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This is the Next Industrial Revolution: The Industrial Internet 8 February 2017

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Page 1: This is the Next Industrial Revolution: The Industrial ... · the Industrial Internet 14% of IoT Professionals Say Security is the Biggest Challenge Urgent Need to Refocus Education

This is the Next Industrial Revolution:The Industrial Internet

8 February 2017

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

-Bill Gates, 1999

February 13, 2017 2

Or has it?

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Discrete Manufacturing

1980

Debugging a Modicon 584 Programmable Controller

3February 13, 2017 3

2016

Debugging a Modicon 584 Programmable Controller

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No, the Internet Didn’t Change Everything

There is much more to be done:

• Oil & Gas Exploration

• Geological data integration from multiple sensing sources

• Jet engine performance management

• Electric grid transmission management

• Rail & other transportation

• Failure sensing and automatic rerouting of multimodal systems, far more extensive than JapanRail automatic stop

• Smart homes & smart energy usage

• And on… and on… and on…

• “Internet Thinking” is key to Smart Manufacturing, Smart Connected Products, and Smart Product Data

February 13, 2017 4

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The Industrial Internet is leading the next economic revolution

5GDP data extracted from the Futurist 2007

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The Measurable Outcome will be in the Trillions of Dollars

February 13, 2017 6

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: $36 trillion operating costs of key affected industries could be impacted by IoT

The convergence of Internet of Things, Industrie 4.0, Cyber-Physical Systems, Industrie du Futur, Internet+ presents an enormous opportunity.

Sources: GE, Cisco, Gartner, McKinsey

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There are key differences between the Industrial Internet and Consumer IoT

February 13, 2017 7

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Standards

Technology

Connectivity

Research Academia

Systems

Integration

Security

Government

Big Data Industries

Data Standards are

Largely Proprietary,

Works-in-Progress,

or Non-Existent

70% of IoT

Professionals Say

Interoperability is the

Biggest Challenge

59% of IT Pros

Say They Haven't

Started Preparing for

Expected Data Increase

Many Countries Have

Insufficient

Conditions to

Support Widespread

Adoption

36% of Executives

Say System Barriers Between Departments

Prevent Collection and Correlation of Data

Research into the

Industrial Internet has

Only Existed in the

Past 3 Years

73% of Companies

Have Not Made

Concrete Plans for

the Industrial Internet

14% of IoT

Professionals Say

Security is the Biggest

Challenge

Urgent Need to

Refocus Educationto Prepare for the

Upcoming Digital

Workplace

3% of IoT

Professionals Say

Connectivity is the

Biggest Challenge

Yet there are current roadblocks to widespread adoption

8February 13, 2017

The Industrial Internet: A $32 trillion opportunity

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Adoption is Hampered in a Disconnected Environment

9February 13, 2017

Connectivity

Standards

Technology

Research Academia

Systems

Integration

Security

Government

Big Data Industries

The Industrial Internet: A $32 trillion opportunity

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The IIC: Things are coming together

February 13, 2017 10

Things are coming together.

AcademiaStandards

Research Systems Integration

Government

IndustriesConnectivity

Technology

Big Data

Security

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Industrial Internet Consortium

MissionTo accelerate growth of the Industrial Internet by coordinating ecosysteminitiatives to connect and integrate objects with people, processes and data using common architectures, interoperability and open standards that lead to transformational business outcomes.

Launched in March 2014 by five companies:

11

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The IIC is an open, neutral “sandbox” where industry, academia and government meet to collaborate, innovate and enable.

About 250 Member OrganizationsSpanning 30 Countries

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IIC Founders, Contributing Members, & Large Industry Members

IIC Founding and Contributing Members

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IIC Small Industry Members

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IIC Small Industry Members

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IIC Nonprofit, Academic, & Government Members

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Why now?

Driving the OT – IT Convergence:

Low cost, powerful technology • Cheap sensors & devices

• Low-cost processing power, data storage

Connected everything• By 2020, the number of things connected to the internet will be

approximately 7x the number of people on earth today.1

Big Data• Collecting, storing and analyzing data is now more cost effective

Smarter Machines• Equipment is increasingly embedded with sensors & software

February 13, 2017 16

1Source: Cisco Systems

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What is the Biggest Challenge Facing the Industrial Internet?

77

14

3

6

0 10 20 30 40 50 60 70 80 90

Other

Connectivity Issues

Security

Interoperability

Source: IoT Nexus 17

Business Models, Public Awareness,

Energy Consumption

February 13, 2017

}

IIC Technology Working Group

IIC Security Working Group

IIC Testbeds Working Group

IIC BSSL, Marketing and Technology Working Groups

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The IIC has a formal Liaison team that evaluates potential formal agreements with other organizations.

We are an open membership organization and we work collaboratively on an informal basis with many other organizations, including Industrie 4.0.

