INDUSTRIAL DATA SPACE Digital Sovereignty for Industry 4.0 and Smart Services

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INDUSTRIAL DATA SPACE Digital Sovereignty for Industry 4.0 and Smart Services Prof. Dr. Boris Otto Cambridge February 1 st, 2016 Fraunhofer, TU Dortmund Page 1

AGENDA Digitizing the Industrial Enterprise The Role of Data and the Industrial Data Space Outlook to Upcoming Activities Fraunhofer, TU Dortmund Page 2

adidas combines digital services and lot size 1 production Smart Service»Runtastic«In-Store Production Source: Handelsblatt, August 6, 2015, No. 149; http://www.adidas-group.com/de/medien/newsarchiv/pressemitteilungen/ 2015/adidas-gruppe-erwirbt-runtastic/; startjp.com Fraunhofer, TU Dortmund Page 3

Successful value propositions are becoming increasingly»hybrid«as the example of adidas shows»hybridity«physical Product (Running Shoe)»Traditional Service«(Work-Out Monitor) Digital Service (Runtastic) Time Image sources: otto.de (2015), techglam.com (2015), soccerreviews.com (2015), appfullapk.co (2015). Fraunhofer, TU Dortmund Page 4

Tool machine manufacturer TRUMPF wants to offer an AppStore around metal sheet processing Tool Machine as Physical Asset Digital Value-Added Service Source: http://www.de.trumpf.com/de/produkte/werkzeugmaschinen/services/software/trutops-boost/bedienphilosophie.html; https://www.media.trumpf.com/trumpfbdb/object.jsp?web=bdb_press_free&obj_id=7675&view=image. Fraunhofer, TU Dortmund Page 5

Digital products follow a platform architecture logic Digital Business Architecture SMART SERVICES SMART DATA S MART PRODUCTS SMART SPACES Principles of the Digital Economy Services can be separated from physical platforms Architectural layers are de-coupled Products turn to platforms and vice-versa Ecosystems form around platforms Innovation happens in co-opetition modes Source: Working Group Smart Service Welt (2015). Fraunhofer, TU Dortmund Page 6

Agricultural machinery manufacturers are driving comprehensive digital farming solutions Precision Farming Value Creation in Ecosystems Machine Providers Influencers Crop Science Companies Digital Farming Ecosystem Technology Providers Farmers Wholesale Image sources: wiwo (2015), traction-magazin.de (2014). Source: Beecham Research Ltd. (2014). Fraunhofer, TU Dortmund Page 7

The»Smart Service Welt«is a response to changing customer needs End-to-End Customer Process Information Transparency Individualization Ubiquity of Service Consumption Source: Working Group Smart Service Welt (2015), Ernst & Young (2011). Fraunhofer, TU Dortmund Page 8

Thus, Industry 4.0 is a means to an end, not an end in itself as the example of Audi shows Market and Customer Demands Individualization of customer demands Number of models, variants, features Product life-cycles Globalization of processes Manufacturing and Logistics Process and product complexity Cost targets Decision needs (strategic, tactical, operational) Implications and Needs for Action»Autonomization«of manufacturing Real-time information availability Interoperability of production systems Industry 4.0 Fraunhofer, TU Dortmund Page 9

Industry 4.0 enables smart manufacturing through cyberphysical systems and decentralized control I have to be at the goods issue in 2 hours! I can work on Saturday. I need to go home now. Who can take over my orders? I m booked out till Friday! Sorry, I m not available on Saturday. Magazine will be empty soon, please refill! New customer order: We need an extra shift on Saturday. Solution Components Cyber-physical systems Self-configuration Virtual representation Context-aware information management Benefits Increased flexibility and agility Coping with complexity Fraunhofer, TU Dortmund Page 10

