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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.
The digital transformation is changing the way companies think and design their manufacturing environment. Both due to the increasing number of connections between IoT-Devices, tooling machines, and production lines and the phenomenon of the convergence of IT and OT, systems are becoming more complex than years ago. Organizational and cultural changes within manufacturing companies strengthen this trend and form Industry 4.0 environments and cyber-physical production systems (CPPS). As these systems do not longer stay alone but are connected to each other and the company’s outside, the size of the potential attack surface is increasing as well. Besides that, manufacturing companies, small and medium-sized in particular, are facing complex challenges based on lack of knowledge, budget, and time to understand as well as to interpret their current situation and risk level and therefore to derive necessary counter-measures. Efficient as well as pragmatic tools and methods for these companies do not exist. This paper shows a research approach in which the company-specific set-up of Industry 4.0 environment and CPPS is characterized by its potential vulnerabilities. This enables companies to evaluate their risk potential before setting up this kind of environments and to undJo,erstand the potential consequences more precisely. By doing so, companies can derive and prioritize important counter-measures and so to strengthen their level of cyber-security efficiently. This will decrease the number of cyber-security attacks and increase the company’s competitiveness.
Manufacturing companies face the challenge of managing vast amounts of unstructured data generated by various sources such as social media, customer feedback, product reviews, and supplier data. Text-mining technology, a branch of data mining and natural language processing, provides a solution to extract valuable insights from unstructured data, enabling manufacturing companies to make informed decisions and improve their processes. Despite the potential benefits of text mining technology, many manufacturing companies struggle to implement use cases due to various reasons. Therefore, the project VoBAKI (IGF-Project No.: 22009 N) aims to enable manufacturing companies to identify and implement text mining use cases in their processes and decision-making processes. The paper presents an analysis of text mining use cases in manufacturing companies using Mayring's content analysis and case study research. The study aims to explore how text mining technology can be effectively used in improving production processes and decision-making in manufacturing companies.
Long-term production management defines the future production structure and ensures the long-term competitiveness. Companies around the world currently have to deal with the challenge of making decisions in an uncertain and rapidly changing environment. The quality of decision-making suffers from the rapidly changing global market requirements and the uniqueness and infrequency with which decisions are made. Since decisions in long-term production management can rarely be reversed and are associated with high costs, an increase in decision quality is urgently needed. To this end, four different applications are presented in the following, which support the decision process by increasing decision quality and make uncertainty manageable. For each of the applications presented, a separate digital shadow was built with the objective of being able to make better decisions from existing data from production and the environment. In addition, a linking of the applications is being pursued:
The Best Practice Sharing App creates transparency about existing production knowledge through the data-based identification of comparable production processes in the production network and helps to share best practices between sites. With the Supply Chain Cockpit, resilience can be increased through a data-based design of the procurement strategy that enables to manage disruptions. By adapting the procurement strategy for example by choosing suppliers at different locations the impact of disruptions can be reduced. While the Supply Chain Cockpit focuses on the strategy and decisions that affect the external partners (e.g., suppliers), the Data-Driven Site Selection concentrates on determining the sites of the company-internal global production network by creating transparency in the decision process of site selections. Different external data from various sources are analyzed and visualized in an appropriate way to support the decision process. Finally, the issue of sustainability is also crucial for successful long-term production management. Thus, the Sustainable Footprint Design App presents an approach that takes into account key sustainability indicators for network design. [https://link.springer.com/referenceworkentry/10.1007/978-3-030-98062-7_15-1]
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.
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)
A large number of product-accompanying services in the machinery and plant engineering industry is based on the cross-company exchange of data and information. By providing services, additional sales potential on the manufacturer side as well as far-reaching product and process advantages for appliers can be reached. However, the necessary cross-company exchange of information is nowadays limited due to a lack of trust in the interacting partner and the applicable existing technologies, which results in significant losses in the terms of business potential. The uncovering of this potential now seems to be made possible by the use of the Blockchain technology. Through the key factors security, immutability, transparency and decentralisation, it serves as an enabler for cross-company communication and product-accompanying services. The technological implementation of a Blockchain can take on a broad spectrum of attributes, which can lead to decisive restrictions for the execution of services. This justifies the necessity for a qualified and context-related assessment of service-types-individual specifications and the resulting requirements on the system. Within the scope of this paper, different types of product-accompanying services are identified and analysed regarding their requirements for a Blockchain-based machinery and plant connection. This can serve as a basis for a qualified and goal-oriented configuration of the Blockchain.
Pricing for Smart-Product-Service-Systems in Subscription Business Models for Production Industries
(2021)
In the production industry, subscription business models have the potential to create long-term relationships where a supplier provides a continuous value-oriented service to a customer based on digitalisation. Monetising this increase in value through pricing represents a central challenge for suppliers in subscription business. Unlike the current dominant transactional business, the focus of pricing is on the value-in-use of the customer (e.g. on the increase in output for the customer). In this regard, there is so far no pricing approach for practice that allows the linking of the performance data of the customer with the periodically charged price. However, in subscription businesses, such an approach is required to create win-win situations for the customer and supplier through continuous performance improvement. Therefore, this paper develops a novel process model for pricing of smart-product-service-systems in subscription business for production industries. This process can serve as basis for suppliers of subscriptions in the production industry to align pricing with the created value-in-use. In the long term, this allows companies to systematically develop their pricing to monetise the potential of digitalisation.
Digital technologies have gained significant importance in the course of the 4th Industrial Revolution and these technologies are widely implemented, nowadays. However, it is necessary to bear in mind that an ill-considered use can quickly have a negative impact on the environment in which the technology is used. For more responsible and sustainable use, the regulation of digital technologies is therefore necessary today. Since the government is taking a very slow response, as the example of the AI Act shows, companies need to take action themselves today. In this context, one of the central questions for companies is: "Which digital technologies are relevant for manufacturing companies in terms of regulation? This paper conducted a quantitative Delphi study to answer this question. The results of the Delphi study are presented and evaluated within the framework of a data analysis. In addition, it will be discussed how to proceed with the results so that manufacturing companies can benefit from them. Furthermore, the paper contributes to the development of an AI platform in the German research project PAIRS by investigating the compliance relevance of artificial intelligence applications.
The Impact Of Manufacturing Execution Systems On The Digital Transformation Of Production Systems
(2021)
With the focus of manufacturing companies on the digital transformation, Manufacturing Execution Systems are market-ready, modular software solutions for manufacturing companies to integrate the value-adding and supporting processes horizontal and vertical in the company. Companies, especially small and mediumsized companies, face high internal and external costs for the implementation of the MES modules. An advantage of MES is the possibility to implement the systems in a continually, module-by-module approach, with the benefit of timely distributed investments. By realizing fast improvements, companies can use the benefits for further module implementations. This paper proposes a maturity model to measure the impact of an MES on the digital transformation of the company’s production systems. The model fulfils two purposes. The first, companies can measure the impact based on the difference between its current maturity index and the potential index of an implemented MES. The second is, the user can identify what impact an MES has in general on the digital transformation since the developed maturity model is derived from an established industry 4.0 maturity model. The development of the maturity model is based on the methodologies of AKKASOGLU and focuses on the further development of an established model. As an outlook, the application of the model will be described briefly. The proposed maturity model can directly be used by practitioners and offers implications for further development of MES functionalities.