一般社団法人インダストリアル・バリューチェーン・イニシアティブ

Data Ownership Studies through Field Examples:(1)Exchange of Work Progress Data in Made-to-order
Manufacturing

Advanced Study Groupon Data Sovereignty (ASG-22)
IVIJanuary 25th, 2024
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Table of Contents
1. Introduction: About this document
2. Exchange of Work Progress Data in Made-toorder manufacturing
3. Acknowledgements
4. Authors and Advanced Study Group Members(C) 2024. Industrial Value Chain Initiative2

1. Introduction: About this document
This document presents the discussions and deliberations of the Data
Sovereignty ASG, Advanced Study Group, regarding data ownership anddescription in specific examples.
The importance of data utilization in manufacturing is widely recognized,
and government measures such as Connected Industries are being
promoted, but the lack of accumulation of data contracting practices has
been identified as an issue.
In response, IVI organized the Data Ownership Committee in 2017 andbegan activities aimed at protecting the rights of shop floor data (IVI
named it “deep data”) in the IoT era. This committee was reorganized into
the Data Ownership ASG in 2018, which later became the Data Sovereignty
ASG in 2021 to develop and continue its activities.
In order to realize higher value in connected manufacturing in the IoT era,
it is important to be able to negotiate, judge, and realize ownership ofdeep data appropriately according to the business environment of eachcompany. This document is the result of discussions and examinations
conducted by the parties concerned, and is expected to contribute to theexpansion of recognition of data ownership, activation of discussions, andbetter realization of data ownership.
(C) 2024. Industrial Value Chain Initiative3

1. Introduction: About this document
To promote the utilization of deep data while protecting the rights of deepdata, IVI has conducted a hearing survey on the current status and issuesof data ownership and solutions for data transfers between companies, andhas published it as a white paper※.
※ IVI Data Ownership ASG “current status and issues of data ownership and solutions for”; Sept. 2019https://iv-i.org/downloads/whitepaper_asg/ (in Japanese only)

In addition to the above efforts, examples of data ownership studies in
specific cases are considered to be helpful for implementation by those incharge of the field. Therefore, this document presents the contents
discussed in the Data Sovereignty ASG, together with its description.
We hope that this document will be used as a reference for promoting
understanding of the concept of data ownership in the field, sharing
understanding with legal and intellectual property departments andinformation-related personnel, and considering and negotiating data
ownership and its implementation in data trading platforms whencompanies actually decide to exchange data in the field. We hope you willfind this document useful. Please note that this document is a summary ofthe discussions at the Data Sovereignty ASG and we are not responsible forany actions taken by users using this document.
(C) 2024. Industrial Value Chain Initiative4

2. Exchange of Work Progress Data in Made-to-order
Manufacturing
This section describes the results of the following two IVI‘s smart
manufacturing business scenario working group projects:✓ 6E02 "How to Connect for Mass Customization" and✓ 7E03 "Affordable data collaboration for small and medium-sized
manufacturing companies".
Reference:
IVI Open Symposium 2021 -Springhttps://iv-i.org/en/2021/02/28/english-announcement-of-ivi-open-symposium-2021-spring/
IVI Open Symposium 2022 -Springhttps://iv-i.org/en/2022/02/23/english-information-on-ivi-open-symposium-2022-spring/(C) 2024. Industrial Value Chain Initiative5

2.1 Target Situation
Target Sites：✓The target companies are Manufacturer A, a make-to-order manufacturing
company, and its component suppliers.
✓The supply chain is multi-tiered.
✓In some cases, Manufacturer A provides free-issue components /assemblies to its component supplier.
✓The manufactured product is a custom product with a delivery time ofmore than one year.
✓Forecasts are made with standard lead times, but there are no precise
estimates at the beginning.
✓Once a plan is established, each company makes adjustments torefine the plan.
✓It is not simply a matter of making products as quickly as possible (JustIn-Time:JIT may be preferred to overcome storage space issues).
✓The situation may change during the production process due to changes indelivery dates from final customer, tight supply of materials, and so on.

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2.1 Current Issue✓ Manufacturing progress information between companies and factories is not obtained in a timely
manner with good accuracy.

Chart of exchange; As-Is

Procure necessary
materials andmanage progressclient side
representative
I want you to make therequest with thecorrect drawings. Not
the old drawings thatare used all the time.

I would like to be
notified of any changes
in delivery dates orspecifications asappropriate.

Order quantity

Requirement
specification

There is information thatcannot be exchanged or isdifficult to exchange.

I need aquick answer.
Delivery date;client-side buffer

Number ofcompletions
Finished product

Delivery date

Contract
information

Delivery date;delay risk

Delivery date;
supplier-side buffer

Order data

Sales representativeon the supplier side
I need you todemand realistic
deadlines.

I have to use
different
systems.

Production management personnel
on the supplier side
Work progressinterim inventory
or materials

Number of interim
inventory or materials(C) 2024. Industrial Value Chain Initiative7

2.2 Exchange Data to overcome issues
Purpose of data exchange:✓Delivery date confirmation, i.e. which parts are to be shipped,
when and how many, in a timely and accurate manner. Supplierwants to know which parts are to be wanted, when and how many,in a timely and accurate manner.
✓Adjust production priorities.
✓Facilitate JIT supply of finished products, parts/materials and freeissued parts.
Data to be exchanged:✓Requirements, progress data and inventory data
✓Consider exchanging data between two companies forsimplification.

