Europe, Asia Lead the Way to the Factories of the Future

Europe, Asia Lead the Way to the Factories of the Future

Which companies are leading us into the Fourth Industrial Revolution? The World Economic Forum has completed a study and named nine of the best factories in the world—certainly an audacious task. Dubbed “lighthouses”, they were selected from a survey of over 1,000 manufacturing sites based on a successful track record of implementing technologies of the Fourth Industrial Revolution.

Three of the nine “lighthouse” sites are in China, five are in Europe and one is in the United States.

The aim of this effort is to build a network of “manufacturing lighthouses” to address problems confronting industries in both advanced and emerging economies when it comes to investing in advanced technologies. Earlier work by the Forum identified that over 70% of businesses investing in technologies such as big data analytics, artificial intelligence, or 3D printing do not take the projects beyond pilot phase due to unsuccessful implementation strategies. To aid the learning and adoption of technologies by other companies, all nine lighthouses in the network have agreed to open their doors and share their knowledge with other manufacturing businesses.

“The Fourth Industrial Revolution is expected to deliver productivity gains amounting to more than 3.7 trillion USD. But we are still at the beginning of the journey” said Helena Leurent, Head of the Shaping the Future of Production System Initiative and Member of the Executive Committee at the World Economic Forum. “Our efforts to create a learning platform with the lighthouses as the cornerstone are part of the giant leap needed to capture the benefits for the larger manufacturing ecosystem including multinationals, SMEs, start-ups, government and academia”.

“The Fourth Industrial Revolution is real. Workers and management equally get augmented with technology. These pioneers have created factories that have 20-50% higher performance and create a competitive edge,” said Enno de Boer, Partner and Global Head of Manufacturing at McKinsey & Company, which collaborated with the Forum on the project. “They have agile teams with domain, analytics, IoT and software development expertise that are rapidly innovating on the shop floor. They have deployed a common data/IoT platform and have up to 15 use cases in action. They are thinking “scale”, acting “agile” and resetting the benchmark.”

The nine “lighthouses” have comprehensively deployed a wide range of Fourth Industrial Revolution technologies and use cases at scale while keeping humans at the heart of innovation. One example from each of the sites is highlighted below:

  • Bayer Biopharmaceutical (Garbagnate, Italy): ‘Using data as an asset’- While most companies use less than 1% of the data they generate, Bayer’s massive data lake has led to a 25% reduction in maintenance costs and 30-40% gains in operational efficiency
  • Bosch Automotive (Wuxi, China): ‘Supporting output increase’ – By using advanced data analytics to deeply understand and eliminate output losses, simulate and optimize process settings, and predict machine interruptions before they occur
  • Haier (Qingdao, China): ‘User-centric mass customization model’ – Artificial Intelligence led transformations include an ‘order-to-make’ mass customization platform and a remote AI supported, central intelligent service cloud platform to predict maintenance needs before they happen
  • Johnson & Johnson Depuy Synthes (Cork, Ireland): ‘Process-driven digital twinning’ – This factory used the internet of things to make old machines talk to one other, resulting in 10% lower operating costs and a 5% reduction in machine downtime
  • Phoenix Contact (Bad Pyrmont and Blomberg, Germany): ‘Customer-driven digital twinning’ – By creating digital copies of each customer’s specifications, production time for repairs or replacements has been cut by 30% Procter & Gamble (Rakona, Czech Republic): ‘Production agility’ – A click of a button is all it takes production lines in this factory to instantly change the product being manufactured, which has reduced costs by 20% and increased output by 160%
  • Schneider Electric (Vaudreuil, France): ‘Factory integration’ – Sharing knowledge and best practices across sites has helped this company make sure all its factory sites enjoy the highest energy and operational efficiencies, reducing energy costs by 10% and maintenance costs by 30%
  • Siemens Industrial Automation Products (Chengdu, China): ‘3D simulated production line optimization’ – Using 3D simulation, augmented reality and other techniques to perfect the design and operations of its factory, employees helped increase output by 300% and reduced cycle time
  • UPS Fast Radius (Chicago, USA): ‘Balancing capacity with customer demand’ – Meeting increasing consumer demand for fast-turnaround customized products has been made possible through a combination of globally distributed 3D printing centres with real-time manufacturing analytics

The World Economic Forum, committed to improving the state of the world, is the International Organization for Public-Private Cooperation. The Forum engages the foremost political, business and other leaders of society to shape global, regional and industry agendas.

Industrial Automation and Information Technology

Industrial Automation and Information Technology

Last week was where industrial automation and information technology met along with my vice–soccer.

