driving the digital transformation · business development director mm digital factory division...

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Driving the Digital TransformationOn the way to Industry 4.0 Leonardo Cipollini

UNINDUSTRIA Reggio Emilia - 29 Aprile 2016

Unrestricted / © Siemens AG 2016. All Rights Reserved

Siemens PLM Software

Leonardo Cipollini

Business Development Director MM

Digital Factory Division

Product Lifecycle Management

Siemens Industry Software S.r.l.

[email protected]



Siemens Division Structure

Flat market driven organization

Power Generation

Services

Divisions

(Global P&L)

1) Commonwealth of Independent States

Managing Board

MarketAmericas

Global

Healthcare

Middle

East, CIS1)

Asia,

Australia

Europe,

Africa

Financial

Services

Power

and Gas

Wind

Power and

Renewables

MobilityEnergy

Manage-

ment

Building

Techno-

logies

Digital

Factory

Process

Industries

and Drives

Healthcare

Separately

managed

Corporate CoreCorporate Services

PG

MOPS

WP

EM BT DF PD HC SFS

Go-to-market



Siemens Digital Factory Division Organization

FactoryAutomation

ControlProducts


Motion Control

eCar PowertrainSystems

Customer Services

World market leader in automation with integrated automation portfolio for all industries

Products and systems to switch, protect and control low-voltage consumers

Proven software solutions to create, validate and manage product and process knowledge across the product lifecycle

Global leading supplier of products,systems and solutions including services: Drives, Motion Control Motors,CNC Solutions for machinery and plants

High quality powertrain components and charging systems for series production of electric and hybrid vehicles

Integrated service offering from a singlesource throughout the product lifecycle

Integrated product portfolio paves the way for the Digital Enterprise.

Digital Factory Division



Siemens PLM Software Profile (Italy)

Organization

• Siemens PLM Software

• B.U. of Siemens Digital Factory Division

• Headquarters – Plano, Texas

• Over 10.000 employees (>160 in Italy)

(Milano, Torino, Modena, Novara, Treviso)

Products/Solutions

• PLM Software and Services

Market shares

• > 90.000 customers (> 4100 in Italy)

• > 11 Million user licenses


Driving the Digital TransformationOn the way to Industry 4.0



The data volumes are exploding

More data has been created in the past two years than in the entire previous history of the

human race.

Source: www.forbes.com

• By the year 2020, about 1.7 megabytes of new information will be created

every second for every human being on the planet.

• Within five years there will be over 50 billion smart connected devices in the

world, all developed to collect, analyze and share data.

• By 2020, our accumulated digital universe of data will grow from 4.4

zettabytes today to around 44 zettabytes, or 44 trillion gigabytes.



Veränderungen in der Kommunikation

CC BC WI Source: The Washington Post Online



Products are Getting Smarter and More Connected



Smart Innovations Are Transforming Every Industry

Automotive and Transportation Medical Devices and Pharmaceuticals

Aerospace and Defense Energy and Utilities

Cars that drive

themselves.

Implants made

just for you.

Pilotless planes

launching markets.

Energy that

self-optimizes.



Ships sailed by

on-shore captains.

Coffee that knows

how you like it.

Smart Innovations Are Transforming Every Industry

Consumer Products and Retail Electronics and Semiconductor

Marine and Shipbuilding

Sensors tattooed

onto your skin.

Industrial Machinery and Heavy Equipment

Machines that

make themselves.



Smart Innovations Aren’t Just Improving Products;

They’re Transforming the Business Landscape

Innovation:

Camera makers leverage digital

technology to replace film.

Transformation:

Smart phone manufacturers

leverage the internet to replace

digital cameras.

Innovation:

Automakers develop advanced

driver assistance systems.

Transformation:

New players leverage

driverless cars to challenge the

“conveyance” model.

Innovation:

Aerospace companies make

pilotless drones for defense.

Transformation:

Pilotless aviation serves as

catalyst for innovation in security,

e-commerce—and photography.

