Industrie 4.

0
From Vision to Reality. Challenges and Opportunities
IBM Architektentage Nov 12-2013
matthias.dietel@de.ibm.com

2013 IBM Corporation

Friedrich Vollmar

Content

Positioning Industrie 4.0

Vision Industrie 4.0

Challenges and Chances

For Implementation of Industrie 4.0

For Enterprises

For Software-Developers

2 2013 IBM Corporation

Friedrich Vollmar

Development of Industrie 4.0

2011
German Government commissioned ACATEC study how to maintain competiveness
of German Industry.
Oct 2012
First draft of study, a vision of the next industrial revolution named Industrie 4.0
Wide participation of industry, industry associations, academia
Apr 2013
Final version of study delivered
----------------------------------------------------------------------------------------------------------------------------------------
2013
Plattform Industrie 4.0 launched by Bitkom, VDMA,ZVEI to manage implementation of Industrie 4.0
Workgroups established for
Integration-Reference-Architecture and Standards.
Security and safety , Strategy and goals, Definition of further research areas
Similar initiatives in the US and China
Forecast
Development of Industrie 4.0 similar to development of the Internet
Full implementation of Industrie 4.0 will take 6-15 Years
Additional information http://www.plattform-i40.de/

3 2013 IBM Corporation

Friedrich Vollmar

The 4th Industrial Revolution named Industrie 4.0

In an Industrial Revolution productivity rises by a factor X
In parallel, society is changing substantial and for ever.
F4 ?
Lot-Size 1
Moors Law
F5 F 2 /18 Month
F 10 +
F4

Manufaktur
Specialization
Ceramic of work
13.000 v.C
?? Xenophon
400 v.C

Technical Organizational Technical Organizational Technical Organizational

Innovation Innovation Innovation Innovation Innovation Innovation

Xxxx years 2000 Years 150 Years 70 Years 45 Years

4 2013 IBM Corporation

Friedrich Vollmar

Positioning Industrie 4.0 - Smart Factory

Cusotmer order: 50
transmissions until Mon
Saturaday not
available for work

I take over the

magazinze refilling Magazine empty,
please refill
Capacity exhausted
Switch until Friday
me on

Saturaday not
available

Has to be at
shipment in 2hrs

Source: Fraunhofer
5 2013 IBM Corporation
Friedrich Vollmar

Positioning Industrie 4.0 Intelligent Product

Small control units replace large central control units
Proprietary fieldbus will be replaced by IP-protocoll stack

Smart-Factory: Production control e.g. via RFID-technology

The intelligent product as information container !

knows its
individual configuration
Current position in the production flow
destination
client

The intelligent product as agent influencing its environment:

Der Rohling sagt wie er bearbeitet werden will
Er beantragt beim Roboter, wie er bspw. eingefrbt wird.
Das Bauteil organisiert seine Produktion selbst

The product as observer

Is actively monitoring itself and its environment

= complete turnover of previous production logic

6 2013 IBM Corporation
Friedrich Vollmar

Vision Industrie 4.0

Internet of people, Internet of things, Internet of services etc merge
New value chains thru horizontally + vertically integrations in real-time

7 2013 IBM Corporation

Friedrich Vollmar

Key elements of Industrie 4.0

Technical Base Economic Expectations

General Preconditions ROI
Cheap powerfull Microelectronic and
available Networks Lot size 1 for the price of a mass-
Connections of Systems thru Software product
Productivity + Factor 2
Resource-input - Factor 2

Industrie 4.0 Integration-Architecture Innovation

Integration of all Instances on base of an open
peer-to-peer architecture Production steered by the product

Cooperation and Communication along the Intelligent Products offer more flexibility
value chain in realtime and can be adjusted dynamically over the
Vertically Machine to Internet ,
Machine to Human complete live-cycle
Horizontally Machine to Machine (M2M)
For the complete live.cycle New value-chains
Adaptions for Pre-Industrie 4.0

New business models

Timeline
Step by step over the next 5-15 Years

8 2013 IBM Corporation

Friedrich Vollmar

Industrie 4.0 Integration Architecture has to be defined

Integration, communication and cooperation of all elements of the value chain vertically and
horizontally across boundaries in real-time is the base of Industrie 4.0
Acatec Study recommends SOA as possible architecture option
Established integration architecture mandatory preconditions for Industrie 4.0

User
SoftwareSystems Future

M1-X ? M2-X

Pre Industrie 4.0

Legacy
9 2013 IBM Corporation
Friedrich Vollmar

Can SOA be a candidate for the interoperability backbone of

Industrie 4.0 ?