The Technology Working Group is currently:

• Evaluating existing standards

• Identifying requirements for the Industrial Internet

The IIC and Standards Organizations

February 13, 2017 18

IIC Formal Liaisons as of June 2015The IIC is not a standards organization. We evaluate and organize existing standards to :• advocate for open standard technologies, and• influence the global standards development

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The IIC has three primary areas of activity: Community Engagement, Technology & Security, and Testbeds

19February 13, 2017

BSSL: Business Strategy & Solutions Lifecycle

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Technology Working Group

Charter: To define and develop common architectures, by selecting from standards available to all, from open, neutral, international, consensus organizations and reviewing relevant technologies that comprise the ecosystems that will make the industrial internet work.

The Technology WG presently has 14 teams:

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Architecture Task GroupIntelligent and Resilient ControlsReference Architecture Editing Contributing Group Connectivity Task GroupDistributed Data Management & Interoperability GroupIndustrial Analytics Task Group Dynamic Composition & Coordination

Innovation Task Group IT & OT Task Group Liaison Task Group Standards & Interoperability Task Group Safety Task Group Verticals Taxonomy Vocabulary Task Group

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Industrial Internet Reference Architecture

• First major deliverable by the IIC Technology Working Group

• 110-page document published and released to public July 2015, Version 2 Underway

• Goal: To align the industry to a common end-to-end Industry IoT reference architecture with clearly defined constituent components and interfaces between them so that:

• Vendors can deliver interchangeable IoT components that are interoperative with those provided by other venders;

• Customers can use the reference architecture as a blueprint, based on which to build and/or select technologies and solutions from venders for their IoT implementation.

• Requirements addressed:

• Concise and comprehensive description of the end-to-end IoT architecture for the industrial internet industry space

• Clear definition of constituent components and interfaces between the components

• High-level functional requirements for each of the components

• Identification of existing or to be developed technologies for these components

• Inspired and validated by core use cases

• Implemented and tested in an IIC testbedFebruary 13, 2017

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Security Working Group

Charter: To define a security and privacy framework to be applied to technology adopted by the IIC. The framework will establish best practices and be used to identify security gaps in existing technologies.

February 13, 2017

Current Priorities:

• Build End-to-End Security Use Cases• Apply Security Use Cases to each of the Use Case Groups • Derive requirements from each Use Case

Identify what is common (architectural)Identify what is one-off (application-specific)

• Design Secure Integration Framework based on combined use cases (with Technology Team) - II Security Framework v1.0 published September 2016

• Build testbeds - Testbed Evaluation Documentation

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Charter: To accelerate the creation of testbeds for the Industrial Internet.

Current Priorities:• Assist members in identifying, defining and gaining approval for their testbeds • Identify and communicate funding resources for IIC testbeds• Provide processes and infrastructure for efficient & effective operations

Testbed Working Group

February 13, 2017 23

What? Why? How? How Much? Create Experiment

Approval Planned/Resourced Operational Results

Task:

Phase:

Goal:

Concept Feasibility Development Operation

IIC Testbed Lifecycle Phases

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Example 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

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Example 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

February 13, 2017 28

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Designing a new testbed: top-down or bottom-up?

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The Future: Enabled by Systems Engineering

How will we reduce jet engine failure & maintenance costs?

30February 13, 2017 30

How will we save lives through better patient care?

How will we reduce passenger fatalities? How will we reduce waste of

natural resources?

How will we minimize unplanned factory downtime?

Things are coming together.

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Things are coming together.

Community. Collaboration. Convergence.

www.iiconsortium.org

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Richard Mark Soley, Ph.D.

Chairman and Chief Executive Officer, OMG

Executive Director, Industrial Internet Consortium

109 Highland Avenue

Needham, MA 02494

USA

Phone: +1-781-444-0404

Email: [email protected]

February 13, 201732

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For more IIC information

• About IIC: http://www.omg.org/intro/IIC-flyer.pdf

• IIC Fact Sheet: http://www.iiconsortium.org/pdf/IIC_FACT_SHEET_2015.pdf

• IIC Smart Factories: https://workspace.iiconsortium.org/kws/public/download/5350/IIC-Smart-Factory-1-pager.pdf

• IIC Quarterly Update: http://www.iiconsortium.org/pdf/IIC_Progress_Report_2016_July.pdf

• IIC and Industrie 4.0: https://workspace.iiconsortium.org/kws/public/download/5351/IIC-4-0-1-Pager-web-Final.pdf

• Industrial Internet Interoperability Coalition: http://www.iiconsortium.org/accelerating-innovation.htm

• IIC meetings and on stage: http://www.iiconsortium.org/events.htm

February 13, 2017 33

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For information about OMG

• About OMG: http://www.omg.org/intro/OMG-Backgrounder.pdf

• OMG and the IIoT: http://www.omg.org/intro/IIoT.pdf

• OMG Consumer Device Safety: http://www.omg.org/intro/Consumer_Device_Safety.pdf

• Data-Distribution Service: http://www.omg.org/intro/DDS.pdf

• Modeling Languages at OMG: http://www.omg.org/intro/MLS.pdf

• OMG Quarterly Technical Meetings: http://www.omg.org/news/schedule/upcoming.htm

February 13, 2017 34