Manufacturing Global - August 2018

August 2018

www.manufacturingglobal.com

3D printing

Star Rapid is making a name for itself in metal 3D printing

Bringing agriculture into the digital age

EVENTS The dates to block out in your diary

The world’s

manufacturing companies Kontron Canada Inside the company’s business transformation

DATA COLLECTION IN MANUFACTURING

Theresa Bui, Cisco’s Director of IoT Strategy talks collating data

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FOREWORD

ello and welcome to the August issue of Manufacturing Global.

In our lead feature this month, Theresa Bui, Director of Internet of Things (IoT) Strategy at Cisco, discusses collating data from connected machinery to drive business transformation in manufacturing.

Given her 15 years of experience in application security, enterprise SaaS and network communications, there are few people better placed that Bui to identify the key challenges faced by businesses in the manufacturing sector when it comes to data and IoT. In the piece Bui states: “As people become more sophisticated in their deployment, have more pieces of connected machinery and are partnering with equipment manufacturers or outside vendors, this idea of who gets to

H

see the data is going to become paramount. It will grow in complexity and, in some ways, technology raises awareness of the ability to do that.”

It’s a piece of manufacturing insight you won’t want to miss.

Elsewhere, we bring you a pair of cracking company reports from Kuhn Krause and Kontron Canada, while out top 10 this month looks at the world’s biggest manufacturers.

In addition, we catch up with Star Rapid, a low volume manufacturer specialising in metal 3D printing, to discuss how the company is making a name for itself in a changing sector.

You can join the conversation across our social media channels on LinkedIn, Twitter and Facebook.

Enjoy the issue.

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CONTENTS

3D printing

could revitalise the industry with new opportunities

06

20

The future of data collection in manufacturing

Top 10

manufacturing companies in theWorld

32

42 Events

Kontron Canada

48

72 Schneider Electric Brazil

62 Kuhn Krause

LEADERSHIP SHOWCASE

The future of data collection in manufacturing 06

Theresa Bui, Director of Internet of Things (IoT) Strategy at Cisco, discusses collating data from connected machinery to drive business transformation in manufacturing WRITTEN BY

AUGUST 2018

MARK SPENCE

07

w w w. m a n u f a c t u r i n g g l o b a l . c o m

LEADERSHIP SHOWCASE

T

he ability to derive actionable value from IoT-influenced machinery is one of the key challenges for the future of

the manufacturing industry. Analysing this data in a meaningful way to drive a desired outcome, such as cost saving or lowering the carbon footprint, is a complex process. This is particularly evident when we consider that the modern factory floor will be deploying numerous different types of equipment from various different manufacturers, with each one perhaps employing alternative data models.

“ Catching issues on the edge can help combat unplanned downtime by streamlining equipment maintenance” – Theresa Bui, Director of IoT Strategy, Cisco

It becomes even more complex again if the 08

data comes from larger corporations whose machinery is distributed across different geographies. Delivering successful solutions that overcome these common obstacles and issues is something that Cisco’s Director of IoT strategy, Theresa Bui, is well versed in.

The seven key challenges of data gathering

in application security, enterprise

In Bui’s opinion, the Internet of Things is a ‘god-

SaaS and network communica-

send’, largely because it allows organisations

tions, there are few people better

to access data whether it’s in the cloud or an

placed that Bui to identify the key

app, for example, and connect the necessary

challenges faced by businesses in

devices to pull down whatever your business

the manufacturing sector when it

requires. However, data gathering can

comes to data and IoT. Indeed, she

produce a number of complexities that need

has managed to whittle these prob-

to be addressed at various stages and levels.

lems down to seven fundamental

AUGUST 2018

Given her 15 years of experience

09

w w w. m a n u f a c t u r i n g g l o b a l . c o m

LEADERSHIP SHOWCASE

“As people become more sophisticated in their deployment, have more pieces of connected machinery and are partnering with equipment manufacturers or outside vendors, the idea of who gets to see the data is going to be paramount” – Theresa Bui, Director of IoT Strategy, Cisco 10

areas that offer varying degrees of difficulty to

sophisticated in their deployment,

organisations. These include: developing an

have more pieces of connected

easy way to find and manage data; the process

machinery and are partnering with

of extracting data from multiple machine types;

equipment manufacturers or

extracting data from connected machinery and

outside vendors, this idea of who

processing it at the edge to facilitate immediate

gets to see the data is going to

action; being able to view, monitor and analyse

become paramount. It will grow in

complex data in real time; controlling who can

complexity and, in some ways,

see data and how often; moving data; and

technology raises awareness of

managing all devices remotely on a single pane

the ability to do that,” she says.

of glass, management process or platform.

It’s the data control element in particular that

At a more granular level, Bui believes there are three top IoT use

Bui feels will become increasingly prevalent in

cases in manufacturing that

the immediate future. “As people become more

highlight the increasing impor-

AUGUST 2018

11

tance of data technology in the

reduction policies and initiating better insight on

industry: energy monitoring,

the efficiency of their plant line to facilitate

equipment health and connected

lowering their carbon footprint,” says Bui. “The

machinery.

challenge there is the lack of granular visibility by category. So, you might want to see energy

Energy monitoring

consumption specifically in the north-east

Being able to report on energy

corner of your factory, entire product line or by

usage by product line or by area in

equipment type for instance, so you can

a plant is fundamental to many

compare and contrast,” she continues.

manufacturing businesses, so how

According to Bui, the Cisco Kinetic platform

can IoT help with that? “In my

can deliver this and more. “It’s a data manage-

experience, the customer goal is all

ment platform that is cloud-based and is

around understanding energy

coupled with our Cisco gateway. So, you’d install

usage, implementing energy

these gateways on your manufacturing floor and w w w. m a n u f a c t u r i n g g l o b a l . c o m

LEADERSHIP SHOWCASE

hook your devices up to them. The software on each gateway allows for easy data extraction. Ultimately, Kinetic allows manufacturers to see all of their data from different sources in one model and allows them to choose whatever model they want. Kinetic also allows the manufacturer to categorise the data in a way that suits them.”

Equipment health “Equipment health monitoring is all about improving the health of the 12

machines on the plant floor,” says Bui. “Manufacturers want to see which equipment is used the most, if there’s an incident is there an instantaneous response, where is the unplanned downtime occurring, etc. The challenge here is that there are probably multiple device types being used so their interdependency needs to be moni-

ate alerts that say ‘something is wrong with this

tored. For some newer customers

equipment, go and look at it’,” Bui continues.

it’s also a case of needing to collect

Cisco, however, takes this process one step

data from legacy devices that are

further. “Catching issues on the edge can help

integral to the production line. Our

combat unplanned downtime by streamlining

Kinetic and gateway solutions can

equipment maintenance. For example, you

help create the correct protocols

can say ‘look at the robotic arm and the fan

for this data extraction. We can cre-

belt together’ whereas previously you’d just

AUGUST 2018

CASE STUDY

ABB simplifies the power of robots using Cisco IoT Written by: Theresa Bui, Director of IoT Strategy, Cisco Bui was also keen to tell Manufacturing Global about how Cisco’s IoT solution has benefitted one company in particular: automation multinational, ABB. As the automation of industrial processes continues apace, technology and communication advances make today’s industrial robots more powerful and user-friendly than ever before. Companies such as ABB are constantly pushing the boundaries of technology to create new smart products that make factories around the world safer, more productive and more cost efficient.

