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Carlos Portillo
EMEA Center of Excellence – Digital Supply Chain
Industry 4.0, Manufacturing, Asset Management & Sustainability
Increase Plan Performance and Operational Excellence with SAP
Digital Operations
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 2Public
Todays Business Realities Fuel the Need to Evolveand technology trends are providing a new era of opportunity
• Volatility
• Siloes of Data
• Manual / Paper-based
Processes
• Manual or Excel-based
Analytics
• Disconnected Business
Processes
• Resource Scarcity
• Mobile Computing
• Industry 4.0 / IoT
• Big Data
• Wireless Network
Proliferation
• Affordable, Feasible &
Viable Technology
• Cloud Computing
• Pay per Use
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 3Public
FROM:
CONNECTED TO:
DIGITAL
TO:
INTELLIGENT
80% of business processes and
processes will be reinvented, digitalized or eliminated by
2020
24 billion IoT devices
by 2020
Digital Transformation: From Connected to Digital to Intelligent
75% of manufacturing value chains
will undergo digital transformation
by 2019
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 4Public
‘Better Outcomes’ – The real reason for IoT projects
Optimized
Productivity
Improved
TurnaroundsLess Waste
Lower cost Increased UptimeNew Products &
Services
New Revenue Faster DeliveriesUsage – Based
Pricing
Greater Capacity Better Efficiency New Business Models
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 6Public
SAP IoT and Digital Supply Chain - Leonardo Strategy
SAP Leonardo empowers the LIVE business, by connecting things with people and processes
SAP provides a highly innovative IoT solution portfolio which extends the digital core with adaptive applications, big data management and connectivity to enable
• New Business Processes (e.g. Industry 4.0)• New Business Models (e.g. pay per use)• New Work Environments (e.g. SAP Leonardo Bridge) People
Processes
Things
Asset Networks
Products as a Service
Business Process Innovation
New Business Models
Employee Efficiency
Augmented Intelligence
Business
Value
7INTERNAL© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP Leonardo & Digitizing Business: The Big Picture
PEOPLEUI Layer (SAP Leonardo Bridge)
Enterprise Management – The Digital Core
Procurement
FROM
PROCESSES
TO
NETWORKS
R&D
Supply
Chain
Planning
Manufacturing
Logistics
Sales
After Sales
Service
Things / Physical Layer
PRODUCTS
“THINGS”
SAP Leonardo Foundation
SAP Cloud Platform / SAP HANA Platform
SAP Leonardo
Edge Computing
SAP Leonardo Apps
Connected Goods Connected Mfg.Track & Trace Vehicle Insights Predictive Main. Asset Intelligence NetworkNetwork Log. Hub
NEW BUSINESS
MODELS
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 8Public
Connecting Things with People and Processes
Industry view
Line of Business
view
SAP Leonardo Portfolio
Technology view
SAP Leonardo
(“Things” View)
• Connected Products
• Connected Assets
• Connected Fleet
• Connected Infrastructure
• Connected Markets
• Connected People
LoB Digital Supply Chain
(Business Process View)
• Digital Business Planning
• Digital Response & Supply
• Digital Logistics
• Digital Product Innovation
• Digital Manufacturing
• Digital Operations
10INTERNAL© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Connecting Things with People and Processes
Industry view
Line of Business
view
SAP Leonardo Portfolio
Technology view
SAP Leonardo
(“Things” View)
• Connected Products
• Connected Assets
• Connected Fleet
• Connected Infrastructure
• Connected Markets
• Connected People
LoB Digital Supply Chain
(Business Process View)
• Digital Business Planning
• Digital Response & Supply
• Digital Logistics
• Digital Product Innovation
• Digital Manufacturing
• Digital Operations
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 11Public
Excessive Paperwork…
• Work orders can be 100 pages or more!
• Forms are completed manually
• The keyed in by the technician at a PC
• Doubles the administration
• Reduces productivity
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 12Public
• Paper based manuals, diagrams and parts listings
• Parts consumption is all paper based
• Part numbers look the same
• Components often look the same could lead to
significant negative consequences
Excessive Paperwork…
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• Safety checklist on paper
• Doesn’t enforce the process
• Analysis in hindsight
• No real time situational context
Paper Safety Systems…
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• Time sheets filled in at the end of the
day…. or even at the end of the week!
• Time is rounded up to the nearest hour
or half hour
• No accuracy = no optimisation
• Planners and supervisors can’t track
progress of in progress maintenance
and service requests
Manual Time Sheets…
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• Planning process are often manual
• Spreadsheets
• Spreadsheet + magnifying glasses
• Paper based planning
• …Even maintenance files in crates
being moved as the status changes!
