Partnering to Drive Interoperability and Harmonization

John Dyck, CEO CESMIIOctober 13 2021

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mission. strategy. role.
Driving the next wave of manufacturing productivity,
energy productivity, sustainability and competitivenessthrough smart manufacturing innovation.

2017$140M+

Founded by
the D.O.E.

Private/public
partnership over
5 year periodHow.

CESMII represents thevoice of manufacturing;
engaging the smart
manufacturing ecosystemthrough a membership model

Improve Energy
Productivity throughSensing, Control,
Modeling, Analytics &Platform Technologies

Fund the Innovation and R&D necessary todramatically reduce the cost & complexity ofusing real time data from operations to drive
revenue & cost improvements and generate
cash.

Copyright ©©2021- All
RightsReserved.
Copyright
2021CESMIICESMII- All
RightsReserved.

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CESMII Vision: Smart Manufacturing by 2030•

15% improvement in energy efficiency in first-of-a-kind demonstrations at
manufacturing plants or of major processes within 5 years•

50% reduction in cost and time to deploy SM in existing processes within 5 years•

Significant industry adoption of SM technology within 5 years•

Sustainable portfolio of business, technology, research and development, andworkforce development activities that directly replaces initial Federal funding
within 6 years•

50% improvement in energy productivity within 10 years

CESMII Execution Strategy:
Accelerate the
Democratization of

Smart Manufacturing

CESMII Roadmap:
SM Investments will drive:•

Financial, material, laborand energy productivity•

Economic & environmental
sustainability•

Agile and resilient supply
chainsCopyright © 2021 CESMII - All Rights Reserved.

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Increase

Manufacturingbusiness outcomes

unchanged
for decades

Assumption

QualityThroughput/Yield
Compliance
Safety• Digital
Transformation• Industry 4.0• IIoT• Analytics

Decrease…will create
significant new value
for manufacturing($3.8 Trillion)

Cost
Complexity
Time to Value
Risk

BUT…
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Enterprise
Systems

The Legacy ofIndustry 3.0…significant
headwinds forSM
Islands of Information,
enormous complexity
preventing manufacturers
from innovating…

Logistics*

Quality*

Production*

Maintenance*

Management*

Environmental Systems

Campaigns

Production Monitoring

Tool Monitoring

Information Portal

Metrics (DTD, BTS)

Shipping – Error Proofing

Downtime Analysis

Predictive

Energy/Building Mgmt

Shipping

External Metrics

Production Counts

Preventive

Cost Management

Container Tracking

Internal Metrics

Constraint ID & Analysis

Crisis

Policy Deployment

Lot Tracking

Traceability

Schedule Execution/

Reliability & MaintenanceBest Practice

Rack Tagging

Error Proofing

Hit to Hit

Downtime Analysis

Timekeeping

Raw Mat Ordering & Inv

Defect Tracking

Process Control Boards

Fluid Tracking

Metrics for Workforce

Dock Inventory

SPC

Dock Inventory

Programmable Dev Supp

Issues Management

Schedule Optimization

Repair Bay OI

Process Sheets

Plant Design & Layout

Production Log

Inventory Control

Quarantine

Manual Production CountDie Re-Chroming

Knowledge Management

Line Side Replenishment

Scrap & Reject Reporting

Cycle Time Analysis

Part Consumption

Birth History

Sequencing

Training*many more non-sanctioned (Shadow-IT) systems
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5‘Hidden’ Costs of Manufacturing Systems Implementation
A significant barrier to the adoption of SM/digital transformation – for all manufacturers

SM solutions at scale are
justifiable primarily by large
manufacturers

SM solutions don’t
scale down well to small
and medium plants$25k
ComputeLegacy On Premise
$15k*

2021

$25k

Enterprise roll-outs
almost always stallNo economy of scale –from Site 1 to Site N$75k
Infrastructure & Networking$150k
System Implementation$50k
LicenseCostly, Complex & Legacy

Start From a ‘Blank Slate’ Every Time (little/no reusability)

Value Creation

$50k

$10k

5G, Low cost Crowd-Sourcing SME SM
Edge
Cloud comms, sensors… Defacto Standards
Profiles$50k

Value Creation

50% cost reduction…and accelerated time to implementation

Outcome: Significant re-usability creates economies of scale, lower barrier-to-entry
Implementations become justifiable for small/medium plants & businesses
Copyright © 2021 CESMII - All Rights Reserved.

