Week 12

INTRODUCTION
Industry 4.0 is revolutionizing the way companies manufacture, improve and distribute their
products. Manufacturers are integrating new technologies, including Internet of Things (IoT),
cloud computing and analytics, and AI and machine learning into their production facilities and
throughout their operations.
These smart factories are equipped with advanced sensors, embedded software and robotics that
collect and analyze data and allow for better decision making. Even higher value is created when
data from production operations is combined with operational data from ERP, supply chain,
customer service and other enterprise systems to create whole new levels of visibility and insight
from previously isolated information.
This digital technologies lead to increased automation, predictive maintenance, self-optimization
of process improvements and, above all, a new level of efficiencies and responsiveness to
customers not previously possible.
Developing smart factories provides an incredible opportunity for the manufacturing industry to
enter the fourth industrial revolution. Analyzing the large amounts of big data collected from
sensors on the factory floor ensures real-time visibility of manufacturing assets and can provide
tools for performing predictive maintenance in order to minimize equipment downtime.
Using high-tech IoT devices in smart factories leads to higher productivity and improved quality.
Replacing manual inspection business models with AI-powered visual insights reduces
manufacturing errors and saves money and time. With minimal investment, quality control
personnel can set up a smartphone connected to the cloud to monitor manufacturing processes
from virtually anywhere. By applying machine learning algorithms, manufacturers can detect
errors immediately, rather than at later stages when repair work is more expensive.
Industry 4.0 concepts and technologies can be applied across all types of industrial companies,
including discrete and process manufacturing, as well as oil and gas, mining and other industrial
segments.