As a leading supplier of industrial robots and modular manufacturing systems, ABB has installed more than 300,000 robots across 53 countries worldwide, and serves a variety of industries including automotive, plastics, metal fabrication, foundry, electronics, machine tools, pharmaceutical, and food and beverage.

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LEADERSHIP SHOWCASE

CASE STUDY

14

The proactive service challenge Successful businesses deliver customer services proactively. For ABB, the challenge was to progress beyond reactively responding to a customer call when there was an issue with a robot, as was previously the case.

When this happened, a technician had to be dispatched, sometimes to remote site locations, to perform an onsite diagnosis because it was challenging to get precise information over the phone about what was happening at the device level. ABB required a solution for proactively ensuring real-time reliability for its robots.

“Proactive service means enhanced reliability and higher productivity,” says Jean Christophe Alt, Project Manager at ABB Robotics Division in France. “If we have precise and reliable information about what’s going on with a robot, our customers benefit from less downtime and higher productivity.”

To improve service efficiency worldwide, increase overall equipment effectiveness and maximise

AUGUST 2018

uptime, ABB needed to automate 24/7 monitoring and remote diagnostics across its hundreds of thousands of devices in the field.

Predictive service with automated IoT connectivity management Today, IoT helps ABB deliver reliable service and enables it to streamline operations for its industrial robots.

By automating real-time IoT device monitoring, remote diagnostics and maintenance with the Cisco Jasper Control Center connectivity management platform, ABB’s robotics team is able to manage thousands of connected devices and constantly monitor all the connections to its customers’ industrial robots for potential issues. If conditions change on any device, automatic alerts are triggered enabling remedial action to be taken swiftly.

“We can also anticipate problems by constantly analysing the information that we receive from the devices.

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LEADERSHIP SHOWCASE

CASE STUDY

16

We’ve developed a set of predictive KPIs, which we share with our customers to help them decide if their equipment requires maintenance. It helps us provide excellent service to our customers and helps companies reduce production losses, which can be extremely costly,” says Alt. Because Control Center enables ABB’s operations team to create automatic responses based on the status of its customers’ robots, appropriate service action can be taken even before incidents occur.

AUGUST 2018

For example, deactivating or reinstating devices, performing remote diagnostics or even changing rate plans to ensure cost effectiveness of IoT connectivity over a mobile network. “We’re monitoring for overages to help our customers with global operations avoid the high cost of over-consumption,” explains Alt. “The real-time information we receive in Control Center allows us to pinpoint the exact robot and precise issue that requires immediate attention.”

ABB devices are supported by the

send someone down to look at one issue. This leads to time and cost savings,” she says.

Connected machinery Bui’s final point is based around the concept that manufacturing businesses are trying to understand how often and how much their machines produce for them.

Crucially, this data could play a pivotal role in future negotiations with equipment manufacturers.

“This connected equipment collects all that data, and that’s

broadest service network and offering in the industry. Automated IoT connectivity management has allowed the company’s service offering to move beyond product installation and setup to continuous equipment monitoring, troubleshooting, diagnostics, maintenance and more. “With the Internet of Things it’s possible to get a snapshot of what’s going on right now.

Real-time actionable information can then form the basis for new services,” adds Bertil Thorvaldsson, Product Manager at ABB.

great for remote monitoring, but as a plant owner you don’t just want to send it back to the manufacturer,” she says. “This information is really important because when contract negotiations come around you can say ‘here’s how your machines work for me and here’s how dependent I am on them. Therefore, I need to negotiate different terms’.”

Clearly the future of data collection in manufacturing is changing rapidly but, if deployed correctly, the right equipment in the right place at the right time will pay tangible dividends. w w w. m a n u f a c t u r i n g g l o b a l . c o m

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H O M E TO I N D U ST RY– L E AD I N G D I G ITAL B U S I N ES S P L AT FO R M S

HAVE YOU SEEN OUR OTHER TITLES?

M A N U FA C T U R I N G 4. 0

3D printing

20

could revitalise the industry with new opportunities

AUGUST 2018

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MANUFACTURING GLOBAL CAUGHT UP WITH STAR RAPID, A LOW VOLUME MANUFACTURER SPECIALISING IN METAL 3D PRINTING, TO DISCUSS HOW THE COMPANY IS MAKING A NAME FOR ITSELF IN A CHANGING SECTOR WRITTEN BY

OLIVIA MINNOCK

w w w. m a n u f a c t u r i n g g l o b a l . c o m

M A N U FA C T U R I N G 4. 0

A

western manufacturer

ture their products in China and

based in China, Star

benefit from its incredibly low

Rapid has reaped the

manufacturing costs.

rewards of supporting gender

22

“My goal was to run a western-

diversity in a traditionally male-

style manufacturing company in

dominated sector. Along with the

China, adhering to the strictest

rapid growth of 3D printing, a

European standards for compli-

commitment to research and

ance and quality while maintaining

development, and the increasing

exceptional service for customers

quality of goods coming from China,

by being highly efficient. I set out to

is helping the business grow into an

build a new type of manufacturing

industry leader. Founder and

company in China and hired

President, Gordon Styles, and Chloe

foreign engineers to come and

Kow, Manager of DMLM (Direct

teach our Chinese employees how

Metal Laser Melting) told us more…

to make high-quality parts.

“I made it my personal mission to

Q: HOW HAS STAR RAPID GROWN INTO A WORLD LEADING MANUFACTURER?

hire Chinese graduates and

Styles: “Star Rapid was founded

manufacture. Today, we have an

in 2005 when I made the decision

international team of more than 280

to travel to China to set up a

employees supporting customers

manufacturing company. I knew I

throughout the entire manufactur-

would face challenges building a

ing process to ensure a streamlined

business in a new country like

customer journey. We have made a

China and had a lot to learn. While

significant investment of $4.5mn

China had a reputation for bad

into cutting-edge equipment,

quality, miscommunication and

including plastic injection moulding

late deliveries, I saw an opportu-

machines, Computer Numerical

nity to provide a new experience

Control (CNC) machining centres,

for those who wished to manufac-

Electrical Discharge Machining

AUGUST 2018

personally train them from the ground up on the right way to

“I’D SAY THAT IN 15 YEARS, THE WEST WILL LOOK TO CHINA IN THE SAME WAY IT LOOKS TO SOUTH KOREA OR JAPAN FOR GOODS” — Gordon Styles, Founder and President, Star Rapid

(EM) machines, and high-tech inspection and testing equipment at our 80,000 sq ft factory space.”

Q: WHAT HAS STAR RAPID’S BIGGEST ACHIEVEMENT BEEN OVER THE PAST FEW YEARS? Styles: “We believe that a commitment to research activities should be a priority. Manufacturers can see first-hand some of the challenges customers face in manufacturing parts and products and can work to overcome them.

One of our biggest achievements is creating the Centre of Strategy and Innovation at Star Rapid where Chloe spearheads R&D activities.

“This team pools Star Rapid’s collective expertise from both internal and external resources, ultimately innovating existing technologies and helping to develop new manufacturing processes. Our team of highly-qualified individuals is able to stay ahead of trends when it comes to the emergence of new, innovative technologies in the 3D printing industry.” w w w. m a n u f a c t u r i n g g l o b a l . c o m

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M A N U FA C T U R I N G 4. 0

Q: WHAT DOES THE ROLE OF DIRECT METAL LASER MELTING MANAGER ENTAIL? Kow: “My role includes ensuring everyone has a clear direction and providing guidance on solving any technical issues that may arise during the metal 3D printing process and providing any corrective action that needs to be taken. Often, when generating quotes for incoming enquiries, it is necessary to teach customers how to design their parts for the additive manufacturing process.

