INDUSTRY 4.0 is a hot topic these days. However, not many understand what it means and how it will benefit the nation.
The term Industry 4.0 is the intervention of automation and machinery through smart systems using machine learning and artificial intelligence.
Technically, automation and computer interference are in Industry 3.0, creating new market opportunities in the process.
Simply put, Industry 4.0 is where industry players let computers connect and communicate with each other to finally make decisions without human involvement. The combination of Internet of Things (IoT) and Internet of Systems makes it possible and makes smart factories a reality.
Energy management and automation company France-based Schneider Electric is at the fore front in taking organisations in Asia on their first step towards IoT.
Schneider Electric has two smart factories in the region, namely Indonesia and the Philippines while factories in Thailand and Vietnam are undergoing similar upgrades.
To date, the company has 40 smart factories worldwide.
WORKING SMART
Like many manufacturing facilities, equipment downtime can have a detrimental effect on operations and loss of materials.
At Schneider Electric’s smart factory in Batam, Indonesia, scores of smart sensors are used to transmit data at every step of the production line.
Schneider Electric utilises EcoStruxure solutions, its own IoT-enabled, plug-andplay, open, interoperable architecture and platform.
These solutions include EcoStruxure Machine, EcoStruxure Power and EcoStruxure Building.
EcoStruxure provides more value in terms of security, reliability, efficiency, durability and connectivity.
The solution leverages advancements in IoT, mobility, sensing, cloud, analytics and cybersecurity technologies to deliver innovation at every level, from connected products to analytics and application services, through edge controls.
Schneider Electric Indonesia Country President Xavier Denoly says Batam’s implementation of the EcoStruxure solutions has led to between five and seven per cent energy efficiency, reductionofproductionscrapby46percentandincreasedproductivity by about 17 per cent.
“We strongly believe in the value of smart factories and ensure our factories are equipped with the latest IIoT technologies to spearhead Industry 4.0. Our smart factory in Batam is a test bed for machine learning, AI, predictive and digital maintenance, connected machines and processes.
“The integration of big data, cloud and IoT technology will pave the way for organisations in Asia to work towards their smart factory vision, become more energy efficient and sustainable in the long term.”
Utilising cutting-edge technology, Schneider Electric’s Batam smart factory is both a working factory and a showcase for customers and partners to witness how digital transformation can help them make informed, data-driven decisions that bring about improved profitability, asset management performance, operational efficiency and a smarter productive workforce while keeping the operations secure, agile and environmentally sustainable.
The smart factory in Batam has become an IoT showcase for companies in Asia, proving to its customers and partners that it is easy to get started on their digitisation journey.
More than 150 customers and partners from Indonesia, China, Singapore, Vietnam, Malaysia, Myanmar and the Middle East have visited the factory since it began its digital journey in 2017.
BENEFITS OF DIGITISATION
According to its Digital Transformation senior manager, Fadli Hamsani, digitisation unlocks a new level of benefits, helping companies go from reactive to proactive, from on-site to mobile and remote, site by site to enterprise, and limited to a new scale of computing and artificial intelligence.
By integrating innovative technologies,
IT solutions, and data analytics into manufacturing operations, digitisation helps companies reduce unscheduled downtime and maintenance costs.
Predictive analytics can be used to forecast and diagnose problems before they occur, using advanced pattern recognition and machine learning.
“Besides that, thanks to the use of virtual reality goggles, maintenance workers can work through the process of fixing faulty machinery with the supervision of person in-charge remotely. The headset is also used for learning through our e-modules,” he says.
At a unit level, internal quality checks for plant equipment can also be made by employees in real-time. Managers can now operate remotely with better visibility of plant operations without having to be on-site and being relieved of the need to prepare weekly reports.
Batam’s smart factory also utilises augmented reality where upon receiving an alert on its dedicated tablet, a maintenance worker can identify the point of interest without coming into contact with the machine. The worker can then press on the error notification and procedures as well as fixing guide will be prompted on the screen.
CHALLENGES
For Schneider Electric, its biggest challenge in the transformation into a smart factory is the workforce skillset.
Supply Chain Performance East Asia Japan Pacific vice-president Sirichai Chongchintaraksa also dispelled the perception that the company will be cutting its manpower.
“Smart factories need smart workers. Therefore companies need to go beyond digitising their plant operations and invest in their talent to equip them with more knowledge.
“When employees are upskilled, they become more competent and focus their energy on strategic works that create new opportunities for the business rather than spending time on repeated tasks.”
Denoly adds that the problem is not that traditional jobs are disappearing therefore people are going to be laid off but because it involves a lot of bureaucratic and administrative processes.
“The job scope is now changing, and the challenge for all is to follow that change.
It’s about intelligent decision-making and willingness to change the way of thinking, only then companies can fully leverage the benefits of smart factories.”
AHEAD OF THE GAME
Schneider Electric Batam smart factory was recently acknowledged as a “lighthouse” to drive Indonesia’s Industry 4.0 implementation.
As a role model, Schneider Electric Batam will provide a more real picture for industry players in Indonesia regarding the process of industrial digital transformation journey and its benefits for business.
“Empowering local competencies and nurturing talents are also key success factors in Batam factory’s digital transformation. The Schneider Electric team in Batam has successfully designed, developed, tested and deployed several digital solutions across the company’s global manufacturing network.
“Moreover since 2017, Schneider Electric has provided vocational students and Batam Polytechnic students opportunities to participate in developing Batam’s Smart Factory applications through its Digital Internship Programme, says Denoly.
In Batam, Schneider Electric employs 2,900 people across its network of plants manufacturing a wide range of products which are distributed globally. The three sites have also been certified with international standards ISO 9001, ISO 14001 and OHSAS 18001.