From steam to sensor: historical context for Industry 4.0

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Industtry 4.0 is built on nine tech
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1. Big Data and AI analytics: In Industry 4.0, Big Data is collected from a wide range of
sources, from factory equipment and Internet of Things (IoT) devices, to ERP
and CRM systems, to weather and traffic apps. Analytics powered by artificial
intelligence (AI) and machine learning are applied to the data in real time – and insights
are leveraged to improve decision-making and automation in every area of supply chain
management: supply chain planning, logistics management, manufacturing, R&D and
engineering, enterprise asset management (EAM), and procurement.
2. Horizontal and vertical integration: The backbone of Industry 4.0 is horizontal and
vertical integration. With horizontal integration, processes are tightly integrated at the
“field level” – on the production floor, across multiple production facilities, and across
the entire supply chain. With vertical integration, all the layers of an organisation are tied
together – and data flows freely from the shop floor to the top floor and back down again.
In other words, production is tightly integrated with business processes like R&D, quality
assurance, sales and marketing, and other departments – and data and knowledge silos are
a thing of the past.
3. Cloud computing: Cloud computing is the “great enabler” of Industry 4.0 and digital
transformation. Today’s cloud technology goes way beyond speed, scalability, storage,
and cost efficiencies. It provides the foundation for most advanced technologies – from
AI and machine learning to the Internet of Things – and gives businesses the means to
innovate. The data that fuels Industry 4.0 technologies resides in the cloud, and the cyber-
physical systems at the core of Industry 4.0 use the cloud to communicate and
coordinate.
4. Augmented reality (AR): Augmented reality, which overlays digital content on a real
environment, is a core concept of Industry 4.0. With an AR system, employees use smart
glasses or mobile devices to visualise real-time IoT data, digitised parts, repair or
assembly instructions, training content, and more when looking at a physical thing – like
a piece of equipment or a product. AR is still emerging but has major implications for
maintenance, service, and quality assurance as well as technician training and safety.
5. Industrial Internet of Things (IIoT): The Internet of Things (IoT) – more specifically,
the Industrial Internet of Things – is so central to Industry 4.0 that the two terms are often
used interchangeably. Most physical things in Industry 4.0 – devices, robots, machinery,
 equipment, products – use sensors and RFID tags to provide real-time data about their
condition, performance, or location. This technology lets companies run smoother supply
chains, rapidly design and modify products, prevent equipment downtime, stay on top of
consumer preferences, track products and inventory, and much more.
6. Additive manufacturing/3D printing: Additive manufacturing, or 3D printing, is
another key technology driving Industry 4.0. 3D printing was initially used to as a rapid
prototyping tool but now offers a broader range of applications, from mass customisation
to distributed manufacturing. With 3D printing, for example, parts and products can be
stored as design files in virtual inventories and printed on demand at the point of need –
reducing both transportation distances and costs.
7. Autonomous robots: With Industry 4.0, a new generation of autonomous robots is
emerging. Programmed to perform tasks with minimal human intervention, autonomous
robots vary greatly in size and function, from inventory scanning drones to autonomous
mobile robots for pick and place operations. Equipped with cutting-edge software, AI,
sensors, and machine vision, these robots are capable of performing difficult and delicate
tasks – and can recognise, analyse, and act on information they receive from their
surroundings.
8. Simulation/digital twins: A digital twin is a virtual simulation of a real-world machine,
product, process, or system based on IoT sensor data. This core component of Industry
4.0 allows businesses to better understand, analyse, and improve the performance and
maintenance of industrial systems and products. An asset operator, for example, can use a
digital twin to identify a specific malfunctioning part, predict potential issues, and
improve uptime.
9. Cyber security: With the increased connectivity and use of Big Data in Industry 4.0,
effective cyber security is paramount. By implementing a Zero Trust architecture and
technologies like machine learning and block chain, companies can automate threat
detection, prevention, and response – and minimize the risk of data breaches and
production delays across their networks.
Benefits of Industry 4.0
Industry 4.0 in business processes and production lines may vary from one entity to another. It
depends on which technologies are prioritized, utilized more, and how it affects the existing
workforce & working processes. Without going into complications, here are the commonly
observed plus points that a business benefits from Industry 4.0.
Higher Production & improved Productivity
Since Industry 4.0 results in smart factories, it assures higher, faster production with improved
quality of productivity. As a result, one can allocate resources more effectively. Additionally, the
production line faces less downtime because of advanced automated monitoring and error-free
decision-making capability. Ultimately, it improves the general Overall Equipment
Effectiveness.
Optimization
A great side of Industry 4.0 is that it permits optimization. Since it involves automation, there is
scope for self-optimization, leading to zero downtime of factory machines. Optimization drives
better maintenance of any equipment by having the needed resources at the right location and
time. The ability to harness production capacity consistently is a better option than extensive
downtime or an overhaul.
Customization
Industry 4.0 requires every domain to stay interlinked, which is means intelligent factories and
the Industrial Internet of Things (IIoT) must be interconnected and constantly in a loop. It
provides business owners and manufacturers with the current market trends, eliminating any
middle man to bridge these two entities. Such end-to-end constant connections allow for smooth
scaling of production up or down depending upon market demand.
Higher Efficiency
Efficiency is a parameter that covers every aspect of a production line. As mentioned before,
higher efficiency means less downtime, faster output, better finish, faster changeovers, automatic
tracing, and automated report generation. In addition, higher efficiency guarantees better
turnover and customizing opportunities depending on the consumer market.
Increased collaboration and knowledge share
We know how traditional manufacturing factories operate. They work in close-knit units where
one unit is unlikely to come in touch with the other, thus minimizing knowledge share. It isn’t
the case with Industry 4.0 laden smart factories. The cyber-physical system ensures every
production line, from the factory floor to business process to sales & distribution, is well
connected and updated should there be any new revelation. It surpasses location, time zone,
platform constraints. Picture this; if one smart sensor pulls in unique insight and wants to update
the system about it, the automated process will make sure it does without any human
intervention.
Agility and Flexibility
A significant benefit of Industry 4.0 is that it enables easy scaling of production based on
requirements. Thus, one can introduce new products based on market demand, increase or
decrease output and make new opportunities.
Ease of Compliance
Since industry compliance is a great necessity for any business, particularly consumable items
such as pharmaceuticals and food products, automating the complaint process goes a long way
than a manual process.
Industry 4.0 makes it possible to automate compliance actions, thereby easing the load off human
employees.
Quality Customer Service
Industry 4.0 also presents ample chances to improve the customer experience. For example, an
automated supply chain will highlight the products and their availability in the supply chain
without having the human workforce keep a tab in such a painstaking task.
Automated report generation helps giving sales reports, market analysis, and customer feedback
for the business owner to reassess his resources and business strategies. Automated tracking and
tracing help keep an eye on the journey chain of any product. The best part is IoT. Business
owners can create AI chatbots to address customer grievances & queries without any human
involvement. All these automated operations generate data and information which can be
analyzed, manipulated further for production & process enhancement.
Cost Reduction
Setting up a smart factory laden with Industry 4.0 tech is not child’s play. “Rome was not built in
a day,” and so is a smart factory. Moreover, it requires a considerable investment which is the
upfront costs.
That being said, the returns of such investment are wholesome if done correctly. Moreover, since
implementing Industry 4.0 involves laying down system integration, automation, big data
management, intelligent surveillance, and AI, all these technologies play a huge role later on in
terms of cost savings. Reason being:
 Better allocation and resource management
 Smoother, faster manufacturing
 Less assembly line downtime
 Less time consumption
 Less quality and compliance issues
 Less product, material waste
 Less human involvement means fewer costs involving recruitment & training
 Decreased operating costs
Any business owner will agree on the perks of Industry 4.0 in terms of the cost factor.
Increased Innovation
Industry 4.0 provides excellent scope for innovation. Whether it is manufacturing production
line, supply distribution chain, or business domains, the 4.0 techs present a good amount of
knowledge that can be harnessed to improve product quality or bring up a new product itself.
Higher revenues and profits
A business owner’s prime goal is to reap maximum profits with minimum expenditure involved.
Industry 4.0 provides the chance to reap those benefits. One great advantage is the reduced
staffing solutions which results in much lower staffing costs. In addition, automation never gets
tired, rarely errs, and can give productivity 24/7, which is a big positive over human employees.
All these amounts to higher revenues and profits.
Return on Investment
Industry 4.0 technologies arose from the need to out compete rivals in the market, improving
production lines and have better revenues. All the above points lead to good ROI.
According to the PwC report, digitization of products and services generated €110 billion of
additional revenues in the European market. Another market research report suggests that nearly
54% of businesses with industry 4.0. Implementation is deemed to witness double-digit growth
in the next six years. For example, an Australian welding firm has reported a 60% increase in
productivity among their employees due to automation technologies.
Of course, there are challenges inhibiting Industry 4.0 as well. An overnight decision for a
makeover calls for a failure since incorporating Industry 4.0 requires planning, strategy, and
investment. That being said, the pros outweigh the cons by a mile. Since this era is undergoing
the fourth industrial revolution, we are yet to see more enormous changes and innovations in the
tech landscape. So it is safe to say that Industry 4.0 has managed to bring hope among
manufacturers and business owners as of now.
Advantages of industry 4.0
 Increased quality and quantity of products, due to automation.
 Reduction of expenses, time, errors, and production risks.
 Increased personnel safety.
 Instant access to digital information.
 Development of a new dimension of business competitiveness, to meet new demanding
consumer needs.
 Personalized customer service.
 Efficient management and use of resources to reduce the negative impact the industry
may have on the environment.
Disadvantages of industry 4.0
 Large initial investment.
 The constant progress of technology requires the company to continually update, which
tends to be unsustainable for most organizations.
 It will cause a significant economic gap between companies that have adapted and those
that haven’t to the industry 4.0 model.
 Requires specialized personnel for the analysis and monitoring of automated processes.
 Increase in unemployment in the short and medium-term, since automated machines will
displace people from their jobs in factories, etc…
 Absolute dependence on technology.
Convergence of IT (Information Technology) and OT (Operation
Technology)