IBM Study in Q1-2013

Industrie 4.0 requirements compared with functionality of proven IBM SOA implementation
Findings:
SOA base elements are suited to support Industrie 4.0 Integration-Use-Cases
Today, a rich portfolio of SOA components is available
Proven IBM SOA technology offers a solid base for further Industrie 4.0 innovations
IBM integration-technology scales for future growth

Outlook:
Industrie 4.0 integration-backbone can be implemented anytime from now on.
Selection of technology and standardization is task of the Workgroup Integration-
Architecture
Possible extension
Industry specific semantic models
Verification-platform

10 2013 IBM Corporation

Friedrich Vollmar

Risk and Chances for Implementation of Industrie 4.0

Chances :
Industrie 4.0 will reach set goals -> Invest of Industrie 4.0 Partner pays dividend

Risks
Partner cannot agree on a joined standard or agreement process takes too long
Technology not ready for production
Industrie 4.0 too early, no appropriate ROI for Industrie 4.0 Business models
Evaluation Risk versus Chances :
All partners in Plattform Industrie 4.0 committed to success.
Base - Technologies are available and proven
The next Industrial Revolution is in the air
German Industry Associations have a proven track record to manage complex
multi-partner projects.

Result : Risks seem to be manageable

Fair chances, that Industrie 4.0 will succeed and become reality.

11 2013 IBM Corporation

 Friedrich Vollmar

Challenges and Opportunity of Industrie 4.0 for Enterprises

Start Your Industrie 4.0 Initiative

Biggest risk is to miss an industrial revolution
Opportunity of competitive advantage
Competitive advantages thru enhanced productivity and early market entry
Differentiate thru Industrie 4.0 based innovation

12 2013 IBM Corporation

Friedrich Vollmar

Challenges and Opportunity of Industrie 4.0 for Enterprises

Industrie 4.0 is an all industry team - game

Benefits generated thru Interaction , Integration and Cooperation
No Enterprise can implement Industrie 4.0 on its own
Well synchronized team work along value chain is mandatory for Industrie 4.0

Organization of teaming needs agreed joined rules and standards

Industrie 4.0 is like .

switching from Golf to soccer

13 2013 IBM Corporation

Friedrich Vollmar

Challenges and Opportunities of Industrie 4.0 for Enterprises

Industrie 4.0 peer to peer cooperation

asks for a new management style
Employees have to be organized as
self-organized, self-responsible Teams
Enlarge chances and reach in markets
thru Industry-Value Chain- Networks

14 2013 IBM Corporation

Friedrich Vollmar

Challenges and Opportunities of Industrie 4.0 for Enterprises

Lot-size 1 : Un-known consumer replaced by directly interaction with customer

Customer is better known, precise demand analysis and management
Opportunity for additional new offers and better customer relationship

Design Design

Production Production Communication

Retail

Customer
Consumer
15 2013 IBM Corporation
Friedrich Vollmar

Challenges and Opportunity

New technology impacts the value chain . Example : 3 D printing

Technology available to print Spare-Parts on

Design
demand locally. ( ca. from 2020 )
Benefit : Faster supply , enhanced customer-
satisfaction
Production
Savings in Logistics + Spare-Part Communication
Management

Possible new value chains and new player

A) Digital Product send to Industrie 4.0

trusted 3 D Print Center

B) Local digitalization and printing as

specialized local service of its own
3 D Print
- C) 3 D Print as business extension to
IT Internet company
locally
- D) Other combinations
Customer

16 2013 IBM Corporation

Friedrich Vollmar

Software will connect everything

Software will bring different industries into functional overlaps and competition

IT-Services Machine Builder

Entertainment- Finance-
electronics Services
Risk

Chemical/ Pharma Softwareftwa Telecommunication

Chance

Alliances
Electronics
Automotive
Services
Commerce industry
Agriculture

17 2013 IBM Corporation

Friedrich Vollmar Continental Developer Conference

Challenges and Chances for Software Developer

Chances :
Software and Software development will grow in size and importance
Grow expertise in new technologies

Challenges
New abilities needed
Teamplay across teams and industries
Thinking in functionality AND value-chains
Thinking in parallel processes and networks
Preparing for agile, fast and innovative development work
New IT skills for new technologies ( BigData, Mobile, Cloud, Networked Software)
New competition from teams from other industries
360 degree view needed

Risk :
In Software, very often there are only 1-3 winning teams in the market.
Make sure, You bring Your team forward to win
Hybris : The very moment You think to be the winning team and lean back
You very probably entered the path to loose.

18 2013 IBM Corporation

Friedrich Vollmar

/ Nowadays, a small team of talented programmers

can change the world /

Marissa Mayer CEO Yahoo 2013

as response to the question how to revitalize Yahoo

for our Partner

19 2013 IBM Corporation

Friedrich Vollmar

Thank You for Your attention

Danke fr Ihre Aufmerksamkeit

20 2013 IBM Corporation