24

“As there is a general lack of design-for-manufacturing knowledge of metal 3D printing, this can be a challenge with customers and often leads to a good amount of trial-and-error as well as technical issues. We have therefore developed a metal 3D printing training initiative at Star Rapid to train customers on how to build an effective model for 3D printing, which offers free, hands-on and in person training courses.”

AUGUST 2018

“ WOMEN IN THIS SECTOR ARE BEING GIVEN A VOICE TO DISCUSS THEIR EXPERIENCES AND THE PATH THEY TOOK TO GET WHERE THEY ARE TODAY. THIS TYPE OF VISIBILITY AND EXPOSURE IN THE MEDIA HAS BEEN CRUCIAL TO ENCOURAGE OTHER WOMEN TO EXPLORE THE SECTOR” — Chloe Kow, DMLM Manager, Star Rapid

Q: WHY DID YOU CHOOSE TO WORK IN THE 3D PRINTING INDUSTRY? Kow: “Throughout my childhood,

25

I had a keen interest in learning the inner-workings of how things are made. This curiosity led me to study engineering at Sheffield Hallam University. As part of my Master’s Programme, there was an advance manufacturing module that delved into 3D printing technology and it was quite intriguing to me. I decided that the ever-changing and ever-growing 3D printing industry was where I wanted my career path to take me as an engineer.”

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M A N U FA C T U R I N G 4. 0

Q: DESPITE THE LACK OF WOMEN IN BOARDROOMS IN THE MANUFACTURING INDUSTRY, ARE WE SEEING SOME IMPROVEMENT IN GENDER DIVERSITY? Kow: “While gender diversity is improving in the manufacturing industry, we are still not remotely close to gender equality. I believe that the uneven ratio of men to women in manufacturing careers is due to one simple thing – confidence. If young women are raised into thinking and believing they can 26

excel in manufacturing, eventually pursuing careers in this sector will come naturally.

“Training should be given to younger women and girls to build confidence and enable them to pursue careers in manufacturing that offer them a myriad of opportunities.

“There are a few steps already being taken

Another factor is the misconception

in the 3D printing sector to encourage

that manufacturing means working in

diversity. Women in this sector are being given

a dirty factory and doing hard manual

a voice to discuss their experiences and the

labour – but this is nothing close to

path they took to get where they are today.

reality. Modern manufacturing

This type of visibility and exposure in the

requires high-skilled workers to use

media has been crucial to encourage other

their knowledge of mathematics,

women to explore the sector, as there are real

engineering and science to create

opportunities for women in the industry. With

high-quality parts and products.

awareness comes action.”

AUGUST 2018

27

Q: LOOKING TO THE FUTURE, HOW IS THE 3D PRINTING INDUSTRY SET TO CHANGE AND WHAT CHALLENGES WILL THIS BRING ABOUT FOR STAR RAPID? Styles: “I think there is going to be a major

design for manufacturability (DFM), and quoting of parts just as the airline industry has been doing for more than two decades.

“Another trend on the rise is

change in the way that CNC machining or plastic

high-quality Chinese manufactured

injection mould tooling/moulding jobs are

goods and services. Star Rapid

quoted over the coming years. AI, deep learning

continues to lead in this arena as

and data mining will allow companies like Star

creating high-quality products is

Rapid to be able to offer real-time analysis,

our main priority. I’d say that in 15 w w w. m a n u f a c t u r i n g g l o b a l . c o m

M A N U FA C T U R I N G 4. 0

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“ I BELIEVE THAT THE UNEVEN RATIO OF MEN TO WOMEN IN MANUFACTURING CAREERS IS DUE TO ONE SIMPLE THING – CONFIDENCE” — Chloe Kow, DMLM Manager, Star Rapid

AUGUST 2018

years, the West will look to China in the same way it looks to South Korea or Japan for goods. If the US believes it has problems competing today, I’m afraid it’s not going to get easier in the future.

“The question is, if Chinese quality is rising, how does a company like Star Rapid, or any Western company, prepare itself? You need to invest in key aspects like training, automation, 5S and lean manufacturing. It is crucial that companies become lean in order to compete with new industry developments. Individual companies that follow this model will have a promising future, no matter where they are in the world.”

Q: WITH A DIVERSE WORKFORCE VITAL FOR THE FUTURE, WHAT STEPS DOES STAR RAPID TAKE TO PROMOTE EQUAL OPPORTUNITIES? Styles: “At Star Rapid, we have found that generally Chinese women are better engineers than Chinese men. They generally have a greater thirst to learn and implement what they have learned. My two best CNC machinists today are young women who joined Star Rapid directly from a technical apprenticeship school in ZhuHai. “In my personal experience, women take their careers much more seriously than men. They generally have a greater thirst to learn and implement what they have learned. At Star Rapid, we actively encourage the hiring of women for CNC machining and tool making and ensure they are equipped with the right skills to progress in their roles.” w w w. m a n u f a c t u r i n g g l o b a l . c o m

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H O M E TO I N D U S T R Y– L E A D I N G D I G I TA L B U S I N E S S P L AT F O R M S

“ We recently worked with BizClik Media on an article which characterizes and explains the total value that Kudu Supply Chain has on company growth plans.

From start to the finish, it was a pleasure working with the BizClik team. The feedback we have received from different audience groups on the article was phenomenal.

It has attracted a lot of interest and attention to our company, our growth plans and has definitely created additional value to what we are trying to achieve.”

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T O P 10

32

Top 10 manufacturing companies in theWorld We took a look at Forbes’ Global 2000 to find out which manufacturing giants made the list, and where they plan to go next W RI T T E N BY

AUGUST 2018

O L I V I A MIN N OCK

33

w w w. m a n u f a c t u r i n g g l o b a l . c o m

T O P 10

09

Boeing

www.boeing.com

American multinational aircraft manufacturer Boeing boasts a revenue of $95.8bn, market cap of $199.5bn and a respectable #52 on the Global 2000, according to Forbes. Operating across both the aerospace and defence sectors, Boeing produces not only planes but also rockets, satellite and missiles.

34

10

Procter & Gamble

Boeing both sells and leases its aircraft to airlines around the world and is currently taking advantage of the aviation boom in the east by making deals

us.pg.com

with the likes of India’s Jet Airways as

Ohio-based Procter & Gamble is the

well as Malaysia Airlines

largest consumer goods company in the world and produces everything from batteries to shampoo. The company is listed at #55 on the overall Forbes Global 2000 list and boasts a market cap of $184.5bn. Some of the brands P&G produces for include Ariel, Always, Pampers, Tampax and Gilette. Under current CEO David Taylor, the company employs 95,000 people, having grown from a candle and soap manufacturer when it was established in 1937.

AUGUST 2018

07

Pfizer

www.pfizer.co.uk

Biopharma company Pfizer is based in the US and employs over 90,000 people. Coming in at #44 on the Global 2000, its prominence is no

08

Nestlé

surprise with a revenue of $52.67bn and market cap of $207.7bn. Pfizer has been a big name in the pharmaceutical industry for over a century,

www.nestle.com

with its origins dating back to 1849.

Although it recently lost a court

Pfizer makes prescription pharma-

battle to patent the design of its

ceuticals as well as consumer health

much-loved KitKat bar, Nestlé

products and is involved in the pro-

remains a reliable household name

cess from research and development

in the food and beverage industry.

all the way through to distribution.

