International Convention on Quality – ICQ 2016

21.May – 3.Jun 2016, Belgrade

11th International UASQ Congress ’’BUSSINES EXCELLENCE’’

Digital factory: the information systems aspect

Prof.Dr. Tatjana V. Šibalija

Metropolitan University, Belgrade,
Faculty of Information Technology, Faculty of Management

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Outline

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 Introduction

Focus on digital factory

• Digital factory is the key topic in Industry 4.0.

• According to the Association of German Engineers (VDI), digital factory is

o ‘‘a comprehensive network of digital models, methods and tools, including
simulation and 3D/virtual reality & visualisation,
o which are integrated through continuous data management’’,
o with the goal to design, model, simulate, evaluate and optimise products,
processes and systems before any modification is actually carried out on an
existing (or new) physical system.

• Its meaning in Industry 4.0 is extended, implying an entire value network.

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 Factories of Future (FoF) Roadmap 2010-2013 / FP7: research priority
ICT-enabled Intelligent Manufacturing

• ICT is a key enabler for improving manufacturing systems at three levels:

Smart Factories
Factory productivity
– Goal:
More automation, better control & • Less waste
optimisation of factory processes • Less energy use
– Means: • Faster time-to-market
Software, lasers & intelligent devices • Better quality
embedded in machines & factory infrastructure

Sensors, Virtual Factories

Tags Supply-chain productivity
data – Goal:
Product PLM server To manage supply chains; to create • High-value products
info
advice
value by integrating products & services • Keep jobs in Europe
data
info Info
request
– Means: • Process transparency
PLM agent Software to holistically interconnect • IPR security
(reader) & manage distributed factory assets;
new business models & value propositions
• Lower CO2 footprint

Digital Factories Design productivity

– Goal:
To “see” the product before it is produced
• Reduce design errors
• Better & efficient products
– Means:
Software for the digital representation & • Less waste + rework
test of products & processes prior to • Faster time-to-market
their manufacture & use
Source: NCP Info Day, 13 May 2011, Brussels, Factories of the Future& Next ICT Calls
Dr Erastos Filos, FoF ICT Coordinator -4-
FoF 2020 Roadmap / Horizon 2020 Technologies & Enablers
Challenges & Opportunities • Advanced manuf. processes
• Future products • Mechatronics for advanced
Part II: R&I Strategy • Economic sustainability manuf. systems
R&I • ICT
• Social sustainability
RESEARCH & • Environmental
Prio- • Manufacturing strategies
INNOVATION sustainability rities • Modelling , simulation and
forecasting
PRIORITIES • Knowledge workers
•Advanced manufacturing processes
o Innovative processes for both new and current materials or products – sub-domains:
• Processing novel materials and structures (into products)
• Complex structures, geometries and scale
• Business models and strategies for disruptive manufacturing processes
•Adaptive and smart manufacturing systems
o Innovative manufacturing equipment, including mechatronics, control and monitoring – sub-domains:
• Adaptive and smart manufacturing devices, components and machines
• Dynamic Production systems and Factories
•Digital, virtual and resource-efficient factories
o Factory design, data collection and management, operation and planning, from real-time to long term
optimisation approaches
•Collaborative and mobile enterprises
o Networked factories and dynamic supply chain
Source: Factories of the Future Multi‑annual
roadmap for the contractual PPP under Horizon
•Human-centric manufacturing 2020
o Enhancing the role of people in factories
•Customer-focused manufacturing
o Customers in manufacturing value chain, from product-process design to innovative services -5-
 Digital factory in Industry 4.0: digital – smart factory

Industry 4.0: „digital factory“ „smart factory“

Digital factory: all elements of extended factory (products, processes, systems, logistics, supply networks,
etc.) must be presented in a digital format, so that information from all these elements (i.e. “things”)
can be stored, transferred, analysed and acted upon in new, automated ways via network
connections
o Application of Internet of Things and Services (IoTS) in industrial
processes: digital factory produces an extended product-service
system (products + services + support networks + infrastructure)
o Integration of Cyber-physical-systems (CPS) in production and logistics:
Source: Landherr et al. (2016) The Application Center Industrie
- entities in intensive connection with surrounding physical world, 4.0 - Industry-driven manufacturing, research and development.
CIRP-CMS 2016, Stuttgart, 25-27 May 2016
providing and using at the same time, data-accessing and
data-processing services available on the Internet
- physical device translated into cyberspace as virtual model:
with networking capabilities, the virtual model can
monitor and control its physical aspect, while the physical
aspect sends data to update its virtual model
Source: INDUSTRIE 4.0 – Smart Manufacturing for the Future, 2014.

