Cloud astheenablerfornewvalue chains...Software installation and update, Client for Smart Devices, Remote Services Thing Interfaces, physical/chemical to digital converters, can also

Page: 1Gesprächsoffensive Digitale Produktion | Dr. Christian Schlögel | 30.06.2016 | www.kuka.com

Cloud as the enabler for new value chains

Dr. Christian Schlögel

CTO KUKA AG


Agenda

Digitalization Enablers2 Dimensions

Transformation of Value ChainData Value Stream

What we can offer Where to start Questions

Cloud Architecture


15 Years ago

Today –manufacturing

A fundamental new rule for business is that the Internet changes everything.

Bill Gates, 1999

Digitalization has disrupted many areas. Manufacturing disruption is underway!

Source: based on IIC

• …but in 1999, we had the Internet of people only!

• The Internet of Things (IoT) is changing much more!

TodayWatching a movie

Listening to music

Reading the newsMaking music

The future of manufacturing

is orange

Contacting people


4 additional technological enablers will push the Industrie 4.0 (r)evolution:Cyber physical systems and the trend of ‘softwarization‘

Synergies and increasing integration of 3 central innovation fields within digital technologies

• Embedded systems – mobile devices

• Global networks (WWW, Mobile TelCo)

• High performance software systems

leading us to the world of Cyber Physical Systems


Additional technological enablers will push the Industrie 4.0 (r)evolution: The Automation Pyramid vanishes… regarding Communication

Source: VDI/VDE Broschüre „Cyber‐Physical Systems: Chancen und Nutzen aus Sicht der Automation“

IEEE 802.1 Time Sensitive Networks


Additional technological enablers will push the Industrie 4.0 (r)evolution:Fog Computing will work as an enabling technology for the shopfloor

Fog Computing will play a necessary bridge to connect the physical world to the internet

Device Management, Data Management, Data Analytics, Visualization, System Management, etc. see cloud scenarios

Device Management, Data Management, Data Analytics, Visualization, System Management, etc. see cloud scenarios

Gateway to the Cloud Layers (SIM, Outbound VPN, several protocols), Communication Infrastructure for the things (Switch, Access Point, Transparent listener to legacy field busses), Client for Smart Devices, Software installation and update in the things, Skills data base, Data collection from the things, Safe/Non safe control of several things, Navigation, Engineering, Simulation, Recognition, more tbd.

Cloud Protocols and Interfaces (Northbound), Sensor/Actuator Interfaces (Southbound), Data Collection, Filtering, Logging, Localization, Identification, Alarms, Software installation and update, Client for Smart Devices, Remote Services

Thing Interfaces, physical/chemical to digital converters, can also have elements of a thingSensor Act. Layer

Thing Layer

Fog/Edge Cloud Layer

Private Cloud Layer

Public Cloud Layer


4 additional technological enablers will push the Industrie 4.0 (r)evolution:Open standards are driving the next level of manufacturing systems

Co‐founded by KUKA

Combination initiatedby KUKA

802.1


2 High‐Level Use Cases in Focus

DigitalProduction

&Logistics

ConnectedSmart

Products&

Components

CPS (Cyber Physical Systems)+ Connected to the Internet+ Machine2Machine Connectivity

‐Wireless Communication‐ Sematical description

Embedded Systems+ Sensors & Actuators+ High Performance Mini Computers

Physical Systems

Cyber PhysicalProductionSystems

Cyber PhysicalSystems

High LevelUse Cases

High LevelSystemDifferentiation

Production & LogisticsProvider

Product & ComponentSupplier

How toincrease

flexibility & efficiency

How toincrease

customer value


Different use cases but similar requirements

Digital Production & LogisticsConnected/Smart Products

& ComponentsCustomerValue

Usage of Data

Usage of CloudTechnologies

Optimizing ofValue Chain

Smart Production Equipment & Machines

Data Aggregation & Control by Fog

Data Collection in Cloud(s)

Monitoring

Extension

Optimization

Remote Management

Asset Management

MES / LES

New ServiceOfferings

Real‐timeInsights

Benchmarking Higher Flexibility

Smart Products & Components

Data Aggregation & Control by Fog

Data Collection in Cloud(s)

Monitoring

Extension

Optimization

Remote Management

Asset Management

Better offerings /pricing

New ServiceOfferings

Real‐timeInsights

New Business Models

Continous customervalue improvements


Steps by using smart technologies

Monitoring

Control

Optimization

Automation

Monitoring of:‐ Product Status‐ Environment‐ Usage

Control via Cloud/Fog of:‐ Product Functions‐ Personalization‐ Safety

Optimization to:‐ Enhance product

outcome‐ Predict maintenance‐ Remote Service‐ Increase availability‐ Enhance customer

value

Combination of monitoring, control and optimizationenables‐ Automated product usage‐ Autonomous alignment across

other products and systems‐ Automated product extensions‐ Self diagnosis and service