The Swiss multinational has its origins back in 1866 and currently employs 323,000 people contributing to a revenue of over $91bn. Nestlé divides its offering across over 2,000 brands which produce a range of cereals, confectionary, drinks, coffee, dairy products and pet food. Coming in at #48 on the Global 2000, it should also be noted that Nestlé has been named as #52 on Forbes’ list of the most valuable brands in the world.

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35

T O P 10

36

06

05

AB InBev

BMW Group

www.ab-inbev.com

www.bmwgroup.com

Anheuser-Busch InBev (AB InBEV) is

German auto manufacturer BMW

the world’s largest manufacturer of

comes in at #40 on the Global 2000

beverages. The Belgian brewer makes

and, having been founded in 1916, it is

beer for brand all over the world,

a well-known brand across the world

including Budweiser, Stella Artois,

for its cars, trucks and motorcycles.

Corona and Beck’s. The company also

With its headquarters, as well as the

has a strong commitment to sustain-

BMW museum, based in Munich, the

ability, with Zoleka Lisa, Procurement

company has just under 130,000 staff

Director of Capabilities and Sustaina-

across the globe and a revenue of

bility, recently telling Food, Drink and

$114.44bn. Currently, BMW is making

Franchising magazine: “At its heart,

a splash in the world’s largest car mar-

AB InBev is a brewery which cares…

ket, by taking advantage of a law

this allows us to be strong industry

change in China meaning it can own

leaders in the business as far as

75% of its joint venture in the country.

sustainability goes. Sustainabil-

Its main Chinese facility, located in

ity is not just related to our

Shenyang and operated in partnership

business, it is our business.”

with Brilliance Automotive, is set to pro-

AB InBev boasts a market cap

duce 520,000 units annually by 2019.

of $184.3bn and its 182,900 employees all work to maintain the company at its #41 spot on the Global 2000 list, with its most recent revenue coming in at $56.36bn.

AUGUST 2018

03

Samsung Electronics www.samsung.com

South Korean smartphone giant Samsung also manufactures a variety of electronics including televisions, home appliances and IT equipment.

04

Daimler

Samsung will not only continue to produce the flagship phones which have brought it to #14 on the Global 2000, but it also states as part of its

www.daimler.com

Vision 2020 that it will form various

Daimler AG is a German multinational

partnerships to promote innovation.

famous for producing cars and trucks under a variety of well-known brands including Mercedes and smart. The company has a commitment to introducing the latest technology into its vehicles and continues to develop

It has also launched a fund to support AI research and development.

Currently, the business has a market cap of $325.9bn and employs 93,200 people, having reported its most recent revenue as $224.64bn.

electric vehicles as well as digital connectivity solutions within its cars.

With an overall ranking of #29 on the Global 2000, the company boasts a revenue of $193.22bn and has over 289,000 employees. Led by CEO Dr Dieter Zetsche, Daimler is listed on the stock exchanges in Frankfurt and Stuttgart, and has investors from Europe, the US and around the world.

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37

T O P 10

38

02

Toyota Motor

www.toyota-global.com

From foundations in Japan back in 1937, Toyota has grown to be the largest car manufacturer in the world. With a market cap of over $200bn and revenue of $265bn, the automaker and its 136,000 employees have earned the #12 spot on the Forbes Global 2000.

With many countries agreeing to phase out petrol and diesel cars altogether due to their environmental impact, green vehicles form a key part of Toyota’s global vision and the company is committed to reducing overall CO2 emissions, minimising water usage and helping establish a recycling-based society.

AUGUST 2018

39

01

Apple

www.apple.com

The California-based technology manufacturer has long been a household name for its smartphones as well as other tech hardware and software. With a market cap far surpassing any other manufacturer on the list at $927bn, it’s clear to see why the company has an overall #8 place on the Global 2000. Since its foundation in 1976, Apple has grown exponentially and now has a revenue of $247.53bn. It was recently reported that under current CEO Tim Cook, the business has seen its revenue rise by an average of over $1.5bn per month. w w w. m a n u f a c t u r i n g g l o b a l . c o m

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R E A D T H E L AT E S T I S S U E

EVENTS & A S S O C I AT I O N S

The biggest industry events and conferences EDITED BY OLIVIA MINNOCK from around the world

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13 SEPTEMBER

2018 Global Automation & Manufacturing Summit [ McCORMICK PLACE, CHICAGO, ILLINOIS ] This time, rather than looking at the

Industrial Internet of Things (IIoT) strat-

entire conference output, we’ve

egy continues, manufacturers are

highlighted one event which is

looking for effective ways to measure

part of the International Manufactur-

and manage plant floor data and make it

ing Technology Show 2018

useful to improve their operations.

(10-15 September).

“The 2018 Global Automation and Man-

It’s the 32nd edition of what is described

ufacturing Summit will update

as ‘the premier manufacturing technol-

manufacturing leaders on where the

ogy show in North America’ and will host

industry is at in the journey to opera-

the 2018 Global Automation & Manufac-

tional IIoT systems and will explore

turing Summit, with this year’s theme

issues such as cybersecurity and oper-

described as ‘connecting the dots’.

ational change management.”

Organisers say: “As implementation of

hannovermesseusa.com

AUGUST 2018

02–04 OCTOBER

Operational Excellence and Risk Management [ HILTON CANARY WHARF, LONDON ] The Operational Excellence & Risk Management Summit is Europe’s only event dedicated to operational excellence in hazardous industries. Taking place in Lon-

OCT 29 – NOV 01

AME 2018 International Conference [ SAN DIEGO, CALIFORNIA ]

don 2-4 October, this executive level

The theme for this event is ‘Create

conference will bring together over 100

Waves of Excellence’, and organisers

Heads of Operations, HSE, ORM and

say the AME San Diego 2018 Interna-

Operational Excellence from manufactur-

tional Conference will explore ways for

ing, energy, chemicals, resources,

individuals and organisations to accel-

transportation and more – all industries

erate their journey toward excellence.

facing high levels of operational risk.

More than 2,000 attendees are

At the event you’ll be able to hear from

expected at the event which will include

over 40 world class innovators, all pre-

speakers such as award-winning inno-

senting at the event and there to show

vation expert Jeremy Gutsche,

you how to adopt the culture, systems

entrepreneur and former NFL quarter-

and processes of the world’s highest

back Joe Theismann and Billy Taylor,

reliability organisations.

Director of Manufacturing, Goodyear.

bit.ly/2AUCQm9

www.ame.org/sandiego w w w. m a n u f a c t u r i n g g l o b a l . c o m

43

EVENTS & A S S O C I AT I O N S

The biggest industry events and conferences from around the world

03–04 OCTOBER

44

Manufacturing and Trade Summit [ ATLANTIS THE PALM, DUBAI, UAE ] Formerly known as the GCC Manufactur-

economic development. The manufactur-

ing Excellence and Technology Summit,

ing industry has been identified as one of

this event has now been renamed and is

the key economic drivers for both the

currently the GCC’s largest manufacturing

country and the region and it plays a piv-

and trade conference.

otal role in promoting economic growth

The Future Manufacturing and Trade

and trade in the country.”

