Upload
others
View
3
Download
0
Embed Size (px)
Citation preview
© PA Knowledge Limited 1
TOWARDS INTERNET OF THINGS ENABLED SERVITIZATION
(HANS MULDERS, ATHENS DECEMBER 8TH 2016)
© PA Knowledge Limited 2
Introduction
Business value from IoT
Disruptive innovation with smart manufacturing / I4.0
Strategies to make digital innovation happen; stepwise towards servitization
Demystifying servitization; business model design & example
IoT-enabled servitization & references
Knowing where to start
TOPICS
© PA Knowledge Limited 3
PA CONSULTING GROUP – Consulting, Innovation and Technology
• Consumer and Manufacturing
• Transport and Logistics
• Financial services
• Energy & Utilities
• Life sciences
• Healthcare
• Defence and security
• Government and public services
Oslo
Stockholm
Copenhagen
Bangalore
WellingtonDoha
Dubai
Abu Dhabi
New York
Boston
Denver
Los Angeles
Princeton
Washington, DC
London
Cambridge
Belfast
Birmingham
Edinburgh
Manchester
Dublin
Frankfurt
Munich
Utrecht
EuropeNordics
US
Gulf Asia
Pacific
Introduction
Our Cambridge Technology Centre is a key differentiator, with a team of 300 scientists and engineers able to design and deliver innovative smart devices and sensors
© PA Knowledge Limited 4
HANS MULDERS
Experience
• Informatics Management Consultants
• Oracle
• Xerox
• Cumae Engineers
• PA Consulting Group
Education
• BSc Software Engineering
• MSc Technical Mathematics & Informatica
• MSc Industrial Management
• Master Enterprise Architecture
• Postgraduate Corporate Finance
Introduction
© PA Knowledge Limited 5
THE TIME IS RIGHT: BUSINESS VALUE FROM IoT
A combination of new technology and economic factors are
driving rapid growth in the development of the Internet of
Things.
In many industries, IoT is disrupting traditional business
models causing companies to ask the fundamental question,
what business am I in – selling products or selling
services?
• China planning to invest €1.2 trillion to transform their
manufacturing sector
• US planning to replace 20% of industrial equipment over
the next 5 years
• EU earmarked €1.1 billion for the Factory of the Future
initiative
• German companies investing €40 billion annually in IoT
projects
This is leading many private and public sector organisations to
ask how can we use the Internet of Things to create new
sources of value.
“If you went to bed last night as the CEO of an
industrial company…this morning you’re going
to wake up the CEO of a software company”
Jeff Inmelt, CEO of GE
30 billion
devices connected to the
Internet of things by 2020
$11 trillion
Impact on the global
economy by 2025
Source: IDC, McKinsey 2015
Introduction
© PA Knowledge Limited 6
BUSINESS VALUE CREATION FROM DISRUPTIVE INNOVATION
Disruptive
Innovation
Disruptive innovation
Market Pull
Technology Push
Joseph Alois Schumpeter
(1883 – 1950)
© PA Knowledge Limited 7
DISRUPTIVE INNOVATION: SMART PRODUCTS & SMART FACTORIES/I4.0
Source: Prof. dr. dr. A. W. Scheer CeBIT 2015
Disruptive innovation
© PA Knowledge Limited 8
STRATEGIES TO MAKE DIGITAL INNOVATION HAPPEN
Source: Prof. dr. dr. A. W. Scheer CeBIT 2015
: Build – Own - Operate
Disruptive innovation
© PA Knowledge Limited 9
DEMYSTIFYING SERVITIZATION
Central theme: “Product as a Service”
Current: output focus (e.g. expertise & advise)
Ambition: towards managed solution (i.e. value add within
existing/only slightly modified business model)
Central theme: “Field Service Management”
Current: product focus (i.e. planning of engineers on
the road and spare parts logistics)
Ambition: from reactive to predictive maintenance via
remote sensing & actuation (i.e. applying enabling
technology: IoT & data-analytics potential)
Solution
Maintenance
Managed
Solution
Central theme: “Solution as a Service”
Current: outcome focus (e.g. turn-key
full-business service concept)
Ambition: innovation (i.e. completely new
business activities & new business
model)
ServitizationCan be building block for…
Can be building block for…
Smart services
© PA Knowledge Limited 10
Servitization: example New Business Model Innovation: Philips Healthcare
OF
FE
RIN
GS
MARKETS
Se
llin
g
Pro
du
cts
Se
llin
g
Ou
tpu
t
Se
llin
g
Ou
tco
me
Buying
Products
Buying
OutputBuying
Outcome
© PA Knowledge Limited 2016
Deliver CT scanner
Become customer
centric for hospitals
Deliver Scans
Build database
Add Algorithms
Support
diagnosis
Smart services
© PA Knowledge Limited 11
IoT ENABLED SERVITIZATION
Creating value through IoT
IMPROVING EFFICIENCY
NEW SERVICES AND BUSINESS MODELS
Remote asset
management
Predictive
maintenance
Better decision
makingProcess
automation
Improved product
performance
Deeper customer
relationships
Service-based
business models
Monetising data
& insight
Organisations are using the
Internet of Things to create
new value in two ways;
• improving operational
efficiency and
• launching new services
and business models
IoT enables Servitization
© PA Knowledge Limited 12
NEW BUSINESS MODELS HAVE TO BE DESIGNED: PA’s BD METHOD
market model
market value
customer model
customer needs segments customer value propositions channels and partners
capability model how to deliver value for our customers?
which resources
ENTERPRISE ARCHITECTURE
&
SKILLED PEOPLE
how to organise
ORGANISATIONAL
GOVERNANCE AROUND
DELIVERY OF PRODUCTS AND
SERVICES
what to source from outside?
