyzing approach assets as to they integrating perform with MindSphere and and feed digitalizing back insights the to entire continuously value chain optimize the value chain Third party applications Cloud-based, open IoT operating system: MindSphere Product design Production planning Production engineering Production execution Services Collaboration platform: Teamcenter Suppliers and logistics

14 Create a powerful Digital Twin of entire value chain Third party applications Cloud-based, open IoT operating system: MindSphere Product design Product design Production Production Production Services Production planning Production engineering Production execution Services planning engineering execution Collaboration platform: Teamcenter Suppliers and logistics

15 Strategisches Produkt Digital Enterprise for discrete Industry Feature / Function Virtual Commissioning Virtual commissioning allows a virtual validation of the automation solution, that affects the interplay between the control components and the mechatronic system of a machine or system. Benefit Virtual commissioning enables an earlier detection of errors and therefore error costs are avoided. In addition, automation engineering and mechanical engineering can be synchronized very early in the product lifecycle and thus development times can be shortened. Run MyRobot / Direct Control Single Point of Operation One single controller for robot and machine tool Reduce the machining time through hybrid application Parallel commissioning with Virtual Commissioning ( Hardware in the loop ) Efficient operation and programming of the processing robot via G-Code No robot specific knowledge necessary Integrated CAD/CAM process chain Reduce commissioning times

16 Strategic Product Industrial Communication Feature / Function SIMATIC S7 Cloud Connectivity Connectivity for various cloud solutions including MindSphere Integrated solutions for SIMATIC PLCs Security Integrated Benefit Cloud Connectivity is the basis for all common cloud based applications Flexible and open solution for all common cloud systems Full TIA Portal Integration minimizes commissioning effort Secure Cloud connectivity TSN Time-Sensitive Networking Standardized interfaces in the network for guaranteed Quality of Service (QoS) Low transmission latency Synchronization and bumpless redundancy Convergence in the same network between different real-time protocols with the necessarily guaranteed QoS Reliable operation in parallel of all applications within the network Robust machine- and plant communication even in case of high network load Vendor independent and global specified standards support in digitalization of future oriented solutions

17 Siemens and Stratasys collaboration Speed Faster build time Flexibility Better reachability Print large parts Efficiency No support structures Quality Better surface

18 Digital Twins at Every Step are Connected Through a Digital Thread

19 Digital Enterprise Suite Unique portfolio for the digital transformation Totally Integrated Automation Product Lifecycle Management

20 Deep domain knowledge Broad end-to-end solutions Open platform and ecosystem Unrestricted Siemens AG 2018 Siemens AG 2018

21 MindSphere 3.0 Develop robust industrial IoT solutions faster MindSphere Now on AWS Open Platform-as-a-Service (PaaS) with native cloud accessibility Extensive device and enterprise connectivity Powerful industry solutions with advanced analytics Global Partner Ecosystem

22 MindSphere World offers a unique opportunity for all members to drive the market of data driven services Discuss and introduce new market models End Customer Discuss the interests of different stakeholders Formulate recommendations for data governance Institutions Universities System Manufact. Product Manufact. Share experience in developing new applications Promote applications based on MindSphere SW companies SI MindSphere OEM EPC / Consultants Strengthen the footprint in the market to secure the R&D investment of the members Articulate recommendations for interfaces and extended functionality of MindSphere MindSphere World Establish OpenSpace concepts together with IT ventures and startups

23 Thank you.