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Dr. Josef Waltl, Global Segment Lead - Industrial Software
Amazon Web Services
The future of Industrial SoftwareThe art of the possible
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
The future of Industrial SoftwareHANNOVER MESSE 2018
• What is Industrial Software?
• What is the challenge for application of Cloud
in industrial applications?
• How do Customer’s and ISV’s see the motion
to the cloud?
• How can customers take advantage of the
AWS Industrial Software Community?
Q U E S T I O N S
A N S W E R E D
I N T H I S
TA L K
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
What is Industrial Software?
Product Design Production Design Production
Planning Engineering
7 Manufacturing1 Mechanical Computer-Aided Design (CAD)
2 Mechanical Computer-Aided Eng. (CAE)
6 Mechanical Computer-Aided Manufacturing
4 Collaborative Product Data Management (cPDM)
3 Other Engineering (e.g. Civil)
5 Production planning
8 Enterprise Asset Management
9 Logistics
Operations
7 Manufacturing
8 Enterprise Asset Management IIoT
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https://community.plm.automation.siemens.com/t5/NX-Design-Blog/Hackrod-Challenges-Traditional-Manufacturing-with-NX/ba-p/477061
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
• What is Industrial Software?
• What is the challenge for application of Cloud
in industrial applications?
• How do Customer’s and ISV’s see the motion
to the cloud?
• How can customers take advantage of the
AWS Industrial Software Community?
Q U E S T I O N S
A N S W E R E D
I N T H I S
TA L K
The future of Industrial SoftwareHANNOVER MESSE 2018
Where do we
stand Today?
Industrial software needs integration with the field level to
maximize value
Digital twin with Bill of Material / Bill of Processes
Digital twin of status of assets – Manufacturing Optimization Management, Industrial IoT
We can generate significant value with current technology
Source: IFS
Increased market dynamics imply challengesfor manufacturers
• Automation still growing, growing, growing, …
• On-demand manufacturing and supplier collaboration
• All digital product designs (closed loop engineering)
• Data centric production innovation along the full lifecycle
• CustomizationSophisticated customers demanding products that are customized to meet their needs
• Speed / Economic pressureNew products need to immediately hit the market
• VolatilityIncreased market dynamics lead to fluctuation in production demands
Market observations Implications for manufacturers
On-premises
requirement
• Uptime
• Intermittent connectivity
• Pre-internet machinery
Next step will be IT/OT integration via edge computing
Digital twin of status of assets – Manufacturing Optimization Management, Industrial IoT
Operation
Technology
• High lead time to value digital twin for production code
• Time critical processes real time control
• Mass data, low bandwidth pre processing
• Limited compute on field level use of unlimited cloud resources
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Take the l inear steps to product ion …
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…combine them with data . . .
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…become a cyc le
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Data
AI
Humans
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Data
AI
Humans
EDGE
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• What is Industrial Software?
• What is the challenge for application of Cloud
in industrial applications?
• How do Customer’s and ISV’s see the motion
to the cloud?
• How can customers take advantage of the
AWS Industrial Software Community?
Q U E S T I O N S
A N S W E R E D
I N T H I S
TA L K
The future of Industrial SoftwareHANNOVER MESSE 2018
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Both, Customers and ISV’s operate hypothesis on adoption
– what does data say?
Quantitative IDC Study
• 100 Customers
• 30 Industrial Software ISVs
• Evenly split US/Germany
Independent Software VendorIndustrial Customer
?
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Industrial Customer - Findings
• CAD, CPDM, Demand planning & Forceasting, SCM Planning and MOM Quality have
the highest cloud propensity
• IT benefits: disaster recovery and security
• Business benefits: Increased utilization, fostered collaboration, application access and
3rdparty onboarding
• 54%+ consider 3 years as a viable ROI for cloud
• GOOD NEWS: barriers intensity is Iower than the benefits intensity
• Procurement barriers: Germany: ROI not demonstrable. US: Security and lack of
demonstrable knowledge
• Deployment barriers: Network infrastructure, IT governance issues and privacy, with
US companies very sensitive to cost
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Industrial Software ISVs – Findings: Product
• Cloud is very relevant for CPDM; for most of other apps, is a nice to have
• 32% of IVSs companies buy on premise
• 44% deploy lift & shift
• 23% buy cloud native applications
• ISVs tend to favor a combination of both license-based software and usage-based,
whereas they see their customers to be more prone to a “one size fits all” approach
• Key drivers: disaster recovery and security are the biggest drivers
• Business benefits: Easy integration with other business applications. Easy updates,
CAPEX/OPEX shift and energy saving
67%
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Industrial Software ISVs – Findings: Sales
• GOOD NEWS: barriers intensity is Iower than the benefits intensity
• Sales barriers: Reliability concerns and lack of business user buy-in
• Deployment barriers: IT governance issues and privacy, security and unfeasibility on
opex business models
• IT department is the main customer with the support of LOBs
• Key perceived selection criteria from ISVs are data security, and compliance to
regulations
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Q U E S T I O N S
A N S W E R E D
I N T H I S
TA L K
• What is Industrial Software?
• What is the challenge for application of Cloud
in industrial applications?
• How do Customer’s and ISV’s see the motion
to the cloud?
• How can customers take advantage of the
AWS Industrial Software Community?
The future of Industrial SoftwareHANNOVER MESSE 2018
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Industrial Software APN Partners for Product Design & Production
CAD Product Design CAE Product Design Production Design Line Design Factory Layout
Intosite
Customers Examples:
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Industrial Software partners for Production / Operations
Industrial Automation SCADA MES IIoT Enterprise Systems
* Via session
Source: AWS Industrial Software Segment Team
*
Customers Examples:
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AWS Industrial Software CompetencyLaunch Pre-announcement
AWS Industrial Software Competency Partners provide an
end-to-end toolchain for product design, production design,
and production/operations on AWS.
AWS Industrial Software Competency Technology
• Product Design (CAD, CAE)
• Production Design (Production planning, 3D Design for
Process Industries, Production Layout)
• Production/Operations (Industrial IoT, MES/MOM, Asset
Management, Logistics)
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
• Trusted AWS Partner Network Partner (APN) Program
• Shortlists highly specialized Partners by Solution,
Industry, or Workloads
• Connects customers with APN Partners that have
demonstrated technical expertise through rigorous
technical validation and proven customer success
AWS Competency Program Global AWS Partner Network (APN) Program
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
AWS Industrial Software CompetencyPre-qualified Partners
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Coming this summer!
If you are an AWS Partner Network Partner and want to learn more?
go.awspartner.com/industrial-software-interest
AWS Industrial Software Competency
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
• Market demands drives integration along the value
chain and IT/OT
• Edge computing will drive a “software defined”
automation layer
• Adoption barriers decrease, 67% of customers show
affinity to purchase cloud enabled Industrial Software
solutions
• The AWS Industrial Software community delivers an
end-to-end toolchain in the cloud today, AWS
Competency Partners lead the pack
The future of Industrial SoftwareHANNOVER MESSE 2018
Q U E S T I O N S
A N S W E R E D
I N T H I S
TA L K
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Thank you!Please contact us.
© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.© 2018, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
Dr. Josef Waltl
Global Segment Lead – Industrial Software
+49 176 19 17 4114