 Digital factory vision: product and machines should be

able to communicate with each other where the products should “control” their production processes

 Extended digital network vision: a huge number of machines and systems worldwide will
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 Digital factory in Industry 4.0: major technological advances

Major technological advances

for realisation of digital factories within Industry 4.0

•Machinery- related advances:

o direct machining in mass production
o increased use of additive manufacturing for a customised design
o safe human-hardware (e.g. machine, robot, equipment, etc.) cooperation

•The expected advances related to ISs should enable:

o autonomous production with robots working alongside humans, and increased connectivity to
allow machines to operate independently
o self-organising factories based on autonomous production: (i) in factory machines manage
themselves, and (ii) in extended factory supply chains automatically generated
o digitalisation of the entire end-to-end process, extended simulations & virtualisation
o integration of supplier and production network via internet-based product lifecycle
management to improve collaboration in the networked environment
o transition from big data to smart data - understanding a content of a huge amount of data to
access the most useful data about manufacturing system and networked factory

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 Information systems in digital factory

IS in digital factory today - typical set of tasks (usually, not very well integrated):
• Digital product / process / systems development including the whole CAx chain (CAD-CAPP-CAM-
CAI), product lifecycle management (PLM) - modelling, simulation and visualisation
• Production management and control (i.e. manufacturing execution system – MES), including
software-controlled integration of value-added processes, virtual commissioning and set-up
• Order processing, logistics, planning of company resources (i.e. enterprise resource planning - ERP)
• Sales and services, and intelligent solution for efficient integration of supply chain (supply chain
management – SCM), including sometimes customer relationship management (CRM)
• Business process management (BPM): modelling, automation, execution, control and optimisation of
end-to-end business processes in enterprise and beyond its boundaries (suppliers, customers,
partners, etc.), to facilitate agility of business processes and enterprise

IS in digital factory in Industry 4.0 / tomorow

In an extended, networked digital factory demands inlcude not only the manufacturing system, but also
the business ecosystem and overall organisation of a highly connected supply chain.
In digital factories (or smart factories, according to Industry 4.0), the manufacturing systems are:
• vertically networked with business processes within factories and enterprises
• horizontally connected to industry value networks
• they both enable and require end-to-end engineering across the entire value chain

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 Information systems in digital factory: horizontal integration

HORIZONTAL INTEGRATION

The inter-industry value chain, including

supply chains:
Source: Recommendations for implementing the strategic initiative INDUSTRIE 4.0
• The integration of the industry value
chain has a significant impact on the product design, development, production & delivery
• Since the product-service is considered, the new roles appear in term of providers of the
integrated product-service

The following issues must be addressed:

• New business models, i.e. business ecosystem (based on e-service) or new value
networks
• Smart supply chains & logistics: integration between multiple enterprises will form a
horizontal enterprise architecture where the issues of
o sustainability,
o know-how protection, and
o IT security management
must be addressed to assure the data security and, therefore, trust of all partners in the
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 Information systems in digital factory: vertical integration

VERTICAL INTEGRATION

Integration of flexible & reconfigurable

manufacturing systems within an enterprise,
including business processes:
Source: Recommendations for implementing the strategic initiative INDUSTRIE 4.0
• The redesign of manufacturing and IT
infrastructure is needed to accomplish integration of services into manufact. processes

The major topics in vertical integration are:

• Integration of IT infrastructure, which is today rather fragmented in most of the
companies or there is a variety of interfaces between ISs, implying all vertical levels in a
factory – from sensors, via MES, up to ERP and BPM;
• Definition of IT configuration rules that can be used on a case-by-case basis to
automatically build a specific topology for every situation;
• Data management and analytics founded on cloud-based service models, in order to
cope with a big data and turn them into “smart” data, aiming to support decision-
making regarding production but also regarding the business processes;
• Cloud-based applications that will be particularly useful for decentralised, networked
manufacturing systems i.e. ad hoc networking and reconfigurability of manufacturing
systems, and for integrating all actors in the supply chain.
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 Vertical integration: new digital factory enterprise pyramid

Vertical integration within digital factory: changing architecture of the enterprise pyramid

The factory IT architecture needs to be changed from a traditional ISA-95 factory pyramid - architecture
to a new Industry 4.0 digital factory architecture, to incorporate changes such as inclusion of
• PLM layer between MES and ERP, and
• BPM layer for the overall business optimisation – above the ERP level.