SME’s struggle tojustify SM Solutions$300k (6X License)
Proprietary, Stove-pipe$150k (3X License)
Open, Interoperable, SM

Democratization
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State of the Industry 2021

Productivity, Value

Today

98% of the Industry is still ‘stuck’in the 3rd Industrial Revolution

Current Trajectory

2011
Fourth Industrial
Revolution
1969
Third Industrial
Revolution
1870
Second Industrial
Revolution
1784
First Industrial
Revolution

Electronics and IT started toautomate production

The Division of labor andelectric energy enabled mass
production

Mechanical production
equipment was driven bywater and steam

Cyber-physical systems
enable seamless
interconnectivity

Proprietary, Closed+ No Interoperability+ Data Locked in Each Application (Silo)+ Vendor Lock-in+ No Application Portability+ Difficult to Scale (Up & Down)+ Implementation Risk

= High Complexity & CostTime

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The Future of Manufacturing
The 3rd Industrial Revolution

The 4th Industrial Revolution

Proprietary, Closed+ No Interoperability+ Each Application is a Data Silo
+ Vendor Lock-in+ No Application Portability+ Difficult to Scale – Up or Down
+ Implementation Risk

Interoperable & Open+ Sustainable & Energy Efficient+ Secure+ Scalable+ Resilient & Orchestrated+ Flat & Real Time
+ Proactive & Semi-Autonomous

CESMII Strategies – Bridging the Digital Divide
Defacto Standards, Technology Foundations, Training, Cultural Transformation= Democratization of SM

Industry 3.0

Industry X.0

F1000 Market Majority

F1000 Early Adopters

SMM’sConstrained by the Massive Cost &Complexity of Sustaining Existing
Systems (Innovating at the
Speed of the Vendor Ecosystem)

Diverging From the
Vendor Ecosystem;(Can Afford to Build Their
Own Infrastructure & Apps)

Innovating But
Without Significant
Investment in I3.0
(Ready for I4.0)

Proprietary Infrastructure, Behaviors
Each Vendor Requires Each Client to Build a Proprietary Information Model for Each
Asset, for Each Product and Each Application

TODAY= High Complexity & Cost

DIGITAL DIVIDE(The Chasm)

Industry 4.0
Broad Industry Adoption

SM Democratized

All Stakeholder Groups
Engaged,Interoperability to Enable
Industrial Plug & Play

Accessible by ALL Manufacturers;
Data Collection & Contextualizationis Commoditized;
SM is Manufacturing

Defacto Standards, Data-Driven Cultures
Information Models & Portable Apps via SM Marketplace
Smart Manufacturing First Principles & Knowledge

Understand The Patterns And Behaviors That Led To Your Existing System Complexities (Industry 3.0)
Invest In Smart Manufacturing Capabilities That Are Consistent With Your Vision For 2030 (Industry 4.0)
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Smart Manufacturing First Principles™
A Collaborative & Open Ecosystem + Data & Application Interoperability + Data Model Reusability + Solution Portability = Democratization

Interoperable & Open - enabling a connected ecosystem of devices, systems, people, services, and partners
communicating in a natural yet structured manner. Smart Manufacturing works across on-premise, edge
and cloud computing platforms, exchanging information with broad adoption of integration standards andAPIs that enable application portability and multi-vendor plug and play solutions. AND…

Interoperable,
Open

Proactive,
Semi-Autonomous

Sustainable & Energy Efficient - through processes and systems that optimize use of resources, minimize
negative environmental impacts, and maximize positive socio-economic outcomes. AND…

Sustainable,
EnergyEfficient

Flat,
Real-time

Secure - providing broad, secure connectivity among devices, processes, people, and businesses in theecosystem, securing data integrity, protecting intellectual property, shielding against cyberattacks, andmaintaining business continuity. AND…
Scalable - across all functions, facilities and the entire value chain with cost and performance growing
linearly—instead of exponentially—as load and complexities increase. Systems and resources are added,
modified, or removed with ease to accommodate changing demands. AND…

