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Institute
- FIR e. V. an der RWTH Aachen (114) (remove)
Due to shorter product life cycles and the increasing internationalization of competition, companies are confronted with increasing complexity in supply chain management. Event-based systems are used to reduce this complexity and to support employees' decisions. Such event-based systems include tracking & tracing systems on the one hand and supply chain event management on the other. Tracking & tracing systems only have the functions of monitoring and reporting deviations, whereas supply chain event management systems also function as simulation, control, and measurement. The central element connecting these systems is the event. It forms the information basis for mapping and matching the process sequences in the event-based systems. The events received from the supply chain partner form the basis for all downstream steps and must, therefore, contain the correct data. Since the data quality is insufficient in numerous use cases and incorrect data in supply chain event management is not considered in the literature, this paper deals with the description and typification of incorrect event data. Based on a systematic literature review, typical sources of errors in the acquisition and transmission of event data are discussed. The results are then applied to event data so that a typification of incorrect event types is possible. The results help to significantly improve event-based systems for use in practice by preventing incorrect reactions through the detection of incorrect event data.
Companies operate in an increasingly volatile environment where different developments like shorter product lifecycles, the demand for customized products and globalization increase the complexity and interconnectivity in supply chains. Current events like Brexit, the COVID-19 pandemic or the blockade of the Suez canal have caused major disruptions in supply chains. This demonstrates that many companies are insufficiently prepared for disruptions. As disruptions in supply chains are expected to occur even more frequently in the future, the need for sufficient preparation increases. Increasing resilience provides one way of dealing with disruptions. Resilience can be understood as the ability of a system to cope with disruptions and to ensure the competitiveness of a company. In particular, it enables the preparation for unexpected disruptions. The level of resilience is thereby significantly influenced by actions initiated prior to a disruption. Although companies recognize the need to increase their resilience, it is not systematically implemented. One major challenge is the multidimensionality and complexity of the resilience construct. To systematically design resilience an understanding of the components of resilience is required. However, a common understanding of constituent parts of resilience is currently lacking. This paper, therefore, proposes a general framework for structuring resilience by decomposing the multidimensional concept into its individual components. The framework contributes to an understanding of the interrelationships between the individual components and identifies resilience principles as target directions for the design of resilience. It thus sets the basis for a qualitative assessment of resilience and enables the analysis of resilience-building measures in terms of their impact on resilience. Moreover, an approach for applying the framework to different contexts is presented and then used to detail the framework for the context of procurement.
Task-Specific Decision Support Systems in Multi-Level Production Systems based on the digital shadow
(2019)
Due to the increasing spread of Information and Communication Technologies (ICT) suitable for shop floors, the production environment can more easily be digitally connected to the various decision making levels of a production system. This connectivity as well as an increasing availability of high-resolution feedback data, can be used for decision support for all levels of the company and supply chain. To enable data driven decision support, different data sources were structured and linked. The data was combined in task-specific digital shadows, selecting clustering and aggregation rules to gain information. Visual interfaces for task-specific decision support systems (DSS) were developed and evaluated positively by domain experts. The complexity of decision making on different levels was successfully reduced as an effect of the processed amounts of data. These interfaces support decision making, but can additionally be improved if DSS are extended with smart agents as proposed in the Internet of Production.
Monetizing Industry 4.0: Design Principles for Subscription Business in the Manufacturing Industry
(2019)
Subscription business models have a major role for monetizing products and services for manufacturing companies in the age of Industry 4.0. As the manufacturing industry has difficulties generating revenues through digitalization, the implementation of innovative business models are essential to remain successful. Physical assets are often capital-intensive and require a more complex manufacturing process than subscription business models. Moreover, subscription models can focus on the individual customer benefit and a consistent service transformation, constituting a unique selling proposition and a competitive advantage. Hence, the following paper provides a management model that enables manufacturing companies to successfully realize the transformation towards a subscription business model. The management model presents four major fields of action, each matched with one design principle that must be considered when dealing with subscription models in the manufacturing industry. These principles were determined by an in-depth case study analysis among various manufacturing companies. Opportunities, challenges and recommendations for action were then systematically derived and integrated into the management model.
Through data-based insights into customer behavior, products and service offers can be improved. For manufacturing companies, smart product-service systems (SPSS) offer the possibility to collect customer data during the usage phase of the product. As the focus on customer analytics is too often on sales and marketing, SPSS are overlooked as a source of customer data. However, manufacturing companies need to integrate data from all interactions with their customers along the complete customer journey to achieve a holistic data-based view of the customers. To identify these interactions and the customer data derived from them, the concept of a digital shadow will be applied to the customer journey. The projected results for the presented work in progress are a reference process model for the customer journey in manufacturing and a data model of the customer data created along this process.
