Electronics Works Amberg Digitalization Practices siemens.com/digital-enterprise-suite

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Leading as the Digital Enterprise Electronics Works Amberg Digitalization Practices siemens.com/digital-enterprise-suite

Living the digital enterprise Digitalization is changing the world as we know it. Consumers benefit from new ways of shopping, more variety, easy comparison, fast delivery, and attractive pricing. To meet these requirements, manufacturing companies need to digitalize their entire value chain including suppliers. They need to become digital enterprises. This is exactly what we did at the Electronics Works Amberg (EWA): Here we produce controllers, HMI, periphery, and other products from the SIMATIC portfolio with a clear focus on customer satisfaction, product quality, transparency, and efficiency. We use Siemens Digital Enterprise Suite to streamline and digitalize our entire business process. That way we can manufacture around 1,000 product variants and one product per second with 99.9989% built in quality. With continuous learning, highly dedicated and qualified employees, and ongoing lean management and automation, we manage to stay competitive in a dynamic business environment. Reducing time-to-market Enhancing flexibility Quality Increasing efficiency Security shorter innovation cycles more complex products bigger but smarter data volumes customization availability diversified market highest productivity closed-loop quality processes traceable products meeting legal requirements optimal capacity utilization efficient resource utilization digitalization leads to increasing vulnerability to cyber attacks increased need for appropriate security measures highest quality standards 2

Driving the Digital Enterprise Social responsibility and culture Worldclass products Perfection for our customers Global value add structures Strategic holistic partnerships Highest quality and efficiency The Digital Enterprise Suite offers integrated software and hardware solutions for discrete industries to seamlessly integrate and digitalize the entire value chain, including suppliers. 3

EWA follows the holistic approach for the entire value chain 7KLUG SDUW\ DSSOLFDWLRQV &ORXG EDVHG RSHQ,R7 RSHUDWLQJ V\VWHP 0LQG6SKHUH 3URGXFW GHVLJQ 3URGXFWLRQ SODQQLQJ 3URGXFWLRQ HQJLQHHULQJ 3URGXFWLRQ H[HFXWLRQ 6HUYLFHV &ROODERUDWLRQ SODWIRUP 7HDPFHQWHU 6XSSOLHUV DQG ORJLVWLFV At Electronics Works Amberg, we use a holistic approach that transforms a traditional value chain into an integrated product and production lifecycle from product design to production planning, production engineering, production execution, and service. Only a fully digitalized business model with a consistent digital thread has the power and flexibility to speed up processes and optimize production operations. 4 This also requires a joint data storage and data management system. With Teamcenter, Siemens provides the industry s leading collaboration platform throughout all steps of the value chain that means one data backbone. Continuous optimization MindSphere allows to analyze production assets and products as they perform and feed back the insights into the entire value chain for continuous optimization.

1 Product design 120 variations are built per day with a degree of automation of 75% Collaboration Platform and Data Backbone Design management Document management Bill of Materials (BOM) management Product Design, Simulation and Manufacturing Concept, 3D modeling and documentation Product simulation across multidisciplines Common product model from design to manufacturing applications Teamcenter NX Customer value Quick response to product changes High production flexibility More product variants 5

2 Production planning ~350 changeovers per day to handle 1,000 different products ~5,000 work plan changes per year (more than 20% due to product component discontinuation) Production Simulation Plant design and optimization Assembly process simulation and verification Logistic Simulation Macrologistic for factory and lines Micrologistic for stations Tecnomatix Tecnomatix Customer value Accelerated commissioning Reduced risk and cost Managed complexity 6

3 Production engineering SIMATIC produces SIMATIC Controllers Panels IPCs Totally Integrated Automation Portal (TIA Portal) TIA Portal as engineering framework TIA Portal as gateway to automation in the Digital Enterprise >75% More than 75% of the value chain is automated >1,000 More than 1,000 SIMATIC applications 20% MTBF increased by 20% (over 10 years) Totally Integrated Automation Customer value High production quality and reliability High efficiency in engineering and production High degree of automation to reduce labor cost 7

4 Production execution 5 to 10 Manufacturing engineering 5 to 10 times faster 40% NCC reduced by 40% > 99.5% delivery reliability to assure 24h delivery time ± 20% personal capacity flexibility to meet customer demands on time Vertical Integration Quality Flexibility Design to production: Real-time monitoring Interoperability of worker CAD to CAM Traceability and machine PLM to MES: NC programming Augmented reality Interlocking CPS model: self-organized by RFID Teamcenter SIMATIC IT SIMATIC IT TIA Customer value Accelerated manufacturing engineering process Increased quality on shopfloor High delivery reliability Availability of Big and Smart Data 8

5 Services 73% temporary reduction of ventilation saves 73% of energy at weekends Energy Management High energy efficiency Significant savings of water, CO 2, and power Security in Production Secured production environment Protection Level 3 in selected areas Regular security training SIMATIC Energy Suite Energy Analytics Defense in Depth Customer value Jump from protection level 0 to 3 1) for selected production areas related to product requirements in one year Green Production Protection of assets and knowledge 1) based on the definition of IEC 62443 9

International appeal and radiance German Chancellor Angela Merkel (second from left) and Siemens CEO Joe Kaeser (third from left) visit Siemens Digital Factory in Amberg. Bavarian Governor Horst Seehofer (left) and Czech President Bohuslav Sobotka (middle) visit EWA. Saarland Premier Annegret Kramp-Karrenbauer learns more about the future of manufacturing. Electronics Works Amberg showcases Siemens concept for a digital enterprise. The factory already employs production methods that will be the standard in many manufacturing facilities in a number of years. Products in the plant control their own assembly by directly communicating their specific requirements and their next production steps via a product code to the machines. The Electronics Works Amberg factory with a production area of 10,000 m 2 employs about 1,200 people. This also has proven to be highly appealing to politicians from all over the world who want to stay up to date regarding the current state of manufacturing technologies. On February 23, 2015, German Chancellor Angela Merkel visited Siemens Factory in Amberg and was briefed on the current status of production automation as it moves toward Industrie 4.0. Other well-known visitors include Bavarian Governor Horst Seehofer and Saarland Premier Annegret Kramp-Karrenbauer. In general, there are more than 300 visitor groups with around 4,000 people per year. Customer visits have a share of more than 60%. 10

Siemens Electronics Works Chengdu Siemens Electronics Works Chengdu is the Chinese equivalent of the Electronics Works Amberg. The Siemens Electronics Works Chengdu (SEWC) in southwest China opened in February 2013. Many parts of the plant in the Chinese megacity of Chengdu replicate its Amberg counterpart, and SIMATIC controllers are also manufactured at SEWC. The software tools and production sequences are the same in Chengdu and Amberg. The Chengdu facility even looks like EWA and employs about 350 people. 11

Published by Siemens AG 2017 Digital Factory P. O. Box 48 48 90026 Nuremberg Germany Article No.: DFFA-B10367-00-7600 Dispo 21507 W-DFFA7-7P-20TI9 WS 05171.0 Printed in Germany Siemens AG 2017 Subject to changes and errors. The information given in this document only contains general descriptions and/or performance features which may not always specifically reflect those described, or which may undergo modification in the course of further development of the products. The requested performance features are binding only when they are expressly agreed upon in the concluded contract.