How Internet of Things (IoT) Transforming Industrie 4.0

Jay Ahuja
5 min readSep 22, 2017

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How Internet of Things (IoT) Transforming Industrie 4.0

What is Indusrtie/Industry 4.0

Industry 4.0 is a name for the current trend of automation and data exchange in manufacturing technologies. It includes cyber-physical systems, the Internet of things, cloud computing and cognitive computing.

The term “Industrie 4.0” originates from a project in the high-tech strategy of the German government, which promotes the computerization of manufacturing.The term “Industrie 4.0” was revived in 2011 at the Hannover Fair.

Industrie 4.0 : The Fourth Industrial Revolution

There are 4 design principles in Industry 4.0. These principles support companies in identifying and implementing Industry 4.0 scenarios

  1. Interoperability: The ability of machines, devices, sensors, and people to connect and communicate with each other via the Internet of Things (IoT) or the Internet of People (IoP) — Adding IoT will further automate the process to a large extent
  2. Information transparency: The ability of information systems to create a virtual copy of the physical world by enriching digital plant models with sensor data. This requires the aggregation of raw sensor data to higher-value context information.
  3. Technical assistance: First, the ability of assistance systems to support humans by aggregating and visualizing information comprehensibly for making informed decisions and solving urgent problems on short notice. Second, the ability of cyber physical systems to physically support humans by conducting a range of tasks that are unpleasant, too exhausting, or unsafe for their human co-workers.
  4. Decentralized decisions: The ability of cyber physical systems to make decisions on their own and to perform their tasks as autonomously as possible. Only in the case of exceptions, interference, or conflicting goals, are tasks delegated to a higher level.

Research

In 2015, the European Commission started the international Horizon 2020 research project CREMA[15] (Providing Cloud-based Rapid Elastic Manufacturing based on the XaaS and Cloud model) as a major initiative to foster the Industry 4.0 topic.

How IoT creating difference?

IoT Shaping Industrie 4.0

IoT is changing the way manufacturing organizations create value. IoT for manufacturing can help transform your business by applying industry-leading analytic and cognitive capabilities. This can help quality, operations, warranty and maintenance personnel obtain greater value from production assets and processes. IoT help- in shaping Industrie 4.0 by :

  1. Intelligent assets to optimize ‘things’ or equipment on the plant floor.
    *Prevent production delays and improve line performance with better asset visibility
    *Reduce equipment downtime and increase process efficiency with industry models
    *Expedite equipment repairs through predictive and cognitive analytics.
    2. Cognitive process and operations optimize processes to drive higher yield.
    *Increase yield of your manufacturing operations and processes
    *Improve productivity of your manufacturing line with early quality detection
    *Expedite service calls and repairs and reduce warranty costs.
    3. Smarter resources utilizes IoT and cognitive insight to optimize the resources engaged around production
    *Improve worker safety and gain better workforce management
    *Increase worker productivity and expertise
    *Reduce energy consumption of your facilities and buildings

It is “IIoT”

The term IIoT (industrial Internet of things) is often encountered in the manufacturing industries, referring to the industrial subset of the IoT. IIoT in manufacturing could generate so much business value that it will eventually lead to the fourth industrial revolution.

It is estimated that in the future, successful companies will be able to increase their revenue through Internet of things by creating new business models and improve productivity, exploit analytics for innovation, and transform workforce. The potential of growth by implementing IIoT will generate $12 trillion of global GDP by 2030.

Facts & Figures

McKinsey report says “it is estimated that the IoT has a total potential economic impact of $3.9 trillion to $11.1 trillion a year by 2025. At the top end, that level of value — including the consumer surplus — would be equivalent to about 11 percent of the world economy”

Further it say that, B2B uses can generate nearly 70 percent of potential value enabled by IoT

Also, it reveals — $3.7T Maximum potential value of IoT in the factories setting to be discovered in near-future

Challenges-in implementation of Industry 4.0

IT security — which are greatly aggravated by the inherent need to open up those previously closed production shops

Reliability and stability — needed for critical machine-to-machine communication (M2M), including very short and stable latency times
Need to maintain the integrity of production processes

Avoid any IT snags — as those would cause expensive production outages
Need to protect industrial know how (contained also in the control files for the industrial automation gear)

Lack of adequate skill — sets to expedite the march towards fourth industrial revolution.

Threat of redundancy — of the corporate IT department
General reluctance to change by stakeholders.

Loss of many jobs — to automatic processes and IT-controlled processes, especially for lower educated parts of society.

IoT for Industrie 4.0

Conclusion

These advancements in IoT for Manufacturing are driving greater operational efficiency and up-time, and providing a new level of visibility into assets, and the ability to manage these assets in real-time.Leading manufacturers are integrating analytics, Industrial Internet of Things (IIoT) and cognitive computing with production to increase flexibility, speed and quality. Early adopters of cognitive manufacturing are both moving aggressively to implement new technologies, and importantly, using a strategy to guide their efforts.

At the end, To build competitive advantage in the Industrie 4.0 market, technology suppliers will need to create distinctive technology, distinctive data, software platforms, or end-to-end solutions.

References : http://www.industrytap.com/abb-robotics-expanding-united-states/41562 , https://www.ibm.com/blogs/internet-of-things/new-cognitive-business-models/, https://www.ibm.com/blogs/internet-of-things/iot-manufacturing-create-value/, https://en.wikipedia.org/wiki/Internet_of_things
https://www.ibm.com/blogs/internet-of-things/author/chris/ https://www.link-labs.com/symphony
http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/the-internet-of-things-the-value-of-digitizing-the-physical-world

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Jay Ahuja

AI_Machine Learning_IoT_Digital Maturity_Social media