Phones that take photos. Cars that drive themselves. Planes without pilots.



How Prepared Are You to Change Your Business?

The products, business models

and legacy positions that once

gave companies their competitive

edge are no longer secure.



Transformational Forces Behind These Smart Innovations

Transformational Force Rate of Improvement 2025 Economic Impact

Internet

of Things

300% increase in connected

devices over past 5 years

$36 trillion – Operating costs

of key affected industries

Advanced

Robotics

8% CAGR, growth in sales

of industrial robots, 2010-16

$6 trillion – Manufacturing

worker employment costs

Cloud

Technology

Tens of billions

SMAC users by 2025

$1.7 trillion – GDP related

to the Internet

3D Printing

Technology

4x revenue increase for additive

manufacturing in past decade

$11 trillion – Global

manufacturing GDP

Knowledge

Automation

400+ million increase in users

of intelligent digital assistants

$9+ trillion – Knowledge

worker employment costs

Source: McKinsey Global Institute research 2013



Competing in a World of Constant Transformation

How can these

transformational forces

improve your ability

to innovate?



The Gartner’s Hype Cycle



Gartner’s 2015 Hype Cycle for Emerging Technologies



Siemens terms its approach to Digitalization in industry and its way towards Industry 4.0 the “Digital Enterprise”



Workflows in process / discrete industry differ

Product design and Production planning in CAD/CAE

Machine and Line Automation driven by mechatronic CAD/CAE

Sensors : proximity, encoders, position, motion…Actuators: hydraulics, servo-motors, linear drives

Product design starts in the laboratory

Process design – P&IDDetailed engineering – electrics, DCS engineering, piping, 3D plant design…

Sensors: temperature, pressure, flow, weight, analytics, Actuators: pumps/agitators, valve positioners, heating/cooling

Hazardous/explosive environment

Process Industries Discrete Industries

Digital Enterprise

Product

design

Production

planning

Production

engineeringProduction ServicesProduct design

Process-

and plant

design

Engineering Operation Services



The Internet is revolutionizing the business world

and creates major challenges for manufacturing companies



Industrie 4.0

Defining the way forward in industry in the internet age

• Horizontal integration of the value-add

networks

• Seamless integration of the engineering

of the entire value-add chain

• Vertical integration and networked production

systems

Source: acatech, April 2013 “Umsetzungsempfehlung für das Zukunftsprojekt Industrie 4.0”

An initiative of the German industry sponsored by the German Government

Cornerstones of the initiative Industrie 4.0



Survey of 235 companies from 5 sectors with headquarters in Germany,

… substantial investment is needed

The Industrial Internet transforms the entire company

and must be part of the CEO agenda.

Source: PriceWaterhouseCooper Report

• By 2020, European Industrial companies will invest €140 billion

annually in Industrial Internet applications

• In 5 years, more than 80% of companies will have digitalized

their value chain

• The industrial internet creates better productivity and resource

efficiency- an 18%increase in efficiency within 5 years

• Digitalized products and services generate approx. €110 billion

of additional revenues per year for the European industry



How prepared are you to change your business?

The products, business

models and legacy positions

that once gave companies

their competitive edge are no

longer secure.



1800 1900 2000 Time

Manufactures are conscious of being the beginning

of a new industrial revolution

Automous and collaborativerobots

Cloud

Simulation

Horizontal/VerticalSW Integration

IOT and Industrial Internet

Cyber security

Additive manufacturing

Augmentedreality

Big Data and analytics

First Industrial Revolution

The introduction of mechanical production plants driven by water and steam until the late 18th century

1784 - First mechanical loom

Fourth IndustrialRevolution

Based on the use ofcyber-physical systemstrasforming traditionalfactories from costcenter into profit center.

DIGITALIZATION

…… smart manufacturing marries information, technology and human ingenuity to bring about a rapid revolution in the development and

application of manufacturing intelligence to every aspect of business …..

