kj poppe on ict for copa cogeca june2015
TRANSCRIPT
Big Data: challenges for farms and coops
Krijn Poppe LEI Wageningen UR
Based on work with Sjaak Wolfert, Cor Verdouw and others June 2015
Take home messages
Agri-Food chains become more technology/data-driven
● Infrastructure and software development is a key issue
ICT is also an organisational issue, with significant socio-economic impacts; two scenarios:
1. Further integrated linear supply chain farmer becomes franchiser.
2. Farmer empowered by open collaboration
• Easy switch between suppliers
• Farmer can also share data with government
• More options for short supply chains
Reality somewhere in between?
F
F
Disruptive ICT Trends:
Mobile/Cloud Computing – smart phones, wearables, incl. sensors
Internet of Things – everything gets connected in the internet (virtualisation, M2M, autonomous devices)
Location-based monitoring - satellite and remote sensing technology, geo information, drones, etc.
Social media - Facebook, Twitter, Wiki, etc.
Big Data - Web of Data, Linked Open Data
High Potential for unprecedented innovations!
everywhere
anything
anywhere
everybody
Which innovations and new business models are possible ?
Precision Farming/Advice Segment Cons. supportService ++
• Prescriptive farming• Predictive maintenance• Eco-systems of apps• Regionally pooled big data
analysis for science and advise (and risk mgt.)
• Personalized advise by apps
• Online shops
• Integrated supply chains• Feedback consumer-producer
• Measure, pay sustainability
• Better T&T
• Paperless chain• Store
replenishment• Category
management
Sustainability HealthFood SafetyFood Security
LoyaltySMEs Cost priceGRIN Cope with retail
Transport
Input industriesFarmer Food processor Retail / consumerSoftware
Provider
Logistic solution providers
Transport+
Collaboration and Data Exchange is needed!
Data exchange by ABCDEFs
Large organisations mostly have gone digital, with ERP and other systems
But between organisations (especially with SMEs) data exchange and interoperability is still very poor
While more data exchange for collaboration and business process control in the chain is needed
●As data need to be combined to create value
●The better we exchange data, the less disruptive it is for current business models and organisations
There is a need for ABCDEFs:
Agri-Business Collaboration & Data Exchange Facility
Proprietary/closed or open ABCDEFs?
|7
John Deere FarmSight™:An Ecosystem for Decision Support Partners
• AgConnections• AgIntegrated• AgLeader• AgJunction• Delta Data Systems• DN2K •GEOSYS • PCT• GeekTech for Ag• Mapshots • Pioneer• Satshot• SST• ZedX• LDE (Germany)• Farmmade (UK)• Neotic Maferme (France)• DAAS (Denmark)• AgroVision (Netherlands/Belgium)• Technofarming (Italy)
Numerous Software Partners
Bottom Line: John Deere’s comprehensive ecosystem of innovative partners will drive customer value and improved decisions
Source: Charles Donahue at Smart AgriMatics, Paris 18 June, 2014
|8
John Deere FarmSight™:An Ecosystem for Decision Support Partners
• AgConnections• AgIntegrated• AgLeader• AgJunction• Delta Data Systems• DN2K •GEOSYS • PCT• GeekTech for Ag• Mapshots • Pioneer• Satshot• SST• ZedX• LDE (Germany)• Farmmade (UK)• Neotic Maferme (France)• DAAS (Denmark)• AgroVision (Netherlands/Belgium)• Technofarming (Italy)
Numerous Software Partners
Bottom Line: John Deere’s comprehensive ecosystem of innovative partners will drive customer value and improved decisions
Source: Charles Donahue at Smart AgriMati cs, Paris 18 June, 2014
Is this‘mono-equipment system’ reality?
How to cope with changes in industry
boundries?
How many platforms should
users and developers enter?
Redefining Industry Boundaries (1/2)(according to Porter and Heppelmann, Harvard Business Review, 2014)
9
3. Smart, connected product
+
+
+
2. Smart Product
1. Product
Redefining Industry Boundaries (2/2)(according to Porter and Heppelmann, Harvard Business Review, 2014)
10
5. System of systems
farmmanagement
system
farm equipment
system
weather data
system
irrigation system
seed optimizing
system
fieldsensors
irrigation nodes
irrigation application
seedoptimizationapplication
farmperformance
database
seeddatabase
weather dataapplication
weatherforecastsweather
maps
rain, humidity,temperature sensors
farm equipment
system
planters
tillers
combine
harvesters
4. Product system
Agri-Food Supply
Chain Networks
are multi-
dimensional
• Markets allocate products to different destinations
• Chains are supported by many service providers
• Intensive data-exchange with governments
law & regulation
innovation
geographic cluster
horizontal fulfillment
Vertical
Farm Digital project
Sharing Data with AgriPlace:
Compliance Made Easy
https://www.agriplace.com
LESS ADMINISTRATIVE BURDEN AND CREATING VALUE
Auditors• More effective audit on farm• More new clients • Savings of >€100 per audit visit
Farmers and Growers • Less time and irritation to collect data • More digital management • Savings of >€500 euro per grower
Retailers• Quicker and more complete data • Better risk management• > €30 savings per farm request
Importers and Food processors• Cost savings on data collection• Increase data quality• Savings > €10,000 per importer
Consumers • Relation with growers• Better understanding of labels• More transparency
PROTOTYPEAGRI-PLACE
FMS-manage-ment software
GOV. open data
LEI Wageningen URBenchmark-data
The battleground in the USA
14
Code of Conduct
• Who has access to my data?• Do they gain market power
on future markets ?• Is there a lock inn ?• Do I become a franchiser
with the risks and not the returns?