Summit 2018 will explore technological

Across two days over 500 delegates

developments, address key issues and

from the manufacturing industry will

showcase innovative manufacturing strat-

come together for what is described

egies within all manufacturing disciplines.

as ‘a truly interactive discussion on

Organisers say: “The summit is the only

the technological developments

dedicated platform to discuss cutting-

and innovative manufacturing

edge manufacturing technologies, future

strategies being implemented within

trends in manufacturing excellence and

multiple disciplines in the region’.

strategies to boost this sector’s role in

www.manufacturingtrade.com

AUGUST 2018

14–15 NOVEMBER

Smart Factory Expo [ EXHIBITION CENTRE, LIVERPOOL, UK ] The Smart Factory Expo has become a popular event on the calendar within just three years of its launch. The event prom-

JULY 2019

The Global Manufacturing & Industrialisation Summit (GMIS) [ YEKATERINBURG, RUSSIA ]

ises to feature almost 4000 visitors, 118

The Global Manufacturing and Industriali-

exhibitors and is being covered live on BBC.

sation Summit is now in its second

The expo is set to feature consultant clinics

iteration and certainly something for the

where experts can solve your manufactur-

diary in 2019. The event focuses on inno-

ing problems using smart tech, a day

vation and Fourth Industrial Revolution

dedicated to women in manufacturing with

technologies in the global manufacturing

workshops and mentoring, 200 presenta-

sector. In particular, the conference will

tions you can attend for free and the

look at the UN’s Sustainable Development

opportunity for students to visit so the next

Goals and the role of nature-inspired

generation can be inspired to work in STEM.

technologies in manufacturing. This

The event’s organisers state: “These are

theme will be explored through interactive

exciting times in UK industry – with out-

debates, sessions and workshops.

standing economic performance in 2017,

The 2017 summit, which took place in

and the country’s manufacturers standing

the UAE, included over 3000 attendees,

on the cusp of a technology revolution that

with over 90 speakers from 46 different

plays to the UK’s strengths as one of the

countries, so 2019’s offering promises

world’s leading digital economies.”

to be very valuable indeed.

tmsmartfactoryexpo.com

gmisummit.com w w w. m a n u f a c t u r i n g g l o b a l . c o m

45

THE RISE MOBILE EDGE, of

OPEN SOURCE NETWORK

&

VIRTUALISATION

Inside Kontron Canada’s business model transformation Written by Tom Wadlow Produced by Glen White

KONTRON CANADA INC.

Benoit Robert, VicePresident of Strategy & Marketing, and Steve Séguin, Vice President of Operations, discuss how Kontron Canada has leveraged new technologies to remain an industry leader

50

I

n a world that is increasingly defined by software and all things virtual, organisations across industries are reaping the benefits of migrating critical functionality away from onpremise and into the cloud.

Indeed, IDC predicts global spend on public cloud to hit $160bn this year, an increase of 23.2% on 2017. Offering cost efficiency, scalability and increasing reliability to its beneficiaries, it appears the software and cloud computing tide is gathering irreversible momentum.

However, hardware still has a critical role to play.

IT hardware spending AUGUST 2018

continues to rise – Statista forecasts global spending to reach $1.12trn by 2019, up from the $987bn spent in 2013.

For Kontron Canada Inc., a globallyactive subsidiary of the Kontron Group, its mission statement is to design hardware fit for this software-defined world.

“Our business model has had to change dramatically over the past five years,” comments Benoit Robert, Vice-President of Strategy & Marketing. “Where we used to selling the hardware to a customer who would then sell a complete solution to a service provider, however we now work directly with these service providers to expose them to what we’re doing.

“We show them what integrated hardware and software can do and how this can fit into the new type of virtualised networks they’re trying to build.”

Kontron Canada’s portfolio includes best-of-breed OEM hardware and its SYMKLOUD open infrastructure platforms, built to help clients deploy virtual services using software-defined networking and network function virtualization.

Such clients predominantly operate in three core industries – telecoms, media (video and broadcasting) and cloud.

CANADA

MOBILE EDGE – THE 5G FRONTIER

Central to the firm’s shift in business model has been the emergence of mobile edge computing.

The premise of mobile edge is simple – to bring processes closer to the end consumer, thereby reducing congestion on networks and boosting performance of applications.

“This is all about the computing and the support services closer to the cell towers and at the actual cell tower itself,” explains Robert.

“Mobile edge computing is about using a lot of new virtualisation software technologies and mixing that with a cloud data centre type of environment.

“As a hardware vendor who is also getting increasingly involved with open source software, edge computing represents a tremendous opportunity for us to provide

51 BIO

Benoit Robert is Vice President of Strategy and Marketing for Kontron’s Communications Business Unit and responsible for product strategy, planning and implementation of market and consumer penetration strategies.

Benoit specializes in cloud infrastructure and communications technologies and has spent the last 25 years managing product lifecycles, gathering and prioritizing customer requirements and defining product vision.

w w w. m a n u f a c t u r i n g g l o b a l . c o m

KONTRON CANADA INC.

52

Team building activity on water AUGUST 2018

CANADA

hardware-software solutions to our customers.”

Mobile edge computing, Robert explains, stands at the frontier of the 5G network.

Promising to deliver unrivalled connection speeds and immense bandwidth capacity, 5G will see an unprecedented number of devices connect to a single network.

Providers of such networks will thus be dependent on mobile edge to disperse this demand and ensure optimum experience for end users, and Kontron Canada’s solutions can help them deliver this.

“We’re actually building operating hardware that provisions multi-access edge computing, compatible for devices beyond just mobile, i.e. anything that can connect to IoT,” adds Robert.

Addressing the physical and environmental challenges at the edge is where Kontron’s expertise truly comes to the fore.

“We develop types of hardware that can now sit at the base of the cell tower, a specialised product that fits in that environment where the space is very limited and where the

“ Edge computing represents a tremendous opportunity for us to provide hardware-software solutions to our customers” — Benoit Robert, Vice-President of Strategy & Marketing environmental constraints are very tough,” explains Robert.

“It needs to be able to support freezing cold temperatures all the way up to searing heat.

Some markets are very hot and you need to develop products that can withstand that kind of punishment.”

Kontron’s hardware also stands up to the shock and vibrations caused by extreme events such as earthquakes and fire. Today’s softwarebased world very much relies on equipment that can withstand the physical elements, and Kontron Canada has carved its own niche in provisioning this requirement. w w w. m a n u f a c t u r i n g g l o b a l . c o m

53

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CANADA

EMBRACING OPEN SOURCE

A crucial facilitator of Kontron Canada’s hardwaresoftware evolution has been open source software.

Integration of OpenStack in particular has proven a differentiator for the company, not least because it can

tap into the expertise of a community of experts at an economical price.

Open source software also enables flexibility for clients to build networks and data centres in their own way.

However, while the perks of cloud adoption for organisations in industries such as telecoms are well-documented, deterrents such as higher than anticipated costs, start-up delays and being locked into a vendor’s specific approach do exist.

Kontron’s OpenStack turnkey platform solution, fully integrated with the Canonical distribution of Ubuntu 55 BIO

Steve Séguin is Vice President of Operations for Kontron’s Communications Business Unit. Steve is a goal-oriented and results driven operations executive with extensive experience in high technology manufacturing. With over 15 years management experience spanning operations, production, manufacturing engineering and global supply chain, Steve has a strong record of success developing strategic initiatives, delivering cost reduction and profit improvement, driving organizational change and implementing LEAN through leadership and motivation.

w w w. m a n u f a c t u r i n g g l o b a l . c o m

KONTRON CANADA INC.

INSIDE SYMKLOUD OPEN INFRASTRUCTURE PLATFORMS

56

SYMKLOUD series of converged open infrastructure platforms are commercial-off-the-shelf x86 (COTS) platforms for carrier clouds, content delivery networks, hosting and cloud (XaaS) provider infrastructure. They allow organisations to massively scale VNF, edge datacentre, and video/OTT /broadcast workloads and enable fast and efficient roll-outs.

