Industry Digitizing the Shop Floor to Achieve Operational Excellence & Customer Successes

Size: px
Start display at page:

Download "Industry Digitizing the Shop Floor to Achieve Operational Excellence & Customer Successes"

Transcription

1 Industry Digitizing the Shop Floor to Achieve Operational Excellence & Customer Successes Raj Singh Director Operational Excellence IOT & Digital Supply Chain - Center of Excellence

2 Agenda Introduction to Industry 4.0 and its Design Principles SAP Digital Manufacturing Strategy & Solution Portfolio Customer Success Stories 2

3 3

4 Introduction to Industry 4.0 and its Design Principles

5 Global Manufacturing Trends Transformation of business models and processes Yesterday Mass Production Outsourced manufacturing Offshoring Fixed production lines Standard products Manual processes Hierarchical decision process Plant Based siloed information Today Mass customization Distributed manufacturing networks Nearshoring Cyber physical systems Individualized products Fully automated processes Decentralized flexible decision process Global transparency Manufacturing Insights Deterministic models Paper based work instructions Capital Intensive Manufacturing models Analog products Predictive models Smart 3D work instructions Service based manufacturing models Smart Products 3D Visualizations 5

6 The Industry 4.0 Revolution Design Principles Interoperability Disruptive innovations applied in manufacturing promise to trigger a new industrial revolution Information transparency Technical assistance Decentralized decisions 6

7 Interoperability Three Machining Lines, One Highly Configurable Engine Assembly Line 38 Second Takt time 5 SAP Plant Connectivity (As OPC UA Server and OPC Client) / +20,000 Tags 2018 SAP SE or SAP affiliate company. All rights reserved. ǀ Transactions / Minute at full rate 7

8 Data Transparency SAP Manufacturing Execution Production Operator Dashboard 8

9 Technical Assistance 9

10 Distributed Decision Making 10

11 SAP Digital Manufacturing Strategy & Solution Portfolio

12 What is Industry 4.0 About Examples of Industry 4.0 requirements 12

13 Industry 4.0 requirements have different purposes Smart Factory Operations Factory Operational Analytics 13

14 SAP Digital Manufacturing Solutions and Factory Automation Automation Pyramid in conjunction with IoT Cloud approach ERP (PLM, PP) SAP ERP Partner Applications Digital Manufacturing Insights Operator MES SAP Manufacturing Execution Suite SAP PCo SAP Cloud Platform DIGITAL TWIN Asset Intelligence Network Manufacturer SCADA / HMI GREEN FIELD BROWN FIELD Supplier Machine Layer IO-LINK GATEWAY SMART BRIDGE SAP Leonardo Edge Device DATA DATA 14

15 SAP Digital Manufacturing Industrial IoT Connecting the heterogeneous automation floor Digital Manufacturing Insight On Demand Manufacturing Network S4/HANA Enterprise Management Asset Intelligence Network OEM Cloud Manufacturing Orchestration and Execution SAP Manufacturing Execution Suite Digital Manufacturing SAP ME SAP QIM SAP MII SAP ME + MII SAP CAMS» Multiple vendors» Multiple machines SAP PCo SAP PCo SAP OEE 15

16 SAP Digital Manufacturing Solutions The foundation for Industry 4.0 in the Cloud and On-premise Distributed Manufacturing Digital Manufacturing Execution Predictive Quality Digital Manufacturing Insights Manufacturing Integration & Intelligence Manufacturing Planning & Scheduling Production Engineering & Operations Environmental Health & Safety (Cloud) (On Premise) (*New Cloud) (Cloud) (On Premise) Digital Manufacturing Suite S/4 HANA 16

17 SAP Manufacturing Integration and Intelligence (MII) enables you to integrate your plant and enterprise systems and display integrated data to your employees. You can use SAP MII to view, measure, and compare the performance of plants and assets with different automation system infrastructures. Connect to your shop floor equipment using SAP Plant Connectivity. Key Capabilities Top Floor S/4HANA Universal: Extensible manufacturing platform allowing rapid adaption to any manufacturing process. Applicable to all manufacturing industries and utilities Integration: Provide interoperability (in)between shop floor solutions and enterprise ERP Out-of-the-box Integration SAP MII KPI & Alert Management Composition & Visualization Energy Monitoring Overall Equipment Effectiveness Intelligence: Visualize data using plant information hierarchy from corporate ERP and design own dashboards Integration Process Orchestration Business Intelligence Orchestration via business logic to enable customer-specific processes for planning, execution, maintenance and quality SAP Plant Connectivity Plant Performance Management with out-of-thebox content on OEE management. Capabilities to build and visualize customer specific KPIs with KPI framework Plant DB & Historians Shop Floor DCS & SCADA PLC Devices and Equipment Devices & Sensors LIMS 18