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 Vertical integration: new enterprise pyramid – next level
Vertical integration & CPPS – next level

Cyber Physical Production System (CPPS)

partly breaks the traditional automat.
pyramid:
• Lower levels: typical field level (& control
- PLCs level) still exist
• Higher levels: decentralised functioning
- by using cloud-based services
• on Service Oriented Arhitecture (SOA) Decomposition of the enterprise automation pyramid with
distributed services in CPPS
Source: VDI/VDE-Gesellschaft Mess und Automatisierungstechnik (GMA). Cyber-
physical systems: Chancen und nutzen aus sicht der Automation, Thesen und
Handlungsfelder, April 2013: 9

Steps in decomposition of the enterprise automation

pyramid: toward distributed cloud-based services
[courtesy of ABB]
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 Information systems in digital factory: end-to-end integration

END-TO-END INTEGRATION

Integration of engineering activities across

the entire value chain of both product-services
and the manufacturing system, aiming to
integrate the full life cycle: Source: Recommendations for implementing the strategic initiative INDUSTRIE 4.0

• stronger connection with the user, so that manufacturers can, based on the feedback
from the user, re-design and offer innovative product-service systems

The following topics should be considered:

• Development of an efficient life cycle management, including product lifecycle
management, and stronger relations with the user
• Full integration of digital and real worlds across a product-service’s entire value chain
and across different companies
• End-to-end business processes integration supported by IS, including the entire value
chain

Since full digitalisation of an entire engineering value chain, and end-to-end business process
integration are the major topics, the key ISs needed for the realisation of a digital
factory are:
• product lifecycle management (PLM) and -13-
 Information systems in digital factory: PLM
PLM - to virtually design, develop and test
• product before its production, and
• manufacturing/assembly processes, their
flow, resources, and the factory layout

Typical functionalities of PLM software:

• Process planning: manufacturing process
plan - connected to system and elements
- synchronisation of product with
PLM toolset supporting manufacturing process management
manufact. requirements, sequence, [courtesy of Siemens / Hitachi]
resources, ...
• Robotics and other automated systems
• Factory design: factory and its layout
• Quality management: linkage of quality
information with manufacturing and
design
• Production management: visibility of
digital and physical design of production
configurations through a process
lifecycle, integration with MES and
SCADA
• Manufacturing process management:
PLM environment in Ford Motor Company [courtesy of Ford]
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 Information systems in digital factory: BPMS
BPMS - integrated business applications (ISs) and functions that support end-to-end process
• BPM: one of key enablers of digital factories
- evolve from function-based to
cross-functional process management
- end-to-end collaboration with environment
• BPMS (BPM Suites): orchestrate IoTS-based
technology, with manufacturing, logistics,
procurement, order, and other systems
o central system manages the process
from a holistic end-to-end perspective
end-to-end business
Major characteristics: process in BPMS
[courtesy of SAP]
•agility of a business processes to address changes in environment
•event-based management that processes can be modelled, implemented, deployed, and optimised
quickly in a response to changing business requirements
•IT infrastructure must be based on service-oriented architecture (SOA)

Efforts to inegrated BPM (BPMS) in digital factory

•e.g. LEGO® demo (German research center for AI): flexible manufacturing process embedded into
integrated model in Smart LEGO Factory - fully automated control and monitoring based on CPS - from
parts supply, via production and quality control, up to warehousing
•More research needed for full integration of BPM into digital factory in Industry 4.0
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 Concluding remarks

In a manufacturing-driven economy, digital factories are the key for sustainability and competitiveness
o A digital factory concept is hugely relevant for Industry 4.0, since digital transformation implies transition from digital (smart) factory to smart product-service systems

In order to accomplish this task, future research on information systems are needed to provide
o full integration and digitisation of the end-to-end process
o across the entire value chain
o in a networked environment

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 International Convention on Quality – ICQ 2016
21.May – 3.Jun 2016, Belgrade
11th International UASQ Congress ’’BUSSINES EXCELLENCE’’

Thank you for your attention.

Questions / Comments?!

Digital factory: the information systems aspect

Prof. Dr. Tatjana ŠIBALIJA

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Metropolitan University, Belgrade, Serbia
[email protected]