Precision Agriculture Using SAP HANA and F4F Cloud Integration to Improve Agribusiness Dr. Lauren McCallum May, 2015
Global trends impact agribusiness Shrinking cultivable acreage: Loss of over 24 million acres (> 38K square miles) each year Climatic changes force agribusiness to face new challenges Changing patterns of food consumption in developing countries increase demand Need to feed over 9 billion people by 2050 Increasing regulatory requirements, drive towards sustainability, water management, etc. Competition for sustainable products and industry leadership Highly complex agriculture operations Availability of huge amounts of external data Quality and compliance requirements Mobile data collection requirements Getting better yields from less -- precision application of fertilizers and crop protection chemicals Consolidation of farms into megafarms managed by farm managers and corporations The need to harness Big Data from the farming eco-system and network Need to track products through supply chain Samples, monitors and sensors, images, for e.g.: soil, moisture, color of growing plants, weather, water, nutrient management, app of crop protection, 2014 SAP AG or an SAP affiliate company. All rights reserved. 2
Increasingly complex environment surrounds farmers Weather, GPS & Laboratories Climate, crop & soil data Traders, Carriers & Industry Partners Supply chain & commodity management Each Farm = little factory Complex production process Farm administration requires more automated data exchange Sustainability becomes more and more a need Technology & Solution Providers Integrated supply chain is a requirement Sensor tech & mobile data exchange Machine Manufacturers Farm & field data exchange Farmer Integrated data pool Real-time information availability Best variety, planting prescriptions Decentralized data collection and delivery Complex algorithms Innovative, short time solutions for local problems Tailored crop inputs (fertilizer, herbicides, pesticides) Seed Producers AgroChemical Companies 2014 SAP AG or an SAP affiliate company. All rights reserved. 3
To grow in this environment, agribusinesses need. Seamless connection to business partners, including farmers Ability to store and analyze massive amounts of data fast Precision Farming Track & Trace (Supply Chain) Farm Data Field grids, soil samples, moisture analysis, field yield, application history, Predictive Maintenance Plan & Trade (Commerce) Supporting Data GIS/Maps, seed traits, weather, market data, equipment info, 2014 SAP AG or an SAP affiliate company. All rights reserved. 4
Situation today collaboration Different collaboration models are currently competing/ emerging 1 Agro-Chemical company takes lead in creating a collaboration hub (may acquire Service providers etc.) and open hub to their peers 2 3 Farm Equipment or Agro-Chemical company takes lead and establishes platform and infrastructure which could be made available to Agro-Chemical or farm equipment suppliers and other ecosystem stakeholders Multiple ecosystem players drive a platform gaining a competitive advantage over other vendors All 3 models create vendor-lock in/dependencies or redundant investments into different networks without critical mass, lacking neutrality and mutual trust among stakeholders 2014 SAP AG or an SAP affiliate company. All rights reserved. 5
Situation today data collection and analysis Everyone s using a different platform with different protocols/data formats 1 2 3 4 Different databases many not suited for high data volumes or analysis of real-time data Different/proprietary interfaces to external sources of data Different data formats for data that must be imported and analyzed to provide customized ag services Lack of built in analytic capability leads to redudant effort for each project All these issues lead agribusiness to focus more effort on common platform issues instead of focusing on innovative solutions that differentiate them from their competitors 2014 SAP AG or an SAP affiliate company. All rights reserved. 6
Imagine if. Legacy System Data Modeling Data Aggregation Data Security Data Exchange Data Analysis Data Storage My Company Cloud Custom Prescription Algorithms Predictive Analytics SAP/F4F Agriculture Hub on SAP HANA Precision Farming Engine on SAP HANA COLLECT CONNECT PRESCRIBE DELIVER 2014 SAP AG or an SAP affiliate company. All rights reserved. 7
Precision Farming Proof of Concept 2014 SAP AG or an SAP affiliate company. All rights reserved. 8
Lessons Learned: A neutral hub (not owned by agribusiness) changes the game Ability of this hub to integrate data in disparate formats is critical Huge need for industry-wide data standards Analysis of high volumes of data required to provide customized services Real-time data platform required for necessary performance
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