MS2900 Series of converged platforms feature nine high density modular nodes managed by redundant gigabit ethernet switches and include compute, storage and dual 600GbE ingress switch fabric in a single 2U short depth enclosure.

If an operator wants to run the entire stack for AI from their central office and data centre, for example, the SYMKLOUD MS2910 has a single socket Intel Xeon processor and a PCIe slot on each of the nine nodes, whereby consumable components such as storage, FPGA and GPU can easily be added. SYMKLOUD can also be used to run Virtual Network Functions (VNFs) on top of it – several can run on the same platform which eliminates the need to purchase numerous pieces of hardware.

AUGUST 2018

CANADA

OpenStack, alleviates these concerns.

Robert explains how Kontron’s hardware must keep aligned with updates from Canonical and the OpenStack community: “Canonical have their own releases of their distribution of OpenStack and our software team does all the work behind the scenes to make sure that it will be fully validated and integrated on our hardware.

“This is one of the key advantages of using open source software, especially when considering a community as large as OpenStack. I don’t know how many thousands of developers are part of different projects within the OpenStack community, but when there is a new release you’re gaining the benefits of all the work done.”

Robert also mentions Kontron’s work with Google’s Kubernetes, another open source software solution sold through a separate licensing agreement with Canonical, used for automating deployment, scaling and management of containerised applications.

“Particularly at the edge of a network, we have seen increasing interest in Containerisation. Containers are integrated in the Kontron

“ We developed an ecosystem of key partners that are integrated to our supply chain, as if they were an extension of Kontron” — Steve Séguin, Vice President of Operations 57

SYMKLOUD MS2910 platform in a turnkey manner, providing a modular approach that is designed to fit into the sorts of rack spaces available at the edge,” explains Robert.

Software can be more efficiently tested, benchmarked or even developed by partners and customers on SYMKLOUD hardware in SYMLAB, a remote colo environment deployed by Kontron Canada.

This greatly accelerates the purchase decision making process with minimal risk. w w w. m a n u f a c t u r i n g g l o b a l . c o m

KONTRON CANADA INC.

OPEN SOURCE MISSION Kontron is enabling the networks of the future by offering turnkey, modular, converged hardware platforms that incorporate fully validated and supported Open Source cloud provisioning. Open Source turnkey solutions offer operators a disruptive deployment model, reducing operational costs whilst giving operational freedom. This includes the freedom to mix and match multi-vendor service solutions without the consequences of being locked-in.

58

WHAT’S NEW Kontron recently updated its SYMKLOUD suite of products, launching the ME1100, a flexible, high-performance platform for vRAN and mobile edge computing (MEC).

The platform can enable IT and cloud computing capabilities within the radio access network and easily integrates with telco cloud infrastructure.

AUGUST 2018

CANADA

SUPPLY CHAIN PARTNERS

Sigmapoint, a “Lean Enterprise” contract manufacturer based in Ontario, is taking on the manufacturing of the SYMKLOUD suite, while Hitek Logistics has been a key transportation and logistics partner, able to quickly ship products anywhere in the world from Kontron warehouses in Canada and Shanghai.

59

RESHORING VIA PARTNER POWER

On the operational side, Kontron Canada Inc. is in the midst of reshoring the SYMKLOUD product suite to its homeland.

Building up an ecosystem of manufacturing and supply chain partners to provision this is the domain of Steve Séguin, Vice President of Operations. A company veteran of more than a decade, Séguin has spent time both in Germany and Canada in various roles.

“As part of our operations strategy over the last few years, we developed an ecosystem of key partners that are integrated to our supply chain, as if they were an extension of Kontron,” he explains.

“The SYMKLOUD product family was produced in Asia, and we’re reshoring this so that we can reduce lead times and also increase flexibility.”

Sigmapoint, a “Lean Enterprise” contract manufacturer based in Ontario, is taking on the w w w. m a n u f a c t u r i n g g l o b a l . c o m

KONTRON CANADA INC.

manufacturing of the SYMKLOUD suite, while Hitek Logistics has been a key transportation and logistics partner, able to quickly ship products anywhere in the world from Kontron warehouses in Canada and Shanghai.

The company may expand this network to Morocco, Europe and Southeast Asia if the need arises.

“Our customers now expect flexibility in our supply chain, short lead times, configure to order, and programs like vendor managed

inventory,” Séguin adds. “We must be able to deliver the right product at the right time and at the lowest total cost of ownership.

“These partners contribute directly to meeting these key objectives, and this helps us grow our business.”

LOOKING AHEAD

Séguin expects the reshoring effort to be fully operational by the end of June, by which

60 SYMKLOUD: I SEE OPEN

AUGUST 2018

CANADA

time Kontron Canada Inc. will be primed to deliver its unique set of products and solutions not only across its native territory, but worldwide.

So, what are the priorities for the two executives heading into this post-reshoring future?

“I think we will continue to adapt to our customers footprints and requirements and maintain our very flexible operations so that we can transfer as needed or increase in capacity as needed, and adapt to this evolving market,” Séguin says.

For Robert, deciding which of these evolving trends to pursue will be paramount: “I think one of our biggest issues will be trying to remain focused because there are many new trends or markets that are opening up now, and in most cases, they involve computing hardware of some sort.

“We’re monitoring which are the new directions that we would like to be a part of, but when it comes to how things are being built and are being designed, the mindset of everything is software defined.

“Everything’s being managed by software – there’s so many new opportunities for us, and we’re already starting to look at some,” he concludes.

“I think one of our biggest issues will be trying to remain focused because there are many new trends or markets that are opening up now, and in most cases, they involve computing hardware of some sort” — Benoit Robert, Vice-President of Strategy & Marketing

Website | Youtube | Blog

w w w. m a n u f a c t u r i n g g l o b a l . c o m

61

BRINGING AGRICULTURE into the DIGITAL AGE WRITTEN BY

LAURA MULLAN PRODUCED BY

DENITRA PRICE

With smart machinery and robotics, Kuhn Krause is resolving the agriculture sector’s biggest pain points and meeting the demands of digitisation

KUHN KRAUSE

D

igitisation is transforming businesses across the globe – and the

the time savings, the agronomic

agriculture sector is no exception.

focus that we take in designing

With the world’s population mushrooming, consumer demands changing, and commodity prices becoming more volatile, the

and building our machinery,” he adds.

Looking forward, the digital

agriculture sector is being pushed beyond tra-

agriculture market is expected to

ditional business models into the digital age.

triple in size to $15bn by 2021,

With 100 years’ experience in manufactur-

according to PA Consulting.

ing farm machinery, Kuhn Krause is a melting

With this in mind, Director of

pot of traditional agricultural values and tech-

Operations, Eddie Smith, says he

nological innovation.

has seen a seismic shift in the

It is perhaps this unique perspective which has thrust the American firm into the spotlight 64

“It’s all about the profitability,

way farmers operate.

“I think we’ve seen a dynamic

as one of the leading agriculture and farm

change in the way farmers

machinery manufacturers in the market today.

approach business,” he explains.

“No matter what segment of the agricultural

“They’re no longer just trying to

industry we’re in, our mission is to build the

make a living for their families but

best equipment and deliver the best customer

are now increasingly looking

experience with that equipment,” explains

towards more technical aspects

Marketing Director Curt Davis.

of farming.

“That really comes from identifying and

“I think they’re better educated.

understanding the customer, understanding

They’re business people and they

their needs and providing the equipment that

run the farm more like a business.

solves the everyday problems many of the

They have expectations that their

farmers face with their operations.

fathers or their grandfathers

“This mindset helps us to create a differenti-

didn’t have, and so they are look-

able product in the marketplace, so that when

ing to derive value. They’re

a customer hears about our equipment they

looking for the latest and greatest

will immediately say to themselves, ‘This is the

technologies that can give them

solution I’ve been looking for’.

profitability.”