INTRODUCTION
IT/OT convergence is the integration of Information Technology (IT) systems with Operational
Technology (OT) systems. IT systems are used for data-centric computing; OT systems monitor
events, processes and devices, and make adjustments in enterprise and industrial operations.
Modern organizations grapple with two worlds. There is the traditional physical world composed
of machines, electromechanical devices, manufacturing systems and other industrial equipment.
Then there is the more recent digital world using servers, storage, networking and other devices
used to run applications and process data. These two worlds have largely occupied separate
domains, shared little (if any) meaningful data or control, and relied on oversight from business
staff with distinctly different skill sets.
Today, the worlds of IT and OT are converging. Advances in technologies such as the internet of
things (IoT) and big data analytics are systematically allowing the digital information world to
see, understand and influence the physical operational world. When implemented properly,
IT/OT convergence can merge business processes, insights and controls into a single uniform
environment.

Definition of Information Technology (IT)

IT systems have been around for many decades. They consist of the collection of software,
systems, networks, maintenance, and data storage in a combined system that processes and
distributes data. Managers and decision-makers use this data at every level to make enterprise-
level or factory-level decisions in industrial environments.
For software, this may include standalone MRP systems, ERP systems, specialized finance or
quality platforms, and others. Initially, these software platforms were on-premises systems that
needed regular updates and were costly for those who used them.
Information Technology also requires a network. Traditionally, this meant in-house servers,
wiring in cable or fiber optics, and the maintenance skills to install and maintain the network
hardware. Other valuable skillsets are required to connect the software and hardware of the
system.
IT systems were often plagued with the inability of devices to communicate with other software
programs, leaving data siloed and subject to the bias of input and a time lag from data acquisition
to actionable distribution. Cloud-based platforms have replaced much of the need for in-house
networks, but many legacy hardware systems may still not have interoperability.

Definition of Operation Technology (OT)

OT focuses on the management and control of physical devices existing and operating in the
physical world. The control of real-world devices is as old as industry and manufacturing itself.
The introduction of electronics and digital technologies over time also found plentiful uses in
operational control systems, such as computerized numerical control machining systems.
Where IT focused on data and communication, OT focused on behaviors and outcomes. Most
control systems employed across industrial and manufacturing installations weren't networked,
resulting in silos of specialized devices -- each electronic at some level, but not able to
communicate or share information. This means human operators were tasked with programming
or managing the physical operations of each piece of equipment. Even equipment that provided
centralized control used closed or proprietary protocols.
Consider a traditional automobile. Although a modern vehicle contains a wide array of electronic
devices, it remains an unintegrated and singular system. The vehicle might record data but
doesn't share data and doesn't allow any overarching management or control. It functions in all
real-world conditions but relies solely on the capabilities and experience of a human operator for
successful operation.
 Information Technology Components and Functions

Difference between IT and OT?

