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INFRACON-2019
Implementation, Challenges And Opportunities Of Industry 4.0 :
Case Studies From Automotive & Chemical Industry
Our Team
INFRACON 2019
Deepak Dudhate
MBA,Operations Management
– SCMHRD, Pune
deepak_dudhate@scmhrd.edu
Parmita Saha
MBA,Operations Management
– SCMHRD, Pune
parmita_saha@scmhrd.edu
Dr. Manoj Hudnurkar
Professor- Head of Department -
Operations Management –
SCMHRD, Pune
manoj_hudnurkar@scmhrd.edu
Dr. Suhas Ambekar
Asst.Professor- Operations
Management – SCMHRD, Pune
suhas_ambekar@scmhrd.edu
INDUSTRIAL REVOLUTION
1st
2st
3st
4st
Introducing mechanical production
machines powered by water and steam
End of 18th century (1820-1840)
Use of electronics and IT progressed towards
autonomous production.
Late 20th century
Introducing Mass Production lines powered by
electric energy.
Beginning of 20th century ( 1870-1914)
Based on Cyber physical system ,
Smart Manufacturing.
Today
INTRODUCTION OF INDUSTRY 4.0 :
• Industry 4.0 brings together a number of digital and physical advanced technologies to
form a greater physical-to-digital to-physical connection.
• Fusion of the two worlds a system called cyber-physical (Cyber-Physical System)
• The information and communication technology is getting integrated with manufacturing
and industrial practices
• Almost everything going to be automated and digitized within factories where
production lines are going to get affected
• The machines will be completely automated where they can analyses, self-monitor and
collect data and exchange amongst each other and also with humans.
• It can potentially transform the Automobile & chemical industry by promoting strategic
growth and streamlining operations.
OPPORTUNITIES OF INDUSTRY 4.0:
• Improvement in the industrial Manufacturing and distribution Processes.
• Achieving increased efficiency through the reduction of production costs.
• Increasing the number of new products and services to market variables through the use
of current technological resources.
• New manufacturing changes the value chain, creates a new relationship between man
and machine.
• Reduce Risk in the manufacturing and ready for safe operation.
• Create new opportunities for growth, profitability and employment in manufacturing
sector.
• Industrial internet paves the way for new often disruptive digital business models.
• Digitization of products and services will improve in sustainability of organization.
RESEARCH METHODOLOGY :
• In order to understand the importance of Industry 4.0 as a complex technological
system,
• In order to attempt a consolidation of this nonconsensual concept, a comprehensive
literature review was carried out.
• Using the main scientific literature databases, journal articles, conference papers,
books and other documentation, as the source of the utilized secondary data.
• Case based analysis method used for research to understand the application and
impact of industry 4.0 on organization.
OBJECTIVE OF THIS RESEARCH:
The objectives of this research consisted in:
(1) The concept of industry 4.0
(2) Technologies involved in the Industry 4.0
(3) Applications in chemical and automobile industry
SCOPE OF INDUSTRY 4.0:
• Researchers and companies hold different points of view about the Industry 4.0 concept
and visions.
There is a consensus about the main aspects that address the future manufacturing vision:
1. Smart Factory,
2. Smart Products,
3. Business Models and
4. Customers.
We are looking Three cases only for automobile and Chemical industry.
NINE PILLARS OF INDUSTRY 4.0:
 Key technological components that
progressively make up the foundation pillars
of Industry 4.0
Smart factory framework that incorporates
industrial network, cloud, and supervisory
control terminals with smart shop-floor
objects such as machines, conveyers, and
products.
Machine Learning.
Industry 4.0
Big data
analytics Cloud
Computing
Internet of
Things
Simulation
Autonomous
RobotAugmented
Reality
Cyber
Security
System
Integration
Additive
Manufacturing
IMPLEMENTATION OF INDUSTRY 4.0
CHEMICAL MANUFACTURING & INDUSTRY 4.0:
Chemical industries generate lots of
process data, Operating parameters,
Environmental conditions etc.
The tools of industry 4.0 , like Big data
analytics , digitization of process, Create
information from data and improve on
the field.