• Humans, devices and systems are connected along the entire value chain

• All relevant information are available in real-time – across suppliers, manufacturers and customers

• Parts of the value chain can constantly be optimized with respect to different criteria, e.g. cost, resource

utilization, customer needs

It will fundamentally change how products are invented, manufactured, shipped and sold.

Second IndustrialRevolution

Mass production, introduction of electrical power driven systems, division of work on line production systems

1870 - First assembly lineCincinnati slaughter houses

Third IndustrialRevolution

Introduction of electronic systems and computer based automation of production

1969 - First programmable logiccontroller (PLC) Modicon 084

https://www.google.it/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=https://commons.wikimedia.org/wiki/File:Applications-internet.svg&ei=PUmeVdC7LYS6Ua6hhaAL&bvm=bv.96952980,d.d24&psig=AFQjCNGlvPipn5TQy-odwHPws_wu5OBduQ&ust=1436523143299784

https://www.google.it/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=https://commons.wikimedia.org/wiki/File:Applications-internet.svg&ei=PUmeVdC7LYS6Ua6hhaAL&bvm=bv.96952980,d.d24&psig=AFQjCNGlvPipn5TQy-odwHPws_wu5OBduQ&ust=1436523143299784

https://www.google.it/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=https://openclipart.org/detail/191397/computer-smartphone-and-tablet&ei=J0qeVcrjHob5UqO4opgL&bvm=bv.96952980,d.d24&psig=AFQjCNGVWelqYY-unlZvHpI1bqZc4DgfvQ&ust=1436523419054238

https://www.google.it/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=https://openclipart.org/detail/191397/computer-smartphone-and-tablet&ei=J0qeVcrjHob5UqO4opgL&bvm=bv.96952980,d.d24&psig=AFQjCNGVWelqYY-unlZvHpI1bqZc4DgfvQ&ust=1436523419054238



Factory 4.0 …. the fully connected way of making things

CYBER SECURITY> Stronger protection for Internet-

based manufacturing

> Technology products with

longer life cycles

CLOUD

COMPUTING

LOGISTICS 4.0> Fully integrated supply chain

> Interconnected systems

> Perfect coordination

3D PRINTING/ ADDITIVE

MANUFACTURING> Scrap elimination

> Mass customization

> Rapid prototyping

COLLABORATIVE ROBOT> Real-time autonomy/productivity

> Full transparency (contextualization,

comprehensiveness, collaborative robot) on data

reporting

ADVANCED MATERIALS> Smart value-added products

> Technical differentiation

> Connectivity

SENSORS> Zero default/deviation

> Reactivity

> Traceability

> Predictability

BIG DATA> Making sense out of complexity

> Creativity

> Collaborative manufacturing

http://www.google.it/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj4wti7gvzLAhXBaRQKHcZZCZAQjRwIBw&url=http://www.ciudadesdelfuturo.es/industria-4-0-de-la-vision-a-la-realidad.php&bvm=bv.118817766,d.d24&psig=AFQjCNGXvIJ_pwONZlcdghqSPK5JQDtWZQ&ust=1460101057221126


















Integrating the digital and real world

Product Information is enriched throughout the life cycle

Digital World

Requirements

Product Structures

Virtual Models

Digitalization Work instructions

Quality information

Productions-Simulation

Planning Configuration

Validation

Virtual Commissioning

Digital Equipment Ramp up / Operation

Monitoring

Optimization - CI

Integrated Plant Documentation

Maintenance

Condition monitoring

Service

Real World

ServiceProductionProduction

planning

Product-

design

Production-

Engineering

The digital model is always up to date and will be expanded

throughout the life cycle



In order to remain competitive manufacturing companies

need to achieve enormous improvements in their processes

Reducing

the time to

market

• Individualized

mass production

• Volatile markets

• High productivity

Enhancing

flexibility

• Energy efficiency and

resource efficiency

as key competitive

factors

Increasing

efficiency

Increasing

Quality

• Closed loop quality

processes

• Traceability and

integrated genealogy

• Shorter

innovation cycles

• More complex products

• Larger data volumes

Product and production

integrated

Flexible

production

Full process

transparency

Optimized

production resources



Market competition requires … costs optimization, continuously improve

productivity and be agile respond to customer demands.