IT includes any use of computers, storage, networking devices and other physical devices,
infrastructure and processes to create, process, store, secure and exchange all forms of electronic
data.
OT, traditionally associated with manufacturing and industrial environments, includes industrial
control systems such as Supervisory Control and Data Acquisition (SCADA).
The gray area that connects IT and OT is the development and deployment of IoT devices. IoT
devices include a wide assortment of sensors for gathering real-world conditions, such as
temperature, pressure and chemical compositions. IoT devices also include an array of actuators
that translate digital commands and instructions into physical actions, such as controlling valves
and moving mechanisms. Each IoT device is designed to communicate over standard networks,
allowing them to exchange OT data with IT resources -- servers and storage -- sometimes over
considerable distances.
Consider a wind turbine. By itself, a wind turbine would be classified as industrial equipment,
and it would include all of the equipment and electronics necessary to generate power and
connect that power to the grid. But that's all. By including IoT devices to drive IT/OT
convergence, the wind turbine could use sensors to detect wind direction and intensity while
communicating its output and status to a centralized controlling location. The central facility
would analyze the data, provide commands needed to autonomously configure the wind turbine
for optimum performance in current weather, and create work orders for maintenance based on
operating time and condition sensor data.
While IT inherently covers communications as a part of its information scope, OT hasn't
traditionally been networked technology -- meaning connected to a larger network over the
internet. Many devices for monitoring or adjustment weren't computerized. Those with compute
resources generally used closed proprietary protocols and programmable logic controllers rather
than technologies that afford full computer control. The systems involved often relied on air
gapping for security.
As IT reaches more OT systems, air gaps can't provide adequate security for network
communication and OT data. Organizations driving IT/OT convergence must educate and train
staff to understand and implement adequate security. This often involves a mix of cross-hiring,
cross-training and close observance of regulations -- such as the GDPR and California Consumer
Privacy Act -- in the context of both IT and OT in terms of data security, privacy and
transparency.
IT/OT convergence project success and overall security can benefit from a range of
initiatives involving project teams, including the following:
 having an IoT sponsor;
 keeping OT and IT in the same loop;
 understanding how to design IoT;
 understanding how to integrate IoT;
 training staff and developing expertise; and
 Planning for scale.
 Integrating IT and OT

IT/OT convergence
The idea of technological convergence isn't new. By allowing different technologies to integrate
and interoperate efficiently as a single cohesive system, businesses can generally improve
efficiency, reduce errors, cut costs, enhance workflows and gain competitive advantages.
Enterprise IT has long been a focus of convergence efforts, bringing often-disparate data center
technologies together and supporting seamless interoperation. One example of convergence is
the appearance of IT converged infrastructure -- later evolving into hyper-converged
infrastructure. These developments merge traditionally separate servers, storage, networking and
management tools into a single, cohesive, centrally managed product.
The idea of IT/OT convergence seeks to bring physical (OT) equipment and devices into the
digital (IT) realm. This is possible because of advances such as machine-to-machine
communication, as well as the introduction of sophisticated IoT sensors and actuators that can be
fitted to physical equipment. These devices can employ wireless communication over
standardized networking protocols to communicate the relevant data from each physical system
back to a central server for monitoring and analysis. The results of that analysis can then be
passed back to the physical system to allow more autonomous operation, enhance accuracy,
benefit maintenance and improve uptime.
Consider how this affects everyday technologies, such as vehicles. The addition of sensors,
actuators and standardized communication allows a vehicle to pass real-time position, movement
and condition data back to a collection point for analysis. At the same time, instructions and real-
time data -- such as traffic and weather -- can be passed to the vehicle. This can help a human
driver make better driving decisions, such as finding alternate routes or servicing the vehicle
before breakdowns occur. But this kind of IT/OT convergence is also the underpinning of
autonomous (self-driving) vehicle technology.