1. Establish a digital Records.
1. Analyze and Visualize.
2. Generate Movement.
TECHNIQUES USED IN CHEMICAL INDUSTRY:
Smart Manufacturing & Supply Chain Planning :
1. Predictive asset Management – Maximize asset utilization minimize unplanned downtime.
2. Case: A global chemicals company repeatedly faced unplanned downtime due to an
extruder that failed more than 90 times in one year—leading to losses in production, scrap,
and overtime labor. Using real time monitoring, training, cause and effect relationships
reduced 80% of unplanned downtimes saving $300,000 per year.
3. Process management and control- Minimize production variability and improves quality
4. Energy management- Reduce energy cost
5. Safety management- Monitor process ,assets, people and products continuously on real
time basis.
6. Production simulation-Improve operating training, timely commissioning, (Yield ,cost
improvement Vs waste Reduction)- 3D visualization and virtual reality for training operators
and maintenance staff.
7. Demand forecasting: Adjust production schedules in line with changing customer needs.
AUTOMOBILE INDUSTRY 4.0 :
AI & IOT brings new paradigm in the automotive world.
The first thing which strikes our head when we talk AI in Automotive industry is all about smart cars
or autonomous cars or AI cars.
Companies like Nissan, BMW, Mercedes Benz, Tesla, Audi are few to name which are investing a huge
amount towards their dedication and commitment to launch full-fledged Autonomous vehicles.
The self driving cars and AI are often complimentary topics for discussion while considering Industry
4.0 revolutionary technologies.
we could still hear some news about autonomous vehicles in public transport, military etc.
Example are many for the pilot phase vehicles like ‘AutoX’ – the self-driving grocery vehicle at San
Jose,Calif.
AUTOMOBILE INDUSTRY CASE :
Case -1 : VOLKSWAGEN AUTOEUROPA
Volkswagen T-Roc in Volkswagen Auto Europa
Pre-series stages of car production and time taken
by process.
• The car brand Volkswagen belongs to Volkswagen
Group worked on production process
improvement and came up with Product
emergence process (PEP).
• Techniques-
1. Advance predictive simulation
2. 3-D Printing
3. Intelligent Automation
4. Augmented Reality
5. Industrial cloud
CASE 2: AUTOMOTIVE CYBERSECURITY
The various forms of cyber-attacks are:
 Cyber Ransom
 Physical Abuse
 Stepping-stone Attacks
 Driving Safety Hazards
Cyber-attacks are increasing in connected cars as observed. In last two-three years, there have been many cyber-attack incidents recorded. Below are
few listed:
• Tesla hacked by Chinese hackers: A group of Chinese security researchers were able to control the car remotely using both WiFi and cellular
connection. However, good thing is Tesla sorted this issue in two weeks of reporting.
• Ford Fusion and Toyota Prius Lose Control of their brakes: In 2015, two engineers, Charlie Miller and Chris Valasek showed how they could remotely
stop a car and disable its brakes when the car was going at a slow speed below five miles per hour. Last year, they managed to gain access to the
car’s steering and brake systems while in the car by accessing its electronic system.
• Nissan Leaf hacking: In the Nissan Leaf scenario, the LEAF is a electric car, popular in countries like Norway. Troy Hunt reported that a flaw with the
electric vehicle's companion app also meant data about drivers' recent journeys could be spied on. The attackers gained direct remote access to the
in-vehicle network of an entire vehicle fleet around the world. Some of Nissan's Leaf cars can be easily hacked, allowing their heating and air-
conditioning systems to be hijacked, according to a prominent security researcher.
AUTONOMOUS DRIVING
Connected cars are vehicles connected
to mobile networks and provide wide
range of mobility services.
Connected Cars
Cyber physical production systems are
a consequence of the far-reaching
integration of production, sustainability
and customer-satisfaction forming the
basis of intelligent network systems
and processes.
Cyber Physical Production System
Big data make it possible to identify the
performance of an individual
component and its operating
restrictions in order to prevent future
production issues and take
preventative action.
Big data
Real time decision making is getting
automated at an ever increasing pace. And
the auto industry is no exception and
therefore, ‘autonomous driving’ is only the
obvious next step.
