InSource 2017 IIoT Roadshow: Evolution or Revolution

transcript

Is IIoT right for me…..?

There’s a ton of information out there – how do I know what’s real and whether it will benefit my organization ?

Mark DelfuntDirector – Center of Excellence

Make the complex

simple

Industry 4.0, Smart factories, IoT, and others….

Industry 4.0 is the idea (and reality) of a Next Generation of Manufacturing

automation that includes

• Connected equipment – often with interconnected intelligence with

• Self-learning capabilities (cyber-physical). It also integrates cloud computing.

• Advanced manufacturing

• Digital manufacturing enterprise

Copyright InSource Solutions @2016

Simplify - basic building-blocks of IoT and IIoT

Will it look the same for everyone?

Fundamental

IoT or IIoT

architecture

Source: Why IoT is Different Than Past Technology Evolutions; Internet of Things Institute, IndustryWeek, Dec.. 06, 2016

And another from IndustryWeek

Confidential Property of Schneider Electric |

Managed Services

Application Services

Data Symantec &

Contextualization

Machine Learning &

AnalyticsDevice Lifecycle

Management

Remote Connectivity

& Control

Raw and

Structured

Data Store

Configure &

Upgrade

Contextualize

Semantics & Rules

Localized Machine

Learning & Analytics

Configuration &

Messaging

Discovery &

Onboarding

Collect & Store

ActuatingEmbedded

Intelligence

Connect Collect Analyze Act

Digital Services Platform

Smart Operations Platform

Device Intelligence Platform

Hardware agnostic

connectivity

Drivers, Toolkits and

Templates

Manufacturing,

Process, and

Equipment Data

aggregation

Data abstraction &

Contextualization

Predictive Analytics,

Models &

Visualization

Apply Rules,

Models & Workflow

Business Logic for Closed

Loop Operations

Wireless Sensors

Gateways

Device Intelligence Platform

Operations

Platform

Digital

Services

Platform

Smart Operations Value EnablerSoftware IIoT Value Position in the EcoStruxure.io Stack

Connect Collect Analyze Act

Software Portfolio

Revolution or Evolution

Revolutionary EvolutionaryConsumer? Industrial?

Evolution of Historian infrastructure

“Nothing new under the sun”

Its’ evolutionary….

Evolution of Historian infrastructure

Probably “something new under the sun”

… and yet evolutionary

Key Differences IoT vs IIoT

Source: Industrial Internet of Things: PROFINET Intro, youtube.com

Categories IoT IIoT

Impact Revolutionary Evolutionary

Focus “Things” Data

Connectivity Ad Hoc Structured

Criticality Important Mission Critical

Service User You + Vendor

Standards New Devices & Standards Existing Devices & Standards

Who can guess what

BAUD rate SIGFOX

IoT networks talk to

devices (things)?

Getting IoT data – what’s the impact?

Inexpensive data?

Survey of most likely spend on IoT

What you

might expect

One size does not fit all

Rationalize relative to the industry type and business objectives.

“I’ve been told that IoT data will be Inexpensive data”

Probably not Probably

Inexpensive data?

Xmtr - $1500

I/O - $500 per point

Mechanical - $4000

Electrical - $2500

Engineering and Prog.

$10,000 per point

Leverage what you have NOW - Inexpensive data

Less expensive data

I/O - $50 per point

Mechanical - $0

Electrical - $500 (several

points)

Engineering and Prog.

$100 per point

Advantech wireless I/O

Very inexpensive alternatives for some users

https://www.particle.io/

Inexpensive advancements for mainstream Manufacturing

Wireless energy sensor

Embedded sensors

Smart Breakers

Collect lots and lots of data… Joy!!

How do I rationalize relevant data?

What does it all mean?

We love our Historian data

New Apps are making it EXCITING & empower users

Access to data outside of the process control network; SECURELY.

Collect data from Stranded Assets

Consolidate information from multiple data sources on the

same page

Minimally engineered data - reduces skill-set to acquire and

use the data + Real analytics – not just trends.

Expose hidden opportunities & Enhance decision-making with personalized & relevant information everywhere

Empower people to become active participants in real-time work

streams

Enables Swarming concepts for multiple people to engage

Apps that Predict

Modeling equipment using advanced pattern

recognition

Profile Equipment based on historical data

Monitors behavior relative to “normal” in real-time

Alerts and early warning when the operation differs

from the historical norm based on pattern recognition.

Advanced analysis capabilities including problem

identification and Root cause analysis

Getting executives buy-in for IoT - The “Belief” problem

Some leadership is not ready and skeptical

Most fear they don’t have the infrastructure in

place - many will require major upgrades or

overhauls.