18 SAP Manufacturing Execution Suite SAP Manufacturing Integration & Intelligence (SAP MII) Web-based strategic manufacturing platform to compose intelligent manufacturing applications OT IT Convergence Worker UI Connected Assets / Facility Management ERP Top Floor Automation Layer Shop Floor Enterprise Asset Management Intelligence Manufacturing & Quality Analytics Insight to Outcome (i.e.: Automatic actions based on events) 19

19 SAP Manufacturing Execution (ME) * a powerful, enterprise-level, scalable, manufacturing business solution that enables global manufacturers to manage and control manufacturing and shop floor operations and realize Industry 4.0 scenarios. It provides a multi-faceted set of features that integrates business systems to the shop floor, allowing for complete component and material-level visibility for single and global installations. Key Capabilities Industry 4.0 A thing is born Track and Trace, Genealogy Industry 4.0 enabled shop floor execution solution featuring lot size one production and paperless production Tracking & Tracing / Genealogy Non-conformance management including in-line sampling, visual test and repair Process Interlocking and zero failure Role-specific access and personalized dashboards for operators with browser-based UI Easy Integration out of the box to SAP ERP and via SAP Plant Connectivity to the shop floor Overall Equipment Effectiveness (OEE) * Planned Innovation 20

20 SAP Digital Manufacturing Insights is a centralized, cloud-based, data-driven manufacturing performance management solution which enables key stakeholders of manufacturing operations to take tactical and strategic decisions to achieve best-in-class manufacturing performance. Key Capabilities Global Analytics Multi-plant Analyze manufacturing performance within and across manufacturing plants of an enterprise Data acquisition from multiple disparate manufacturing application and harmonization of manufacturing data Pre-configured industry standard manufacturing Key Performance Indicators (KPIs) and flexibility to extend or create new KPIs Advanced algorithms for root cause analysis of quality defects, pattern detection and prescriptive suggestions for continuous manufacturing performance improvement 21

21 SAP Predictive Quality* is a solution dedicated to help manufacturers gain valuable insights into the quality aspects of their manufacturing processes, streamline quality management and apply predictive algorithms to reduce losses incurred due to quality issues and recommend corrective actions Key Capabilities Predictive Quality Improvements Diverse quality and contextual data acquisition Quality key performance indicator (KPI) trend & correlation Intelligent quality management and quality process automation Cost of Quality model builder with predictive analytics capabilities Deep dive into quality defect analysis with digital twins Deep Dive * Planned Innovation 22

22 SAP EHS Solution Portfolio EHS Incident Management Incident Management Safety Observations EHS Health and Safety EHS Environment Management Management of Change EHS Audit Management Operational Risk Assessment Regulatory and Permit Compliance Management of Change Chemical Approval Industrial Hygiene and Sampling Emissions Management Chemical Management Occupational Health Real Time EHS Reporting and Analytics Action Tracking and Task Management Maintenance Safety Permit to Work Work Clearance/LOTO Worker Safety Connected Worker Safety 23

23 Customer Success Stories

24 SAP Digital Manufacturing Examples of Process Industries ;a Consumer Products O&G / Chem Life Sciences Mill Products and Mining Utilities 25

25 SAP Digital Manufacturing Examples of Discrete Industries Aerospace Defense ;a Automotive High Tech IM&C Medical Device 26

26 Customer Example - Predictive and in process quality assurance for hot forming Automotive company Goal: Predictive actions instead of quality controls Decreasing waste rates and stabilized processes by real-time detection of quality issues Use of thermographic pictures to identify heat patterns relevant for quality issues Calculation of distance of temperature vectors of current vs. historic production Trend Analysis of Process Parameters anticipates growth of critical material properties If pattern detection, production control alarmed or production stopped 27