Automated driving
3D printing technology may have significant
impact on several touch points in the auto
value chain including the design cycle,
replacement parts for customer service and
even customer co-design of their vehicles.
Also known as additive manufacturing (AM)
3D Printing , Computer aided engineering
It is the automation which incorporated
Artificial intelligence using machine
learning & intelligent algorithms. It makes
the entire production system more
communicative, flexible and efficient
Intelligent Automation
Industrial automation
FINDINGS & ANALYSIS :
 We find several benefits of Industry 4.0 implementation in manufacturing such as improved
efficiency and productivity, greater agility and increased profitability.
 The technology advancements is completely transforming the manufacturing engineering industry.
 Engineers are trying their level best to exploit the potential of industry 4.0, however, falling short of
significant tools and expertise.
 Saving of labor and time.
 Cybersecurity challenges would be seen and mankind would be needed to put time to find solutions
towards avoiding any form of data breach.
 There would be smart systems with autonomic self properties like self-monitoring and self-
maintenance and self-healing.
FINDINGS & ANALYSIS :
• Security operations centers (SOC)will feature intrusion detection capabilities and it is said that
more such SOC will be built in the future.
• One long-term direction the industry may take to ensure maximum security in autonomous
vehicles is cloud computing. This would require ultra-low latency, high availability, and lots of
bandwidth, because processing and analyzing behaviors in and out of the car are just too much to be
left to embedded computers.
• The future technologies would bring automation, machine-to-machine communication, and
decision making.
• Company stakeholders would find it reluctant to change and adopt to industry 4.0. This would
consume considerable amount of time before implementation actually takes place across
industries.
CONCLUSION:
• Industry 4.0 It will highlight the fact that small changes in one area of the manufacturing
ecosystem will create significant ripples throughout the ecosystem, due to connectivity
throughout the supply chain and the speed at which information propagates.
• Industry 4.0 will enable information to flow not only from manufacturer to product, but between
producers, products and, most importantly, customers.
• The ability to embrace Industry 4.0 and use the opportunities that will rapidly (and, in many
instances, unexpectedly) present themselves will be a key to success in the new global market.
• The idea of connected vehicles has opened up new possibilities for automobile manufacturers and
drivers.
• Industry 4.0 would go enormous evolution in the decades with reductions in its duration and
production of waste, and in improving its effectiveness and productivity.
• Efficiency is currently a global topical issue and Industry 4.0 can help in this regard.
• The chemical sector and automobile sector is having great opportunities for growth and expand
business.
• Use of technological advances of industry 4.0 required skilled manpower for growth and product
development.
REFERENCES :
• Siemens, “Simulation and virtual reality:Training in the virtual world,” October 1,2014,
http://www.siemens.com/innovation/en/home/pictures-of-the-future/digitalizationand-software/simulation-and-virtual-
reality
• H. Rauen, Industry 4.0 – The Technological Revolution Continues [Video], (2012) (Speaker) Retrieved January 12, 2016,
from www.vdma.org/video- item-display/-/videodetail/3019396www.vdma.org/video-item-display/-/
videodetail/3019396.
• Media Information, March 20, 2019 , Statement- Mr, Harald Krüger, Chairman of the Board of Management of BMW AG
Annual Accounts Press Conference for the Business Year 2018
• Real-time Manufacturing Execution System: A Case Study in an Automotive Part Manufacturer.” International Journal of
Computer.
• http://www.acatech.de/fileadmin/user_upload/Baumstruktur_nach_Website/Acatech/root/de/
Material_fuer_Sonderseiten/Industrie_4.0/Final_report__ Industrie_4.0_accessible.pdf.
• Eastman Chemical, “Online tools,”http://www.eastman.com/Products/Pages/Chemical_Wizards.aspx,accessed April 5,
2016.