Sophisticated Planning Systems…
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Hand Written Labels – No Barcodes for Tracking
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 18Public
End to End Digital Operations Process
In the following slides we explain the end-to-end Digital Operations Process
How to connect, collect and manage asset related data
How to analyze asset related data
How to plan maintenance related activities
How to execute maintenance work orders
How to collaborate asset related data
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 19Public
End to End Digital Operations Process
How to connect, collect and manage asset related data
i.e.: Real-time condition-based maintenance, Real-time asset performance dashboards, andons, reports, Real-time alerts and automatic actions based on events,
collect process parameters
Typical Personas: Process Engineers, Maintenance Planners
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 20Public
SAP Manufacturing Execution Suite
SAP Manufacturing Integration & Intelligence (SAP MII)
Web-based strategic manufacturing platform to compose intelligent manufacturing applications
Worker UI
Automation
Layer
Top Floor
Shop Floor
ERP
OT – IT Convergence Connected Assets / Facility Management
Enterprise
Manufacturing
Intelligence
Manufacturing &
Quality Analytics
Insight to
Outcome
(i.e.:
Condition-
Based
Maintenance)
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 21Public
Self Service Composition Environment Overview
» A simplified browser(HTML5) based
design tool for dashboard creation by
consuming different objects via drag & drop.
» Provides WYSIWYG based design
» Form based reporting dashboard using
UI elements.
» Source code generation for the
designed dashboard and possibility to
extend through custom coding using script
assistance
» Integrating tag value changes directly
to browser using web socket interface or
through catalogue query template
» Comprehensive tool usable for a business
user and IT developer
» Reduce the time required for dashboard
creation
» Dashboard accessibility from mobile
devices
Business Logic Services
Visualization
Quality Engine
KPIs / Metrics / Alerts
Data Services
Manufacturing Integration & Intelligence
Composition
Environment
PLAN MAKE DELIVER
ERP SCM PLM
INTEGRATION
Plant Connectivity
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 22Public
Energy Monitoring & AnalyticsScreenshots from NHL System
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 23Public
Process / Asset Visibility and Performance (Virtualization)
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 24Public
Facility Management
● Visualize and interrogate process plants and the business in 3D
● Visual and Business data is connected to EAM and ERP through asset ID’s and functional location
● Business Data and Operational Data linkage is done in SAP MII
3D Procedures
View Operations
Data
Operations/ Historian
View Business
Data
2D / 3D Access
https://video.sap.com/media/t/0_0q0tvdon
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 26Public
End to End Digital Operations Process
How to connect, collect and manage asset related data
i.e.: Real-time condition-based maintenance, Real-time asset performance dashboards, andons, reports, Real-time alerts and automatic actions based on events,
collect process parameters
Typical Personas: Process Engineers, Maintenance Planners
How to analyze asset related data
i.e.: predictive maintenance, machine learning
Typical Personas: Data Scientists, Maintenance Managers
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 27Public
Association
Analysis• Apriori
• Apriori Lite
• FP-Growth
• KORD – Top K Rule Discovery
Classification
Analysis• CART
• C4.5 Decision Tree Analysis
• CHAID Decision Tree Analysis
• K Nearest Neighbour
• Logistic Regression
• Back-Propagation (Neural Network)
• Naïve Bayes
• Support Vector Machine
• Confusion Matrix
• Parameter Selection & Model Evaluation
Regression• Multiple Linear Regression
• Polynomial Regression
• Exponential Regression
• Bi-Variate Geometric Regression
• Bi-Variate Logarithmic Regression
Probability
Distribution• Distribution Fit
• Cumulative Distribution Function
• Quantile Function
Outlier Detection• Inter-Quartile Range Test (Tukey’s Test)
• Variance Test
• Anomaly Detection
• Grubbs Outlier Test
Link Prediction• Common Neighbors
• Jaccard’s Coefficient
• Adamic/Adar
• Katzβ
Data Preparation• Sampling
- Random Distribution Sampling
• Binning
• Scaling
• Partitioning
• Principal Component Analysis (PCA)
Statistic Functions
(Univariate)• Mean, Median, Variance, Standard
Deviation
• Kurtosis
• Skewness
Statistic Functions
(Multivariate)• Covariance Matrix
• Pearson Correlations Matrix
• Chi-squared Tests:
- Test of Quality of Fit
- Test of Independence
• F-test (variance equal test)
Other• Weighted Scores Table
• Substitute Missing Values
Cluster Analysis• ABC Classification
• DBSCAN
• K-Means
• K-Medoid Clustering
• K-Medians
• Kohonen Self Organized Maps
• Agglomerate Hierarchical
• Affinity Propagation
• Gaussian Mixture Model
• Latent Dirichlet Allocation (LDA)
Time Series
Analysis• Single Exponential Smoothing
• Double Exponential Smoothing
• Triple Exponential Smoothing
• Forecast Smoothing
• ARIMA / Seasonal Arima
• Brown Exponential Smoothing
• Croston Method
• Forecast Accuracy Measure
• Linear Regression with Damped Trend and Seasonal Adjust
• Test for White Noise, Trend, Seasonality
SAP HANA In-Memory Predictive Analytics Predictive Analysis Library (PAL) - Algorithms Supported