To integrate IT and OT, management must update existing processes and cross-train employees.
Types of IT/OT convergence
Convergence isn't a single initiative or effort. Convergence initiatives can take a variety of
directions depending on the needs and goals of the particular organization. There are three main
categories of IT/OT convergence:
 Process convergence covers the convergence of workflows. IT and OT departments must
reform their processes to accommodate each other and make sure important projects are
communicated. This is an organizational convergence, dealing with the structure of the
internal business. For example, a business might follow specific processes for storing and
protecting IT data, but this process might be adapted or extended for converging OT systems.
 Software and data convergence deals with getting the software and data in the front office to
work to address OT needs. This is a technical convergence involving the network
architecture of the business. For example, IT might need to implement new tools to gather
OT data and combine OT and IT data for analysis.
 Physical convergence includes physical devices being converged or retrofitted with newer
hardware to accommodate the addition of IT to traditional OT. This is an operational
 convergence, where the hardware itself is updated and maintained over time. This might
include the purchase of new OT systems or the addition of aftermarket devices to facilitate
data communication and control.
IT/OT convergence industry examples and use cases
Increasingly, sensors and connected systems, such as wireless sensor and actuator networks, are
being integrated into the management of industrial environments -- such as those for water
treatment, electric power and factories. The integration of automation, communications and
networking in industrial environments is an integral part of IoT and is often referred to
as Industry 4.0.
Here are some industries that benefit from the convergence OT and IT:
 Manufacturing. IT/OT convergence enables organizations to be more cost- and resource-
efficient by using sales and inventory data to drive manufacturing operations -- optimizing
equipment and power use while minimizing maintenance and unsold inventory.
 Utility and energy companies. Modern IT enables OT teams to access operational data
remotely, helping industries such as oil, gas and electricity to optimize industrial equipment
inspections, make damage assessments and handle inventory monitoring and distribution.
 Transportation. Asset management is a priority in transportation. Integrating IT and OT can
help rail, bus, delivery and other transportation organizations gain better visibility into the
coordination, condition and usage of assets to guide short-term repairs, route optimization
and long-term planning for asset replacement and safety.
 Military and law enforcement. IT/OT convergence can aid in the coordination and rapid
deployment of resources, while providing more insight into the condition and maintenance of
critical equipment.
 Communications and media companies. Regional and global communication providers
can employ IT/OT convergence to oversee the performance and operation of equipment and
quality of service, leading to faster troubleshooting and better user satisfaction.
 Retail. The use of IoT devices such as start product tags, along with other OT devices such
as cameras and POS devices, can deliver more data to IT for analysis, leading to inventory
and sales floor optimizations for cost savings and better revenue generation and shopper
experience.
 Medical and pharmaceutical. IT/OT integration allows more medical devices to exchange
and share patient information for real-time visibility, leading to better patient analysis and
outcomes; meanwhile, convergence can improve the manufacturing of medicines to enhance
and ensure product quality.
IoT and IT/OT convergence
IoT, especially when paired with edge computing, enables the IT portion of IT/OT convergence.
As mentioned, OT devices aren't traditionally networked technology. IoT devices, by definition,
are networked computing devices with the ability to collect, transfer and analyze data.
Traditional OT devices -- sensors, for example -- can collect data, but can't transmit the data over
a large network or perform any sort of in-depth analysis on that data.
Newer smart sensors would be able to collect the data from the source, such as a factory floor,
and transmit it to an IoT hub or gateway, which would then transfer that information to an
analytics application or an enterprise resource planning software platform to be integrated into an
organization's unified system of business operations. When networked, an OT device functions
as an IoT device. In the factory floor example, a sensor can collect operational data on materials
or machines in the factory and send it over a wireless network to the back-end system application
to be interpreted and trigger an action -- maintenance on factory equipment, for example.
The addition of edge computing capabilities to industrial internet of things (IIoT) devices enables
real-time data processing closer to the source. Instead of sending the data over a network to a
centralized location for processing, the IoT devices can analyze time-sensitive manufacturing
process data and return insights quickly for direct monitoring of industrial conditions before it
becomes obsolete. This is important because IoT and OT devices are often part of a distributed
network architecture, making transmission to a central processing location difficult or impossible
-- IoT is an important technology behind distributed or edge computing. These devices are also
often responsible for critical industrial systems that, if shut down or interrupted, would incur
severe consequences.

