ARC European Industry Forum 2024

Summary

Dusseldorf, Germany - March 2024 - ARC’s European Industry Forum is part of our successful series of worldwide conferences in Europe, America and Asia. The next European Forum will be held in Sitges (Barcelona), Spain on May 6-8, 2024 and focus on “Managing Digital Transformation in the Age of AI, Open Architectures and Sustainability." Participants are invited to attend exclusive presentations and workshops on strategies and case studies from the digital front lines.

Florian Güldner, general manager of ARC Europe, remarked: “Change and transformation accelerate in times of rising pressure and currently, our societies and industries experience a great deal of pressure. Sustainability is one of the main topics, pushed by high energy prices and the growing number of regulations. The scarcity of labor amplifies the need for remote operations and a move towards more autonomous production. These high level trends require new technologies, concepts, and equipment - from the plant floor to the ERP-level. Join us at ARC’s annual European Industry Forum to learn more about use cases, strategies and technologies, while discovering what your peers and industry leaders are doing today and what steps they are taking to prepare for the future.”

ARC industry analysts and other experts from the end user and supplier communities will analyze and discuss trends and drivers for hot industry topics, including:

AI and machine learning

Generative AI and Artificial Intelligence in general are hot topics in all areas of life, not just in the industrial sector. While there is a lot of excitement surrounding AI, it is common for some industry players to overhype its capabilities, while others remain skeptical and highlight potential challenges.

To have a more realistic understanding of the potential and limitations of AI in automation, it is important to consider multiple perspectives. In our workshop end users, technology providers and machine builders will discuss the current state of AI technology and its growing role in automation. The possibilities of AI in control systems, required resources and limitations of AI, the utilization of edge and cloud platforms as well as an outlook on future possibilities will also be part of the discussions and presentations.

Asset management

In new plants and installations, the application of digital solutions has become the obvious choice. Gaining and processing data from the field device through all the layers of the automation pyramid up to the ERP level is the gold standard for production. But what about the vast majority of existing installations? In brownfield plants, with their plethora of legacy devices, systems and software, of varying ages and connected by multiple protocols, guided by established policies and methods, managing all assets is a challenge. The solution needs to consider technologies and investments but especially needs an effective change management, as the success of any transformation depends heavily on the acceptance and support of the people involved.

Cybersecurity

How APL is changing Industrial OT security
Network convergence in production system is an increasing trend in automation. The unification of networks yields a seamless network structure, simplified supervision and reduced training effort. It also supports the vertical integration of the plant, making accurate and time stamped data available to e.g. asset management systems, and AI applications. The Ethernet-Advanced Physical Layer (Ethernet-APL) is one piece of the puzzle for such a converged network.

Yet, the converged, flat network leads to an increased attack surface. Field devices with Ethernet interfaces only have a small footprint with respect to memory sized and computing power. This could make them the target of cyber-attacks. The presentation will address the application of Ethernet-APL as well as the OT-security aspect of such a network.

Cyber Resilience Act (CRA) and Network and Information Security2 (NIS2)
The Cyber Resilience Act (CRA) and the Network and Information Security2 (NIS2) directive are significant legislative measures introduced by the European Union to enhance the cybersecurity of critical infrastructure and other components with digital elements. However, we will focus our discussion on automation systems in the critical infrastructure. All 27 EU member states will have to incorporate the NIS2 directive new obligations in their national laws this year. The CRA on the other hand is valid immediately and without national legislation. The workshop will discuss the impact on critical infrastructure in Europe and the resulting obligations for critical infrastructure operators and automation system suppliers.

Digital services

In this session, we will explore the role of digital transformation in the service industry. We will discuss the intersection of technology and services, highlighting the importance of embracing digitalization for innovation and improved efficiency. We will examine how digital technologies are reshaping service industries, replacing traditional methods with advanced solutions such as AI, virtual commissioning, and predictive maintenance. 

Additionally, we will explore the impact of AI on digital services, providing examples of how it enhances and streamlines service delivery. This session is specifically designed for professionals in the machine building, automation, and strategy fields who are interested in staying up-to-date and competitive.

From edge to cloud: Future architectures

Machine automation architectures today look much like the architectures of 25 years ago. Except for the use of Industrial Ethernet, not much has changed. Production and packaging lines are made up of machines delivered by individual machine builders, each equipped with a controller, an operator panel, and sometimes an Industrial PC with additional software. Each provider delivers and commissions his own machine on-site, while a system integrator connects the machines.

Driven by the growing influence of information technologies (IT) in the plant, automation architectures are starting to look more “IT-like”. Following the IT trend to hyper-converge architectures and realize nearly every function in software, automation architectures are undergoing a virtualization of traditional hardware-based control systems. As non-time-critical software is consolidated on a server or in the cloud, real-time control is now becoming virtualized on a common platform.