AUGUST 2018

USA

The agriculture sector is a difficult one to be in, but Davis believes technology is key to realising the market’s financial potential.

“It’s paramount to have a good experience with the equipment, but it’s also important that customers realise the value and return on their equipment investment,” he says.

“In today’s agricultural market, commodity prices are somewhat depressed. This is a worldwide situation, not just in North America, and so it’s very important for our customer to stay profitable.

“They want to invest in machinery that is going to improve their profitability and decrease their cost of investment, whether it be through time, fuel or labour.”

“ It’s all about the profitability, the time savings, the agronomic focus that we take in designing and building our machinery.”

— Curt Davis, Director of Marketing and Product Management

Whether it’s creating state-of-the-art equipment for livestock feeding and bedding, tillage, planting and seeding, crop protection and more, it seems innovation runs deep at Kuhn Group.

w w w. m a n u f a c t u r i n g g l o b a l . c o m

65

KUHN KRAUSE

“The sheer fact that Kuhn Krause has prospered for such a long period of time is a testament to the product and the people at the facility” — Eddie Smith, Director of Operations

66

This is clearly demonstrated by the firm’s cutting-edge manufacturing facility.

By investing in smart machines, Kuhn Krause’s technology provides operators with “instant feedback on the performance of

weld cells are helping to provide feedback, speed up operations and produce better quality products.

“With all this technology, we

machines,” says Smith, which makes the

haven’t replaced any workers,”

manufacturing process faster and more effi-

Smith continues. “It has actually

cient.

given us more flexibility with our

Meanwhile, the firm’s million-dollar investment in smart machining centres and robotic AUGUST 2018

workforce and has improved our productivity and efficiency.

USA

Kuhn – Invest in Quality 67

“The integration of technology is

standardising, sustaining and upholding

helping us make the interface

safety – the agricultural equipment firm is

between man and machine more

focusing on what matters: its products.

productive.”

Pushing its efficiency further, the

In conjunction with this, Smith also champions the company’s use of Gemba walks, to

team at Kuhn Krause has also

gain insight into what’s happening on the

implemented a clearer, lean way of

shop floor.

working.

Adhering to the 6S method of sorting, setting in order, shining,

“One of the main things we’ve done is that we set up a model area in each department,” Smith adds. w w w. m a n u f a c t u r i n g g l o b a l . c o m

KUHN KRAUSE

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USA

“When a customer hears about our equipment they will immediately say to themselves, ‘This is the solution I’ve been looking for’” — Curt Davis, Director of Marketing and Product Management

“Once we validated that a process was converted and changed using

the skills and expertise of its team.

“The sheer fact that Kuhn Krause

the lean methods, then we would

has prospered for such a long

expand it to other areas in that

period of time is a testament to the

department. When we wanted to

product and the people at the facil-

change something, we always went

ity,” observes Smith.

back to the model area to change it.

“We also introduced spaghetti dia-

“I think from a manufacturing standpoint, one of the challenges

grams to reduce the flow or waste of

we’ve had is adapting to the differ-

time of material moving from point A

ent generations of workers

to point B. We had over a 40%

because today we have some

reduction in one department, in one

workers that are celebrating their

area, just by doing that.”

45th year with the firm. In some

Technology and new business

cases, we have taken our sea-

models have undoubtedly trans-

soned workers and placed them

formed the business, but when it

alongside some of the younger

comes to the success of Kuhn

workers to let them learn the new

Krause, the pair both also point to

technology. They’ve been very w w w. m a n u f a c t u r i n g g l o b a l . c o m

69

KUHN KRAUSE

receptive to doing that.”

“Finding good people is always a challenge,” adds Davis. “It seems like in today’s world if you can find a good foundation of character, work aptitude and knowledge about the business, you can begin to build upon that with the specific things that they need to know for the industry and the company. It’s a constant challenge to find good people and to retain them but we’ve managed to

Over

70

350

employees work at Kuhn Krause.

achieve this.”

Tapping into the latest industry knowhow, Kuhn Krause has not only hired the best talent, it is also developing strong industry partnerships to guarantee a superior customer experience.

“For instance, one of the companies that we have an alliance with is Montag,” notes Davis.

“Montag provides a fertiliser delivery solution which we attach to our strip-till machine called the Gladiator®. Both of those machines work together to really provide good value to the customer. It delivers a whole package to the farmer. That relationship with Montag has been very instrumental in increasing our market

AUGUST 2018

USA

position with the customers for the

Although the company’s roots lie

strip-till application of fertiliser place-

firmly in America, it seems Kuhn

ment.”

Krause remains optimistic about the

Now, looking forward, the agriculture equipment firm plans to continue the company’s historic leg-

future and is eyeing opportunities further afield.

“In the next decade, we plan to

acy by embracing new and

continue to grow in the North Ameri-

revolutionary technologies.

can sector, both in the US and

“In the future, I predict we will con-

Canada,” Davis says. “Globally I see

tinue to increase our technology use

that we have many opportunities,

in all aspects of manufacturing,”

especially in growing and developing

reflects Smith.

countries where agriculture is vital to

“That will allow us to have flexibility.

produce enough food for the grow-

This is important because the agri-

ing population. Continued

culture market is cyclical, which

development in those growing and

means you need to able to flex-up

emerging countries are going to be a

and flex-down your manufacturing

priority for us.”

capability to continue to be profitable.”

w w w. m a n u f a c t u r i n g g l o b a l . c o m

71

Energy is on

everywhere, at every time, for everyone

Cristiano dos Anjos (Vice President of Industry Business), Paulo de Tarso Gomes (Vice President of Global Supply Chain) and Flavia Goldenberg (External Communications Manager at Schneider Electric South America) offer the keys to Schneider Electric Brazil’s offer in terms of digitalisation and sustainability WRIT TEN BY

M ARÍA COBANO-CONDE PRODUCED BY

M ANUEL NAVARRO

SCHNEIDER ELECTRIC BRAZIL

I

nnovation and emerging new technologies and services in the energy sector are offering ground for companies to reinvent themselves

at the service of the business and consumer sphere.

Schneider Electric is a global pioneer in management, automation, hardware, software and service solutions for the energy sector, with focus on renewable energy.

The company turned 70 in Brazil in 2017, a time in which it has become the leader of its type of industry in the country.

Business Chief Latin America had the pleasure to speak with two key representatives of Schneider Electric’s Brazilian operation, Cristiano dos Anjos 74

(Vice President of Industry Business) and Paulo de Tarso Gomes (Vice President of Global Supply Chain), with the contribution of Flavia Goldenberg (External Communications Manager at Schneider Electric South America) about the innovation process that drive the company and also the great impact this has on global sustainability.

SUSTAINABILITY AT THE CORE OF THE COMPANY Schneider Electric Brazil operates in four different markets: buildings (both commercial and residential), data centres, infrastructure and industries.

As Dos Anjos explains, “it is a priority for us that resources are available, that products are arriving on time and that they are well manufactured. We make sure the resources are being used in an appropriate way, in the most efficient way.”

AUGUST 2018

L AT I N A M E R I C A

75

w w w. m a n u f a c t u r i n g g l o b a l . c o m

SCHNEIDER ELECTRIC BRAZIL

He continues: “Everything we do as a company is always related to sustainability. What we do in terms of technology, in terms of supply chain, in terms of what we are offering to our customers… is the way to make sure that the world will be better. Again, our theme is Life Is On”.