The addition of IT technology to OT enables organizations to make better use of data that's
generated by OT through IoT devices and edge computing.
IT/OT convergence can pose challenges in IoT security. Convergence isn't just a blending of
technologies, but also teams and processes. The addition of OT brings new stakeholders into the
security environment. IT security teams and processes must incorporate the diverse real-time
demands of industrial environments. For example, it's just not possible to shut down a smart grid
for a few hours to apply patches or change configurations. In other cases, OT systems might be
in place decades longer than IT systems, presenting additional security risks to consider and
mitigate. But OT systems weren't built for internet connectivity and must be retrofitted with IoT
devices and proper security controls.
There are four principal security threats to IT/OT convergence:
 Lack of collaboration. IT and OT teams have rarely worked together, and this can lead to
security oversights that can increase complexity, duplicate efforts, increase operating costs
and expose security flaws that attackers can exploit. To ensure security, disparate teams must
prioritize, collaborate, and communicate in ways that might not have been necessary or even
possible in years past.
 Legacy OT systems. Where IT systems rarely last more than five years, OT systems can
have lifecycles that measure into decades. Such legacy systems typically incorporated few, if
any, security features and can't be upgraded because of proprietary designs or protocols.
Every converged system must be evaluated for security, and systems that can't support
security requirements might demand new or updated OT equipment.
 Insufficient insight. IT routinely relies on asset discovery and configuration to provide a
clear and complete picture of the environment being managed. OT systems must be able to
share this environment and offer discoverability and remote configuration and management.
If an administrator can't see an OT device, they can't secure and manage the device. Such
gaps can lead to security vulnerabilities.
 Mission-critical demands. OT production systems are often called upon to function 24/7
year-round and can't be paused or turned off for upgrades or updates without a significant
loss of revenue or physical risk. Imagine turning off medical life support equipment for
updates. Organizations might ignore potential security vulnerabilities simply because they
can't afford the cost of downtime needed to remediate risks.
Benefits of IT/OT convergence
IT/OT convergence enables more direct control and more complete monitoring, with easier
analysis of data from these complex systems, from anywhere in the world. This enables workers
to do their jobs more efficiently and improves decision-making, as organizations, leaders and
employees have access to real-time insights that converged data provides. Businesses including
manufacturing, transportation, mining and other industrial organizations are embracing IT/OT
convergence.
The following are some of the benefits of IT/OT convergence over separate IT and OT:
 less siloed IT and OT departments, as the departments must share their respective areas of
expertise to manage converged technology;
 reduced development, operational and support costs, as well as less unplanned downtime due
to predictive maintenance enabled by IoT devices;
 faster time to market for converged technology;
 improved compliance with regulatory standards, as the addition of IT to OT enables better
visibility, management and auditing;
 improved automation and visibility into distributed OT because OT gains the ability to
transmit real-time maintenance data;
 more efficient energy and resource usage, as OT systems can be engaged more in line with
actual product needs; and
 more efficient asset management because all IT and OT systems are seen and managed
through a common methodology.
Challenges of IT/OT convergence
Digital transformation requires organizations to reform most or all areas of the organization to be
successful. OT's modernization through IT integration is no different.
One oft-cited challenge of convergence is maintaining security. Many operational technology
systems were never designed for standardized communication or remote accessibility, and as a
result, the risks of connectivity weren't considered. Such systems might not be regularly updated.
Additionally, OT systems are often distributed in nature, and are often relied upon to uphold
critical infrastructure. Their distributed nature makes for a larger attack surface. The
vulnerabilities of OT systems can leave organizations and critical infrastructure at risk of
industrial espionage and sabotage.
But security concerns are not just technical. People play a vital role in IT/OT security. The
parallel, and sometimes conflicting, roles and priorities of IT and OT teams leave ample
opportunity for security oversights and vulnerabilities -- which can complicate proper
governance. It's up to people to change the corporate culture to support IT/OT convergence,
establish the communication and collaboration needed to approach convergence, and adjust the
business policies and workflows that establish necessary security configurations and guidelines.
Other challenges of IT/OT convergence include the following:
 Process convergence. Organizations might struggle with reorganizing previously siloed IT
and OT departments to manage and operate newly converged technology.
 Secure IoT implementation. Oftentimes, IoT initiatives aren't owned by any one
department, and communication of a new project might not reach all departments --
especially in a more siloed organization. Typically, OT departments have limited knowledge
of security, and IT has a limited knowledge of the projects currently underway. This can
create a dangerous security gap with IoT deployments.
 Training. Only recently have certifications, such as the Cisco Certified Network Associate
Industrial IoT, been offered to help OT workers understand how the technology they are
accustomed to intersects with networked technology. Before that, there was little in the way
of standardized courses for manufacturing process control. This means that older systems
and staff might have previously been adhering to standards that vary from organization to
organization, causing compatibility and security issues.
 Integration with existing systems. The business side of an organization might be tempted to
replace technologies instead of modernizing existing OT with IT technology. This defeats
one of the benefits of convergence, which is cost efficiency. The point of convergence is to
do more with what is available.
Overcome common IT/OT convergence challenges with these strategies.
IT/OT convergence strategies and best practices
So, what's the right way to approach an IT/OT convergence initiative? Given the wide array of
OT systems and industries that might opt for convergence, there are few clear paths that
guarantee a successful convergence strategy. However, there are some general guidelines that
can help an organization maximize its chances of success:
 Communicate goals. Develop a clear picture of the overall objectives, and ensure that both
IT and OT groups understand the convergence goals involved.
 Show the overlap. Illustrate the ways in which IT and OT will overlap for each team,
especially in terms of systems management and security.
 Define the roles and responsibilities. Outline the duties, goals, roles and responsibilities for
IT and OT teams, and focus on opportunities to collaborate.
 Provide training. Cross-training can help IT and OT groups develop a better sense of the
other and understand each other's needs. In addition, a growing number of IT/OT
convergence certifications are appearing to help organizations manage convergence projects
more effectively.
 Use the right tools. Teams can work together to identify and deploy tools that can provide
the appropriate amount of visibility and control over IT/OT assets. Tools should cover
discovery, configuration, management and security.
The path toward any IT/OT strategy typically involves three distinct phases: organizational,
technical and operational.
The organizational phase is intended to facilitate collaboration and communication by getting IT
and OT teams to work together to share information and align efforts, often under the guidance
of a senior manager or convergence evangelist. The technical phase is where the actual
convergence architecture -- including IoT and other parts of the infrastructure -- are designed and
developed. This usually includes management and security issues and involves some amount of
proof-of-principle validation. The operational phase involves deploying and operating the
converged environment, which includes regular infrastructure, refreshes and updates as
technologies evolve.
With a set of overarching guidelines in place, a business can focus on more practical aspects of
IT/OT integration. There are generally three accepted approaches:
 creating a separate network for IT and OT;
 partitioning IT and OT networks; and
 fully integrating OT traffic in the IT environment.
Each approach has its challenges and tradeoffs, but IT and OT systems have different
requirements that must be addressed. They aren't the same and can't be treated interchangeably,
especially where legacy OT systems are involved.

