smart factory - boussias hyper growth > 20% cagr rapid growth > 10% cagr normal disciplined growth >

Henrik von Scheel @von_scheel

Smart Factory The 2nd wave of Growth and Productivity

Henrik von Scheel

Contribution Originator of the 4th Industrial Revolution & Digital Agenda 2020

Establish 11 Industry 4.0 Councils

Author Board Member Cofounder

Impact

3 bestsellers, 6 books and +40 articles

“One of the most pre-eminent strategists and advisor of his generation”

Eric Schmidt Chairman of Google parent Alphabet

“the leading authority on competitiveness...”

Financial Time

“Father of the Industry 4.0, that ignited the global themes of today.”

Financial Time

Member of the OECD National Competitiveness Council

US Energy Committee 2030 Germany Denmark Sweden Italy UK UAE

Netherlands Switzerland Australia Singapore European Union and UN…

Leading AI Trading Service

Industry 4.0 investment fund

Industry 4.0 Prototype LAB

Four Phases of Industrialization

Mechanization Electrification Digitalization Cyber Physical Systems

Source: Henrik von Scheel

“ In a scale and complexity it is

unlike anything humankind

has experienced before.

Originator of the Industry 4.0

Quote by Henrik von Scheel @

The 4th Industrial Revolution alters every aspect

of our life, our economy, the way we live, consume,

work and relate to one another.

!  Digitalization ( Internet of Things) !  Advanced Analytics !  Cloud Computing !  Augmented Reality !  Robotics !  3D Printing

!  Artificial Intelligence !  Autonomous Systems !  Blockchain !  Smart Automation !  6G Communications !  Future of Energy

!  Quantum Computing !  Cybersecurity !  Neurotechnology !  Nanotechnology !  Bioinformatics !  Advanced Material …

Smart Factory arrives in waves of maturity that disrupts everything

Internet of Things

Consumer 4.0

Develop the Business

Run the Operations !  Assets Utilization !  Autonomy Connectivity !  Real time data capture

Source: Henrik von Scheel

!  A real value chain fully integrated

!  Smart Warehouse !  Predictable Logistic !  Procurement 4.0 !  Intelligence Routing

Logistic 4.0

!  New Energy Source !  Clean and renewable

Wind Waves Biomass Hydro Solar Geothermal

Future of Energy

!  Energy Storage !  Alternative raw materials

!  Scrap elimination !  Mass customization !  Rapid Prototype

3D Printing (Additive Manufacturing)

Sensoring Smart Automation !  Advanced Manufacturing Systems !  Cyber Physical Systems !  Machine to Machine Communication !  Full automation systems

Nanotechnology

Neurotechnology

Advanced Materials

Robotics

Bioinformatics !  Neural Networks !  Technical differentiation

!  Real time Autonomy !  Productivity boost !  Higher Quality

Autonomous Systems

Cyber Security

6G Broadband

Blockchain

Augmented Reality

!  1 Terabyte up / download !  Protection & Risk Mgt

!  Smart Contracts !  Make sense of complicated !  Cost of infrastructure

Ad. Analytics

Cloud Computing

Quantum Computing

Artificial Intelligence !  Intelligent Machine !  Machine Learning

!  Customer intimacy !  Customer make to order approach !  On demand manufacturing

Smart Manufacturing ecosystem explained on one chart

Identify Mgt

Voting

Record Management Peer 2 peer transaction

Smart contracting

Se cu

rit y

Asset–based ledger

Traceability Reliability

Payment

Clearing & Settlement

AI Trading Virtual Companions

Media Content Mgt

Pa te

nt s

R ec

or d

Parts tracking

Compliance

Cognitive Authentication

Digital Identify

M ar

ke tp

la ce

Bioacoustics Sensing

Legal

Neuromorphid Computing

Though Controlled

Real Time

Risk Mgt

AI economy

Deep Learning

Machine Learning

Cost Structure Revenue Stream

Disrupt or be disrupted

Margin

Source: Henrik and Joshua von Scheel

What is at Stake for Manufacturer

Time

EBITA

5-10%

10-20%

20-30%

Business Models

Operating Model

Workflow Transparency

Industry 4.0: The factory of the future January 2017. KPMG

Trend Curve Adoption CurvePerformance Curve Early

Adoption Standards Adoption

Source: Henrik von Scheel

Industry Adoption

Peak of hype

Question of value and pivot

Pilots

Initial rollout A wide range of

success initiatives

Can’t be successful without it

Inflection of attitude

Attitude confirmation

Attitude plateau Attitude and adoption equilibrium

Time

Ex pe

ct at

io ns

Competitive Differentiation Comparative Advantage Hypercompetition

Hyper Growth > 20% CAGR

Rapid Growth > 10% CAGR

Normal Disciplined Growth > 5% CAGR

Performance Model

Cost Model

Operating Model

Master the dimensions of productivity: Automate, Align and Optimize

Transformation + Improve Margin Innovation + Focus on Grow Revenue

Master the dimensions of growth: Invest, Innovate and Perform

Trend Curve Adoption CurvePerformance Curve Early

Adoption Standards Adoption

Source: Henrik von Scheel

Industry Adoption

Peak of hype

Question of value and pivot

Pilots

Initial rollout A wide range of

success initiatives

Can’t be successful without it

Inflection of attitude

Attitude confirmation

Attitude plateau Attitude and adoption equilibrium

Time

Ex pe

ct at

io ns

Competitive Differentiation Comparative Advantage Hypercompetition

Hyper Growth > 20% CAGR

Rapid Growth > 10% CAGR

Normal Disciplined Growth > 5% CAGR

Value Model

Service Model

Revenue Model

Innovation + Focus on Grow Revenue Transformation + Improve Margin

Cost Model

Operating Model

Performance Model

Unique Operations

Coordinated

Complex Operations

Unification

Replication

Tactical Operations

Simple Operations

Diversification

Strategic Operations

Lo w

H

ig h

In

te gr

at io

n

Source: Henrik von Scheel High Automation Low

Next wave of Operational Excellence

Transformation, Workflow Effectiveness &

Alignment

Take a practical approach

Get a one day in-house Industry 4.0 boot camp that educates, and aligns executives and they teams to define a roadmap with the originator himself.

Roadmap Prototype Implement

Conduct accelerate prototyping sessions on where to innovate, what to transform, what to do more or less off and what to stop.

Fast-track Project Execution Programs to “Implement the with impact”

Trend Curve Adoption CurvePerformance Curve Early

Adoption Standards Adoption

Source: Henrik von Scheel

Industry Adoption

Peak of hype

Question of value and pivot

Pilots

Initial rollout A wide range of

success initiatives

Can’t be successful without it

Inflection of attitude

Attitude confirmation

Attitude plateau Attitude and adoption equilibrium

Time

Ex pe

ct at

io ns

1 3

4

5

2

6 8

10

97

11 13

15

1412

Understand Business Model

Drivers Analyze

Existing Strategy

Outline Strategic Business

Objectives

Identify Internal & External Drivers

(Competitive Forces)

Analyze CAN, WANT and SHOULD

DO scenarios

Analyze & Benchmark Strategies

Create Strategy Map

Understand / Create Scorecards

Create Value Map

Create Performance

Measurements

Prioritize Innovation & Transformation Initiatives

Identify Pain Chain & Goal Chain

Identify Critical Success Factors

Define Innovation & Transformation Need

Identify Performance & Value

Opportunities

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