Emerson Automation Solutions–Digital Transformation, IT/OT collaboration, corporate acquisitions (GE Intelligent Platforms, once known as GE Fanuc, joins the fold), WirelessHART applications expand, flow control data becomes an integral part of digital transformation.

Hewlett Packard Enterprise (HPE)–Refinery of the Future tour of the Texmark refinery that I’ve written about before and CenterPoint Energy where digital boosts the electrical utility industry.

Marketers may still talk of IT/OT convergence as something coming. In many forward thinking plants it is here. Texmark CEO Doug Smith talks freely about the kick in the pants delivered by his insurance carrier that propelled him and his team toward finding innovative solutions to operations challenges.

I sometimes joke that “I’m the point of convergence of IT and OT”, or at least my blog and writing are.

Don’t believe hype or nay-sayers. The collaboration is real–among suppliers, partner ecosystems, managers, engineers. And real benefits are accruing.

Have you joined the 21st Century?

Companies Merge To Form Next Gen Collaborative Robotics

Companies Merge To Form Next Gen Collaborative Robotics

Enrico Krog Iversen, former CEO of the industry-leading collaborative robot pioneer, Universal Robots, along with the Danish Growth Fund, is addressing the next challenge in automation with the merger of three innovative end-of-arm tooling companies to facilitate the ongoing growth of collaborative robotics; an industry expected to reach $8.5 billion by 2025.

The new company combines U.S.-based Perception Robotics, Hungary-based OptoForce, and Denmark-based On Robot to become OnRobot, which will drive innovation and ease-of-use for robotic end-of-arm tooling. OnRobot’s headquarters will be located in Denmark under the management of Enrico Krog Iversen, and the three entities will continue their individual operations and development as well. In addition, OnRobot’s global network of distributors will have access to local sales support, technical assistance and product training from the company’s regional offices in Germany, China, U.S., Malaysia, and Hungary. More offices to come in 2018.

“The aim is to build a world-leading organization in development and production of end-of-arm tooling. Through further acquisitions and collaborations, we expect to reach a revenue exceeding one hundred million dollars in a few years,” says Iversen and continues: “Safe, cost-effective, and versatile cobots are becoming increasingly common because they offer sophisticated and intuitive programming that enables them to be easily deployed and redeployed. Easy-to-integrate end-of-arm tooling, such as grippers and sensors, become vital elements in adapting these powerful automation tools for a wide range of applications.”

In 2015 Enrico Krog Iversen and the Danish Growth Fund sold the Danish cobot pioneer company Universal Robots to U.S.-based Teradyne for $285 million. With their new venture, the two investors now further strengthen Denmark’s global position in the robotics field.

“In recent years Denmark has successfully established itself as a global hub for robotic technologies. Universal Robots was a pioneer, and since then many more strong and innovative companies have been formed with roots in Odense, Denmark. The new OnRobot has the potential to become not only a world-leading company, but also a catalyst for further development of the Danish robotics cluster. We are pleased to promote this trend through our investments and invite both companies and investors from around the world to come join us,” says Christian Motzfeldt, CEO of the Danish Growth Fund.

Collaborative robots, which work safely alongside humans in applications such as packaging, quality testing, material handling, machine tending, assembly and welding, currently represent 3% of global robot sales, according to the International Federation of Robotics, but the share is expected to rise to 34% of a $25 billion market by 2025.

“This growth will most definitely depend on cobots being used in more applications,” Iversen added. “Their small footprint and ability to work safely alongside humans make them ideal for small and medium-sized manufacturers who need to compete globally. Cobots are also increasingly integrated into very large manufacturers such as automotive plants, where they are taking over processes that can’t be automated using traditional robotics. As the types of cobot applications expand, so does the need for new tooling that can be quickly and easily integrated into the cobot’s user interface. The new OnRobot is championing a current mega trend in the field of automation. Combining the unique capabilities of these end-of-arm technologies under one umbrella company that is led by some of the smartest minds in the robotics industry will make them even easier to implement and program. By the way, the new OnRobot is currently looking to add employees in R&D,” says Iversen.

Companies Chosen for Synergies, Ease of Integration, Vision

The three companies that will form the new OnRobot were chosen because of their synergistic end-of-arm technologies, the ability of these technologies to easily integrate to provide improved support and the long-term vision and capabilities of each company’s founders.

• On Robot, founded in 2015, provides plug-and-play electric grippers — RG2 and RG6 — that mount directly on the robot arm, are highly flexible and are simple enough to be programmed and operated from the same interface as the robot without the need of engineers.

• OptoForce, founded in 2012, provides force/torque sensors that bring the sense of touch to industrial robots so that they can automate tasks that would otherwise require the dexterity of the human hand.

