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Enabling Industry 4.0 and Smart Manufacturing with new Product Capabilities and Next Generation DevelopmentA Deloitte Consulting Point of View
@PITVtweets #PIBerlin
Ulrich Schoof
Senior Manager Product Development
Sassan Mottaghian
Senior Manager Product Development
37%
19%
35%
9%
Audit and ERS
Tax and Legal
Consulting
Financial Advisory
With revenues of $ 36.8 bn. and operations in 150+ countries, Deloitte is unique in terms of the breadth and depth of its services
Deloitte Capabilities
FY2015/16
• Revenue: $ 19.3 bn.
• Countries: 31
• Headcount: 107,500
Americas
• Revenue: $ 5.2 bn.
• Countries: 25
• Headcount: 51,400
Asia Pacific
• Revenue: $ 12.3 bn.• Countries: 98• Headcount: 85,500
EMEA
• Revenue: $ 36.8 bn.• Countries: 154• Headcount: 244,000
FY2015/16
31.3 32.434.2 35.2
36.8
2012 2013 2014 2015 2016
Global firm coverage: More than 244.000 people in 150+ countries Glob. Revenue/ Revenue Split ($ Bn.)
• Increase in sales of 22%
• Growth in all business areas
• New auditing mandates in the DAX-30/Fortune Global 500
• Recognized position as market leader in digital innovation
• Start into new business year with over 20% growth rate
The consulting business grew by 37 percent to € 314 million (previous year: € 229 million) in fiscal year 2016 with strategic investments in expanding our service and sector-specific competences and capacities.
The focus remains unchanged on Digital Services. Leading market observers attest Deloitte's market leadership and the widest service portfolio in Digital Innovation Consulting. Deloitte's technological and sector-specific competencies, combined with regulatory, tax, legal and risk know-how, are an increasingly important success factor.
Our Performance in ConsultingDeloitte Growth Achievements 2016
• Technology• Strategy & Operations• Financial Services Solutions• Human Capital Advisory
Services (HCAS)
Consulting
• Audit• International accounting• Statutory and voluntary Special-
purpose audits• Enterprise risk services• Securitization services
Audit and ERS
• Tax planning• Tax returns and tax law
compliance• International tax optimization• M&A Transfer pricing
Tax and Legal
• Business valuation• Transaction services• Business modelling• Corporate finance advisory• Reorganization services• Forensic & dispute services
Financial Advisory
Our integrated services
Deloitte has a global practice delivering Product Development and Product Lifecycle Management Consulting Services
Deloitte Capabilities
Product Development Hubs (global delivery)
500+ experienced PD/PLM Consultants
Extended PD/PLM Service Portfolio: Integrating Tax, Customs, Audit-related Aspects
Capability for integrated transformation in Strategy, Technology and Organisation
Partnering closely with all major Software and Hardware Vendors
Innovation strategy and value
engineering to help clients
drive growth through better
product selection and design
Lean processes and tools to
decrease time-to-market,
driving access to higher levels
of revenue and lower costs
Large scale improvements of
end-to-end PD capabilities
including implementation of
supporting PLM technologies
Development of
organizational structures to
support differing strategic
goals and functions for R&D
PD Strategy PD TransformationEngineering Effectiveness
PD Organization Dynamics
USA
Germany (for Western & Central Europe)
Japan
Switzerland
United Kingdom (also for Nordic Region)
EnablingIndustry 4.0 and Smart Manufacturing
withNew Product Capabilities &
Next Generation Development
or
Why Industry 4.0 will never happen without Products 4.0
and Development 4.0 …
So what actually is Industry 4.0 ?
Not a common understanding in the
industry -
Diverse interpretations appearing …
So what actually is “Industry 4.0” ?
Source: IfD Allensbach; Centrum für Strategie und höhere Führung
10%
No response
Connectivity
9%
3%
3%
6%
4%
6%
2%
4%
25%
Internet of Things
Future projects of German federal government
New industrial evolution, fourth industrial revolution
Machines communicate with eachother, self-control of machines
(Also) every day life, private life affected
Mentioning of particular use cases
Wrong expectation mentioned
Internet mentioned
Other response
Digitization, utilization of new digital technologies
27%
19%
Change in production processes,customization, automization
27%
Integrated Collaboration across Design Chain and Supply Chain
26%23%
13% 12%
59%
49%
54%
49%
13%
27%
31%
37%
2% 1% 2% 2%
Strongerintegration of
suppliers into R&D
Strongerintegration of
customers in R&D
Reduction ofdevelopment
cycles
Increase in numberof newly developedproducts per year
totally applies applies somewhat applies rather not does not apply
Source: Staufen AG/ Deloitte Client Insight
Industry’s Perception of Industry 4.0 Effects
Fewer Development Cycles
Increase in # of New Products
Yes, but …
HOW ?