27 Predictive Quality in Casting Continuous casting output: Slabs 300 parameters on each slab Based on slabs production data, historic data and process data, estimates probability of appearing defects and selects most probable slabs in terms of defects. Reduced from 25% (of 20,000 slabs) quality checks to 6% and still keep 95% of defects detected 28

28 NLMK NLMK-SAP Co-Innovation Lab: Analyze worker position to avoid leaving safe work areas Employee positioning system is one of the first projects of NLMK-SAP Innovations Lab. This system is of current interest because not only it helps us analyze large quantities of data but also it prevents accidents at work, reduces safety risks, and improves operational efficiency. I hope that in a short time we will move from the pilot to full-scale roll out. Elena Demyanova, NLMK Group Vice President for IT 29

29 30

30 Manufacturing Intelligence Increases Productivity 65% to 80% Improved Overall Equipment Effectiveness 2016 SAP SE or an SAP affiliate company. All rights reserved.

31 Integrated mining and steel Real-time visibility across operations Real-time visibility shop floor operations Integrated view of the entire process from the mines to the shipping Combined functions, process and people in one same room Visual standardization to ease understanding Sales, logistic, production, process, quality, geolocalization, camera data integrated in one same video wall 32

32 Energy Monitoring & Analytics Integration to GE Proficy, Meters Plant Information Catalog Visibility to Utilities Consumptions Fuels, Electrical, Steam, Water Real Time KPIs 33

33 Global performance management Quality, production and process analytics Real time visibility Customer service applications speed quality resolution SPC tools delivered across the organization to many roles Hundreds of applications built on MII 2016 SAP SE or an SAP affiliate company. All rights reserved.

34 Industry 4.0 in Paper Production Real Time Costing Energy Management 2016 SAP SE or an SAP affiliate company. All rights reserved.

35 Continuous Process Verification Big data applications for continuous improvement Real-time Process Analytics from OSIsoft PI ERP Data for Business Context HANA Analytics Drive New Insights 2016 SAP SE or an SAP affiliate company. All rights reserved.

36 Tyson Foods Digital Transformation in Food Manufacturing SAP Manufacturing Integration and Intelligence Real Time Visibility to Plant Operations Supports Disconnected Operations Order Confirmations directly from operators Goods Movements Scrap reporting Plant Manager Business continuity is critical for my plant, SAP MII assures top production rates when SAP ECC is not available SAP SE or an SAP affiliate company. All rights reserved.

37 IT OT Convergence in Power Generation Integration between operations and the enterprise drives efficiency Real time monitoring Compliance reporting Asset risk management Condition based maintenance Predictive analytics 38

38 Real Time Operational Surveillance Overall Field Performance Well by Well Analytics detailed views of performance Operating diagnostics 39

39 Procter and Gamble Links Plant Operations to Big Data Analytics Integration of shop floor to top floor systems (OT IT Convergence) Delivers operational data with business context Overall Equipment Effectiveness Energy Monitoring Predictive Maintenance Predictive Quality Management 40

40 Industry 4.0 Digitization has big pay back Performance Cost -7% Net Margin + 19% Dividend +25% Share Repurchase >2.5MM Demand -40% From 21 day schedule to 6 hour 41

41 Future Factory - Today Integration to Shop Floor Speeds Production with Traceability Three Machining Lines, One Engine Assembly Line 37 Second Takt time per Engine 5 Plant Connectivity / Kepware OPC Server platforms / 20,000 Tags SAP SE or an SAP affiliate Transactions company. All rights reserved. ǀ / Minute at full rate 42

42 Volvo Eicher Truck Final Assembly Factory Truck Final Assembly Line with SAP Manufacturing Suite and 3D Visual Enterprise 43

43 Improving Manufacturing Productivity and Yield Global Market Leader in Fans, Blowers, and Air Handlers 99.5% First pass yield 2-3% Manufacturing productivity improvement 100% Track and Trace 44

44 Streamline Operations with SAP Manufacturing Cloud Based Deployment in Azure Eliminated Interface errors through Real Time integration with ERP Component Consumptions and Quantity confirmations as they happen Improved financial overview of production operation Raw data capture for detailed reporting and metrics of factory performance Supervisors spend more time on the floor with mobile devices HANA based analytics 45

45 Thank you. Raj Singh Director Operational Excellence IOT & Digital Supply Chain - Center of Excellence raj.singh01@sap.com