Industrie 4.0

Discrete-event simulation of logistics and production systems plays an important role in the context of digital transformation. Its integration into modern planning and control processes is urgently required in order to realize Industry 4.0 concepts. In addition, simulation models will be an important part of the so-called digital twin in the planning and operation. However, the requirements for simulation models and tools are not yet comprehensively defined, and technical solutions have not been adequately implemented. This article presents the fields of action for the implementation.

The topic Internet of Things (IoT) is omnipresent and has already found its way into many living rooms under the term Smart Home [1]. Be it lamps, heaters or the television set - everything is interconnected and easy to control from anywhere. The corresponding counterpart in manufacturing is Industry 4.0, sometimes named the Industrial Internet of Things. Companies and research institutions are working intensively on the possibilities offered by the so-called fourth industrial revolution. The forward-looking positioning of the German economy in international competition requires that the development and distribution of concepts and solutions in the context of Industry 4.0 be actively shaped by the industry itself and thereby to play a pioneering role in innovation [2]. Due to the rapid pace of development, it is essential for German companies to identify, develop and adapt new methods and technologies at an early stage and to transform them into marketable solutions.

Industry 4.0-related potentials leading to Industry 4.0 implementation mostly remain unclear. Consequently, this paper analyzes potentials that drive manufacturers to implement Industry 4.0 in five industries. Whereas mechanical and plant engineering as well as electrical engineering companies consider business-model driven, operational as well as ecological and social benefits as relevant for Industry 4.0 implementation, the chemical and steel industry widely disregard business-model driven opportunities. The automotive industry merely focuses on operational benefits provided by Industry 4.0.

Managers across the globe discuss the impact of digitalization on their business models. Among many other functions, procurement is strongly impacted by this development. However, “Procurement 4.0” goes far beyond the increased use of IT systems. It also has an impact on strategic dimensions such as supplier relationships. Data in this context will have a more important, if not critical, role- whether as some sort of “currency” in negotiations or as the basis for many procurement decisions, from operative order processing to supplier selection.

Manufacturing companies, particularly small and medium-sized ones, should be supported in their Digital Transformation (Industry 4.0) and its implementation of necessary transformation measures. This article introduces a study on models and self-assessments for industry 4.0 maturity level analyses, together with a regulation framework for productivity management, which both helping companies to identify the potential that can be realised with Industry 4.0 considering their current economic activities and business options.

Digitisation offers enormous possibilities but also holds entrepreneurial risks such as data security aspects and misinvestments. Especially small and medium sized enterprises (SMEs) are facing problems by trying to keep pace with digital progress. A helpful tool would be a classification scheme specifically designed for SMEs that shows to which degree the company has already implemented digitisation technologies. Therefore we discuss why such a model is crucial, conduct a comprehensive literature survey and outline a new model.

Many companies struggle to determine their own status and strategy when it comes to digitalization and self-organizing production. The Industry 4.0 Maturity Index offers a guideline in this process and helps to ensure future competitiveness. Using the multidimensional maturity model, companies can evaluate their status-quo and develop a roadmap to accelerate their digital development. The case study of a manufacturer of electrical connectivity solutions demonstrates how to reduce costs and increase productivity with the help of the Industry 4.0 Maturity Index.

Industry 4.0 forces companies to keep their business models up-to-date to keep their competitiveness and to satisfy customer demands. Key words like “individual production” and “lot size one” put pressure on companies to adapt their current production to the new requirements. Especially for companies with a mass production this sounds like a 180° turn. Furthermore, no best-practices for introducing industry 4.0 exist and therefore, one cannot rely on such hold points. Nevertheless, a structured transformation of the own business model towards industry is not impossible.

Trends such as Industry 4.0 or the Internet of Things lead to increased networking and integration of various data in the production. At the same time, the increased networking posses challenges regarding security issues. Negative examples involve the unsecured connection of various programmable logic controllers (PLCs) that are reachable through the Internet. In part, but also inadvertently, there are additional risks for the production plant. The reasons are the comfortable maintenance of plants as well as using external support for complex problems.