MAK / BUY DECISIONS
how to
manage?
which resources to get from suppliers?
financing model how to realise value?
how to realise value
how to manage finance
IoT enables Servitization
© PA Knowledge Limited 13
Following the Business Model, at PA we design, develop and deliver highly scalable and secure IoT Solutions with our Clients.
DESIGN IOT STRATEGY
Agree business objectives | Define market opportunity | Design new customer propositions | Identify new capabilities
SECURE THE IOT SYSTEM
Identify security risks | Develop security solutions | Ensure compliance with security & privacy regulation
DESIGN AND BUILD THE IOT SYSTEM
Sensors &
devices
Wireless
comms
Cloud
storage &
services
Analytics &
data
visualisation
User services
& experience
Drive
business
objectives
COLLECT ANALYSE VISUALISE ACT & AUTOMATE
DESIGNING AND BUILDING END-TO-END IOT SOLUTIONS
IoT enables Servitization
© PA Knowledge Limited 14
IoT REFERENCE ARCHITECTURE (Scalable and Secure)
Collect Analyse Visualise Act/Automate
Device
Endpoints
Device
Manager
Data Storage
Analytics
Rule Engine
Application
UI & APIs
Messaging &
AlertsMachine
Learning
Device
Gateway
Stream
Processing
Integrate
with
enterprise
systems &
processes
Applications
Security / Encryption and Authentication
CAD
PLM
CRM
ERP
MES
Advanced
Integration
Platform
Cyber Physical System
IoT enables Servitization
© PA Knowledge Limited 15
IoT & Data Analytics as a Servitization act itself
Measurement data
Mathematical Model
Goal-optimized scenario
Revised systems set-up &
control signals
Controlled CPS
(Cyber Physical System)
IoT & Data Analytics
Basis material, partial-
product
Machine / manufacturing
equipment
Consumer goods & capital
assets
Product-related service as
solution
Service-related managed
solution
Servitization
input
produce
use/apply
input
simulate
actuation
sensing
predict & implement
recycle
product
enhancement
proposalsunburden & own
machine
learning
Product
Output
Outcome
IoT enables Servitization
© PA Knowledge Limited 16
Challenges in bridging `business systems world´ and `industrial automation world´
Aggregation of high volume unstructured data
into structured data
Bridge digital signal processing and business
transaction processing worlds (hybride cloud)
Networking & interfacing standards and
protocols
Secure systems integration and secure
(external) data exchange
Cyber business
applicationsCyber-Physical-Systems
(of Systems)
Business transaction
processingDigital signal processing
Volatile, streaming & high-
volume unstructured data
Archived, structured and
aggregated data
Real-time and process-
status change triggers
Periodic & business event
triggers
Closed factory / equipment
automation systemsOpen & collaborative
business systems
(A)Synchronous systems integration and data
processing
Register-process-report-
archive-BI cycle
Sense-pre-analyse-decide-
actuate cycleUse status data to adapt business systems set-
up, simulate & optimize for adaptive control loop
Cyber
ecosystem
Secure
Integrated
Data
standardized
Adaptive
controlled
Synchronized
ERP IoT/IoSChallenges
MES
Objectives
IoT enables Servitization
CPS
© PA Knowledge Limited 17
DRIVE AND RELEASE CHANGE EFFECTIVELY: PA’s CM Framework
Build and communicate
a compelling case
for change
Design and drive
the programme
Design the business
Enable change
leadership
Engage and
enable people
Embed new
behaviours
MAKE ITESSENTIAL
MAKE ITREADY
MAKE ITHAPPEN
MAKE ITSTICK
Developcase for change
Communicatechange narrative
Trackbenefits
Realiseand communicate
benefits
Agreescope and
governance
Developdetailed plan
Deliveragainst project
milestones
Review and support
transition to BAU
Designoperating model
change
Deliverbusiness design
changes
Developimprovements and
embed KPIs
Formand develop
guiding coalition
Buildcapability
Drive commitment
Personifychange as the new normal
Assess impact and engage
change agents
Providetraining and support
transition
Maintain engagement activity
and feedback
Definethe desired behaviours
Identifybehavioural gaps
and levers
Implementchanges, empower
staff
Anchor changes, celebrate
successes
Definechanges to
business model
Identify and understand
stakeholders
IoT enables Servitization
© PA Knowledge Limited 18
Internet of Things – helping you create new source of value
IoT enables Servitization
© PA Knowledge Limited 19
5. Roll out scalable and secure IoT
system
3. Develop and
test proof of
concept
prototype
1. Define IOT strategy,
business goals and concepts
4. Design and operate pilot
Finish: continuous
improvement6. Operate, sense, optimize, actuate
2. Build demonstrator
1
Ideation
2
Learn &
Create
Awareness
4
Pilot5
Implement
t
6
Exploit
How we work
Our goal is to quickly demonstrate the value IOT can deliver
for our Clients. We take an agile approach allowing us to
build, test and learn stepwise. This way Clients build
confidence in their solution before investing in the next
stage. We can start at any stage in the process depending
on specific needs of each Client.
How we Design, Develop and Deliver highly scalable and secure IoTsolutions with our Clients
3
Prototype
Where to start
© PA Knowledge Limited 20
Mfffff
THANK YOU !