Industrie 4.0 From Vision To Reality
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1 Industrie 4.0 From Vision To Reality Forum Industrie 4.0 Munich, 17th November 2015 Kai Peters VDMA European Office VDMA
2 Content What is Industry 4.0? Opportunities and risks Security from the viewpoint of mechanical engineering State of Play in Germany and Europe VDMA EurO/Kai Peters Seite 2
3 Industrie 4.0: German view on a global development Image based on Prof. Anderl, Speciallist areat DiK, TU Darmstadt, VDMA Forum Industrie 4.0 Seite 3
4 You cannot buy it... Expectations / Attention Peak of inflated expectations Consumer 3D-Printing Smart Robots Plateau of productivity Industrial Robots Enterprise 3D-Printing Slope of enlightenment disillusionment Technological trigger Time / Maturity Figure based on Gartner Research 2014 VDMA Forum I4.0/European Office
5 Role of mechanical engineering As the provider of cyber-physical production systems, the Mechanical Engineering sector is in the center of the digital change. The machines and components will be the main new sources of data in industry. Digital manufacturing and Industrie 4.0 is much more than digitalisation up to now: It connects the virtual and the physical world and takes places mostly in a B2Benvironment. Grafik: Acattech Source: Acatech VDMA Forum I4.0/European Office
6 Industrie 4.0: response to new enablers and new challenges Markets demanding customized products Resource scarcity, Pressure on Environment Flexibility Industrie 4.0 Productivity /Efficiency Digital Integration/Cooperation of People, Machines, Companies Virtual Image & Simulation of real processes ( Digital Twin ) VDMA European Office Embedded Intelligence (Sensors, Actors, Chips) Data Storage, Computing Power, Data Analytics Advanced Manufacturing (3D-printing, Adaptive Production) Connectivity (Broadband, Cloud, 5G) Seite
7 Industrie 4.0 example of the agricultural machinery Product Intelligent product Intelligent, networked product Source: Havard Business Manager November 2014 VDMA Dietmar Goericke Seite 7
8 Industrie 4.0 example of the agricultural machinery 5 4 Weather data harvester Agricultural machinery planter Agricultural machinery Seeds Product system plough Irrigation System..commmunication between machines System ofsystem... between sectors / applications Source: Havard Business Manager November 2014 VDMA Dietmar Goericke Seite 8
9 Connecting the real and virtual world of production Source: IW, Industrie 4.0 Readiness-Studie 2015 VDMA EurO/Kai Peters Seite 9
10 Industrie 4.0 Example Networked production Source: Umsetzungsstrategie Industrie 4.0 der Plattform Industrie 4.0 order processing in decentralised production sites across company borders VDMA Kai Peters Seite 10
11 Industrie 4.0 Example Life-cycle adaptivity Thursday morning, Tesla owners woke up to discover that their vehicles can wirelessly download the new autopilot feature as a software update....autopilot is not free (the download costs $2,500) Nytimes.com, OCT. 15, 2015 Source: Tesla / NYTimes Product optimisation and configuration after delivery e.g.: Condition-based maintenance / Upgrades VDMA Kai Peters Seite 11
12 What is Industry 4.0? Opportunities and risks Security from the viewpoint of mechanical engineering State of Play in Germany and Europe Political Framework: Recommendations VDMA Kai Peters Seite 12
13 Potentials: Productivity, more business Enterprises in Germany expect an increase in productivity of more than 18% by Industry 4.0 could increase turnover by 12 % in 5 years. Source: PWC (2014): Industrie 4.0 die Vierte Industrielle Revolution 60 % of Mechanical Engineering companies expect more turnover due to new business models and new product/service-portfolios. Source: Studie der Impulsstiftung: Studie Industrie 4.0-Readiness Source: Studie der Impulsstiftung: Studie Industrie 4.0-Readiness VDMA Forum I4.0/European Office
14 Drivers Source: Cisco VDMA EurO/Kai Peters Seite 14
15 Risk & Opportunities from a Unions view (IG Metall) Risks» Work as a passive part of the system» Stress potential» Forced Flexibilisation» Less career opportunities for lower qualifications» Loss of jobs» More temporary work Opportunities» Work with more responsibility» Less monotonous work» More participation» Development of skills» Better work life balance» Jobs through Hightech-Strategy VDMA Abteilung Bildung Dr. Jörg Friedrich Seite 15
16 Challenges, Questions New ways of interaction with the real world and people Increased number of actors / network partners More third-party actors Ad-hoc-connectivity, ad-hoc business relations Device-to-Device Kommunikation (D2D/M2M) Increased exchange of data with commercial value Autonomy, artificial intelligence, self-learning systems New skills requirements dependency from digital infrastructure/services Migration from existing systems / legacy system Liability? Industrial Security? Protection of know-how? Business models?... New ways of cooperation between Organisations VDMA Informatik / EurO
17 Pwc-study supported by VDMA and Siemens Unclear economic benefits, high investments Insufficient qualification of employees Lack of standards & certification opportunities Unclear legal situation with regard to use data Low level of maturity of the necessary technol. Questions unanswered regarding data security Lack of support from top management Too slow development of basic technologies Lack of network stability / data storage Challenges for the successful implementation of industry companies headquartered in Germany by TNS Emnid from June to September 2014» Investment in the next 5 years for digitization: 3,5 % of sales/ 8,5 bill. Euro p.a.» Expected sales by digitization: +13,2% / 6,4 Mrd. Euro p.a. VDMA Dietmar Goericke Seite 17
18 Data more than just a common good Company & Process data, Knowledge M2M-Data Value Personal Data Public free data VDMA Kai Peters