Resilient,Orchestrated

SecureResilient & Orchestrated - adapting to schedule and product changes with minimal intervention, easyreconfiguration, and optimized process and material flows. Smart Manufacturing is quick to react tochanges in demand, resilient to disruption and capable of maintaining business continuity throughadaptability, modularity, and minimal redundancy. AND…
Flat & Real Time – with resources and processes digitally integrated, monitored, and continuously evaluatedfor near real-time insights across a flattened organization structure and value chain with more autonomy
and faster decentralized decisions. AND…

Scalable

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Proactive & Semi-Autonomous - moving beyond static dashboards and reporting practices to proactive
predictive and semi-autonomous processes that act on insights triggering automated decisions on routine
situations and personnel intervention on non-routine situations.

9How can CESMII
realistically impact thisentire ecosystem?
Copyright © 2021 CESMII - All Rights Reserved.

10Strategies that enhance the business models
for each of the stakeholders in this ecosystem

Enabling technologies…
SMIP, SM Profiles,
Marketplace, Tools

National SM Learning
Infrastructure to equip
the entire SM ecosystem

National SM ecosystemengagement for ALL
manufacturers

Vendor-neutral
collaboration framework& standards advocacy

Direct, broad and significant impact on Manufacturing & Energy Productivity*ASCPM = Advanced Sensors, Controls, Platform & Modelling for Manufacturing

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Enabling Technology: The SM Profile
Creating Interoperability & Crowd-Sourcing Manufacturing Domain Expertise
Profile Designer™
Web-based Configuration
Tool to Build SM Profiles
Data Required for Robot Performance& Predictive Maintenance Profile

SM Infrastructure
Profiles, Apps,
Knowledge

SM Solutions
Apps, ML/AI,
Solutions

SM Marketplace
SM Profile Library

Robot Profile

Robot PM App
SM Skill & Knowledge Exchange
SM Profile Designer
SM Platform
SM Apps, Tools, Models, etc.

Build/train a
PM AppCopyright © 2021 CESMII - All Rights Reserved.

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Enabling Technology: A Bold Vision for Smart Manufacturing
The SM Innovation Platform – Our Implementation of the CESMII SM Specifications
Standards-Based Openness, Interoperability
Platforms& AppsSAP IBM SAS
IoT Platforms & Apps

SAP IBM SAS

SAP IBM SAS Etc.

Etc.

1

AI Engines

Workflow

2

3

Etc.

New Apps/Innovations

SAP IBM SAS Etc.

SAP IBM SAS

PLM Integration

Enterprise Integration

Etc.

API
----SM
ProfileInteroperability Standard (Defacto) for Smart Manufacturing
SM Innovation
Platform

SM Profile-Based API
SM Profile-Based Data Ingestion & Contextualization
SM Profile-Based Workflow Orchestration
SM
ProfileSM Edge – Connect, Ingest, Buffer… (OSI, OPC, CIP, MQTT…)

SM Edge

SM
ProfileUnstructured Data

Smart Devices

Audio

C/T Sensor

Human Input

Automation Systems

Manufacturing Software Systems

Manufacturing
Operations
Video

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VFD

Wearable

Manual Data

Robot

Machine Tool

PLC

DCS

DB/Historian

HMI/SCADA Mfg Software

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National Presence – CESMII’s Current Network
Engage Manufacturing & Supply Chains where they are - local presence, test beds, training…

•

SMIC Industry/Technology Focus Areas

Aligned around Industry Segments or
Technology Verticals•

A World-Class Network of Manufacturing
Assets Connected to our SM Innovation
Platform•

Academia or Industry Partners

HQ & SM Innovation Center
SM Innovation Centers
SMIC Satellites
Other SMICs or Satellites (directional)

Existing SMICs••••

NCSU – Pulp/Paper, Nonwoven, Bio Mfg
TAMU – Energy (O&G)
UCLA – AI/ML for Mfg
RPI – Advanced Mfg, Pharma

RPI

New SMIC RFP Focus

UCLA

•
•
•
•
•
•
•
•
•
•

MetalsRobotics
SMMs
Automotive
Food & Beverage
Consumer Packaged Goods
Chemical Processing & Refining
Pharmaceutical Mfg
Semiconductor
New Enabling Tech (5G, AI/ML, sensors)