Technologies which bring Convergence of OT and IT

According to a Gartner survey, organizations are eager to integrate IIoT and IT technologies,
however, many organizations lack the skills, expertise, or IT-OT alignment required to deliver
the best possible outcomes.
Luckily, we’re beginning to see new technologies emerge in response to these challenges–
whether that means democratizing development or making it easier to understand massive
amounts of data, here are a few innovations making convergence a reality for more
manufacturers.
No Code Applications
No code or low-code applications are used to connect IIoT devices, sensors, and machines, as
well as the humans that work with them on the factory floor. These programs are designed for
human users without a background in coding, offering an easy way for OT teams to create
applications that work for the assembly line without having to learn how to code.
Digital Twins
Digital twin software allows organizations to build virtual replicas of physical objects like heavy
machinery or entire manufacturing systems in a digital environment. This technology allows
manufacturers to see how environmental factors, changes to the production cycle, and adverse
events might impact product quality or productivity.
Augmented Reality
Augmented reality tools aren’t exactly at the forefront of innovation today–after all, Caterpillar
has been using AR for inspections since 2015. That said, AR technology is improving all the
time. Today, organizations can use AR in a connected system to oversee factory operations
remotely, provide enhanced training simulations, and guide technicians through complex repairs.
Edge Computing
The edge is increasingly considered to be the intersection where OT and IT meet. In the typical
IIoT system, data is generated and collected by OT before sending it along to IT for analysis in
the data center or the cloud. Edge computing allows organizations to process data in real-time,
rather than waiting for it to show up in the cloud, allowing organizations to convert machine-
generated data into actionable insights quickly.

INDUSTRY INTERNET OF THINGS (IIoT)

The industrial internet of things (IIoT) refers to the extension and use of the internet of
things (IoT) in industrial sectors and applications. With a strong focus on machine-to-machine
(M2M) communication, big data, and machine learning, the IIoT enables industries and
enterprises to have better efficiency and reliability in their operations. The IIoT encompasses
industrial applications, including robotics, medical devices, and software-defined production
processes.
The IIoT goes beyond the normal consumer devices and internetworking of physical devices
usually associated with the IoT. What makes it distinct is the intersection of information
technology (IT) and operational technology (OT). OT refers to the networking of operational
processes and industrial control systems (ICSs), including human machine interfaces (HMIs),
supervisory control and data acquisition (SCADA) systems, distributed control systems (DCSs),
and programmable logic controllers (PLCs).
The convergence of IT and OT provides industries with greater system integration in terms of
automation and optimization, as well as better visibility of the supply chain and logistics. The
monitoring and control of physical infrastructures in industrial operations, such as in agriculture,
healthcare, manufacturing, transportation, and utilities, are made easier through the use of smart
sensors and actuators as well as remote access and control.
In the context of the fourth industrial revolution, dubbed Industry 4.0, the IIoT is integral to how
cyber-physical systems and production processes are set to transform with the help of big data
and analytics. Real-time data from sensors and other information sources helps industrial devices
and infrastructures in their “decision-making,” in coming up with insights and specific actions.
Machines are further enabled to take on and automate tasks that previous industrial revolutions
could not handle. In a broader context, the IIoT is crucial to use cases related to connected
ecosystems or environments, such as how cities become smart cities and factories become smart
factories.
The consistent capturing and transmitting of data among smart devices and machines provide
industries and enterprises with many growth opportunities. The data allows industries and
enterprises to pick up on errors or inefficiencies in the supply chain, for example, and
immediately address them, thus pushing for day-to-day efficiency in operations and finance.
Proper integration of the IIoT can also optimize the use of assets, predict points of failure, and
even trigger maintenance processes autonomously.
By adopting connected and smart devices, businesses are enabled to gather and analyze greater
amounts of data at greater speeds. Not only will this enhance scalability and performance, but it
can also bridge the gap between the production floors and general offices. Integration of the IIoT
can give industrial entities a more accurate view of how their operations are moving along and
help them make informed business decisions.