19 What is Industry 4.0? Opportunities and risks Security from the viewpoint of mechanical engineering State of Play in Germany and Europe VDMA Seite 19
20 Security topics in Mechanical Engineering Bild: VDMA» Customers need more interfaces Industrie 4.0» Leakage of Know-how CAD-Data, process parameters, soft-/firmware» Product Piracy Reverse Engineering» Threats for operations sabotage, production breakdown» Liability for security-incidents remote access» No specific guiding instruction in production» No specific security skills of users and employess VDMA Steffen Zimmmermann, Informatik
21 Security vs. Safety Safety IT Security Menschen / Umwelt Menschen / Umgebung Technisches System Technisches System VDMA Steffen Zimmmermann, Informatik
22 Industrial Security For own produktion Protection of own production environment in order to ensure own business process User For products protection of products to be sold from attacks in order to ensure availability of the business process of the customer Manufacturer / supplier Menschen / Umgebung Menschen / Umgebung Anlage, Fertigung, Betrieb Komponente, Maschine, Anlage, etc. VDMA Steffen Zimmmermann, Informatik
23 TOP 10 Industrial Security threats Infection with malware through internet and intranet Infection with malware through portable drives /hardware Social Engineering Human Failure and Sabotage Intrusion through remote maintenance interfaces Internet -connected devices Technical failure or force majeure Smart phones in production environment Extranet and Cloud components (D) DoS Angriffe Source: Industrial Control System Security, BSI, 2014 VDMA Steffen Zimmmermann, Informatik
24 VDMA: Implications of security incidents in production No consequences Keine Auswirkungen 61% Production downtimes Produktionsausfall 29% threat to machines & systems Gefährdung von Maschinen u. Anlagen 14% Loss of critical know-how Kritischer Know-how-Verlust 12% Lower quality Qualitätseinbußen 4% Safety threats to people Gefährdung von Menschen 2% threats to environment Gefährdung der Umwelt 0% N=51 (Mehrfachnennungen möglich), VDMA 2013 VDMA Steffen Zimmmermann, Informatik
25 Challenges for Industrie Global Cybersecurity Regulation (EU, China, USA) Legal Framework for data ownership Secure Identities worldwide and across sectors Digital and automised communication Physical identities for products, spare parts, people Embedded Security and Know-how-protection CE-directive for IT Security? VDMA Steffen Zimmmermann, Informatik
26 VDMA - activities NEW: Project Praxisleitfaden Industrie 4.0 Security AK Industrial Security Status Quo of Industrial Security im Mechanical Engineering Fragenkatalog Industrial Security Arbeitsgemeinschaft Produkt- und Know-how-Schutz Study Produktpiraterie Leitfaden Produkt- und Know-how-Schutz Standardisierung & Forschung ISO/TC 292 Security and resilience IUNO Nationales Referenzprojekt für IT-Sicherheit in Industrie 4.0 VDMA Steffen Zimmmermann, Informatik
27 What is Industry 4.0? Opportunities and risks Security from the viewpoint of mechanical engineering State of Play in Germany and Europe VDMA EurO/Kai Peters Seite 27
28 Forum Industrie 4.0 Goals The fourth industrial revolution Further develop the vision of Industrie 4.0 into implementable recommendations» Taking into account the perspective of users and providers» Documenting the requirements of the machine and plant engineering sector Build up a network to share experience Transfer research results into the practical workplace Represent the interests of the mechanical engineering sector vis-a-vis politics, science, standardisation bodies and other sectors PR work to communicate the opportunities, challenges and implementation possibilities VDMA Forum Industrie 4.0 Seite 28
29 Plattform Industrie 4.0 started at HMI 2015 Steering Group Industry-led Ministries Working Groups: Standards R&I Security Legal Framework Work & Education Strategy Group Gouvernment Associations Länder Unions Science Scientific Advisory Group Use cases, Applications International Standardisation VDMA Dietmar Goericke Seite 29
30 Playing field: Europe Factories Lead Markets Resource Investment efficiency Framework Conditions & Infrastructure For Industrie 4.0, Europe provides a Single Market and scaling potential For Europe, Industrie 4.0 is the opportunity to -bring back factories to Europe through efficient and individualised production -create investment and business opportunities -achieve the re-industrialisation targets in a sustainable way Framework conditions are defined on European level: -Competition Law -Digital Single Market -Internal Market for Goods and Services - IPR, Data ownership, Cyber-Secury -Regulatory Framework VDMA Forum I4.0/European Office
31 Need for European action Data security & trust: protecting business knowledge infrastructure with industry-level performance in terms of reliability, speed and volume. R&I to support the digital transition, in particular SMEs and Midcaps Standards and reference architectures are essential. Integrated Single Market 2.0 for the products, production, and services of Industrie 4.0 Analysis of legal framework Interdisciplinary challenge, multiple scenarios and fast technological change requires political dialogue. Create a EU-network and discussion platform VDMA Forum I4.0/European Office
32 Summary: What is Industrie 4.0? Digitalisation and Integration Autonomous, self-organising production units Potential for efficiency and business models Rather a framework and a vision Requiring effort from companies and society Shaping the digital transition in industry work in progress Quelle: istockphoto/alengo Networking & Learning is the key VDMA Seite
33 Thank you Thank you for your attention! VDMA Dietmar Goericke Seite
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