NC
SU

TAM

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Ecosystem and Workforce SM Education - Goals
Support a national manufacturing learning infrastructure &drive competitiveness throughbroad-scale adoption of Smart Manufacturing anddevelopment of SM Skilled Workforce and SM Professionals•

Engage at scale

Virtual – regional – national•

Deliver formal and informal education
Social, expert networks, collaboration,
crowdsourced examples, and knowledgebase
SM curriculum and SM learning systems•

Address entire SM ecosystemStudents, manufacturers, technology providers,
professional practitioners, and industry leaders•

Offer access to educational content and tools on
best practices and methodologies•

Scale national pool of SM Workforce and SM Professionals•

Champion innovation through education!

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Ecosystem and Workforce SM Education – Content Framework
Educational Areas of Focus
I. Framing the Smart Manufacturing Journey and Business Strategy
SM trends, SM overview and concepts,
SM business readiness assessment, roadmap, competitiveness, transformation

CESMII Focus Areas

II. Smart Manufacturing Cultural & Technological Transformation
The SM Landscape, SM benchmarks, SM Readiness, SM Roadmaps
SM Business Impact, Value and Justification
SM for Sustainability and Energy Efficiency, SM for a Resilient Supply Chain
SM Mfg Process Overview, SM and Manufacturing Functional Disciplines

Audiences
Business Execs,
Plant, Operations and IT
Leaders, Consultants

SM Skilled Workforce,Engineers, Technicians,
Operators, Students

SM Professionals,
Technology Vendors,
System Integrators

Extended Education andTransformational Services
Knowledge Sharing
Community and Web Series
Educational Workshops
eLearning and Videos on SM
Concepts and Methods

III. Smart Manufacturing Orchestration, Analytics & Connectivity
OT/IT Fundamentals, Factory Apps and Enterprise Systems
Augmented Connected Workforce, Analytics/Metrics, Data Lakes
ML/AI at the Edge and Cloud, Platform Infrastructure, Data Exchange Stds
Workflow, Control, Process Modeling, Sensing, Ingestion
Data Profiles, Data Modeling, Industrial Security Practices

IV. Smart Manufacturing Secured Infrastructure & Technologies
Advanced Manufacturing, Additive/Subtractive, Smart Machines
Robotics, Cloud and Edge Computing, Cyber-Security Infrastructure

Education and Workforce
Development Projects
SM Learning Centerswith SM Learning Systems
Foundational eLearning andVideos on Platform
Extended eLearning andVideos on Technology

16Ecosystem and Workforce SM Education – Plan
Business Transformation Tools and Services for SM
Ecosystem• CESMII Recognized Tools for: Assessments,
Roadmaps, Value Justification, Solution
Architecture, etc.
• CESMII recognized program for System
Integrators, Consultants, Education Programs• SM Acceleration Services offered through CESMII
and performed by CESMII Recognized partners

SM Knowledge and Education for Members• CESMII Member Knowledge Portal• Education Catalog of Knowledge Resources• Development and license of knowledge resources• Knowledge Sharing Web Series• eLearning• Learning Management System (LMS)• Development and license of eLearning courses• Instructor-Led education• Catalog of CESMII Endorsed SM Courses from our educator network• Instructor/Facilitator-Led Workshops at CESMII HQ and SMICs
Copyright © 2020 CESMII - All Rights Reserved.

SM Education Resources for Educators• National SM Educator Network engaged in SM education
innovation including SM curriculum development• SM Education Resources Repository• SM education modules to enhance upskilling andeducation programs• Catalog of SM Use Cases and Examples• Hands-on education tools including Datasets for SM
Exercises and SM Learning Systems combining
hardware, software and curriculumPartnering to Harmonize US & Global SM Strategies• US - Japan Partnership on Smart
Manufacturing• US - German Partnership on Smart
Manufacturing• Active Working Groups••••

Standardization Efforts
Skills & Training
Testbeds
Covid-19 Response

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Engage with us!

Democratizing SMART MANUFACTURING

info@cesmii.org
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www.cesmii.org
www.cesmii.org

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