Operational Wim Hultink & Reinoud Visser

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Operational Technology@FrieslandCampina Wim

1 Operational Wim Hultink & Reinoud Visser ARC Industry Forum Europe 2016 Amsterdam Industry in transition: smart, secure, safe and sustainable manufacturing

2 Content First of all we believe in zero accidents! SUMMIT one way of working Safety, FrieslandCampina, on fire 240 minutes, Business Group Cheese, Butter and Milk Powder (CB&M)Cheese location Gerkesklooster Phoenix project MYSELF What happened on 29 th of July 2014, no problems, just solutions How to rebuild Automatic Guide Vehicle, Thousands of shelves DATA INTEGRITY What is the Automation target, ambition on standardization Cyber security project facts, plant model From what is on operators mind, into an automated system mind MES building blocks 1

3 19,000 ambitious member farmers are the owners of FrieslandCampina Every day we nourish millions of consumers around the world On a yearly base we handle more than 11 milliard KG of milk In 70 factories world wide 2

1871 1880 1879 1913 1926 1919 We have a long history 1947 1965 1979 1997 1989 2001 1993 2004 2001 2008 2012 2013 2014 2020 Founding of Arnhemse Melkinrichting Founding of CCF in Leeuwarden Friesche

of Nutricia Dairy & Drinks Group Friesland Foods receives Royal designation on its 125th anniversary Acquisition of Alaska Milk Corporation Philippines Acquisition of Zijerveld and Veldhuyzen B.V. and G.

4 We have a long history Founding of Arnhemse Melkinrichting Founding of CCF in Leeuwarden Friesche Vlag, Dutch Baby and Bonnet Rouge are registered for international markets Founding of Coberco in Zutphen Merger of Coberco, Friesland Dairy Foods, De Zuid-Oost-Hoek and Twee Provinciën Acquisition of Nutricia Dairy & Drinks Group Friesland Foods receives Royal designation on its 125th anniversary Acquisition of Alaska Milk Corporation Philippines Acquisition of Zijerveld and Veldhuyzen B.V. and G. den Hollander Holding B.V. Acquisition of IDB Belgium N.V. Acquisition Olam Ivory Coast and DEK srl in Italy. Founding Campina Melkunie Nine farmers take over a cheese factory in the Dutch Wieringerwaard Oprichting van de eerste zuivelcoöperaties Founding of the De Meijerij Veghel / De Melkindustrie Veghel Campina brand introduced DMV Campina and Melkunie Holland introduced Acquisition of Sudmilch (Heilbronn) International launch of formation of international Campina brand and co-operative 3

5 One Way of working Long History, mergers & acquisitions => Scattered IT/OT landscape World wide program Harmonize processes => Summit Governance, SUMMIT organization, Business Process Owners One BackBone Templates: Make to Demand Order to Cash Purchase to Pay Finance to manage Sales and operation Planning And how about Manufacturing Operational Management systems?

6 5 One Way of working MOMS strategy program Defined strategy finalized Q4 2012

7 Scope Global versus Local using ISA 95 / ISA 88 6

8 The Netherlands, Germany, Belgium, France, Italy and Spain Cheese, Butter & Milkpowder Sells cheese, condensed milk, infant nutrition, butter and milk powder worldwide. The product range comprises a wide variety of cheeses, different types of butter and milk powders. The business group exports to more than 100 countries. 9 production sites Branches 5 pack locations Several sales and distribution centres On the policy of: One way of working The business group CB&M must prepare their production and pack sites in order to be ready for SUMMIT implementation Readiness phase - set up MES program 7

9 MOMS Production (MES): scalable and modular MES building blocks functional 8

10 Building block 9

000 ton cheese year 3 different types: Block cheese 30x50 (nature and foil) Block

11 FrieslandCampina Gerkesklooster Cheese Make location Gerkesklooster is one of the 9 production locations of CB&M liters raw milk ton cheese year 3 different types: Block cheese 30x50 (nature and foil) Block cheese 35x50 (nature) Wheel 4.5kg (nature) 35 different Basic materials, like: Goude, Slankie, goat cheese, Edam, etc.

12 Gerkesklooster on fire The 29 th of July 2014, it was on a sunny day, but it became black.. 11

13 Rebuild Gerkesklooster FrieslandCampina Cheese Gerkesklooster 30 million Rebuilding of the cheese warehouse and brining room destroyed by fire in

14 Challenges! Safety first => target on zero Lost Time Accidents Rebuild new warehouse < 1 year Future state: highly automated: Automatic Guide Vehicles MES Building Blocks High experienced team Engineering during building FrieslandCampina standards Planning: Nov decision on rebuild > March 2015 first piles April URS / RFQ on automation ready. Sept. FAT testing > Nov. start commissioning 13

15 Model of a cheese factory Gerkesklooster plant: Completely destroyed From(Liquid)continuous flow into batch into discrete 14

16 Set of drawings documents - warehouse 15

17 Main components Cheese Management System 16

18 Hardware Cheese Management System 17

19 Data flow 18

20 Process in execution 19

21 Smart: Connected Machines & Systems

22 Secure & Safe: Data integrity Data integrity is the integrity of stored data in a controlled system Data has to be protected on reliability, safety and must be trust full. It must be protected against all outside influence. 21

23 Some facts Building Infra 1800 ground piles More over than 6000 m2 Concrete walls > 240 min. Of fire protection 7 cells of nature cheese and separate cold store 30 Km of motor/sensor cabling 1 Km of glas fibres cabling shelves, 800 racks More over than 20 automatic doors WiFi points AGV area covered automation 120 IP address components HP server system based on VMWare Wonderware platform More over than 50 electrical cabinets 22

We are in full operation on a high automatic warehouse. Full of sensors, units (handling machines, robots),computers automatic doors, fire detection systems, conditioning and AGV s.

24 We are in full operation on a high automatic warehouse. Full of sensors, units (handling machines, robots),computers automatic doors, fire detection systems, conditioning and AGV s. Today The warehouse is more than only a storage area with four walls It was a challenge! What was on paper design did really work out on practice! It is a big step into smart, secure, safe and sustainable manufacturing 23

25 See you at Questions? SUMMIT one way of working Safety, FrieslandCampina, on fire 240 minutes resistance duration, MES building blocks CB&M Cheese location Gerkesklooster Phoenix project complex What happen on 29 th of July 2014, no problems, just solutions How to rebuild Automatic Guide Vehicle, Thousands of shelves DATA INTEGRITY What is the Automation target, ambition on standardization Cyber security Cheese Management System project facts, plant model From what is on operators mind, into an automated system mind

Presentation Piet Boer, Chairman Supervisory Board November 2015

Presentation Piet Boer, Chairman Supervisory Board November 2015 11.3 billion euro revenue 22.168 employees Facilities in Export to over 32 countries 100 countries 19,054 Every day member dairy farmers