{"id":7142,"date":"2018-07-10T08:47:07","date_gmt":"2018-07-10T08:47:07","guid":{"rendered":"https:\/\/www.version1.com\/en-us\/?p=7142"},"modified":"2018-07-10T08:47:07","modified_gmt":"2018-07-10T08:47:07","slug":"digital-manufacturing-industry-4-0-connected-systems","status":"publish","type":"post","link":"https:\/\/www.version1.com\/en-us\/digital-manufacturing-industry-4-0-connected-systems\/","title":{"rendered":"Building Open & Connected Systems"},"content":{"rendered":"

Roger Whitehead, Advisory Services Lead, UK, Version 1<\/h2>\n

The digital manufacturing sector as we know it is starting to undergo radical change and this will have widespread ramifications for supporting manufacturing technology solutions. Although initially gradual and driven by diverse trends however, this change is accelerating and is driven by radical changes in business, technology and economic factors.<\/em><\/p>\n

In the following article, the second in the series,<\/a> we explore how the building of appropriate connected and open technology systems can support more diverse and wider commercial opportunities with partners and suppliers.<\/em><\/p>\n

One of the key tenants of Industry 4.0 and Digital Manufacturing is the ability to quickly reach, engage and respond to customers and their needs.\u00a0\u00a0Recent surveys indicate that 33% of\u00a0manufacturers expect\u00a0the\u00a0new technologies\u00a0currently driving digital manufacturing\u00a0to\u00a0help increase sales and provide new ways to reach,\u00a0engage\u00a0and provide solutions for\u00a0customers.<\/p>\n

Most manufacturers have already implemented\u00a0Customer Relationship Management systems and along with social media,\u00a0these solutions will help customer targeting, profiling and understanding. However, comprehending\u00a0customer needs is only one aspect of the new demands of the digital economy.<\/p>\n

To support the drive towards more digital economises requires the derivation of new types of products and services which can respond quickly and flexibly to these needs.\u00a0\u00a0<\/p>\n

The use of\u00a0digital manufacturing techniques,\u00a0allow\u00a0the use of more flexible, low volume production runs\u00a0to respond to\u00a0varying\u00a0customer\u00a0needs\u00a0and generates great potential for custom on-demand production approaches.<\/p>\n

Indeed, many new digitally-based products and services may not require production in a physical form at all, or will\u00a0allow physical production to take place nearer\u00a0to the final customer\u00a0in a more just-in-time manner.<\/p>\n

The use of 3D printing and digital transmission technologies for example, support\u00a0the\u00a0digital\u00a0transfer and local production or rendering of some\u00a0product designs\u00a0within and across national boundaries to a range of markets. This completely changes the role of supply chain logistics and the potential for achieving\u00a0operational\u00a0efficiencies.<\/p>\n

The Way Forward\u00a0\u00a0<\/strong><\/p>\n

To achieve the potential offered by digital manufacturing requires\u00a0a re-think of existing approaches and solutions. Manufacturing software solutions\u00a0need\u00a0to be more connected, open\u00a0and better vertically integrated than ever before.<\/p>\n

Traditionally, manufacturing solutions have been less integrated with suppliers and partners than other sectors and historically have only integrated at \u201carms-length\u201d; through industry based EDI exchanges or point -to-point workflow-based messaging. Often these technology implementations have been a\u00a0relatively fixed\u00a0reflection of the separate and isolated physical processes rather than a driver for\u00a0business\u00a0change\u00a0and opportunity.<\/p>\n

The full potential of digital manufacturing will only be fully realised by those manufacturing organisations able to re-design processes, share information openly but securely and work closely with business and technology partners to optimise implementations in every area.\u00a0\u00a0<\/p>\n

Building Open and Connected Systems – Key Activities\u00a0<\/strong><\/p>\n

To build and optimise implementations to fully meet the needs of digital manufacturing requires a key set of activities and approaches.\u00a0\u00a0<\/p>\n