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across whole
Life Cycle
Artificial Intelligence: Cognitive Products and Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across whole
Life Cycle
Artificial Intelligence: Cognitive Products and Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across whole
Life Cycle
Artificial Intelligence: Cognitive Products and Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across
whole Life Cycle
Artificial Intelligence: Cognitive Products and Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across whole
Life Cycle
Artificial Intelligence: Cognitive Products and
Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across whole
Life Cycle
Artificial Intelligence: Cognitive Products and Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across whole
Life Cycle
Artificial Intelligence: Cognitive Products and Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ?
The Objectives The Key Elements
Self-Optimizing Production
Connectivity: Industrial Internet of Things IIoT
Self-Configuring Production
Self-Diagnosing Products and Production Equipment
Human-Machine Collaboration and Robotics
Continuous Data Usage across whole
Life Cycle
Artificial Intelligence: Cognitive Products and Machines
Next step in productivity optimization through further automation
Enabling the design, production and delivery of highly customized and personalized products and services
Reaching next level of production time reduction
Integration of products and services into user-aware cyber-physical systems
So what actually is Industry 4.0 ? The Self-Aware Product …
… has knowledge about:
• Its Identity
• Its current State
• Its current Kind of Usage
• Its Security Profile
… and knows how to:
• How to communicate UsageData, Status Data ... to itsData Subscribers / Clients
• How to Secure itself dependingon User, Status, Location, ...
• How to Interact with itsEnvironment depending on State
A closer look at some PD 4.0 elements
Product Development (PD)
Mechanical Production, Water and Steam Power
I 1.0Mass Production, Electrical Energy
I 2.0Electronics and IT to
further automate Production
I 3.0 I 4.0Cyber-Physical
Systems
EDM
CAE CAM eCAx
PDM True ConcurrentEngineering
DistributedDevelopment
Cloud
Big Data
AugmentedReality
3D Printing
E2E 3DProcess Chain
Industry / Production
PD 1.0Drawing Board
Close Contact betweenInnovator, Developer
and Producer
PD 2.02D CAD
Direct Numerical Control
PD 3.0Full 3D Process Chain
Life Cycle ManagementStep Change in Design
Distributed Teams
PD 4.0Autonomous Products
Smart Development NetworkAutonomous Teams
Cloud Based Communication
From Drawing Board to Smart Development
(R)evolutions in Product Development
PLM/ ALM
Product Development (PD)
Mechanical Production, Water and Steam Power
I 1.0Mass Production, Electrical Energy
I 2.0Electronics and IT to
further automate Production
I 3.0 I 4.0Cyber-Physical
Systems
EDM
CAE CAM eCAx
PDM True ConcurrentEngineering
DistributedDevelopment
Cloud
Big Data
AugmentedReality
3D Printing
E2E 3DProcess Chain
Industry / Production
PD 1.0Drawing Board
Close Contact betweenInnovator, Developer
and Producer
PD 2.02D CAD
Direct Numerical Control
PD 3.0Full 3D Process Chain
Life Cycle ManagementStep Change in Design
Distributed Teams
PD 4.0Autonomous Products
Smart Development NetworkAutonomous Teams
Cloud Based Communication
From Drawing Board to Smart Development
(R)evolutions in Product Development
PLM/ ALM
Highest level of maturity –with few exceptions going further
Examples on PD implications on Products, Factory, Supply Chain, and People
Link between Product Development and Industry 4.0 – SMART Elements
SMARTProducts
SMARTFactory
SMARTSupply Chain
SMARTPeople
MMI - Human Augmentation
Advanced sensors (RFID)
Connected Manufacturing
Connected Supply Chain
Electronic Routing Card
Analytics supported
Planning and Maintenance
Autonomous Factory
Integration
Completeness Check; Trouble ManagementE
xam
ple
Self organizing design data: A human centric vision for future
Elements making product development SMART
Design data will identify themselves the
production location
SKM will be done autonomously by the PD
environment
Parametric systems & artificial intelligence for
self-learning design
Data will locate themselves
Establish the seamless 3D end-to-end lifecycle
in the value chain
Data / Files / Models are context based proposedFlexible workflows of
self organizing design data - design data is
finding its creator and producer
Integration of authoring systems in
PLM
Proposing instead of searching