Evolution of Service Models

Transactions

Contracts

Customer Value

Diagnosis & RepairSelling of parts and time

Service Contracts andService Level AgreementsSharing of risksReduction of TCO

Optimization of Assets, Process andOutcomeData Analysis are Basis for decisions


Value stream inside the data stream

Smart, connectedproducts / smart

production machinesLocation, Status, Usage

Environment

Weather, Inventories,Prices, Social Media

Company

Service history, SLA,Contracts, Incidents

Data sources

Data Lake

Unstructured,Different Formats

Analytics

Monitored

Location, Status, Usage,Environment

Classical

Evaluation of root causes ofissues

Predictive

Recognition of patterns topredict future events

Preventive

Identification of actions toprevent events

Data Infor-mation

Know-ledge

Data usage

Company

Customer

Partner

Control & Optimization


The new manufacturing company – data as an additional company asset

• Product as data generatorIn the past: data were created by internal processes along the value chain combined with internal knowledge of markets and customers. Now: product/machine is generating data in a big way – these data have to be combined with the intrnaldata and environment data

• Data analyticsNew competitive advantage leads to a new corporate function, challenge is that these data lakes areunstructured and have to be analyzed by dedicated tools, digital twins are the anchor for the different types of data


Usage of data is transforming the whole value chain I• Product Developmentcomplex system of HW and SW, functions embedded in the product and functions in the cloudProduct variability by SW and low costs; continous improvements of products; new UI technologies and augmented reality; continous quality management; remote and connected service; source for new business models; connection to other internal and external systems)

• Production/ManufacturingConnected and smart production machinesIncreased availability by predictive maintenanceHigher output by optimization using big dataBetter quality by using data driven and real‐time quality managementSimpler (mechanical) components by using softwareUsage of more sensors in production equipment and in production componentsNew manufacturing processes (individualization at customer side) ‐> scale effectsRobot based productionContinous manufacturing process (cloud SW offerings after delivery as standard)Cloud infrastructure as part of the production infrastructure


Usage of data is transforming the whole value chain II

• LogisticsAutomated recognition of product movementsData about the movement, status of the product, path for the movement, environment during movementManagement of big fleets of small automated vehiclesOptimized delivery plan based on environment data

• Marketing / SalesChange of focus of the customer relationship: not the sales situation as a single event‐> ongoing optimization of customer valuesNew ways of customer segmentation by evaluating realtime usage profiles of productsBetter fitting proposals based on usage dataDirect and continous customer contactNew business models based on customer valueFocus on systems not single products: not function and quality of single product ‐> system viewPartnerships and Alliances to optimize systemsNew sales incentives and more complex revenue streams


Usage of data is transforming the whole value chain III

• ServiceEfficient and predictive maintenance (remote repair preparation, asset management, digital repair assistant)Remote maintenance (complete remote repair, assisted remote repair)Predictive maintenance (Big data analytics and prediction models, SW distribution and update)Customer service assisted by augmented reality (new ways of collaboration)New service offerings (extension of guarantee, benchmarking, optimized usage and configuration)

• Security/ITHolistic responsibility for security by every functionSmart products are broadening the field for Hackers and Cyber attacksAlliances for cyber security & Best practices

• HRCapabilities of HW and SW required ‐> new competencies neededCloud, Mobile, Agile Development ProcessesSW Business understandingSW company culture (different takt rate in SW)New payment models (flexible working time, sabbaticals, time for creativity, …)


The ‚new‘ smart infrastructure

SoftwareSW with Data Logging & Computing

Product Hardware

Hardware with sensors/actuators

Network connection(OPC-UA / TSN)

ProductCloud

Product Database(Usage Data, Sensor Data, Task Data)

Application PlatformAnalytics Engine

Smart Product Applications(Control, monitor, optimization,

Energy Efficiency, Predictive Maintenance)

Identity &Security

(User Profiles,SystemAccess,

IT Security)ExternalData

Sources(EnergyPrices,

GPS Data,tbd…)

EnterpriseSystems

(ERP,CRM,PLM,,…)


Human Human/machine interface

Strategic partnersApps for all layers

Robot and process

Edge/Fog

Cloud platform

Set value

Actual value

Stan

dardized Communication

Marketplace

Cloud services

Marketplace

Asset efficiency & Big Data Mgmt.