Flavia explains: “At Schneider Electric we are proud to help our clients rethink and reinvent their processes in a move that impacts society and secures the future of the next generations.

We develop products and services that, in short, enable companies to produce more with less.

This is how our partners strengthen their sustainable performance and strengthen their business.”

76

It is due to this commitment to sustainability that Schneider Electric Brazil has been working with the United Nations Global Compact since 2002, incorporating since 2015 the entity’s 17 Sustainable Development Goals (ODS) and 169 goals set for 2030.

De Tarso Gomes explains: “We are a big under-signer and supporter of the United Nations Program for Sustainability, with all the 17 goals and initiatives that they have. We are always trying to upgrade our processes, our products and our tools and the services that we provide to our customers. We really try to walk the talk regarding sustainability.”

THE ECOSTRUXURE ARCHITECTURE EcoStruxure is Schneider Electric’s IoT-enabled architecture and platform for its customers, offering connectivity, apps, analytics and services on power, IT, AUGUST 2018

L AT I N A M E R I C A

77

building, machine, plants and grids. The architecture taps into digitalisation by offering connectivity of OT solutions with the latest IT technology, using the Internet of Things as a channel. Again, with efficiency, added value and sustainability as a core principle.

Digitalisation is applied to the company’s processes, enhancing proficiency and sustainability. As De Tarso explains: “Our EcoStruxure platform provides very nice opportunities to support our plants with totally connected IoT solutions, use of augmented reality in the shop floor, intensive development and use of big data and data analytics in our w w w. m a n u f a c t u r i n g g l o b a l . c o m

SCHNEIDER ELECTRIC BRAZIL

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AUGUST 2018

L AT I N A M E R I C A

planning. All of that is coupled with strict control of our use of natural resources such as water and electrical energy, controlling at the same time our CO2 emissions”.

• Global presence in over 100 countries

Schneider Electric Brazil uses the products and services it sells and sells the products and services it uses, propelling innovation within and outside the company.

DIGITALISING, CONTROLLING AND CONNECTING Technology and digitalisation are the backbone on which Schneider Electric Brazil’s operates, with restless research and development strategies on innovation

• Sustainability at the heart of their strategy

• Considered the 12th best

in the world by the Gartner Group (7th in Europe)

for products and services.

“THIS IS WHAT WE ARE DOING, MAKING THE WORLD MUCH MORE SUSTAINABLE THROUGH DIGITALISATION” — Cristiano dos Anjos, Vice President of Industry Business

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The most advanced technologies The most well-trained labour Over 98% of satisďŹ ed customers

Each detail of the everyday life of your business does not go unnoticed by Gocil.

The largest security and multiservice company in Brazil.

#weareEXCELLENCE EXCELLENCE

#weareINNOVATION

Get to know us on gocil.com.br

#weareGOCIL #weare weareGOCIL

L AT I N A M E R I C A

Dos Anjos explais: “We connect our customer’s equipment, processes and buildings with specific hardware,

reach this level and it is exactly what we are doing for our customers,” he concludes.

Following its moto, Schneider Electric

technology and software. On top of that,

Brazil implements innovation in its own

we implement a digital layer: we use

operations and supply chain processes.

augmented reality, artificial intelligence

As De Tarso points out: “Our Global Supply

and analytics to help making more with

Chain teams are totally aligned with

the assets. This helps finding new value,

Schneider’s offers of technological

which can be a new business model or

advances in the areas of process

a new find. With big data, we help our

management, connectivity solutions and

customers to extract new information

cybersecurity of all that we process.

that was not in front of their eyes.

“Digitalisation can bring this to you.

“We make strong efforts to continuously enhance our knowledge and use of data

Without connected machines, processes,

analytics and big data and we make use of

buildings and systems, we would never

interconnecting our processes and tools

Click to watch: ‘We Are Schneider Electric | Home Automation Systems, Energy Management & Power Supply’

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81

SCHNEIDER ELECTRIC BRAZIL

82

in the shop floor of our plants and

ahead in the market to foresee potential use of

distribution centres through IoT

emerging technologies and solutions brought by

solutions. We have been

pioneer companies, startups, as well as internal

progressing in the use of additive

solutions of our teams. We have a dedicated

technology (3D printing) too, not

team that is always looking for them, considering

only to make prototypes, but even

them, analysing them and probing them, prior to

to produce some tools of internal

any launch into production use,� he concludes.

use. And the types of products and are the ones that are part of our

EMPOWERING THE RENEWABLE ENERGY SECTOR

EcoStruxure platform.

Undoubtedly, this mindset and its outcome is

solutions we use in our shop floors

“At the same time, in the global supply chain we continue to look AUGUST 2018

impacting the renewable energy sector in a new and completely different way, transforming it.

L AT I N A M E R I C A

• Leading

the Digital Transformation of Energy Management and Automation in Homes, Buildings, Data Centres, Infrastructure and Industries

83

Dos Anjos has a clear vision on this: “Renewable energy will become cheaper. I cannot tell you when it will be cheaper than fossil but it will come for sure and soon. For many reasons, but one of them is because we need to decentralise energy generation.”

“We will need more energy as cities are growing with increased density. We are expecting more than 2.5bn people living in cities in the next 25 years with increasing energy demands and we do not have that generation power. On the other hand, pollution is not sustainable.”

“AT SCHNEIDER ELECTRIC WE ARE PROUD TO HELP OUR CLIENTS RETHINK AND REINVENT THEIR PROCESSES IN A MOVE THAT IMPACTS SOCIETY AND SECURES THE FUTURE OF THE NEXT GENERATIONS” — Flavia Goldenberg, External Communications Manager at Schneider Electric South America w w w. m a n u f a c t u r i n g g l o b a l . c o m

SCHNEIDER ELECTRIC BRAZIL

Quality, innovation and know-how

ASTA manufactures high-quality insulated winding material made of copper for use in electrical machinery in the high-energy sector, so-called conductors (CTC) for transformers and Roebel bars for generators.

Recognized as a technology leader at its acting market, ASTA is capable of flling individual customer requests promptly, delivering the best and most innovative products.

Built into the biggest transformers and generators worldwide.

A forward looking company. Founded more than 200 years ago, ASTA manages the company by investing in technology, innovation and services, always seeking new business opportunities, aiming to provide customers with solutions for each type of business.

www.asta.at

Ensuring functionality, durability and high quality.

ASTA innovates and creates special products according to the needs of each customer

L AT I N A M E R I C A

85 “Once energy is decentralised we will need a much more smarter system to connect it, to make energy safe and reliable everywhere.

Digitalisation will play a really important role to make sure that energy will be everywhere for everyone. There are a lot of things that are moving on this direction, renewable energy is the future”.

He concludes with a final thought: “This is what we are doing, making the world much more sustainable through digitalisation.”

“WE ARE A BIG UNDER-SIGNER AND SUPPORTER OF THE UNITED NATIONS PROGRAM FOR SUSTAINABILITY, WITH ALL THE 17 GOALS AND INITIATIVES THAT THEY HAVE” — Paulo de Tarso Gomes, Vice President of Global Supply Chain

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Flex designs and builds Intelligent Products for a Connected World™ Bring your products to life with Flex Sketch-to-Scale solutions and unrivalled cross-industry expertise across multiple industries including – Automotive, Medical, Connected Living, Health & Fitness, IOT and Telecom, Enterprise & Cloud Infrastructure.

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