Industry 4.0 enables smart manufacturing in electric car production Solution Components All objects and items are interconnected Assembly parts find their way on their own through production Redundant manufacturing capacities are autonomously distributing work loads among each other Benefits No central control systems required Dynamic system reaction in case of exceptions High scalability of all production processes Supported by Source: SMART FACE-Project Consortium (2014). Fraunhofer, TU Dortmund Page 11

Industry 4.0 enables smart intralogistics Small autonomous transport units (shuttles) replace inflexible conveyor technology Cellular transport systems (CTS) follow selfcontrol principle CTS uses swarm intelligence for handling complex transport tasks. Autonomous transport management Increase of: Changeability Scalability and Flexibility Logistics performance where it is required! Fraunhofer, TU Dortmund Page 12

Industry 4.0 increases and efficiency in the warehouse Solution Components Autonomous navigation in the shelf No lift needed Flexible deployment of rack racers 85 percent 3D printed components Benefits Functional and cost advantages compared to state-of-the-art Increased flexibility of storage systems Reduced fixed costs No bottleneck through lift, thus reduced storage cycle times Source: Fraunhofer IML (2014). Fraunhofer, TU Dortmund Page 13

Industry 4.0 is a design principle for the industrial enterprise of the future Connectivity Real-Time Capability Autonomy Industry 4.0 Modularity Human- Machine- Interaction Virtual Entities Fraunhofer, TU Dortmund Page 14

As a consequence production and supply chain complexity is dramatically increasing Production Volume per Variant VW Beetle Production Audi Configurator 1955 Mass Production 1980»Shareconomy«Globalization 1913 2000 Complexity 3D Printed Car Individualization Ford Model T 1850 iphone No. of Variants Source: Koren (2010), cited in Bauernhansl (2014). Image sources: https://en.wikipedia.org (2015), https://www.impulse.de (2015), audi.de (2015), o2.co.uk (2015), computerbild.de (2015). Fraunhofer, TU Dortmund Page 15

AGENDA Digitizing the Industrial Enterprise The Role of Data and the Industrial Data Space Outlook to Upcoming Activities Fraunhofer, TU Dortmund Page 16

Data has evolved from a byproduct of operations to a strategic resource Value-added Data as process Data as enabler byproduct of processes Data as product enabler Data as a product itself Time Fraunhofer, TU Dortmund Page 17

Data is the strategic resource to link»industry 4.0«and»Smart Service Welt«Public Data»Industry 4.0«Data»Smart Service Welt«Customer Production Networks Logistics Networks Human-Machine- Collaboration Interoperability Autonomous Systems Internet of Things Smart Data Management End-to-End Customer Process Individualization Ecosystem Ubiquity Commercial Services Industrial Services Data from the Value Chain Legend: Information flow Material flow. Fraunhofer, TU Dortmund Page 18

The Industrial Data Space aims at a»network of Trusted Data«Trustworthiness Certified Members Decentralization Federated Architecture Sovereignty Data and Services Security Data Exchange Openness Neutral and User-Driven Scalability Network Effects Ecosystem Platform and Services Governance Common Rules of the Game Fraunhofer, TU Dortmund Page 19

The overall Industrial Data Space architecture takes four different viewpoints Business and Governance Data and Services Industrial Data Space Software Security Fraunhofer, TU Dortmund Page 20

A technology-agnostic»business Map«describes functional data services Industrial Data Space App Store Basic Data Services Provisioning Data Service Management and Use Vocabulary Management Software Curation Data Provenance Reporting Data Transformation Data Curation Data Anonymization Data Service Publication Data Service Search Data Service Request Data Service Subscription Vocabulary Creation Collaborative Vocabulary Maintenance Vocabulary/Schema Matching Knowledge Database Management Software Quality and Security Testing Industrial Data Space Broker Data Source Management Data Source Search Data Exchange Agreement Data Exchange Monitoring Data Source Publication Data Source Maintenance Version Controlling Key Word Search Taxonomy Search Multi-criteria Search»One Click«Agreement Data Source Subscription Transaction Accounting Data Exchange Clearing Data Usage Reporting Industrial Data Space Connector Data Exchange Execution Data Preprocessing Software Injection Remote Software Execution Data Request from Certified Endpoint Usage Information Maintenance (Expiration etc.) Data Mapping (from Source to Target Schema) Secure Data Transmission between Trusted Endpoints Preprocessing Software Deployment and Execution at Trusted Endpoint Data Compliance Monitoring (Usage Restrictions etc.) Remote Attestation Endpoint Authentication Fraunhofer, TU Dortmund Page 21