• Perception Robotics, founded in 2012 and based in Los Angeles, develops bio-inspired robot grippers: 1) a gecko-inspired gripper for handling large, flat objects and 2) a tactile gripper with compliant rubber tactile sensors (“skin”) to give robots a sense of touch. Its first grippers will be available this year.

OnRobot presented its first new products at automatica 2018. The Gecko Gripper, Polyskin Tactile Gripper, RG2-FT gripper and a technical upgrade of the HEX force-torque sensor product line based on OptoForce technology will open up new applications for collaborative robotics and make implementation even easier. In this fast-growing market segment, OnRobot has positioned itself from the ground up as the innovative provider for collaborative grippers and end-of-arm tooling.

“Collaborative robots have the potential to become the comprehensive standard in industrial automation,” says Enrico Krog Iversen, CEO of OnRobot. “We want to unleash this potential by making collaborative applications even easier to implement and to carry them into completely new applications – that is the idea behind all our new products that we are presenting here at automatica.”

The Gecko Gripper, developed by Perception Robotics, was inspired by nature and uses the same adhesive system for gripping as the feet of a gecko, with millions of fine fibers that adhere to the surface of the workpiece and generate strong van der Waals forces. For the Gecko Gripper technology, OnRobot licenses a concept originally developed by the NASA Jet Propulsion Laboratory (JPL) and brought it to market maturity.

This unique and fast-moving solution for handling large, flat objects makes vacuum grippers and their compressed air system unnecessary. In contrast to vacuum grippers, the Gecko Gripper can also handle perforated or porous workpieces such as printed circuit boards without any problems. The gripper is compatible with Universal Robots and Kawasaki robotic arms.

The Polyskin Tactile Gripper also comes from the innovation forge of Perception Robotics. The solution specializes in sensitive gripping: Both fingers can be individually aligned and have integrated tactile sensors at the fingertips. This allows the gripper to precisely measure the condition of the surface of workpieces and align its gripping processes accordingly. These properties take tactile gripping to a whole new level, especially when working with sensitive or irregular workpieces. The Polyskin Tactile Gripper is also compatible with Universal Robots and Kawasaki.

OnRobot is launching a variation of its established RG2 gripper, the RG2-FT with integrated force-torque sensors and a proximity sensor, which also accurately detects the condition of objects. The gripper detects the danger of objects slipping off even before it happens, making handling even safer – for workers as well as for the workpiece. This gripper model is particularly suitable for use in precision assembly and is compatible with lightweight robots from Universal Robots and KUKA.

The OnRobot product line for force-torque sensors based on OptoForce HEX technology has received a substantial technical upgrade, making installation and handling of the sensors even easier and faster. Mounting is now up to 30 percent faster, partly thanks to overload protection integrated in the sensor, which no longer has to be removed and mounted separately when attaching to the robot arm. Furthermore, the weight of the sensor can be reduced by 20 percent. A new, improved sealing ring also protects the HEX products better against dust or water in the environment.

Companies Merge To Form Next Gen Collaborative Robotics

McKinsey Study Finds Huge Gap Between Trying and Applying Digital Manufacturing

Most companies think they lead their Industry 4.0 competitors in AI and robotic technologies. This sounds like Garrison Keillor describing the mythic village of Lake Wobegon, MN where “all the children are above average.” I’m finding increased interest in digital manufacturing, Industry 4.0, smart manufacturing, or whatever the initiative is called locally.

As always, hype exceeds reality until that point in time when we suddenly realize that everyone is doing it rather than talking about it. Cloud computing falls into that category.

A huge confidence gap exists between the number of companies that try digital manufacturing strategies and those that successfully apply them, a new McKinsey & Co. survey found. In the 2018 Manufacturing Global Expert Survey, 92 percent of respondents think they lead or are on par with competitors in Industry 4.0 manufacturing strategies.

The survey consisted of 700 companies in seven nations. Each had at least 50 employees and $10 million in annual revenue. It found that two-thirds rank digitizing the production value chain as a top priority. Industry 4.0 pursuits fall in three areas:

Connectivity – Using digital performance management and augmented reality to move the right information to the right people in real time. These tactics help communicate interactive work instructions and standard operating procedures.

Intelligence – Advanced analytics and artificial intelligence are fostering better decision making.  Examples: Predictive maintenance; digital quality management and AI-driven demand forecasting.

Flexible Automation – New robotic technologies are safer and improve productivity. Human-machine interactive “cobots” and driverless guided vehicles are changing life on the factory floor.

