Good Bad Ugly Industry 4.0 Mike James Chair AT S Global 1
The Independent Solution Provider for Smart Digital Transformation our experience, your success 2
About ATS Global Note: All statistics as on 1 st January, 2018 30+ Years 25+ Countries 50+ Offices 800+ People 4,000+ Customers An Independent Provider for solutions and services for Smart Digital Transformation A global organization with local focus Thought leadership in: Manufacturing Operations Management Smart Automation, Quality and IT Excellence Application Packaging and Virtualization Solutions for Precision Engineering Education, Consultancy and 24x7 Support Services Thousands of manufacturers trust ATS with their production critical applications 3
ATS Canada Group Structure ATS Netherlands Headquarters ATS Germany ATS Czech Republic ATS UK ATS Turkey ATS Scotland ATS Ireland ATS China ATS USA ATS Belgium ATS France ATS Hong Kong ATS Mexico ATS Spain ATS Italy ATS UAE ATS Singapore ATS Indonesia ATS India ATS Malaysia ATS Macedonia ATS Brazil Start-up ATS South Africa ATS Austria ATS Australia 4
Smart Technologies Industrial IOT and Services Machine-Machine Comm. (M2M) Product-Machine Comm. (P2M) Small / Big Data and Cloud Predictive & Smart Decisions Cyber Security & Cyber Physical Control Technology SCADA and HMI Industrial Robotics Machine and Vision Systems Engineering Metrology Product Location & Identification Communication & Networks Programming Languages CAD/ CAM Databases Data Collection ERP Integration 5
Clear vision Wide government and industry support The Good Technology and IT orchestration Internet of Services major opportunity for manufacturers Government, Academic, Industry Funding Opportunities for the agile to exploit new business models 6
The Bad Rapid technology, IT and social changes make it hard to plan and predict Few organisations have developed a strategy for coping with the rapid changes Hype has fogged the definition of Smart leading to misinformation/misunderstanding 7
The Bad Danger that organisations who fail to adapt will not survive/fail Danger that organisations who do adapt make poor decisions and do not survive/fail Governments fail to create a successful regulatory environment 8
The Ugly Lack of standards and/or standard proliferation massively increases costs Security Issues ignored System robustness ignored People, skills, redeployment, retraining and employability concerns Artificial Intelligence replaces people leading to social unrest Level of investment required 9
Business Drivers New Business Models: service delivery ATS Training & Workshops ATS Consulting ATS Software Developments ATS Products & Partners ATS Projects ATS Support Services 20 50% reduction in time to market 7 Forecasting accuracy Increased to 85+% 5 Customer cocreation/ope n innovation Data-driven design to value Data-driven demand prediction Cost for quality reduced by 10 20% 6 1 Client experience 2 McKinsey analysis 3 Maintenance, repair, and operations SOURCE: McKinsey 10 40% reduction of Maintenance costs 7 Rapid experimentation and Concurrent simulation engineering Predictiv e Maintenance Remote Maintenance Supplydemand match Digital quality management Advanced Process Control (APC) Statistical process control (SPC) Time to market Quality Batch size 1 Virtually guided selfservice Service/ aftersale s Inventories Real-time SC optimizatio n Resource /process In situ 3-D printing Cost for inventory holding decreased by 20 50% 5 Smart energy consumption Intellige nt lots Realtime yield optimizatio n Routing flexibility Asset utilization Machine flexibility Remote monitoring and control Predictive maintenanc e Augmented reality for MRO 3 Labor Automation of knowledge work Productivity increase by 3-5% 1 Digital performance mgmt Human-robot collaboration Remote monitoring and control 30 50% reduction of total machine downtime 2 45-55% increase of productivity in technical professions through automation of knowledge work 4 4 Cf. McKinsey Global Institute: Disruptive technologies 5 McKinsey analysis 6 Cf. T. Bauemhansl, M. ten Hompel, B. Vogel-Heuser (Ed.): Industrie 4.0 in Produktion, Automatisierung und Logistik (2014) 7 Cf. McKinsey Global Institute: Big data: The next frontier for innovation, competition, and productivity Automation & IT Lean & Six Sigma MES / MOM PLM Quality Management Supply Chain Management (ERP) Smart Manufacturing / Industry 4.0 Application Packaging & Virtualization 10
Barriers to Digitalization People Money Security Standard Unclear economic benefits, excessive investments Insufficient qualifications of employees. Big Cultural Change Lack of standards, regulations and forms of certification Digitalization required both at OT and IT levels Low maturity level of required technologies Unresolved questions concerning data security Need to complete the 3 rd revolution before starting the 4 th one 11
The Independent Solution Provider for Smart Digital Transformation our experience, your success Mike James Thank You mike.james@ats-global.com +31 (0)654333987 LinkedIn Facebook Twitter YouTube 12
Good Bad Ugly Industry 4.0 Mike James Chair AT S Global 13