The software architecture consists of a set of components Clearing Vocabulary Apps Industrial Data Space App Store Industrial Data Space Index Registry Industrial Data Space Broker Internal IDS Connector Download Upload External IDS Connector Upload / Download / Search Internet External IDS Connector Third Party Cloud Provider Company A Internal IDS Connector Upload / Download Fraunhofer Fraunhofer, TU Dortmund Page 22 Company B

The Industrial Data Space recognizes five different organizational roles Data Provider Certifying Agency Industrial Data Space Data User Broker AppStore Provider Fraunhofer, TU Dortmund Page 23

Some key features characterize the Industrial Data Space Digital sovereignty over data assets Secure»Data Supply Chain«Easy data linking Data economy blueprint Trusted participants through certification Federated/distributed data storage Collaborative data governance models Open participation process Fraunhofer, TU Dortmund Page 24

Architecture Layers The Industrial Data Space focuses on data services Smart Service Domains Automotive Electronics Services Logistics Manufacturing Life Sciences Smart Services and Products»Smart Data Services«(Alerting, Monitoring, Data Quality etc.) INDUSTRIAL DATA SPACE»Basic Data Services«(Data Fusion, Mapping, Aggregation etc.) Internet of Things Broadband Infrastructure 5G Real-time Scenarios Sensors and Actuators Devices Fraunhofer, TU Dortmund Page 25

The activities are organized as a research project and within a chartered association Q3/2014 01.10.15 26.01.16 01.10.18 Preparation Research Project Industrial Data Space Chartered Association Use Phase Fraunhofer, TU Dortmund Page 26

The Industrial Data Space Chartered Association was founded on January 26 th, 2015, in Berlin Fraunhofer, TU Dortmund Page 27

AGENDA Digitizing the Industrial Enterprise The Role of Data and the Industrial Data Space Outlook to Upcoming Activities Fraunhofer, TU Dortmund Page 28

The work plan for the upcoming months is all set Delivering BMBF research project Identification of further use cases Positioning on European level Joint preparation of usage and operating models Communication and public relations Fraunhofer, TU Dortmund Page 29

The Industrial Data Space activites are closely aligned with the»plattform Industrie 4.0«Insurance 4.0 Indus trie 4.0 Retail 4.0 Banking 4.0 Focus on Manufacturing Industries Smart Services Industrial Data Space Focus on Data Data Network, Data Transmission Real-time Systems Fraunhofer, TU Dortmund Page 30

Innovative Digital Business Models require the»tactile Internet«Testbed Mobile High Speed Internet Requirements 1000 x Data Throughput 100 x Devices 10 x Battery Lifespan 1 ms Latency Car2Car & Car2X Communication Industrial Wireless Technology DSL boxes and streep lights become transmitters Fibreglass Fraunhofer, TU Dortmund Page 31

The Industrial Data Space at a Glance! Fraunhofer, TU Dortmund Page 32

Thank you very much for your attention! Prof. Dr. Boris Otto Fraunhofer IML & ISST Boris.Otto@iml.fraunhofer.de https://de.linkedin.com/pub/boris-otto/1/1b5/570 https://twitter.com/drborisotto https://www.xing.com/profile/boris_otto http://www.researchgate.net/profile/boris_otto Fraunhofer, TU Dortmund Page 33

INDUSTRIAL DATA SPACE: STATUS UPDATE Prof. Dr. Boris Otto Zurich December 9 th, 2015 Fraunhofer, TU Dortmund Page 34