More than 1/3 have no plans to develop an IoT

strategy for processes or products.

Most don’t have a BYOD policy.

Some biggest challenges

Identifying opportunities w/real benefits from IoT (44%)

Budget/resources to develop or expand to IoT (37%)

Incorporating smart devices/embedded intelligence (37%)

Adapting existing technologies (36%).

IT and OT not collaborative enough for IIoT

“Effective use of the IoT requires more than just technology: operations technology (OT) staff

need to collaborate with IT staff. Yet most OT and IT departments don’t currently get along”

Who can say “our IT and OT departmentsare on the same pageand ready to work on an IoT project together?”

Known technology and CI failures

60% of process improvement initiatives fail to achieve

desired results.

50% of technology projects are failing (IIoT or otherwise)

Financial impact? Yes

Demoralization of employees? Yes

“I’ve been on dozens of task teams in my career, and I’ve

never actually seen one that produced results.”https://hbr.org/2003/09/why-good-projects-fail-anyway

Satya Chakravorty, Wall Street Journal June 14, 2012

Will IoT make that better or worse…

The skeptical manufacturing executives (relative to technology spend)

“Where have I heard this before”

“We have an idea for a new

IoT project - its gonna be

great”

Been there – done that, no thank you!

2012 20152009 Y2K

MES Quality DowntimeERP

The face of your executive

We’ve got to get better at delivering Sustainable results

and IIoT is our opportunity to get a fresh new start!

The Disappointment

• Did not save $$$

• 10 year ROI

• Perf. spiked but returned

• A little product out the door but…

• Reduced downtime/then returned.

• No labor savings

• Minimal reduction in scrap and

rework.

The Promise

• Saves us $$$

• Quick ROI

• Improve Performance

• More product out the door

• Reduce downtime

• Save labor cost

• Reduce scrap and rework

Get off the roller coaster of disappointment

Not this…. But this….

Anyone know an

executive that feels

BURNT by past

technology promises?

The problem with Sustaining results –

….we don’t know how….

Continuous Improvement models can help - but….https://goleansixsigma.com/dmaic-five-basic-phases-of-lean-six-sigma/

Automation?

we get it…. Biggest

challenge

Operations?

we don’t get it….

Creating sustainable competitive advantages with IIoT

Lack of know-how

or understanding

InSource System for Management model

How am I measured?

How do I plan?

By what standard?

Am I trained to do that?

IoT (yea!) but its not enough in most cases

Scalable Solutions thinking - 3 ways to approach IoT

Point/Framework/Sustainable

Scalable IoT solutions

Point Framework Sustainable

Get quick results – short term

win, Proof of concept., Hero

Simple I/O and cloud reporting

Training

Discovery / Deployment

assistance

Minimal cost and risk

Plan that aligns with business

goals. Don’t buy too quickly.

Confidence in the right approach –

not dart throwing.

A Technology foundation that will

scale to enterprise levels.

ROI projections

Longer term partners

Align strategic objectives carefully

before any technology picks.

Understand impact on People &

culture as part of the plan.

Define requirements early in the

process for People, Process, &

Technology

Execute with capable partners for all

three.

What are my options?

Operational Efficiency leveraging IoT

Point Framework Sustainable

Get going quickly

Real live data you can see and play with!

Leverage what you ALREADY have

Add capabilities you DON’T have

Break time!

Is IIoT right for me – Probably in some capacity

Summary and

call to action

Get on the train with other industry leaders

Exciting times

WW 2017 & IIoT

Summary and call to action

WW online….have some fun.

30 days free!!

Starter kit for 100 points on the cloud is 2,000/yr

Acquire some I/O from Advantech • and use that to capture something you don’t already have – maybe

something currently stranded. (Giving one away today!!)

• Inexpensive way to get started

Experiment - be the hero!!

• PUSH some existing data to the cloud and build some simple

dashboards, be a hero!

No single answer – each site need is likely different.

Start the conversation at your site

Infrastructure - Do you have what it takes to enable IoT?

IT and OT What steps do they need to take to enable

success?

What solutions make sense for your business and do they

need to be cloud based, local, edge based solutions?

Partners - Do we know the right ones to ensure success?

Do your part in this new IoT world….

Help us stop the loss of confidence in technology solutions that

have a short shelf-life. We owe it you our leadership and to each

other. Build Sustainable results.

We are here to help - get in touch with your InSource

Account executive - and find out how InSource can help with a

unique approach to Point, Framework, or Sustainable solution.