• Terra Technology, “AkzoNobel selectsTerra Technology’s multi-enterprisedemand sensing to further reduce
inventory,”November 12, 2013,
• . https://blog.appknox.com/cyber-attacks-in-connected-cars/
• https://www.toptal.com/insights/innovation/how-machine-learning-can-enhancecybersecurity-for-autonomous-cars
• https://www.researchgate.net/publication/325183067_Artificial_Intelligence_Based_Autono mous_Car

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Industry 4.0 Implementation, Challenges And Opportunities Of Industry 4.0 : Case Studies From Automotive & Chemical Industry 

  • 2. Implementation, Challenges And Opportunities Of Industry 4.0 : Case Studies From Automotive & Chemical Industry
  • 3. Our Team INFRACON 2019 Deepak Dudhate MBA,Operations Management – SCMHRD, Pune [email protected] Parmita Saha MBA,Operations Management – SCMHRD, Pune [email protected] Dr. Manoj Hudnurkar Professor- Head of Department - Operations Management – SCMHRD, Pune [email protected] Dr. Suhas Ambekar Asst.Professor- Operations Management – SCMHRD, Pune [email protected]
  • 4. INDUSTRIAL REVOLUTION 1st 2st 3st 4st Introducing mechanical production machines powered by water and steam End of 18th century (1820-1840) Use of electronics and IT progressed towards autonomous production. Late 20th century Introducing Mass Production lines powered by electric energy. Beginning of 20th century ( 1870-1914) Based on Cyber physical system , Smart Manufacturing. Today
  • 5. INTRODUCTION OF INDUSTRY 4.0 : • Industry 4.0 brings together a number of digital and physical advanced technologies to form a greater physical-to-digital to-physical connection. • Fusion of the two worlds a system called cyber-physical (Cyber-Physical System) • The information and communication technology is getting integrated with manufacturing and industrial practices • Almost everything going to be automated and digitized within factories where production lines are going to get affected • The machines will be completely automated where they can analyses, self-monitor and collect data and exchange amongst each other and also with humans. • It can potentially transform the Automobile & chemical industry by promoting strategic growth and streamlining operations.
  • 6. OPPORTUNITIES OF INDUSTRY 4.0: • Improvement in the industrial Manufacturing and distribution Processes. • Achieving increased efficiency through the reduction of production costs. • Increasing the number of new products and services to market variables through the use of current technological resources. • New manufacturing changes the value chain, creates a new relationship between man and machine. • Reduce Risk in the manufacturing and ready for safe operation. • Create new opportunities for growth, profitability and employment in manufacturing sector. • Industrial internet paves the way for new often disruptive digital business models. • Digitization of products and services will improve in sustainability of organization.
  • 7. RESEARCH METHODOLOGY : • In order to understand the importance of Industry 4.0 as a complex technological system, • In order to attempt a consolidation of this nonconsensual concept, a comprehensive literature review was carried out. • Using the main scientific literature databases, journal articles, conference papers, books and other documentation, as the source of the utilized secondary data. • Case based analysis method used for research to understand the application and impact of industry 4.0 on organization.
  • 8. OBJECTIVE OF THIS RESEARCH: The objectives of this research consisted in: (1) The concept of industry 4.0 (2) Technologies involved in the Industry 4.0 (3) Applications in chemical and automobile industry
  • 9. SCOPE OF INDUSTRY 4.0: • Researchers and companies hold different points of view about the Industry 4.0 concept and visions. There is a consensus about the main aspects that address the future manufacturing vision: 1. Smart Factory, 2. Smart Products, 3. Business Models and 4. Customers. We are looking Three cases only for automobile and Chemical industry.
  • 10. NINE PILLARS OF INDUSTRY 4.0:  Key technological components that progressively make up the foundation pillars of Industry 4.0 Smart factory framework that incorporates industrial network, cloud, and supervisory control terminals with smart shop-floor objects such as machines, conveyers, and products. Machine Learning. Industry 4.0 Big data analytics Cloud Computing Internet of Things Simulation Autonomous RobotAugmented Reality Cyber Security System Integration Additive Manufacturing
  • 12. CHEMICAL MANUFACTURING & INDUSTRY 4.0: Chemical industries generate lots of process data, Operating parameters, Environmental conditions etc. The tools of industry 4.0 , like Big data analytics , digitization of process, Create information from data and improve on the field. 1. Establish a digital Records. 1. Analyze and Visualize. 2. Generate Movement.
