Industrie 4.0 The Fourth Industrial Revolution

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1 Siemens Corporate Technology Munich, June 25, 2015 Industrie 4.0 The Fourth Industrial Revolution Gerd Hoefner Managing Director and Chief Executive Officer Siemens Technology and Services Pvt. Ltd. Answers for life. Siemens AG All rights reserved

2 Agenda Industrie Overview Industrie 4.0 at Siemens Page 2

3 I n d u s t r i e 4. 0? German for Industry refers to the 4 th industrial revolution A strategic initiative of the German manufacturing industry sponsored by the German Government to secure the future competitiveness of the German manufacturing industry by defining define the way forward for manufacturing companies in the internet age Page 3

4 The Four Industrial Revolutions Degree of complexity First Industrial Revolution Second Industrial Revolution Third Industrial Revolution Fourth Industrial Revolution Water and Steam Power Electric Energy Electronics and Information Technology Internet of Things and Cyber-Physical Systems First mechanical loom, 1784 First production line, Cincinatti Slaughterhouses, 1870 First programmable logic controller (PLC), Modicom 084, 1969 Source: DFKI (2011) Time Page 4

5 Internet of Things The Milk and The Fridge Don t Talk* Four Takeaways: December 5, The Internet of Things is a vision of the future and has been for more than a decade. 2. Do we want a new kind of global physical, digital and virtual infrastructure of devices and entities, which will manage everything for us and also through us, to the very texture and nature of our daily life? 3. It is difficult to get away from the weak link people. 4. Don t forget the milk on the way home. * by Noreen Henry, lecturer in IT at the Mayo campus of GMIT, October 2014 Page 5

6 Cyber-Physical Systems (CPS) have all the information as a digital model A CPS is a system of collaborating computational elements controlling physical entities Contains all the information on Physical production facility + Digital model Software Mechanics Electrics, Electronics Automation, HMI Safety, security Maintenance Location, identity Status SW version Interfaces The digital model is always up-to-date and is extended over the entire lifecycle Product design Production planning Production engineering Production execution Services Page 6

7 The Internet of Things is becoming real.. Smart, connected products ultimately can function with complete autonomy. Human operators merely monitor performance or watch over the fleet or the system, rather than over individual units. Tesla Wind Turbine How Smart, Connected Products Are Transforming Competition Michael E. Porter, James E. Heppelmann Harvard Business Review November 2014 A Tesla vehicle in need of repairs can autonomously call for a corrective software download, or, if necessary, send a notification to the customer with an invitation for a valet to pick up the car and deliver it to a Tesla facility. When smart wind turbines are networked, software can adjust the blades on each one to minimize impact on the efficiency of turbines nearby. Page 7

8 The Future of Manufacturing has three key element 1. Production network Flexible value chains with information available in real-time across company boundaries 2. Fusion of virtual and real world Integration of product design and production engineering for shorter time to market 3. Cyber-physical systems Modular production units with complete and consistent virtual image Industrie 4.0 analyzed how to implement the 4 th industrial revolution in a German environment. Page 8

9 Recommendations for implementing the strategic initiative Industrie 4.0 In order to bring about the shift from industrial production to Industrie 4.0, Germany needs to adopt a dual strategy. 1. Germany s manufacturing equipment industry should seek to maintain its global market leadership by consistently integrating information and communication technology into its traditional high-tech strategies so that it can become the leading supplier of smart manufacturing technologies. 2. At the same time, it will be necessary to create and serve new leading markets for CPS technologies and products. In order to deliver the goals of this dual CPS strategy, the following features of Industrie 4.0 should be implemented: Horizontal integration through value networks End-to-end digital integration of engineering across the entire value chain Vertical integration and networked manufacturing systems Page 9

10 Industrie 4.0 Integration of value chains 1. Horizontal integration through value networks 2. End-to-end digital integration of engineering across the entire value chain 3. Vertical integration and networked manufacturing systems Page 10

11 Germany has formed a working group for Industrie 4.0 which is off to a good start... Platform Industrie 4.0 and its environment Clusters of excellence 45 projects ZP Internet based services for the economy, 5 WG BDI/BDA-AK Future of Industry - WG Human and Work and many more 14 projects Page 11

12 Agenda Industrie Overview Industrie 4.0 at Siemens Page 12

13 Siemens Vision for Industrie 4.0 Product and machine communication through Internet of Things Collaboration of all plant resources All devices are connected together Page 13

14 Only a holistic automation approach including the whole value add chain will yield sustainable competitiveness Product design Production planning Production engineering Production execution Services Product Lifecycle Management Totally Integrated Automation Manufacturing Execution Systems Page 14

15 Digital Enterprise Software Suite The Siemens answer to Industrie 4.0 requirements PLM = Product Life Cycle Management MES = Manufacturing Execution Systems TIA = Totally Integrated Automation PLM MES TIA SIMATIC IT Teamcenter / NX SIMATIC / SINUMERIK Page 15 Integrating all steps along the value chain based on excellent industry software to improve productivity and efficiency

16 Contact Further information and information resources Contact Siemens Technology and Services Pvt. Ltd. No. 84, Keonics Electronics City Hosur Road Bengaluru India Further information About Siemens Press Investor Relations Internet Innovation Jobs & Careers Page 16

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