Working of IIoT

IIoT is a network of intelligent devices connected to form systems that monitor, collect,
exchange and analyze data. Each industrial IoT ecosystem consists of:
 Connected devices that can sense, communicate and store information about themselves;
 Public and/or private data communications infrastructure;
 Analytics and applications that generate business information from raw data;
 Storage for the data that is generated by the IIoT devices; and
 People.
These edge devices and intelligent assets transmit information directly to the data
communications infrastructure, where it's converted into actionable information on how a certain
piece of machinery is operating. This information can be used for predictive maintenance, as
well as to optimize business processes.
 Fig: IIoT Infrastructure

Importance of Industrial Internet of Things (IIoT)

The industrial internet of things (IIoT) is concerned with the effective utilization of smart
sensors, transmitters, and actuators to increase industrial production and manufacturing
processes.
IIOT uses the ability of smart machines and real-time analytics used to utilize the data that
“dumb old machines” have produced in industrial establishments for years.
This information can be used for predictive maintenance as well as to modify to achieve
maximum efficiency in business processes.
The philosophy that guides and also drives the industrial internet of things (IIoT) is that smart
machines are better than human beings at capturing and analyzing data in real-time.
In addition to that, they are also better at communicating important information, it can be used to
drive business decisions more effectively, accurately, and faster.
Advantages of Industrial Internet of Things
Why are manufacturers investing? The following are some advantages of IIoT.
 Reduced costs
 Optimize asset utilization
 Improve worker productivity
  Enhance worker safety
 Improve sustainability
 IIoT enables predictive maintenance of assets
 Preventive maintenance
 Timing based on age or use
 Predictive maintenance
 Employ condition monitoring and analytics to predict failure.
Benefits of IIoT
Connected sensors and actuators enable industrial establishments to detect problems and
capabilities in advance and save time and money while supporting business intelligence efforts.
IIoT technologies help field service technicians identify potential problems with customer
equipment before they become major problems, allowing technicians to fix problems before
making customers uncomfortable.
IIoT also improves facility management. We are aware that the rotating equipment is susceptible
to wear and tear, as well as certain conditions within a factory, sensors can monitor vibrations,
temperature.
In the manufacturing sector, IIoT has great potential for quality control, helps planning,
improved machine uptime, and sustainable practices, supply chain traceability, and overall
supply chain efficiency.
In an industrial context, it is crucial for processes such as predictive maintenance, improved
field service, asset management, asset tracking, and energy management. Supports a safe
working environment.

Risks with IIOT systems

Many security problems are associated with networks directly connected to the internet. Potential
risks are due to exposed ports, obsolete firewall updating.
Malicious activities like hacking, data interception, and targeted attacks. Attention needs to be
paid regularly in monitoring and detection in case of malware infection.
Differences between IIoT and IoT
The Internet of Things (IoT) refers to everyday objects that connect to a network and exchange
data with other devices, while the Industrial Internet of Things (IIoT) is a part of the IoT.
In general, the IoT includes any equipment that takes advantage of the Internet connection to
send and receive data. When this equipment is used for industrial purposes, it is considered
Industrial Internet of Things (IIoT).
User’s Internet of Things (IoT) devices include products such as lights, locks, and home
thermostats that are connected.
On the other hand, Industrial Internet of Things (IIoT) devices encompass a large number of
elements, such as plat process meters, factory machines, or machines, flow, pressure,
and temperature sensors in the pipelines, vessels.

The future of the IIoT

The Industrial Internet of Things (IIoT) is widely regarded as one of the top trends affecting
industrial organizations today and in the future.
Industries are pushing to modernize their systems, machinery, and equipment to adhere to new
regulations. This is to keep up with increasing market speed, volatility, and to deal with
disruptive technologies.
Industries that adapted IIoT have seen remarkable improvements in safety, efficiency, and
growth profitability. This trend is expected to continue as IIoT technologies become more widely
adopted.
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IIOT – Analytics and Data Management

http://www.infocobuild.com/education/audio-video-courses/computer-science/IntroToIndustry4-
0-Industrial-IoT-IIT-Kharagpur/lecture-50.html
OR
https://nptel.ac.in/courses/106105195 (week8)
Only Introduction
Demonstrate Adoption of IIOT Technology
• Predictive maintenance.
• Remote Production Control.
• Asset tracking.
• Logistics management.

Predictive maintenance
https://www.youtube.com/watch?v=EXEd71jq3uE
Remote Production Control
https://www.youtube.com/watch?v=qg8wgUp3NBo
Asset tracking

Logistics management
https://softengi.com/blog/logistics-tech-internet-of-things-in-transportation/

Demonstrate IIOT for

• • Sustainability Assessment of Manufacturing Industry
• • Lean Production System
• • Smart Factories

https://nptel.ac.in/courses/106105195 (week2)

Notes
https://archive.nptel.ac.in/courses/106/105/106105195/