© Siemens AG 2013. All rights reserved. Munich, January 21, 2013 The Future of Manufacturing Manufacturing redefines itself. Prof. Dr. Siegfried Russwurm

© Siemens AG 2013. All rights reserved.Munich, January 21, 2013

The Future of ManufacturingManufacturing redefines itself.

Prof. Dr. Siegfried RusswurmMember of the Managing Board of Siemens AG – CEO Industry Sector

Industry Sector

© Siemens AG 2013. All rights reserved.

January 21, 2013 Siegfried RusswurmPage 2

"Manifesto" video

Industry Sector



Industry worldwide: Facts and figures

Share of GDP: 16% 1)

Growth, gross value added p.a. 2) : 2.7% (advanced economies)7.4% (developing economies)

Share of exports: 70% 1)

Share of research & development: 77% 3)

One new job in industry creates two more jobs in other segments

1) 2010 2) from 2000 to 2007 3) 2008

Source: IHS Global Insight, Mc Kinsey Global Institute analysis

Industry Sector



Our markets are changing …

The merger of real and virtual production –

interlinking automation and drive technology with

industry software shortens time to market

Reduce time to market

Enhance flexibility

Need for higher flexibility drives increasing

importance ofindustrial IT and industry software.

Increase efficiency

Energy and resource efficiency

are decisive cost factors

Growing importance of manufacturingindustries in all economies

… and we are well prepared to make our customers more competitive… and we are well prepared to make our customers more competitive

Industry Sector


January 21, 2013 Siegfried RusswurmPage 5Page 5

The holistic view of the entire product development and production process …

1 Product design

2 Production planning

3 Production engineering

4 Production execution

5 Services

Intelligent networking

12

3 4 5

Use of most efficient technologies

… increases productivity and efficiency in the individual process steps

Industry Sector



1. Much faster development of product designs through the use of industry software

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11 Virtual development, planning and optimization with PLM software Dramatic reduction of development times with virtual prototypes Resource efficiency through virtual analysis of alternative designs

Industry Sector



PLM software accelerates design modifications

CAx chain (CAD/CAM/CAE) via NX for faster prototyping

Teamcenter for collaboration in a shared database

Virtual simulation, tests and optimization of components

Red Bull Racing

Development and production in just a few hours

Industry Sector



PLM software accelerates design modifications

Teamcenter

NX CAE & NX CAM

NX CAD

Complete 3D digital product design

Integrated simulation,analysis and manufacturing

Full lifecycle data management

Mars Rover

Industry Sector



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2. Simulated production planning with industry software speeds up time to market

Integration of PLM software and automation technology Complete simulation and optimization of production Savings in terms of time, resources and energy costs Up to 50% faster time to market

22

Industry Sector



"Virtual Machines" increase productivityby simulating the production process

Digital "twin" Simulated machining of a workpiece Evaluation of production times

10% increase in productivityin running operations

Up to 80% time savings in setting up the real machine

< 1% realtime deviation in Virtual Machine compared to the original

INDEX

Industry Sector



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Seamless communications between the individual systems Integrated, uniform access to all automation tasks Optimized operational, machine and process workflows

3. Cost savings through optimized workflows in production engineering

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Industry Sector



TIA Portal: One engineering tool for the whole range of automation tasks

SINAMICS G120 (F) *NEW

SINUMERIK

SIMOTION Next expansion stages

SIMATIC HMI Basic Panels Comfort Panels WinCC Runtime

SIMATIC Controller S7-300/400 (F) WinAC (F) S7-1200 S7-1500 (F) *NEW

SIMATIC NET Profibus Profinet IWLAN

Drive TechnologiesIndustry Automation

Standardized operating concept

Automatic data consistency

Intuitive – efficient – future-proof

TIA Portal

Industry Sector



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4. More efficient production through energy- and resource-saving components and solutions

Increased plant productivity and efficiency thanks to integrated automation solution, efficient motors, gears and converters

Maximum production performance and response Intelligent data linking for transparent control of production processes

44

Industry Sector



Innovative drive systems save up to 70% on energy

Drive technology accounts for about two-thirds of industrial energy consumption

Interworking of all components

Efficiency in the drive train starts with the motor

Up to 70% lower energy consumption with variable-speed drive systems

Industry Sector



Greater transparency in production

The Dashboard provides graphical display of energy amounts and costs in clear tabular form

Energycontrolling

Monitoringand reporting

Emission monitoring

Energy billing

Energy/raw material accounting

Link to external systems

Energy reporting

Energy purchas-ing

Forecasts

Energy roadmap

Energyplanning & acquisition

Industry Sector



Efficient and flexible production processes withintegrated automation and drive solutions

Production around the clock,365 days a year

Visualization and controlof 3,000 measuring points

Integrated, plant-wide automation solution

Modern energy management

Innovative heat recovery system

f | glass

With heat recovery, the company produces 60% of the power it needs for glass production

About 50% in energy savings with frequency-regulated drives

Industry Sector



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5. Services through the entire lifecycle build on data from previous process steps

Product-, system- and application-related services through the entire lifecycle based on vertical-market and process know-how

Less downtime and use of resources Higher productivity and efficiency combined with lower overall costs

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Industry Sector



Projection (2006): Mechanical and control design will converge in the next 10 years

PLM software vendors(UGS, Dassault Systèmes, PTC)

PLC software and hardware vendors(Siemens, Rockwell, Schneider)

Long term>10 years PLC

OperationIntegrated Mechanical and Automation & Control Design PLC

codeconverter

Mid- term

Mechanical Design Operation

PLC

Control DesignAutomation Designer

Today (2006)

PLC

Mechanical Design Automation and Control Design Operation

UGS acqui-sition

UGS acqui-sition

20072007

20132013

Today, Siemens PLM Software has over 71,000 customersand about seven million licensed users

Industry Sector



Targeted acquisitions in the growth market for industrial IT and industry software

2009

Discrete manu-facturing

Process industry

Pharma-ceutical and biotech industries

Production of composite materials

Across vertical market lines

Across vertical market lines

Discrete manu-facturing, automo-tive

Various industries

Sept.2011

Jan.2012

Nov. 2011

Feb.2012

Sept.2012

Oct.2012

Nov.2012

automotive, aerospace, and other industries

2007

PLM software

Integratedplant mgmt.

MES software

CAD design software

Industrial communi-cations and network solutions

Industrial quality and pro-ductionmgmt.

Product cost man-agement software

Computer-aided motion software

Test and mecha-tronic simulationsoftware

Date of announcement

Industry Sector



Innovative software systems open up new perspectives for production technology

TomorrowTodayYesterday The future

Optimization of the entire production process with innovative software systems

Communication-aided automation

Local automation technology

Self-optimizationof cyber-physicalsystems, basedon analysis of virtual models of options


Thank you!

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© Siemens AG 2013. All rights reserved. Munich, January 21, 2013 The Future of Manufacturing Manufacturing redefines itself. Prof. Dr. Siegfried Russwurm