While it’s not the first supplier to introduce a vPLC, market leader Siemens announced its first virtualized PLC, the S7-1500V, last year. But will the vPLC ever replace the traditional PLC? Maybe, but not for the foreseeable future. As appealing as a software-defined architecture sounds, there are still many applications for which a piece of control hardware is better suited – ranging from low-cost, no-nonsense jobs that don’t require that much sophistication, to complex jobs with lots of coordinated motion control that currently test the limits of even pure hardware PLCs.

The benefits of software-defined automation architectures are many, but there are plenty of caveats. Many machine builders lack the IT skills necessary to realize them, and some have concerns about IP protection. Moreover, virtualized solutions many not (yet) offer the performance needed for complex motion control tasks.

Industrial data management

Data management in industrial enterprises has become significantly more important in recent years as companies have begun to mine valuable data from industrial processes that were previously difficult to reach. But many organizations do not have the adequate staff in place to manage these data, so much information goes unused, or is presented in a context that makes it difficult to use productively.

In the IT world, DataOps (data operations) refers to a set of practices that improves the integration and automates the flow of data within an organization, with the goal of improving quality, speed and collaboration between data managers and data consumers.

DataOps in industrial applications means applying these practices to the management of data generated by industrial processes. DataOps solutions help to “democratize” plant data by adding context so that non-data scientists can use data and quickly derive value from it. With DataOps tools, industrial users can automate data flows to create a single version of the truth. This session looks at the status of data management solutions tailored for use by industrial companies. 

MES success stories

In this series of testimonials, presenters and audience will engage in discussions to elicit and deepen the understanding of the underlying best practices. The session will address both short-term progress and longer-term strategies regarding the changes happening in the MOM/MES domain.

Users applying emerging practices will share approaches and lessons learned. Domain experts will share insights into evolving standardization and reference architectures. Together the participants will reflect on striking the balance between requirements, short-term efficiency benefits, and long-term benefits informed by design and systems thinking, linking to aspects such as sustainability, reliability, and the role and well-being of the workforce.

ARC and MESA will facilitate a workshop and presentations in this section. Highlights will be the insights provided by a member of the MESA International board and the top presentation of the MESA South Africa annual meeting.

Module Type Package (MTP)

Using modular architectures is a major trend in process automation that will gradually alter process equipment and automation architectures in the future. Module type package (MTP) is not an architecture, but rather a standardized way of describing processes, as well as capabilities and functionality of automation modules, from discrete components up to production skids. Traditionally, change is slower in the process industries, but as MTP-proofs-of-concept and new business models are tested and discovered, buyers will look for equipment makers that offer modular formats with MTP.

The MTP concept allows users to consider alternative configurations for plant equipment. Instead of building a plant to a fixed specification regarding capacity and output, the modularity allows equipment to be added and swapped out as needed. Modules can be added to increase production, for example, to meet high demand for a new vaccine, then scaled back later simply by subtracting (removing) modules. While MTP constitutes a major change to architectures, the technology is highly suitable for extending and expanding existing plants.

MTP is defined in VDI/VDE/NAMUR 2658, a standard that describes the engineering of the automation technology of modular plants in process engineering, defining the general concept, state and service models of modular systems, conceptual architecture and structure, and interfaces; the manifest (administrative file), and communication interfaces. Now that the standard is mature, many owners/operators and equipment providers are assessing MTP for their processing needs.

Open automation session

This session will be conducted by ARC and has a classical session format with user presentations followed by panel discussion. Adopters will provide status reports on their lab tests, pilot projects and field tests. The Open Process Automation Forum (OPAF) will provide an overall status report and Cargill will share their experience with an RFP process for an OPA-S-compliant system. Further presentations will be announced. The session will be concluded with Q&A and discussions.

Open Process Automation Forum (OPAF) Workshop
This session in the form of a workshop will be conducted by the Open Process Automation Forum (OPAF), a Forum of the Open Group. It will give the players in the OPA ecosystem, such as system, component and software providers as well as integrators the opportunity to show results, share experiences and answer questions from the audience.

Sustainability and energy management

Worldwide we see a rapidly growing demand for more efficient products to lower energy consumption, reduce emissions and build a more sustainable future. Rising energy prices as well as geopolitical and supply chain issues require heavy investments in power generation and energy. Most energy generation still relies on natural resources that are being depleted due to continuous usage/extraction and impact the environment adversely.

To reduce energy consumption and carbon dioxide emissions, governments worldwide have imposed local regulations, putting industrial companies under increased pressure to reduce carbon emissions. Decarbonization targets require manufacturing and energy companies to limit these emissions and to invest in sustainable, energy-efficient solutions and green energy sources. Recently, energy transition and sustainability are being woven into the core business strategies of industrial companies, who now have the mandate and the opportunity to tackle environmental and social challenges.

Some industrial companies have already made good progress in their digital journey, implementing energy transition initiatives and taking significant steps towards achieving sustainability goals. These efforts are powered by innovative processes, alongside transformative and decarbonization technologies. Their experiences allow for new insights and create important use cases.

About ARC Advisory Group

ARC Advisory Group is the leading market research and advisory firm for industry and infrastructure. ARC analysts have the industry knowledge and first-hand experience to help clients find the best answers.