This July 2024, we published a report that tracks the progress that has been made in implementing the key features of Industrie 4.0, both in the process and discrete industries. The three steps in realizing the vision are 1) flexible, reconfigurable plant; 2) global manufacturing networks of flexible, configurable plants; 3) the integration of the previous step with digital, certified, encrypted product definitions. The result enables to make any product, any time in any location, with genuine product certificates.
The document gives business strategies based upon technical solutions. It provides specific recommendations, a list of detail requirements, implementation suggestions and solution benefits by domain. The report is available on demand.
Development, Implementation, and Vertical Integration of Flexible and Reconfigurable Manufacturing Systems
The vision of Industrie 4.0 has been realized step by step. Modular production and standardized modular automation were crucial first steps that have now been successfully applied. Modular automation has made digital twins into asset agents capable of exposing capabilities and executing demands for services using those capabilities.
To transition to high-variability, low-volume production is possible using the approach to flow control interpreting product definitions of individual products and executing them using capability matching, logistics scheduling, and execution engines interacting with digital twins of assets, and, f required, AMRs. This enables a high degree of on-demand and custom products at large scale. Industry applications are currently found in electronics and automotive, and this is expected to evolve swiftly.
Inter-Company Value Chains and Networks through Horizontal Integration
These solutions also open the possibility of an integrated network of flexible and reconfigurable plants. Similar plants across regions enable selection of a plant for local production and reduce emissions. More different plants could collaborate and produce components or intermediates, which would be integrated and processed to end products in a coordinated value chain operating in a make-to-order scenario. A scenario where procurement and consumers directly order a product from the network becomes feasible in this configuration.
In value chains across companies, collaboration among partners should be implemented in secure data spaces following international standards. In addition, the definition of capabilities must be standardized, and the manufacturing operations must be defined in terms of specification of product characteristics, to produce constant product quality across the network. Prototype implementations could be realized today using standards defined by the value chain partners themselves.
Digital End-to-End Innovation Across the Entire Value Chain from the Product to Manufacturing
Finally, when innovating labs could create product definitions, that could be executed on standard equipment capability definitions using specification-controlled operations, a major decrease in time-to-production and time-to-market could be realized. If in addition these product definitions would be encrypted and optionally certified, this would protect IP of the innovator and enable quality and labels guaranteeing original products.
Recommendations
It is time to consider and plan a revamp of production facilities and make a major change in efficiency, resilience, flexibility and performance combined with increased service levels and client satisfaction. Technically, it is possible to implementing Industrie 4.0 flexible manufacturing in fast-moving products. A business case remains a requirement, but ARC thinks it is likely these will lead to many investment decisions. ARC believes the approach to digitalize and encrypt product definition could make important time savings possible and simplify product quality and original product certificates.
Although Industrie 4.0 may not be a concept largely adopted in the Americas it has similar goals and uses similar approaches as Smart Manufacturing and Manufacturing Renaissance. The flexible, reconfigurable manufacturing approach originating in Industrie 4.0 can be transposed and used. It can create significant benefits for American industry. ARC recommends to closely monitoring the developments in this domain of multi-plant and multi-partner applications of integrated flexible manufacturing networks.
Valentijn de Leeuw’s focus areas include organizational change and effectiveness, business process improvement, value-based performance management, governance, project management, knowledge management, operations management, asset management, innovation and engineering, and manufacturing IT. His technology focus is on manufacturing operations management, performance management, supply chain management, and the role of the knowledge worker in manufacturing.
Valentijn has extensive experience in best management practices in process industries, including chemical, polymer, metals, energy, food, pharmaceutical, and petroleum manufacturing. His experience includes knowledge of unit processes, simulation, and modeling, and business practices utilizing application software designed for manufacturing operations.
Valentijn is the focal point for ARC’s Benchmarking Consortium in Europe.
Valentijn acts as independent expert-evaluator of research projects for the European Commission in the Information and Communication domains.