Internet of Things Michael Björkman, Technical Director, Marketing, Vacon Plc

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1 Internet of Things Michael Björkman, Technical Director, Marketing, Vacon Plc Internet of Things, Meeting in Carnegie 12 March 2014

2 Internet of things In the twenty years of Vacon s existence electronics and data processing powers have grown several hundredfold. In 1994 an iphone 5 (if it could have been built) would have cost several million EUR Sensors were expensive => now they can be single shot. The Internet (at all levels) has become ubiquitous 2

3 Internet of things Three technologies have come together: Cheap, reliable high speed communication (Ethernet plus the addressing and data transfer scheme). Massive and cheap data storage and computing possibilities (cloud). New software approaches creating value out of the two (apps). This leads to the possibility of the Internet of Things where all devices talk to one another 3

4 Vacon PPT 4 A new era Technology gives the possibilities people make the decisions on how it is best applied. The best application is often a question of own vision without a vision development is slow. In industry the replacement cycle is much slower than in consumer applications => replacement of investment goods is done based on need, not on glitz Replacement cycles are slow oil took a hundred years to replace coal Jan 2013

5 Software possibilities Vacon PPT 5

6 Applications Data can be gathered, transmitted, stored and analyzed cheaply and efficiently but the challenge in an industrial sense is how these can be sensibly utilized On the consumer side it is possible to analyze for example traffic flows and locate jams using the location function in smart phones. (yes there are privacy issues) In an industrial environment things are a bit more complex Shop floor to top floor all devices in a factory can be connected to the same data gathering and processing system but rarely directly to the Internet. (although such places do exist) There is usually a controlled connection (if that) from a factory system to the Internet and traffic in both directions is restricted. Vacon PPT 6

7 Internal IoT Within a factory there is a need for comprehensive data gathering It is possible to measure, model and optimize the process. Energy and raw materials are saved. Planning of production and logistics is easier It is possible to optimize production so the optimal production lot is one (requires a lot of work from R&D and production planning) Connecting the ERP to other similar systems eases trading and optimizes logistics Cooperation with authorities is smoother Remote monitoring of machines is possible the manufacturers can monitor their machine and determine if it requires service. Vacon PPT 7

8 Internal IoT Vacon PPT 8

9 Smart grid The so called smart grid is based on a highly developed communication technology all devices connected to the grid can communicate, which gives the grid owner better possibilities to monitor and control the flow of energy. This is a must, when more and more distributed energy generation (wind and solar power) are connected to the grid. Demand side management also belongs to the same category the energy flow is controlled either locally or globally by switching on equipment in staggered fashion, not at the same time (typically dishwasher and washing machine) => this will reduce the peak power requirement, saving money for the user and supplier. The total vision is still unclear on how data is to be controlled and owned and what functionalities are needed and which ones nice to have.. Vacon PPT 9

10 Smart grids Vacon PPT 10

11 Consequences for products On the product level this can lead to configurable products => a standard hardware can be used in multiple applications by programming it differently Examples: our different industrial applications grid converter applications etc. A store for the purpose can be created (compare with istore, Android, Windows) the value to the customer can be substantially higher than in consumer apps. Vendor services concerning software updates, logistics, history (mydrive) are made possible minimizing life cycle cost. Open source tools make it possible for third parties to create applications The increased computing power on the lowest level makes machine supervision possible => incipient failures or changes can be indicated.. Data gathering from close to the process makes process optimization easier. Power is measured separately for each motor => the biggest (relative) users are easily identified Vacon PPT 11

12 Visions The equipment owner decides where data analysis is to be made / can be made either locally or in the cloud by vendor services or third party services. All equipment must be interconnectable (have an Internet port) Vendors must be able to supply suitable software tools so the owners can fine tune their equipment Vendors and buyers systems must be able to communicate. The safety and security of the net are a significant challenge both for a safe communication channel as well as for functional safety issues making sure things work as planned. Both the IEEE and the IEC are developing standards and methods to verify the safe working of the net. Vacon PPT 12

13 Thank you