WHAT S BIG DATA, BLOCKCHAIN AND AR/VR GOT TO DO WITH IT? ESPEN OLSEN Managing Director Global A&D Sales IFS Aviation & Defense
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1 IFSworld.com
2 TO A NEW INDUS TRIAL REVOLUTION? WHAT S BIG DATA, BLOCKCHAIN AND AR/VR GOT TO DO WITH IT? ESPEN OLSEN Managing Director Global A&D Sales IFS Aviation & Defense 2
3 INTRODUCTION 3
4 WHO AM I? Espen Olsen, 44 yrs old. Married with 2 children Military background Royal Norwegian Air Force Bachelor in Logistics Management (University of Molde) Master of Management in Logistics and Leadership 18+ years working with Aviation & Defence clients around the world Managing Director, Global A&D Sales 4
5 INTRODUCING IFS +3,300 +2,700 +1,000, BILLION (US$ 426M) 5
6 WE FOCUS ON SELECTED INDUSTRIES Aviation & Defense Automotive Retail Asset Intensive Energy & Utilities High Tech Manufacturing Industrial Manufacturing Oil & Gas Process Manufacturing Construction & Contracting Service 6
7 INVESTING IN FOUR CORE BUSINESS PROCESSES FINANCIALS HR 7
8 THE DEDICATED AVIATION & DEFENSE BUSINESS UNIT The only airline and OEM independent software provider able to deliver best-of-breed and enterprise solutions for the Aviation & Defense market With a 24/7 Services team dedicated to the Aviation & Defense sector A&D BUSINESS UNIT Superior bench strength with a global team of industry experts with proven operational experience 8
9 HOW BLOCKCHAIN AND CLOUD REINFORCE CYBER SECURITY IN COMMERCIAL AVIATION 9
10 BEYOND BIG DATA CREATING THE TOTALLY CONNECTED ECOSYSTEM
11 HOW BIG IS BIG AND HAS BIG GOT TOO BIG Every 787 flight generates 500GB of data. At any one time there are as many as s in the air That s enough data to cover the cabin floor of 3 x Boeing 787s with 16 Gb flash drives! How much of that is actually useful and where? We may have big data but have we lost the big picture? 9
12 NEW AIRCRAFT BRINGS NEW CHALLENGES Airbus A350 current version 6,000 sensors 2,5Tb data pr day. New version in operation in x as much data! 800+ aircraft ordered only 10% in operation as of now Airbus A380 10,000 sensors in the wing alone! What is all the data used for has anyone any strategy in place? 9
13 BIG DATA AND KNOWN UNKOWNS PRACTICAL EXAMPLE BENEFITS TO UNSCHEDULED AIRCRAFT MAINTENANCE Turn diagnostic data into prognostic data Just-in-time maintenance No need to withdraw assets from operational rotations 11
14 LEVERAGE THE INTERNET OF THINGS USING IOT BUSINESS CONNECTORS 14
15 OPPORTUNITIES IN DIGITAL TRANSFORMATION DO BETTER NEW PRODUCTS AND SERVICES BUSINESS TRANSFORMATION 15
16 CONSUMER VS INDUSTRIAL IOT YEARS ASSET LIFE DECADES INTERNET CONNECTIVITY PLUG-IN HANDFUL SENSORS THOUSANDS 16
17 STRATEGY MOVING FORWARD 17
18 STRATEGY MOVING FORWAD VISION: THE WHAT, NOT THE HOW PRAGMATIC END-2-END EVOLUTIONARY APPLICATION FOCUS
19 BLOCKCHAIN 19
20 BLOCKCHAIN TECHNOLOGY IS COMPLEX, BUT THE IDEA IS SIMPLE. AT ITS MOST BASIC, BLOCKCHAIN IS A VAST, GLOBAL DISTRIBUTED LEDGER OR DATABASE RUNNING ON MILLIONS OF DEVICES AND OPEN TO ANYONE WHERE NOT JUST INFORMATION BUT ANYTHING OF VALUE MONEY, TITLES, DEEDS, MUSIC, ART, SCIENTIFIC DISCOVERIES, INTELLECTUAL PROPERTY, AND EVEN VOTES CAN BE MOVED AND STORED SECURELY AND PRIVATELY. ON THE BLOCKCHAIN, TRUST IS ESTABLISHED, NOT BY POWERFUL INTERMEDIARIES LIKE BANKS, GOVERNMENTS AND TECHNOLOGY COMPANIES, BUT THROUGH MASS COLLABORATION AND CLEVER CODE. BLOCKCHAINS ENSURE INTEGRITY AND TRUST BETWEEN STRANGERS. HARVARD BUSINESS REVIEW 20