“Despite this focus and enthusiasm, companies are experiencing ‘pilot purgatory.,’ They have significant activities underway. But they are not seeing meaningful bottom-line results,” said Richard Kelly, a McKinsey partner.

China, India and the United States think they lead their competition in digital manufacturing. Japan was an outlier. Its view for the potential of digital manufacturing dropped from over 90 percent in 2017 to 75 percent. Japan’s loss of enthusiasm was far greater than declines in the other three countries.  Even so, the success in implementing Industry 4.0 solutions rose significantly in Japan, China and the U.S. while stagnating in Germany.

Digital manufacturing topped the operations-strategy agenda at 68 percent of companies. India led China and Brazil in setting an Industry 4.0 agenda. At 63 percent, the U.S. was 5 percentage points below the 68 percent average.

Companies are piloting an average of eight different Industry 4.0 solutions. India leads with 10.6 digital pilots. China had 10.2 and Brazil had 8.9. The U.S. was fourth at 8.5.

“The challenge is to roll out successful pilot projects to the entire organization,” Kelly said. “That’s what makes transformation happen.”

Across business sectors, connectivity, intelligence and flexible automation solutions showed relevance. Pilots under way trailed that sentiment by 16 to 19 points.

A bigger drop off came when comparing pilot programs in the three areas with those that made it to scale. Only 30 percent rolled out companywide.  Industrial automation, software and semiconductors fared best. Healthcare, automotive components and paper and packaging trailed.

In Germany, the U.S., Japan and China, optimism toward digital manufacturing fell after an all-time high in 2017.

“It is quite possible companies still believe in the potential of the various technologies of Industry 4.0,” Kelly said. “But pilot purgatory has been demoralizing. Many are less hopeful about their individual chances of reaping benefits at scale. But we’re seeing great success in the number pilot projects being launched, and the general attitude toward digital manufacturing is quite positive.”

More Partnership News from Security Firm Claroty

More Partnership News from Security Firm Claroty

Claroty has been busy. Following the news of investments and partnership with Rockwell Automation, Claroty and Siemens announced a global partnership. Siemens will leverage Claroty’s advanced behavioral analysis technology in Siemens’ recently announced Industrial Anomaly Detection solution.

Siemens, through its global venture firm Next47, also invested in Claroty, joining a global syndicate of industrial giants that invested $60 million in the company’s Series B round, bringing the company’s total investment to date to $93 million.

Siemens initiated the Charter of Trust in February 2018, gaining the support of other giant companies in the global fight against the rising cybersecurity threat to industrial systems. Siemens also continues to expand its cybersecurity portfolio, debuting at the 2018 Hannover Messe industrial automation conference a new Industrial Anomaly Detection solution, which will deliver significant value for both operations and cybersecurity teams. Operations teams receive a detailed inventory of industrial assets and changes to the network. Cybersecurity teams can continuously monitor these critical networks for vulnerabilities, malicious activity, and high-risk changes, across distributed industrial sites.

Claroty was selected by Siemens following an intensive technical evaluation. “In selecting our security partner for Industrial Anomaly Detection, we reviewed the market, conducted a detailed evaluation, and rigorously tested possible technology in our industrial lab environment,” said Dr. Thomas Moser, CEO of the Siemens Customer Services business unit. “Claroty’s advanced behavioral analysis provides a significant advantage to our customers in reducing risk to their OT environment.”

“Our mission is to help our customers secure industrial networks so they can avoid costly operations downtime, and maintain the safety of people and expensive assets,” said Amir Zilberstein, Claroty Co-founder and CEO. “Siemens’ selection of Claroty as a strategic partner and their investment in our company is further validation of our technology, our team, and our ability to deliver world-class, enterprise-level protection.”

Siemens uses Claroty in a pre-packaged offering enabling customers to quickly and safely deploy anomaly detection in their operations. Siemens brings the offering to the market based on pre-installed packages on Siemens IPC. In the future, it is planned to also offer this based on Siemens switches with an Application Processing engine provided by the Ruggedcom RX1500 series.

Siemens, as owner and operator of nearly 300 factories, heavily leverages digitalizing for efficiency gains. Responsible digitalization must go hand in hand with cybersecurity. Therefore, Siemens is implementing a defense-in-depth security concept in its factories. Industrial Anomaly Detection is an important element of this concept.

The Claroty Platform is comprised of multiple integrated products, built on Claroty’s advanced CoreX technology. The products provide the full range of cybersecurity protection, control, detection, and response. Claroty has received multiple industry awards in recent months. It was recently named an Energy Innovation Pioneer at CERAWeek 2018, and the company’s flagship Continuous Threat Detection product won the ICS Detection Challenge during the S4x18 conference in Miami.

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