  • 13. TECHNIQUES USED IN CHEMICAL INDUSTRY: Smart Manufacturing & Supply Chain Planning : 1. Predictive asset Management – Maximize asset utilization minimize unplanned downtime. 2. Case: A global chemicals company repeatedly faced unplanned downtime due to an extruder that failed more than 90 times in one year—leading to losses in production, scrap, and overtime labor. Using real time monitoring, training, cause and effect relationships reduced 80% of unplanned downtimes saving $300,000 per year. 3. Process management and control- Minimize production variability and improves quality 4. Energy management- Reduce energy cost 5. Safety management- Monitor process ,assets, people and products continuously on real time basis. 6. Production simulation-Improve operating training, timely commissioning, (Yield ,cost improvement Vs waste Reduction)- 3D visualization and virtual reality for training operators and maintenance staff. 7. Demand forecasting: Adjust production schedules in line with changing customer needs.
  • 14. AUTOMOBILE INDUSTRY 4.0 : AI & IOT brings new paradigm in the automotive world. The first thing which strikes our head when we talk AI in Automotive industry is all about smart cars or autonomous cars or AI cars. Companies like Nissan, BMW, Mercedes Benz, Tesla, Audi are few to name which are investing a huge amount towards their dedication and commitment to launch full-fledged Autonomous vehicles. The self driving cars and AI are often complimentary topics for discussion while considering Industry 4.0 revolutionary technologies. we could still hear some news about autonomous vehicles in public transport, military etc. Example are many for the pilot phase vehicles like ‘AutoX’ – the self-driving grocery vehicle at San Jose,Calif.
  • 15. AUTOMOBILE INDUSTRY CASE : Case -1 : VOLKSWAGEN AUTOEUROPA Volkswagen T-Roc in Volkswagen Auto Europa Pre-series stages of car production and time taken by process. • The car brand Volkswagen belongs to Volkswagen Group worked on production process improvement and came up with Product emergence process (PEP). • Techniques- 1. Advance predictive simulation 2. 3-D Printing 3. Intelligent Automation 4. Augmented Reality 5. Industrial cloud
  • 16. CASE 2: AUTOMOTIVE CYBERSECURITY The various forms of cyber-attacks are:  Cyber Ransom  Physical Abuse  Stepping-stone Attacks  Driving Safety Hazards Cyber-attacks are increasing in connected cars as observed. In last two-three years, there have been many cyber-attack incidents recorded. Below are few listed: • Tesla hacked by Chinese hackers: A group of Chinese security researchers were able to control the car remotely using both WiFi and cellular connection. However, good thing is Tesla sorted this issue in two weeks of reporting. • Ford Fusion and Toyota Prius Lose Control of their brakes: In 2015, two engineers, Charlie Miller and Chris Valasek showed how they could remotely stop a car and disable its brakes when the car was going at a slow speed below five miles per hour. Last year, they managed to gain access to the car’s steering and brake systems while in the car by accessing its electronic system. • Nissan Leaf hacking: In the Nissan Leaf scenario, the LEAF is a electric car, popular in countries like Norway. Troy Hunt reported that a flaw with the electric vehicle's companion app also meant data about drivers' recent journeys could be spied on. The attackers gained direct remote access to the in-vehicle network of an entire vehicle fleet around the world. Some of Nissan's Leaf cars can be easily hacked, allowing their heating and air- conditioning systems to be hijacked, according to a prominent security researcher.
