Leveraging Cloud Services for Quicker Implementation and More Secure Automation Solutions

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1 Leveraging Cloud Services for Quicker Implementation and More Secure Automation Solutions Peter Reynolds Senior Consultant ARC Advisory Group

2 The Hardware Layer of Automation Systems is Robust 2

3 How will your business be in the driver seat and create value? 3

4 One Answer Software Eats the World Six decades into the computer revolution, four decades since the invention of the microprocessor, and two decades into the rise of the modern Internet, all of the technology required to transform industries through software finally works and can be widely delivered at global scale. - Marc Andreesen US Silicon Valley Visionary 4

5 Challenges for Industrial IT & Automation High cost Commoditizat ion of IT Security and availability Operations is core competency Technology only enables the business Staff continue to focus on Core Business Process. IT considered non-value added work 5

6 Why Does Manufacturing Care About Cloud? network management tools software hardware facilities security support backups IT labor power/cooling maintenance disaster recovery Acquisition cost is 10% of IT Spend Operating cost is 90% of IT Spend 6 6

7 Major Industrial Trends Cloud Industrial Internet Consumer Devices Tech Savvy Workforce Big Data / Analytics 7

8 The True Cloud Computing Characteristics Cloud Computing is about Increasing the Clock Speed for Automation and IT and delivering more value to the business, faster 8

9 Deployment Options -Changing what your IT do Higher Cost Lower Agility Your Data Center Applications Lower Cost & Higher Agility Cloud Services (Public or Private) Applications Data Data Runtime Runtime Middleware Middleware O/S O/S Virtualization Virtualization Servers Servers Storage Networking Service Level Agreement 99.95% (5 min outage per week) Storage Networking 9

10 Would You like Your Solution in the Cloud or On Premise? Smart Grid Solutions 10

11 The Hybrid-Virtualization Cloud Operating Model Deployment X Deployment Y Deployment Z VM VM VM VM VM VM VM VM VM Isolated Private Network Internet facing VPN ABC Chemicals XYZ Chemicals Production Management Production Management HMI / Workstations HMI / Workstations Wireless Wireless Infrastructure (Networks ) Infrastructure (Networks ) Fieldbus Safety Logic & Motion Fieldbus Safety Logic & Motion Process Control Application Specific Appliances Device buses Discrete Control Process Control Application Specific Appliances Device buses Discrete Control 11

12 Microsoft Cloud Security Standards Program ISO EU Data Protection Description Internationally Information security standard 133 controls across 11 domains. Annual surveillance audits with continual improvement Law sets a baseline for handling data in the EU Compliance with EU Safe harbor framework. HIPAA Specifies privacy, security, disaster recovery guidelines for electronic storage of US health records SSAE 16 / ISAE Accounting standard relied upon as the authoritative guidance for reporting on service organizations, audit, controls FISMA US Federal enacted in 2002, based on NIST 800 series, 18 control domains - Applies to US Federal agencies. There is a financial cost to invest in security 12

13 What does a Cloud look like? 13

14 Where are Cloud Services Heading? Geographically Dispersed Assets: Small to Mid-sized Manufacturing MES Connected Assets Historian ERP Real-time Transactional 14

15 New Options: Industrial IoT for Plant Systems? XYZ Company XYZ Company XYZ Company XYZ Company Maintenance Engineering Purchasing Corporate Machine Mfr. Service Provider Enterprise New IoT Analytics and Applications Private Secure Connection to 3 rd Parties XYZ Company Production Management HMI / Workstations Smart Machine Wireless Infrastructure (Networks ) IoT Smart Module Local IoT Compute and Communicate module Fieldbus Process Control Safety Application Specific Appliances Plant Operations Logic & Motion Device buses Discrete Control Physical asset with sensors, actuators Emerging Option: Connect Assets Using New Technologies 15

16 Enterprise Software Business Is Evolving Old Model run on-premise require up-front payment take months to implement support users at desks New Model not easy to upgrade run as a service in a private or public Cloud require monthly payment can be implemented in weeks or days can support diverse user ecosystem are upgraded by the supplier provide tools for global collaboration 16

17 Thank You. Peter Reynolds Senior Consultant ARC Advisory Group 17

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