Evolution of the smart factory leading to new business models

Evolution of the smart factory leading to new business models

We kindly invite you in the Deloitte Digital Factory Trends Our Digital Factory provides an innovative environment, combining the old and the new world of supply chain and manufacturing operations. Traditional, linear supply chain nodes are collapsing into a set of dynamic networks, increasing the need for an integrated SC Based on our experience, many companies have already dealt with Industry 4.0 but struggle to operationalize integrated concepts. Our learning workshops and trainings will inspire and activate our clients to start their own digital transformation with the practical use of the latest technologies. We support our clients along their digital journey and will achieve exponential benefits with joint forces. Connectivity Shared Economy Data Availability Join us and explore your own digital capabilities. Many Greetings Dr. Harald Proff Meet us at Rather Str. 110 A, 40476 Düsseldorf Technological Advances Internet of Things Most of the major trends will influence the future of supply chain operations significantly

Typical Challenges Predictive Maintenance Simultaneous Engineering Product Cost Analytics Predictive Quality Digitization drives optimization of traditional core business which in turn allows companies to invest in new business opportunities Complexity Reduction Data Driven Demand Prediction Augmented Reality Digital Performance Management Virtual Product Development 3D Continuity Traditional Core Business e.g. cost reduction, optimized sourcing, footprint strategy Digital Transformation New Business Expand core business into solutions for new and adjacent markets Remote Monitoring and Control 3D Printing Product Complexity Analytics Artificial Intelligence Automated Planning Digitalized Purchasing Model-based Experience Next Level Product Cost Optimization Rapid Prototyping Simulation Cost Parametric Analyzer Human-machine cooperation Based on our experience, companies struggle to operationalize Industry 4.0 solutions. Mostly lacking an holistic approach with integrated solutions

Digital Core The digital core is the center of a connected smart supply chain and thus the driver for future value creation and new business models Digital Development Dynamic Fulfillment 3D Printing Cognitive Planning Intelligent Supply Synchronized Planning Quality Sensing Sensor-driven Replenishment Smart Factory Connected Customer

Digital Transformation unlocking the exponential benefit High Impact In order to create exponential value through a digital transformation the overall goal is to achieve an integrated concept and new business models with combined use cases Performance Layers (Process) Enablers (Smart Devices) Business Processes (Function) Low Impact Single Digital Option Digital Use Cases Integrated Digital Concept Single (technological) enabler applied benefits in a specific business process realized Meaningful combinations of various digital options applied increasing benefits through cross-functionality realized Integrated bundle of use cases applied exponential benefits realized

How does the Digital Factory benefit our clients? Selected Use Cases along the entire Value Chain Our Digital Factory provides a flexible environment for innovative workshops and trainings. You will have the opportunity to get inspired by specific use cases or the digital solution space Impact of Digital Business Models Inspire with innovative use cases Activate the potential of the digital journey Digital Supply Chain Explore integrated and smart solutions Create new business models Legacy Supply Chain Potential increase in efficiency by more than 30 percent The Future We developed the Digital Factory as an environment to elaborate the future together with our clients 5 4 Product Life Cycle Flexibilization Next Level of Quality Analytics Next Level of Product Cost Optimization Selected Use Cases across Value Chain 1 Integration PD-Lean Manufacturing Next Level of Target Cost Reduction 3 2

Dr. Harald Proff Lead Partner Operations Tel: +49 151 5800 2696 hproff@deloitte.de Stefan F. Ullerich Director Operations Tel: +49 151 5800 0995 sullerich@deloitte.de Dr. Stefan Schwarz Manager Deloitte Digital Factory Tel: +49 151 5807 3130 steschwarz@deloitte.de Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee ( DTTL ), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as Deloitte Global ) does not provide services to clients. Please see www.deloitte.com/de/ueberuns for a more detailed description of DTTL and its member firms. Deloitte provides audit, risk advisory, tax, financial advisory and consulting services to public and private clients spanning multiple industries; legal advisory services in Germany are provided by Deloitte Legal. With a globally connected network of member firms in more than 150 countries, Deloitte brings world-class capabilities and high-quality service to clients, delivering the insights they need to address their most complex business challenges. Deloitte s more than 244,000 professionals are committed to making an impact that matters. This communication contains general information only not suitable for addressing the particular circumstances of any individual case and is not intended to be used as a basis for commercial decisions or decisions of any other kind. None of Deloitte Consulting GmbH or Deloitte Touche Tohmatsu Limited, its member firms, or their related entities (collectively, the Deloitte network ) is, by means of this communication, rendering professional advice or services. No entity in the Deloitte network shall be responsible for any loss whatsoever sustained by any person who relies on this communication.