  • 17. AUTONOMOUS DRIVING Connected cars are vehicles connected to mobile networks and provide wide range of mobility services. Connected Cars Cyber physical production systems are a consequence of the far-reaching integration of production, sustainability and customer-satisfaction forming the basis of intelligent network systems and processes. Cyber Physical Production System Big data make it possible to identify the performance of an individual component and its operating restrictions in order to prevent future production issues and take preventative action. Big data Real time decision making is getting automated at an ever increasing pace. And the auto industry is no exception and therefore, ‘autonomous driving’ is only the obvious next step. Automated driving 3D printing technology may have significant impact on several touch points in the auto value chain including the design cycle, replacement parts for customer service and even customer co-design of their vehicles. Also known as additive manufacturing (AM) 3D Printing , Computer aided engineering It is the automation which incorporated Artificial intelligence using machine learning & intelligent algorithms. It makes the entire production system more communicative, flexible and efficient Intelligent Automation Industrial automation
  • 18. FINDINGS & ANALYSIS :  We find several benefits of Industry 4.0 implementation in manufacturing such as improved efficiency and productivity, greater agility and increased profitability.  The technology advancements is completely transforming the manufacturing engineering industry.  Engineers are trying their level best to exploit the potential of industry 4.0, however, falling short of significant tools and expertise.  Saving of labor and time.  Cybersecurity challenges would be seen and mankind would be needed to put time to find solutions towards avoiding any form of data breach.  There would be smart systems with autonomic self properties like self-monitoring and self- maintenance and self-healing.
  • 19. FINDINGS & ANALYSIS : • Security operations centers (SOC)will feature intrusion detection capabilities and it is said that more such SOC will be built in the future. • One long-term direction the industry may take to ensure maximum security in autonomous vehicles is cloud computing. This would require ultra-low latency, high availability, and lots of bandwidth, because processing and analyzing behaviors in and out of the car are just too much to be left to embedded computers. • The future technologies would bring automation, machine-to-machine communication, and decision making. • Company stakeholders would find it reluctant to change and adopt to industry 4.0. This would consume considerable amount of time before implementation actually takes place across industries.
  • 20. CONCLUSION: • Industry 4.0 It will highlight the fact that small changes in one area of the manufacturing ecosystem will create significant ripples throughout the ecosystem, due to connectivity throughout the supply chain and the speed at which information propagates. • Industry 4.0 will enable information to flow not only from manufacturer to product, but between producers, products and, most importantly, customers. • The ability to embrace Industry 4.0 and use the opportunities that will rapidly (and, in many instances, unexpectedly) present themselves will be a key to success in the new global market. • The idea of connected vehicles has opened up new possibilities for automobile manufacturers and drivers. • Industry 4.0 would go enormous evolution in the decades with reductions in its duration and production of waste, and in improving its effectiveness and productivity. • Efficiency is currently a global topical issue and Industry 4.0 can help in this regard. • The chemical sector and automobile sector is having great opportunities for growth and expand business. • Use of technological advances of industry 4.0 required skilled manpower for growth and product development.
  • 21. REFERENCES : • Siemens, “Simulation and virtual reality:Training in the virtual world,” October 1,2014, http://www.siemens.com/innovation/en/home/pictures-of-the-future/digitalizationand-software/simulation-and-virtual- reality • H. Rauen, Industry 4.0 – The Technological Revolution Continues [Video], (2012) (Speaker) Retrieved January 12, 2016, from www.vdma.org/video- item-display/-/videodetail/3019396www.vdma.org/video-item-display/-/ videodetail/3019396. • Media Information, March 20, 2019 , Statement- Mr, Harald Krüger, Chairman of the Board of Management of BMW AG Annual Accounts Press Conference for the Business Year 2018 • Real-time Manufacturing Execution System: A Case Study in an Automotive Part Manufacturer.” International Journal of Computer. • http://www.acatech.de/fileadmin/user_upload/Baumstruktur_nach_Website/Acatech/root/de/ Material_fuer_Sonderseiten/Industrie_4.0/Final_report__ Industrie_4.0_accessible.pdf. • Eastman Chemical, “Online tools,”http://www.eastman.com/Products/Pages/Chemical_Wizards.aspx,accessed April 5, 2016. • Terra Technology, “AkzoNobel selectsTerra Technology’s multi-enterprisedemand sensing to further reduce inventory,”November 12, 2013, • . https://blog.appknox.com/cyber-attacks-in-connected-cars/ • https://www.toptal.com/insights/innovation/how-machine-learning-can-enhancecybersecurity-for-autonomous-cars • https://www.researchgate.net/publication/325183067_Artificial_Intelligence_Based_Autono mous_Car