the industrial internet: automation and analytics

The Industrial Internet: Automation and Analytics

Claude BaudoinOwner and Principal Consultant @cbaudoinApril 25, 2016

2

The Industrial Internet in Numbers• GE: $32.3 trillion opportunity representing 46% share of GDP today• Cisco: Internet of Things (IoT) will increase private sector profits 21% and add

$19 trillion to the global economy by 2020• Gartner: IoT product and service suppliers will generate incremental revenue

exceeding $300 billion in 2020• McKinsey Global Institute: $33 trillion operating costs of key affected industries

could be impacted by IoT• Why?

• New products and services• Operational efficiencies that will drive down costs• Improved service levels

Sources: GE, Cisco, Gartner, McKinsey

3

IoT or IIoT?• There is a fine

line between consumer IoT and industrial IoT

• Some applications integrate both

• Smart cities• Smart grid

• Solutions will migrate across the two domains

4

Opportunities in All Industry SectorsBeyond the numbers, the Industrial Internet is changing how things work.

* Projected savings are based on 1% efficiencies/savings

Source: Industrial Internet: Pushing the Boundaries (2012, Evans & Annuziata)

$30Bfuel cost saving

in aviation industry

$66Bfuel cost saving in gas powered

fleets

$63Bproductivity

improvement in healthcare

$90Breduction in

Capex in O&G E&P

92Mvehicles with

Internet connectivity on

the road by 2016

68%decrease in crime rates with video

surveillance

12

The Industrial Internet Consortium• Founded in March 2014• About 240 members

• Large industry• Small industry• Nonprofit, academic and government

• Defines the Industrial Internet as“An internet of things, machines, computers and people…enabling intelligent industrial operations…using advanced data analytics for transformational business outcomes.”

IIC Founder Companies

13

What the IIC DoesWorking groups create interrelated deliverables to engage the community and influence standards organizations

14

Industrial Internet Reference Architecture (IIRA)• Based on a hierarchy of

viewpoints• Business• Usage• Functional

• Further decomposed at right • Implementation

• Spans the scope from automation to analytics and connects the two

• Assumes a 3-tier architecture• Edge, platform, enterprise• Related to the concept of “fog

computing” (Cisco)

15

IIC Testbeds• Smart Manufacturing Connectivity for Brownfield Sensors• Intelligent Urban Water Supply• Outage Management (uses Predix, GE Aero is a partner)• Condition Monitoring and Predictive Maintenance• Asset Efficiency (GE is a partner)• Smart Facilities• Track & Trace• Security Claims Evaluation• Factory Operations Visibility and Intelligence• Industrial Digital Thread (GE is a partner)• Smart Supply Chain• Smart Water Management• Connected Care (changed from Predix to ThingsWorx because GE pulled out of the testbed)• Time Sensitive Networks

16

IIC Testbed: Track & Trace • Industrial Internet Consortium Member participants:

• Bosch, TechMahindra, Cisco, National Instruments• Market Segment

• Industrial Manufacturing• Power Tool Fleet Management

• Goal• Manage smart, hand-held tools in manufacturing,

maintenance and industrial environments• Features & Commercial Benefits

• Asset Management, Work Management• Integration with Factory Manufacturing Systems• Improved Safety and Operational Performance• Monitor/Control Quality

17

IIC Testbed: Communication and Control for Microgrid Applications• Collaborators

• Leads: RTI, National Instruments, Cisco• With: CPS Energy (San Antonio), Southern Cal Edison, Duke Energy, SGIP

Market Segment• Energy Industry

• Goals• Introduce the flexibility of real-time analytics and control to increase

efficiencies and ensure that power is generated accurately and reliably to match demand

• Features & Commercial Benefits• Enable efficient integration of solar and wind into the grid• Create a dynamic, open marketplace for smart grid vendors• Prove the viability of a real-time, secure DataBus distributed-control

architecture in real-world grids

Neighborhood MicroGrid

Solar

Field Network

Wind

Local load control

18

IIC Testbed: International Future Industrial Internet (INFINITE)• Participants

• Members: EMC Corporation and Cork Institute of Technology• Other Participants: Vodafone, Irish Government Networks, Asavie, and

Cork Internet Exchange• Market Segment

• The scale and scope of the project means INFINITE can be used across a wide and diverse range of industries and sectors

• Solution• Completely virtual domains that are able to be connected via mobile

networks• A solution that allows multiple virtual domains to securely run via physical

network. • Commercial Benefits

• Ideal for mission-critical systems• Industrial Internet applications in an environment that resembles real-

world conditions

19

IIC Testbed: Condition Monitoring & Predictive Maintenance • Member Participants

• IBM and National Instruments• Market Segment

• Predictive maintenance cuts across multiple market segments like power plants, manufacturing, process, mining, transportation, aerospace, and defense

• Goals• Develop new predictive maintenance analytics modeling techniques• Document standard and secure architecture patterns and data formats for

predictive maintenance in the Industrial Internet era• Commercial Benefits

• Increase equipment uptime and prevent catastrophic failures• Provide condition monitoring data to experts thru the cloud

20

IIC Testbed: High-Speed Network Infrastructure • Member Participants

• General Electric, Cisco, Accenture, Bayshore Networks

• What is the High-Speed Network Infrastructure?• 100 Gbps to support seamless M2M data

transfer across connected control systems, big infrastructure products and manufacturing plants

• Commercial Benefits• Instantaneously connect and control

machines located thousands of miles away

21

IIC and OMG: Partnering on IIoT Standards• OMG supplies IIC participants with options for standards-based modeling

and implementation• Systems Modeling Language (SysML)• Interface Flow Modeling Language (IFML)• Data Distribution Service (DDS)• … and more

• IIC supplies OMG with requirements and testbed results that help drive the roadmap for standards

• One concrete result: a DDS/OPC-UA Gateway is under development

22

Cybersecurity: a Key IIoT Challenge

• Security challenges in IIoT were raised in 2013

• Few people listened

• First connected devices had basically no security

• Connectivity improved faster than security

• The Industrial IoT cannot afford the low level of security of consumer IoT

• We’re now seeing awareness and actual work: better late than never

23

Summary and Conclusion• The IIoT went quickly from concept to reality

• It presents huge opportunities

• It still doesn’t come in a neat box with batteries and instructions

• Security thinking is lagging behind connectivity thinking

• Don’t forget about privacy and data residency issues

• Don’t go at it alone – this is an ideal opportunity for partnerships

• Look up the IICwww.iiconsortium.org

• Ask for more information

User Device Supplier

Analytics SystemsSupplier Integrator