1. Harnessing the Cloud –\u00a0<\/b>Over\u00a060% of manufacturers\u00a0already\u00a0use\u00a0a range of\u00a0public\u00a0cloud technologies. The use of these\u00a0highly scalable and flexible compute, processing and storage capabilities at low cost,\u00a0is the key way manufacturers\u00a0can\u00a0facilitate\u00a0wider connectivity with suppliers and partners and introduce new processes and platforms with the emphasis on operational rather than\u00a0capital expenditure.<\/p>\n

This enablement\u00a0of\u00a0wider connectivity based on\u00a0operational expenditure\u00a0allows greater\u00a0linked to production\u00a0behaviours and\u00a0allows more effective planning, costing and scaling of manufacturing activity.\u00a0\u00a0At a minimum, private cloud or on-premise should provide public integration points.<\/p>\n

2. Fully Leverage\u00a0<\/b>I<\/b>nternet\u00a0<\/b>of T<\/b>hings\u00a0<\/b>(IoT)\u00a0<\/b>Technologies and Platforms<\/b>\u00a0– Many current process control systems are highly proprietary and do not integrate well with other enterprise systems in a cost-effective manner that provides suitable Return on Investment (RoI) and insight.\u00a0Most\u00a0manufacturers have\u00a0either\u00a0implemented, are implementing, or plan to implement,\u00a0an\u00a0Internet of Things (IoT) strategy and this is a key cornerstone in any digital manufacturing strategy.\u00a0\u00a0Effective use of IoT\u00a0via public networks and cloud platforms\u00a0and\u00a0its\u00a0related derived insight will improve\u00a0product quality\u00a0and reliability as well as reduce\u00a0costs and\u00a0increase\u00a0throughput.\u00a0Any use of IoT must be suitably secured however.<\/p>\n

3. Treat Data and Insight as a Commercial Asset –\u00a0\u00a0<\/b>To support deeper relationships with third party suppliers, partners and customers,\u00a0it is essential to be able to\u00a0capture and share data relevant to every interested internal and external stakeholder. This may include data derived from production processing, warehousing and\u00a0logistics systems, supply chain processing and ordering and procurement. However, data should only\u00a0be captured\u00a0with appropriate consent and in compliance with relevant regulatory and legal obligations. Whilst these data sources\u00a0may have no immediate apparent internal value on their own, the\u00a0resultant\u00a0data may have a commercial value to an internal stakeholder or third party. When combined with other data sources,\u00a0such data may provide such stakeholders or parties\u00a0with actionable commercial\u00a0insight.\u00a0 Ownership and control of\u00a0such data may in turn provide new revenue streams or potential services for the\u00a0relevant\u00a0organisation.<\/p>\n

4. Provide Suitable Data Integration Points\u00a0<\/b>and Standardised\u00a0<\/b>APIs\u00a0<\/b>\u2013\u00a0<\/b>\u00a0<\/b>To make the relevant data available to interested stakeholders,\u00a0it is necessary to make it available in a controlled and secure manner\u00a0to others. This requires the provision of public or controlled endpoints which ensure that only the required data is made available at the right times when requested.The nature of the data endpoints or APIs should be suitably defined and versioned to allow them to be easily supported and maintained. All access should be secured with appropriate access credentials and then logged and audited appropriately for security or charging purposes.<\/p>\n

5. S<\/b>upport\u00a0<\/b>for Open S<\/b>tandards<\/b>\u00a0<\/b>\u2013\u00a0<\/b>As stated above, historically the manufacturing sector\u00a0has\u00a0been dominated by proprietary systems and\u00a0data formats that cannot be easily interchanged\u00a0other than with systems from the same supplier. Often the data from such systems requires complex ETL or data transformation to take place by other systems and often, this data translation is performed on a point-to-point basis.\u00a0 Existing proprietary systems should be\u00a0abstracted to\u00a0open systems and interfaces or APIs wherever possible.To support new ventures and interactions, all future technology solutions should place suitable procurement and delivery emphasis on open systems and standards.\u00a0Implemented effectively and consistently, an open standards approach\u00a0will minimise the need to support a range of data interactions and therefore reduce levels of technical debt incurred.\u00a0It will also provide greater business agility to respond to the needs of new third parties.<\/p>\n