The goal is not achievable without modify dramatically the manufacturing processes to make them

more integrated and efficient as possible.

During last years to be competitive, manufacturing companies had to:

shorten time to market

streamline and integrate their processes

work closely with customers to identify and produce tailored solutions

make more flexible production to suit more rapidly the demands of the market.Time to market

SOP

Activity

Time

The key enabler of the change is the adoption of specific digital technologies and SW systems

dedicated to enlarge the performance of each sector and, in the same time, making possible a real

integration and collaboration among the sectors. The strategy is to have all departments which

working together as part of the same process supported by IT systems.

Time to marketSOP



Organization

Reference

Data Model

Focus

Engineering BoM

Product Structure as designed

3D

Models

Product

documentation

• Functions

• Features

• Product segment

• Development platforms

Product

Engineering

Most of the manufacturing organizations are structured by separated “silos”

which doesn’t help a real process integration

Process

documentation

• Technology

• Factory Layout

• Production Line design

Process

Planning

Resources

Resources

OperationsProduct Structure

to be produced

Manufacturing BoM Routings

• Business Process logic

• Physical Plant Complexity

• Production plan

• Plants

• Work areas

• Equipments

Shop floor

Product

Manufacturing

In many cases the data communication among different IT-systems impede a real collaboration

http://www.gograph.com/x-gg55311401.html




http://www.google.it/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=http://cnx.org/contents/[email protected]:48&ei=hV3kVIbdIcz2UM62gJgK&bvm=bv.85970519,d.ZGU&psig=AFQjCNEuqVeiEt612av8nTOpP12ZZfFoZw&ust=1424338662847439

http://www.google.it/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=http://cnx.org/contents/[email protected]:48&ei=hV3kVIbdIcz2UM62gJgK&bvm=bv.85970519,d.ZGU&psig=AFQjCNEuqVeiEt612av8nTOpP12ZZfFoZw&ust=1424338662847439





44 55

1122 33

Only a holistic approach improving all processes along the entire value chain

will fulfill the targets

From virtual to realand

from concept to service








Use case: Plant Simulation @ Volvo



https://www.youtube.com/watch?v=Xx0PRMhev3A


Use case: Intosite @ Ford



IntoSite

The smart Map for your Production Facilities

IntoSite is a new web application that:

Takes Google maps idea into the

production facility turning it into a

Knowledge Network that complements

traditional IT systems

Enables 3D navigation through

production facilities

Provides simple access to Digital

Manufacturing and Production info in

3D context from almost any IT System



Enables 3D navigation through production facilities

https://www.youtube.com/watch?v=W3Y9bRoMXC0


Use case: Optima



Order

now!GO



Today

18 product variations



In the future

56,000 product variations


Page 48 Siemens PLM Software



Optima

https://www.youtube.com/watch?v=lDqRoNMtd9Q



Progettazione 3D e simulazione meccatronica (MCD)



Progettazione e simulazione di impianto


www.siemens.com/plm




Manufacturing Operations Management

Integrated Production Automation

Optimizing Innovation Within the Digital Enterprise

Siemens PLM portfolio capabilities



The Product Lifecycle Management functional areas

Configuration & Change Management

Mechanical Engineering

Requirements Management

Software Development

Supplier Relationship Management

Reporting & Analytics

Project Management

Technical Documentation

Portfolio Management

Electrical Engineering

Document Management

Manufacturing Planning

BOM Management



The Digital Manufacturing functional areas

Production ManagementHuman Performance Quality Planning

Part Manufacturing Assembly Planning Plant Optimization


www.siemens.com/plm

driving the digital transformation · business development director mm digital factory division...

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