Ulrich Koehler | June 2017

Value Creation through Digital ServicesDigitalization for Higher Profitability and Asset Protection

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Disruption - Mobility

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Disruption – Digitization Mobility

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New York: 7th Avenue 2012 New York: 7th Avenue 2017

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“Heidelberg goes digital” means change through technology.

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Autonomous printing requires data

monitoring, overseeing the production.

Collaboration with

HD performance

advisors supports the

data driven cycle of

improvement.

Transparency of all operational and

business processes support is needed.

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Smart Collaboration - Digital Customer Journey

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…. big data analytics provides basis for Predictive Monitoring, Performance Services.

The Heidelberg Assistant

…. more than 10,000machines and 15,000Prinect modules connected.

…expert know-how at your fingertips to manage availability and performance.

Connectivity Analytics Access

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With the technology available, the print process should be like a car manufacturing process:

• Known output per hour• Known cost• Known quality

All OPTIMIZED and nobody touches the approved process!

Smart Print Shop

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A customer centric (Customer Journey) approach is inherent to a digital service model & here the customer journey starts from the user experience (UX) and not with a new service order

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UX

OperationsCost

InfrastructurePlatform

Risk, Cost

Self Operated

Owned

UX

OperationsCost

InfrastructurePlatform

Product Centric Customer Centric

ExperienceValue

Service Supported

Owned, Shared

*Customer Journey – “representation of customer experiences as it unfolds over timeAcross multiple stages and touch points while consuming a service or product”.

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3,000,000OEE = 33%

T = 35%S = 90%W = 95%

Time Loss

Speed Loss

Waste Loss

Reduce Losses

3,900,000OEE = 40%

T = 43%S = 95%W = 97%

Time Loss

Speed Loss

Waste Loss

33% increase

The Challenge.Unleashing machine capacity.

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Ove

rall

Equ

ipm

ent E

ffec

tive

ness

500 hours x 18,000 iph = 9,000,000*

0%

100%

* Calculation for XL106-6+L press

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Packaging Customer.1959 Production Data Points.

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¹Mak

e R

ead

y T

ime

OEE 10k

60 min¹

45 min¹

33 min¹

24 min¹

15 min¹

10 min¹7 min¹

20.0%

48.3%

26.0%

23.8%25.8%

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Managed Services.Enabled by Heidelberg Cloud.

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Service Package

00’s 10’s90’s

TransactionalService

• Repair

Break Fix

Proactive

• Parts

• MaintenanceInspection

• Remote Service

• Repair

• Parts

Performance Package

Managed

• Repair

• Parts

• MaintenanceInspection

• On Site Evaluation

• Condition Monitoring

• Performance Review

• Expert Support

• Remote Service

• Expert SupportInternet

Cloud

1

2

3

• Predictive Alerts

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Heidelberg Performance Package.Smart Collaboration for digitized production.

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1. Performance ReviewEvaluationAgreement

Predictive Monitoring

Maintenance

Remote Support

Repair & Parts 10. Repair Service Parts

2. On Site Evaluation

3. Condition Monitoring

4. Predictive Evaluation

5. Maintenance Inspection

6. Service Planning

7. Remote Service

8. 24/7 Expert Support

9. Repair Service

Perform

Predict

Maintain

Support

Restore

monthly

12 Months 24 Months

3 Months 15 Months

Performance Services Technical Services

1-10: For information about the provision of the different services, please see Heidelberg Performance Package, Description of Services.*Customer to perform ongoing maintenance in accordance with the maintenance handbook. Heidelberg Maintenance Inspection to be Performed by Heidelberg service technician at 10 and 20 months after signing of Agreement.

10 Months 20 Months

Production Monitoring

3. On Site Workshop

4. Production ReviewProduce

300 300300 300

600 600

300 300

150 150

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Digital Data drives PerformanceResults Rondopak

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37.5 %increase

OEE

$450,000

SavingsPerf

orm

ance

Plu

s

270 hTime Savings

45 MioAnnual

Production

53 Kaizens

VSM

33% increase

Run Speed

Digital

Data

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Time

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Ink Presetting (all units)

Customer Name

Job Ticket

Job Name

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Delivery Air Settings

Delivery Suction Settings

Dryer Settings

Impression Cylinder (all units)

Plate Cylinder Zero (all units)

Color Allocation

Curve Selection

Pre-Inking (all units)

Ink Presetting (all units)

Ink Fountain Sweep (all units)

Vacuum Tape

Infeed Gripper Height

Ultrasonic Double Sheet Detector

Sheet Width and Length

Side Lay

Suction Head

Spray Powder Length

Slow down-sheet brakes

Suction Disc

Venturi Guide Plates

Variable Transfer Cylinder

Perfecting or Straight Printing Mode

Customer Name

Job Ticket

Job Name

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Thank you

for your attention.

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