6. Focus on Improving Manufacturing IT security<\/b>\u00a0\u2013\u00a0<\/b>As internal networks become more open to third party access and make greater use of public networks and platforms, so the emphasis on security to prevent loss of digital assets and reputational damage\u00a0should\u00a0increase. Security should always aim to support rather than block\u00a0activity in a risk aware manner\u00a0however, worryingly, 10% of manufacturing\u00a0have done nothing\u00a0recently\u00a0to enhance IT and data security. Currently, many IoT devices or sensors\u00a0are highly distributed and\u00a0currently\u00a0have minimal or weak security and yet\u00a0paradoxically, are increasingly connected to global internal and external networks.\u00a0Manufacturing organisations should therefore suitably invest in device trust and a range of encryption technologies; to secure all aspects of their internal and external interactions to ensure these only take place with trusted devices and third parties.<\/p>\n

7. The Need for Future and On-Going Investment in Technology<\/b>\u00a0<\/b>\u2013<\/b>\u00a0<\/b>Historically investment in manufacturing systems has been very cyclical with periods of high investment often followed by long periods of no investment or under-investment whilst a return on investment is assessed.\u00a0In the era of digital manufacturing however\u00a0companies\u00a0that do not consistently and continuously invest\u00a0in IT\u00a0will find it\u00a0hard\u00a0to compete effectively. Therefore, to obtain competitive advantage,\u00a0manufacturers\u00a0should continue to invest in a targeted and effective manner in areas where effectiveness can be easily and continuously measured.<\/p>\n

8. Place Importance and Value on<\/b>\u00a0Big data\u00a0<\/b>and Analytics Platforms\u00a0<\/b>–\u00a0<\/b>Big data is rapidly reshaping the competitive environment\u00a0and poses both opportunity and challenge for many organisations. Manufacturers should wherever possible, seek to invest in analytics platforms\u00a0which can\u00a0extract\u00a0valuable insight from the huge volumes of data generated by manufacturing\u00a0processes\u00a0and IoT devices.\u00a0\u00a0We will explore this topic in the next article in this series.\u00a0\u00a0<\/p>\n

About Version 1<\/strong><\/h2>\n

Version 1 proves that IT can make a real difference to our customers\u2019 businesses. We are trusted by global brands to deliver IT services and solutions which drive customer success. Our 1000 strong team works closely with our technology partners to provide independent advice that helps our customers navigate the rapidly changing world of IT. Our greatest strength is balance in our efforts to achieve Customer Success, Empowered People and a Strong Organisation, underpinned by commitment to our values. We believe this is what makes Version 1 different and more importantly, our customers agree.<\/p>\n","protected":false},"excerpt":{"rendered":"

Roger Whitehead, Advisory Services Lead, UK, Version 1 The digital manufacturing sector as we know it is starting to undergo radical change and this will have widespread ramifications for supporting manufacturing technology solutions. Although initially gradual and driven by diverse trends however, this change is accelerating and is driven by radical changes in business, technology […]<\/p>\n","protected":false},"author":0,"featured_media":7143,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","inline_featured_image":false,"footnotes":""},"categories":[101],"tags":[122,118,119],"industry":[],"class_list":["post-7142","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-erp-home","tag-innovation","tag-innovation-home"],"acf":[],"translations":[{"blog_id":1,"post_id":7142,"name":"Europe","code":"EN-GB","hreflang":"en-gb","url":"https:\/\/www.version1.com\/blog\/digital-manufacturing-industry-4-0-connected-systems\/","is_current":false},{"blog_id":13,"post_id":7142,"name":"Americas","code":"EN-US","hreflang":"en-us","url":"https:\/\/www.version1.com\/en-us\/digital-manufacturing-industry-4-0-connected-systems\/","is_current":true}],"yoast_head":"\nBuilding Open & Connected Systems | Version 1 (US)<\/title>\n<meta name=\"description\" content=\"To achieve the potential offered by digital manufacturing requires\u00a0a re-think of existing approaches and solutions. 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