Autonomous data flow
Smart PD knowledge
management3D Continuity
Smart & Scalable Design
Self organizing design data: A human centric vision for future
Elements making product development SMART
Design data will identify themselves the
production location
SKM will be done autonomously by the PD
environment
Parametric systems & artificial intelligence for
self-learning design
Data will locate themselves
Establish the seamless 3D end-to-end lifecycle
in the value chain
Data / Files / Models are context based proposedFlexible workflows of
self organizing design data - design data is
finding its creator and producer
Integration of authoring systems in
PLM
Proposing instead of searching
Autonomous data flow
Smart PD knowledge
management3D Continuity
Smart & Scalable Design
Data will locate themselves – Smart Storage will be a game-changing technology to enable PLM usage in daily operative usage
Making Development Smart: Integration of authoring systems in PLM
Output:Integration in PLM
Input: Recognition/Identification
AttributesClassification
Semantic Content Analysis
Index
Semantic Content Analysis
AttributesClassification
Context Sensitive Support
Index
Context Sensitive Support
Documents find their
way into PLM systems
themselves
Self organizing design data: A human centric vision for future
Elements making product development SMART
Design data will identify themselves the
production location
SKM will be done autonomously by the PD
environment
Parametric systems & artificial intelligence for
self-learning design
Data will locate themselves
Establish the seamless 3D end-to-end lifecycle
in the value chain
Data / Files / Models are context based proposedFlexible workflows of
self organizing design data - design data is
finding its creator and producer
Integration of authoring systems in
PLM
Proposing instead of searching
Autonomous data flow
Smart PD knowledge
management3D Continuity
Smart & Scalable Design
Establish the seamless 3D end-to-end lifecycle in the value chain
3D Continuity linking Development 4.0 and Industry 4.0
Siemens PLM Software | Unrestricted © Siemens AG 2016
A tailored full 3D process will enable the organization to reduce the time-to-market for new development.
CAD Tools such as NX Product & Manufacturing Information (PMI) offering an advanced toolset for creating rich content and 3D annotation for downstream processes.
Dimensioning
Annotation
Specialized Notes
Supplemental Geometry
Sectioning, Mirroring & WAVE
Search & Reports
Security Markings
GD&T Validation
3D Consumers
A tailored full 3D process will enable the organization to reduce the time-to-market for new development
Target EnvironmentA
s-I
s
2D
Process
3D Design Data
Production Plan Manufacturing
End to EndTime-To-Market
Benefit
Dimensioned and Annotated3D Design Data
Fu
ll 3
D
Pro
cess
3D Consumers
Production Plan Manufacturing
Fully Integrated Consumers of 3D Views
Other 2D Consumers
3D View Creation as Bridging Technology:
• Relevant 3D views are chosen together with Production Planning in Simultaneous Engineering meetings
• A detailed and agreed concept for drafting standards must be defined
Product Manufacturing Information:
• Dimensions• Geometric Dimension & Tolerancing• Surfaces• Production Processes• Additional Information• …
2D Drawings
3D Views
Start different…
Digital Transformation – Enabling Development 4.0
Methods Virtual Collaboration
Change IncubationEnabling Infrastructure
Shift your Organization to Industry
4.0
Hackathons
Design Challenges/ Contests
Hybrid Agile
Open Source Products
Deloitte Greenhouse
Digital Operations Lab
Deloitte Analytics Institute
Manufacturing Supplier
Design Supplier
EcosystemsSystem Supplier
Crowdsourcing/Crowdfunding
Big Data Analytics
Industrial Internet of Things
Smart FactoryCloud/Fog Computing
DDS
C2C
C2X
Isolated Analytics
Hybrid Service Bus to feed Development Infrastructure
Enabling Infrastructure – Cloud/Fog Computing
Infrastructure Enabling Development 4.0
So, that is Industry 4.0 ?
Sassan MottaghianSenior ManagerStrategy & Operations
Phone: +(49) 89 290367786Mobile: +(49) 151 58071392
smottaghian@deloitte.de
Deloitte Consulting GmbH
Deloitte Consulting GmbH Rosenheimer Platz 4D-81669 Munich
www.deloitte.com/de
Please contact us with any questions
Deloitte Contacts
Ulrich SchoofSenior ManagerStrategy & Operations
Phone: +49 (0) 711 165547683 Mobile: +49 (0) 151 58070972
uschoof@deloitte.de
Deloitte Consulting GmbH
Deloitte Consulting GmbH Löffelstr. 42D-70597 Stuttgart
www.deloitte.com/de
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