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 28Public
End to End Digital Operations Process
How to connect, collect and manage asset related data
i.e.: Real-time condition-based maintenance, Real-time asset performance dashboards, andons, reports, Real-time alerts and automatic actions based on events,
collect process parameters
Typical Personas: Process Engineers, Maintenance Planners
How to analyze asset related data
i.e.: predictive maintenance, machine learning
Typical Personas: Data Scientists, Maintenance Managers
How to plan maintenance related activities
i.e.: resource allocation, work clearance, risks and safety measures, work order scheduling, operating procedures, audits, control inspections
Typical Personas: Maintenance Planners, Health & Safety Planners
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 29Public
SAP Multiresource SchedulingResource Allocation & Work Order Scheduling
HR Resources
Business Partner
Availability, Qualifications
Demand
Supply Assignments
SAP ERP
PM/CS
Work/Service Order,
Notification
SAP ERP PS
Project System
SAP PPM
cProjects
SAP Applications
SA
P M
RS
GIS Geographical
Information system
Equipment
Tools
Spare Parts
Optimizer
SAP VSR Vehicle
Scheduling & Routing
SAP CRM
Service Order
SAP HCM, MM
Qualifications
DE
MA
ND
SU
PP
LY
SAP Mobile Platform
SAP Work Manager and
Service Manager by Syclo
SAP BW, SAP
BusinessObjects, SAP
Predictive Analysis
ANALYTICS
MOBILITY
Work Centers
Groups
Crews
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 31Public
Environment, Health, and SafetySAP solutions for Environment, Health, and Safety
Incident Management
Detect and resolve safety issues and learn from incidents.
Health & Safety Management
Reduce risks by taking a proactive approach to health and safety management.
Environment Management
Reduce your environmental impact with comprehensive environment management.
Management of Change
Manage operational changes with systematic reviews, risk mitigation, and approvals.
Maintenance Safety and Permit to Work
Control maintenance work through clearly defined safety instructions and permits.
Proactively manage operational risk to protect people and the environment
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 32Public
Hazard Identification and Risk Assessment
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 33Public
Safety Plan in Maintenance Work Order
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 34Public
End to End Digital Operations Process
How to connect, collect and manage asset related data
i.e.: Real-time condition-based maintenance, Real-time asset performance dashboards, andons, reports, Real-time alerts and automatic actions based on events,
collect process parameters
Typical Personas: Process Engineers, Maintenance Planners
How to analyze asset related data
i.e.: predictive maintenance, machine learning
Typical Personas: Data Scientists, Maintenance Managers
How to plan maintenance related activities
i.e.: resource allocation, work clearance, risks and safety measures, work order scheduling, operating procedures, audits, control inspections
Typical Personas: Maintenance Planners, Health & Safety Planners
How to execute maintenance work orders
i.e.: mobile, visual work instructions, augmented reality & wearables
Typical Personas: Maintenance Technicians
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 35Public
SAP Work ManagerExecution of Maintenance Orders in any Mobile Device
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 36Public
SAP Work ManagerExecution of Maintenance Orders in any Mobile Device
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 37Public
SAP Work ManagerExecution of Maintenance Orders in any Mobile Device
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 38Public
SAP Work ManagerExecution of Maintenance Orders in any Mobile Device
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 39Public
SAP Work ManagerExecution of Maintenance Orders in any Mobile Device
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 40Public
Augmented Reality with SAP AR Service Technician
Companion Application to SAP Work Manager
Link to the SAP Work Manager mobile app through a simple
QR-code scan
Visual Enterprise 3D model visualization and animation
SAP 3D Visual Enterprise steps browsing
Equipment notes
Remote expert calling
Hands-free application
All the application steps can be completed without gestures
or touch events
Required inputs are managed through voice recognition
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 41Public
End to End Digital Operations Process
How to connect, collect and manage asset related data
i.e.: Real-time condition-based maintenance, Real-time asset performance dashboards, andons, reports, Real-time alerts and automatic actions based on events,
collect process parameters
Typical Personas: Process Engineers, Maintenance Planners
How to analyze asset related data
i.e.: predictive maintenance, machine learning
Typical Personas: Data Scientists, Maintenance Managers
How to plan maintenance related activities
i.e.: resource allocation, work clearance, risks and safety measures, work order scheduling, operating procedures, audits, control inspections
Typical Personas: Maintenance Planners, Health & Safety Planners
How to execute maintenance work orders
i.e.: mobile, visual work instructions, augmented reality & wearables
Typical Personas: Maintenance Technicians
How to collaborate asset related data
i.e.: connect with OEM, component suppliers, asset manufacturers, service providers, etc.