In the age of digitalization, manufacturing companies are under increased pressure to change due to product complexity, growing customer requirements and digital business models. The increasing digitization of processes and products is opening up numerous opportunities for mechanical engineering companies to exploit the resulting potential for value creation. Subscription business is a new form of business model in the mechanical engineering industry, which aims to continuously increase customer benefit to align the interests of both companies and customers. Characterized by a permanent data exchange, databased learning about customer behavior, and the transfer into continuous innovations to increase customer value, subscription business helps to make Industry 4.0 profitable. The fact that machines and plants are connected to the internet and exchange large amounts of data results in critical information security risks. In addition, the loss of knowledge and control, data misuse and espionage, as well as the manipulation of transaction or production data in the context of subscription transactions are particularly high risks. Complementary to direct and obvious consequences such as loss of production, the attacks are increasingly shifting to non-transparent and creeping impairments of production or product quality, which are only apparent at a late stage, or the influencing of payment flows. A transparent presentation of possible risks and their scope, as well as their interrelationships, does not exist. This paper shows a research approach in which the structure of subscription models and their different manifestations based on their risks and vulnerabilities are characterized. This allows suitable cyber security measures to be taken at an early stage. From this basis, companies can secure existing or planned subscription business models and thus strengthen the trust of business partners and customers.
Subscription business transforms traditional business models of machinery and plant engineering. Many manufacturing companies struggle to pull out the potential created by Industry 4.0 and make it economically usable. In addition to technological innovations, it is necessary to transform the business model. This leads to a shift from ownership-based and product-centric business models to outcome-based business models, which focus on the customer's value and thus realize a unique value proposition and competitive advantage – the outcome economy. Based on a case study analysis among manufacturing companies, this paper provides further clarification including a definition and constituent characteristics of subscription business models in machinery and plant engineering.
Companies in the manufacturing sector are confronted with an increasingly dynamic environment. Thus, corporate processes and, consequently, the supporting IT landscape must change. This need is not yet fully met in the development of information systems. While best-of-breed approaches are available, monolithic systems that no longer meet the manufacturing industry's requirements are still prevalent in practical use. A modular structure of IT landscapes could combine the advantages of individual and standard information systems and meet the need for adaptability. At present, however, there is no established standard for the modular design of IT landscapes in the field of manufacturing companies' information systems. This paper presents different ways of the modular design of IT landscapes and information systems and analyzes their objects of modularization. For this purpose, a systematic literature research is carried out in the subject area of software and modularization. Starting from the V-model as a reference model, a framework for different levels of modularization was developed by identifying that most scientific approaches carry out modularization at the data structure-based and source code-based levels. Only a few sources address the consideration of modularization at the level of the software environment-based and software function-based level. In particular, no domain-specific application of these levels of modularization, e.g., for manufacturing, was identified. (Literature base: https://epub.fir.de/frontdoor/index/index/docId/2704)
Pricing is one of the most important, but underestimated tools, to enhance a company's profitability. Especially value-based pricing has a high potential to reach higher levels of satisfaction because it equates the needs of providers and customers. Even though, it is a well-known price model and promises higher satisfaction, many companies struggle to implement it. Especially the manufacturing industry is characterized by cost-plus pricing and competition-based pricing. However, especially for digital products these pricing strategies are insufficient. Therefore, this paper aims at exploring the design fields for value-based pricing of digital products in the manufacturing industry. To achieve this, the basics of digital products and value-based pricing are explored. Furthermore, an expert workshop is conducted that follows a framework for value-based pricing consisting of four consecutive steps analysis, price strategy, pricing, and market launch to capture the design fields. This paper concludes with limitations, and practical and research implications.
Reinforced through the pandemic and shaped by digitalization, today's professional working environment is in a state of transformation. Working remotely has become a vital component of many professions' regular routines. The design of remote work environments presents challenges to organizations of all sizes. By providing a classification, this paper reveals a comprehensive understanding of the fields of design to be considered to establish lasting remote work concepts in organizations. A hierarchical classification with four dimensions consisting of human, technology, organization, and culture, seven design elements and, twenty design parameters indicates to organizations the fields of design that need to be examined. To satisfy both the theoretical foundation and the practical application, design elements are derived by implementing a systematic review of the literature that represents key areas of interest for remote work. Additionally, these are verified and complemented by a dedicated case study research to incorporate practice-oriented design parameters.