Is an eco-system of apps an alternative?
FARMER SCANS PESTICIDES PACKAGE IN THE FIELD
APP CONNECTS BASF FOR E-INSTRUCTION, CROP AND SOIL SPECIFIC
APP ASK METEO FOR 24 hour WEATHER FORECAST
BASF SENDS INSTRUCTION TO SPRAYING MACHINE ON WATER / PESTICIDE RATIO >> Machine adjusts
APP CHECKS ADVISE WITH GOV.AGENCY
FARMER CAN SHARE DATA WITH GOVERNMENT, SGS-AUDITOR GLOBAL GAP AND PUBLIC
CAN I USE MY CURRENT
SERVICE ?
CAN I USE MY FMS ?
DOES IT WORK WITH
BAYER / DEERE
DOES IT WORK WITH BRC / ISAcert
Can we link apps / services in a clever way ?
Leading to a market for services (apps and
data)?
Can this market be European (not MS), so
that development costs of services (apps and
data) are shared ?
FI-Ware enabled Cloud Platform
CloudInformation
systems
SmartAgriFood: conceptual cloud architecture
sensorsactuators
data sources(‘Internet of Things’)
localInformation systems
App store
Services Spraying Advisory Services Meteorological Service
State and Policy Information Service
Consumer Food safety service
E-agriculturist Service for spraying potatoes Machine Breakdown
Service
Transport
User’s devices
Other sources
App store
From conceptual architecture to a software platform and apps (proof of concept, prototype)
Services
sensorsactuators
data sources(‘Internet of Things’)
LocalISs
Spraying Advisory Services
Meteorological Service
State and Policy Information Service
Consumer Food safety service
E-agriculturist Service for spraying potatoes
FI-Ware enabled Cloud Platform
Machine Breakdown Service
User’s devices
Other sources
CloudIS
Transport
I2NDIoTIoCIoSS&T
GENERIC ENABLERS
Base Technologies
ValidationT270: Security, Privacy, Trust Framework: SPT (KOC)
T250: System & Data Integration (ATOS)
T240: B2B Collaboration Core (IBM)
T230: App Store (IBM)
T220: User Front-End (ATOS)
T260
: Ope
ratin
g E
nviro
nmen
t(IB
M)
T280: Softw
are Developm
ent Toolkit:SD
K (ATOS)
App store
From conceptual architecture to a software platform and apps (proof of concept, prototype)
Services
sensorsactuators
data sources(‘Internet of Things’)
LocalISs
Spraying Advisory Services
Meteorological Service
State and Policy Information Service
Consumer Food safety service
E-agriculturist Service for spraying potatoes
FI-Ware enabled Cloud Platform
Machine Breakdown Service
User’s devices
Other sources
CloudIS
Transport
I2NDIoTIoCIoSS&T
GENERIC ENABLERS
Base Technologies
ValidationT270: Security, Privacy, Trust Framework: SPT (KOC)
T250: System & Data Integration (ATOS)
T240: B2B Collaboration Core (IBM)
T230: App Store (IBM)
T220: User Front-End (ATOS)
T260
: Ope
ratin
g E
nviro
nmen
t(IB
M)
T280: Softw
are Developm
ent Toolkit:SD
K (ATOS)
Is this commercially feasible?
Or is it too much a common pool investment in a market
where everybody wants to grab a stake, over-estimates the
value of its own data and finds it easier to builds its own
website ?
2 Scenarios, with significant impacts ?
1. Scenario FIELDSCRIPT:
● Farmer becomes part of one integrated supply chain as a franchiser/contractor with limited freedom
● one platform for potato breeder, machinery company, chemical company, farmers and french fries processor.
● Weak integration with service providers, government ?
2. Scenario OPEN COLLABORATION:
• Market for services, apps and data
• Common, open platform(s) are needed
• Higher upfront, common investment ??
• Business model of such a platform more difficult?
• More empowerment of farmers and cooperatives?
F
F
Points for discussion (1/2)
Ownership of farm data: the farmer, the robot supplier that puts the data in a database and refines it, the accountant that has an IPR on its report?
Liability: if it goes wrong when Dutch software is used by a Belgian contractor in spraying potatoes in N.France with a wrong update of the French pesticide regulations to instruct a German spraying machine ?
Business model (who pays what?) and governance of ABCDEF platform:
●Farmers / cooperatives owned, pay by use?
●Neutral organisation (a Data / Platform cooperative?)
●Commercially run by an ICT company?
●Governmental infrastructure ?
Points for discussion (2/2)
Do differences in privacy laws / worries play a role?
Are issues of cyber-security coming up?
Can cooperatives deal with advanced ICT-using members and paper-oriented farmers at the same time?
What ABCDEFs to copy from the USA, what to develop in Europe?
Is there a need for action by farmers/cooperatives?