Typical Personas: Maintenance Manager, Plant Manager, Facility Manager, Asset Manufacturer, Maintenance Service Providers, etc.
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 42Public
So what is SAP Asset Intelligence Network?
Operators
OEMs &
Service
Providers
Shared model
database
Provider/
operator network
Secure
infrastructure
Global equipment
registry
SAP Asset Intelligence Network
brings together the manufacturers,
service providers, and operators of
the world’s assets to collaborate
around shared equipment
information to maximize availability,
improve efficiency, and create new
business models.
Model &
Equipment
Database
Model
Improve-
ment
Spare
Parts
Functional
Locations
Announce-
ments
Obsolescence
Report
Equipment
History
Asset
Document
Library
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 44Public
Connecting Things with People and Processes
Industry view
Line of Business
view
SAP Leonardo Portfolio
Technology view
SAP Leonardo
(“Things” View)
• Connected Products
• Connected Assets
• Connected Fleet
• Connected Infrastructure
• Connected Markets
• Connected People
LoB Digital Supply Chain
(Business Process View)
• Digital Business Planning
• Digital Response & Supply
• Digital Logistics
• Digital Product Innovation
• Digital Manufacturing
• Digital Operations
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 45Public
Digital Supply Chain, powered by SAP Leonardo
Digital
Business
Planning
Digital
Logistics
Digital
Product
Innovation
Digital
Manufacturing
Digital
Operations
Connected
Products
Connected
Assets
Connected
People
Connected
FleetConnected
Infrastructure
Connected
Markets
Digital Supply Chain
Business Process View
SAP Leonardo
“Things” view
Digital
Response
& Supply
SAP Leonardo Bridge
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 46Public
MES
Integration to Automation
Business Suite
(1) Top Floor to Shop Floor
Need for SMART SIMPLIFICATION
How to accelerate and grow productivity and profitability in complex business environment? How to run business and production seamlessly integrated?
Consumer/customer
Business Networks
» SIMPLIFY
» HARMONIZE
» REDUCE
(2) Customer to Operations
Accelerate the Enterprise SuccessHigher Productivity due to Simplification
Envisioned Future Themes of Digital TransformationView for Manufacturing » Automated PDC (Plant Data Collection)
» Automated order execution
» Innovative hardware converges with software
» Continuous KPI analytics, like order and execution status, performance, etc.
» eDHR (electronic Device History Record)
» OEE (Overall Equipment Effectiveness)
» Connect Customer with Automation floor
» Vertical and horizontal integration
» ERP to Shop floor interoperability
» Standard SAP platform, also leveraging HANA
» On premise, private cloud
» Central, regional, decentral deployment
» Real-time reporting
» Alerting framework
» Direct update of order confirmation and inventory stocks
TOUCHLESS
TRANSPARENT
CONNECTED
REAL-TIME
SCALABLE
VISION
THEMES
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 48Public
What is Industry 4.0 AboutBuilding blocks for Industrial Internet of Things
…
Automation
SAP Business Suite powered by SAP HANA
Connected Products
Digital Manufacturing Portfolio
ConnectedAssets
Real-time Network Insights
Production PlanningMaterials
ManagementQuality
ManagementPlant Maintenance
Global Batch Traceability
Manufacturing Execution for Discrete Industries
Digital Manufacturing Insight**
Distributed Manufacturing**
Manufacturing Integration & Intelligence
Demand Logistics Scheduling Order Fulfillment
Human Resources
Quality Issue Management
Digital Manufacturing Portfolio
LIMSMES SCADA / HMI
Plant DataCollection
Wireless Integration
EnvironmentalBuilding
Management
Plant Historian
Plant DBDCSPLC
Sensors
Public Cloud
On-premise
Shop Floor
Private Cloud
Plant Connectivity 3D Visual Enterprise
** Future Solutions
Let’s Take the Next Steps Together!
Carlos Portillo
EMEA Center of Excellence – Digital Supply Chain
Industry 4.0, Manufacturing, Asset Management, Sustainability
carlos.portillo@sap.com
+31 6 1534 8907
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