IIP Big Data Platform

Intelligent machines

5G Communication

Real‐Time Fog Node

KUKA offers a complete solution and opens up an Eco‐System –Strategic partners augment our holistic solution


connyun.connect I4.0 Middleware

Supervision ControlObject Recognition

Supervision Safety

Machine as a Service : Sensor Integration

Machine ConfigurationData ExtractionData Collection/Aggregation

Secure CommunicationProtocol Conversion

Secure Remote Access

Machine as a Service:

Machine UI

Machine Data Analytics

SW Distribution & Rollback

Secure CommunicationProtocol Conversion

Secure Remote Access

Machine as a Service : SW System Manager

1 middleware, 3 usages, 1 success formula: Enabling ‚Machine as a Service‘

Digital Visibility Digital Management Digital Machine1 2 3

Digital visible machine Digital managed machine Cloud machine

Edge/Fog


What is our offering?

We are able to offer a complete stack combined with domain knowledge & machines

• Apps & Cloud‐Services Eco System• Digital production & Logistics / Smart Products focus• Technology Components• Industry 4.0 Middleware

• Industry 4.0 ready Intelligent Machines• Domain Process Content

Central Industry 4.0 team

• Evangelization, I4.0 Program coordination• Enabling New Business Models• Coordination of KUKA Apps & Cloud Services

Eco‐System Partners

Holistic Industry 4.0 offering


Deployment Models – we are playing in all environments

AppStore

Cloud

Customer

Cloud native Cloud OEM

AppStore

Cloud

Customer

Cloud embedded

AppStore

Customer

CloudMicrosoft

Siemens

SAP, …

Customer benefits:• Data Center & upgrade provided• Usage Fee• Scalability

Customer benefits:• No public cloud access• Own Data Center• ….

Customer benefits:• Embedded in customer cloud• ….


Use Case: Smart Production & LogisticsThe power of a holistic asset management: moving into asset efficiency

DigitalTwin

MasterData

ProcessData

ServiceData Dynamic

DataConfi‐gurationData

Digital Insight Suite‐ Asset Efficiency

MaintenanceEfficiency

ConditionMonitoring

PredictiveMaintenance

MaintenancePlann. & Schedul.

Root cause analysi.& anomaly detect.

OperationsEfficiency

ProductionOptimization (OEE)

Prod. Planning& Scheduling

InventoryOptimization

StatisticalQuality Control

ServiceEfficiency

RemoteManagement

Field ServiceManagement

Material MgmntSpare parts

Supply ChainAnalytics

Energy/SafetyEfficiency

EnergyManagement

AssetSustainability

Safety Mgmnt(EHS, Alarming)

RegulatoryCompliance

Data Efficiency

Master DataModelling

Asset LifecycleData Model

Digital BirthCertificate

KnowldegeManagement


Use Case Smart Products & Components

ConnectedSmart

Products&

Components

SmartServicesBased onData

UsageData

ServiceData

ProductionData

Energy /SafetyData

ConditionMonitoring

PredictiveMaintenance

EnergyUsage & Optim.

RemoteManagement

SafetyRegulations

DigitalBirth Certificate

MatchingDevelop.&Usage

LocationInformation

Smart Service UpSell on Demand and on Situation based on Data

ReliableProduct g

OptimizedUsage p

HigherUptime

Energy Effic &Safe Product

gFaster

Diagnosis pBetter fittingproducts p

Serviceupsell g

Compliance &Regulations

Supplier Benefits

Customer Benefits


connyun – Focus on customer value

Your fast start to Industrie 4.0

Connectivity Kit

‐ Connect your production fleet‐ Extract data & Create insight‐ First prototype in 1 day

Automation Cloud

‐ Drive asset efficiency to thenext level

‐ Optimize by big dataanalytics content

‐ Enable new service‐orientedbusiness models

Appstore

‐ Make use of the availableautomation know‐how

‐ Get solutions of our eco system‐ Extend by your fingertips

1 2 3

connyun.cloudconnyun.connect connyun.apps


Where to start

• Define digital strategy based on customer value

• Do a fast Proof of Concept to learn by implementing

• Select partners for an implementation (focus on months, not years)

• Use Pay as you go models as far as possible

• Start to collect data and extend by sensors to build the basis for analytics

• Use Fog computing to minimize impact on your current networks

• Rethink digital implications along your value chain

Edge/Fog


Any questions?

Documents

Cloud astheenablerfornewvalue chains...Software installation and update, Client for Smart Devices, Remote Services Thing Interfaces, physical/chemical to digital converters, can also