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2.2 Examples of data to be exchanged
Client company A

Supplier company B

Order data

person incharge ofordering

Number of order: 12345678-01-01
Item ID: ABCD-E1
Lot size: 1
Manufacturing process: “Material loaded, Start ofproduction, Production complete, Shipped out“
Delivery date: 2022/02/28 00:00:00
Order date: 2022/02/18 00:00:00

Sales
representative

Work Progress data
Order number: 12345678-01-01
Part number: ABCD-E1
Process number: 1
Process: ”Material loaded”
Process status: ”in preparation”
Planned quantity: 1
Actual quantity: 0
Planned delivery date: 01/22/2022 00:00:00
Actual delivery date: 01/22/2022 00:00:00
Requested delivery date: 02/28/2022 00:00:00

Productionmanagementpersonnel(C) 2024. Industrial Value Chain Initiative9

2.3 Considering data ownership
1. The data shall be referenced only by the two companies thattransfer the data (i.e., the received data shall not be provided toany other company). Since there are advantages or
disadvantages in narrowing or widening the reference range, thisstudy assumes a narrower case in order to reduce concerns* suchas use for other purposes in data sharing.
➢ If the scope of reference is narrow, the company's data will bereferenced only by those with whom it has a direct order-receipt
relationship, thereby reducing the risk that the company's orderstatus or production capacity will be guessed.
➢ If the reference range is wide, it is easier to infer the cause of
progress delays and to adjust production plans.
2. Immediate transmission of updated data shall not be committed.
3. The scope data exchange shall be determined by the twocompanies that exchange data.
* IVI data ownership ASG “Data Ownership Status, Challenges and Solutions “, Sept.
2019
https://iv-i.org/downloads/whitepaper_asg/(C) 2024. Industrial Value Chain Initiative10

2.3 Considering data ownership
Client company A
Product A001

Part A002

Supplier company B
Part A002

Part A003

Part B001
Part B002

Supplier company D

Material company C
Material C001

Client company A;
supplied part
Part A004

Part A003

Part D001

Person in charge of ordering at company A does:➢ enter order information of part A002 and A003
➢ receive and refer to the order progress of parts A002 and A003 from Company B and Company
D, respectively.
For example, if the process "material arrival" for part A002 is not completed beyond the scheduled
time, we can guess that "material arrival for part A002 is not in progress“; we can not guess
whether the arrival of parts B001 or B002 is in progress.
Sales representative and production management personnel at company B does:➢ refer to the order information for part A002.
➢ enter the order progress for part A002.
If Company A changes its delivery request for A002 due to a change in the delivery date ofproduct A001 or a delay in the progress of part A003, Company B can also adjust its priority forA002 production.
It is not possible to refer to the order progress of Company D; it is impossible to even know that
Company A has placed orders with Company D. The reverse is also true.
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5. Acknowledgements
We would like to express our sincere appreciation to themembers of the smart manufacturing scenario WG. Thesmart manufacturing scenario are the subject of ourstudy for the preparation of this documents.
Judging the quality of high-speed precision presswork✓WG 6E02 " How to Connect for Mass Customization "and✓WG 7E03 " Affordable data collaboration for small andmedium-sized manufacturing companies ".

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Authors and Members
Advanced Study Group Members as of January 25th, 2024
Tadamitsu Asaka, Ace of Advanced Connecting, Support member
Hideo Ikeda, KOBE STEEL, LTD., Full member; Vice chairperson
Haruyuki Ishikawa, Huawei Japan K.K., Full member
Nobuyuki Ogura, ogura consulting, Individual member
Kiyotaka Kawashima, EBARA CORPORATION, Full member
Tsuyoshi Kobayashi, Business Engineering Corporation, Support member
Hiroyoshi Sato, ADS Tech, Support member
Takaaki Tanaka, Okuma Corporation, Full member
Yasuyuki Nishioka, Hosei University, Academic member
Shinji Hirokado, Denkahimakukougyou Co., Ltd., Full member
Tomohiko Maeda, FUJITSU LIMITED, Full member
Yasuo Matsuoka, DPMS's, Full member
Toshiko Matsumoto, Hitachi Solutions, Ltd. Full member; Chairperson
Hiroshi Yamamoto, IHI Corporation, Full member
Yoko Yoshimoto, Mitsubishi UFJ Research and Consulting Co., Ltd.,
Contributing member(C) 2024. Industrial Value Chain Initiative13

About Trademarks
Company names, service names, and product names are trademarks orregistered trademarks of their respective companies.

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Data ownership and its description in specific examples
Publisher Industrial Value Chain Initiative
President Yasuhuki Nishioka
4-3-28-302 Kudan-kita, Chiyoda-ku, Tokyo 102-0073, Japan
Mail: office@iv-i.org
URL: https://iv-i.org
Date of publication

January 25th, 2024

List priceNot for sale

Reproduction or printing without permission of the publisher is prohibited.

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