21 BACKGROUND What is Blockchain? You have to look at it in three ways: technical, business and legal. On the technical side, you could see it as a backend database that has a distributed ledger, like for accounting. On the business side, it s an exchange network for transferring value between peers. It s a mechanism that validates a transaction and can make it valid from a legal point of view as well. It doesn t require someone in the middle to validate the transaction. So that s where the legal and regulatory part comes in. Zooming into the technology, Blockchain is a distributed database that maintains a continuously-growing list of records called blocks. Each block contains a timestamp and a link to a previous block. It has the potential for being disruptive in many different areas replacing traditional ways of exchanging transactions, however at the same time a lot of doubt remains. Alternative Blockchains are available as well, often with specific purposes 21
22 BENEFITS AND DRAWBACKS BENEFITS DRAWBACKS Empowered users Users are in control of all their information and transactions. High quality data Blockchain data is complete, consistent, timely, accurate, and widely available. Durability, reliability, and longevity Due to the decentralized networks, Blockchain does not have a central point of failure and is better able to withstand malicious attacks. Process integrity Users can trust that transactions will be executed exactly as the protocol commands removing the need for a trusted third party. Transparency and immutability Changes to public Blockchains are publicly viewable by all parties creating transparency, and all transactions are immutable, meaning they cannot be altered or deleted. Nascent technology Resolving challenges such as transaction speed, the verification process, and data limits will be crucial in making Blockchain widely applicable. Large energy consumption The Bitcoin Blockchain network s miners are attempting 450 thousand trillion solutions per second in efforts to validate transactions, using substantial amounts of computer power. Control, security, and privacy While solutions exist, including private or permissioned Blockchains and strong encryption, there are still cyber security concerns that need to be addressed before the general public will entrust their personal data to a Blockchain solution. Integration concerns Blockchain applications offer solutions that require significant changes to, or complete replacement of, existing systems. In order to make the switch, companies must strategize the transition. Cultural adoption Blockchain represents a complete shift to a decentralized network which requires the buy-in of its users and operators. Cost Blockchain offers tremendous savings in transaction costs and time but the high initial capital costs could be a deterrent. 22
23 BLOCKCHAIN Blockchain, known as the technology behind Bitcoin, is one of the most talked-about and intriguing technologies at the moment. Blockchain, similar to the rising of the internet, has the potential to disrupt business. IFS Labs is researching the potential use-cases for business and their impact on business applications. 1 Someone wants to register a transaction 2 The transaction is represented as a block in the shared ledger 3 The block is broadcast to all participants 4 The participants approve the transaction is valid, providing consensus 5 The block is added to the chain 6 A single picture of the chain and actual state is available to all authorized participants
24 CONSENSUS PROVENANCE IMMUTABILITY FINALITY
25 DISRUPTING AVIATION THROUGH LIFE ASSET MANAGEMENT BLOCKCHAIN 25
26 MODERN AIRCRAFT CONSIST OUT OF 2-3 MILLION PARTS PROVENANCE OF TRACKED ITEMS IS CRITICAL ADMINISTRATION OF MAINTENANCE HISTORY THROUGHOUT ENTIRE CHAIN HIGHLY REGULATORY 26
27 TODAY MANY DISPARATE SYSTEMS WRITTEN & VERBAL FEEDBACK TO DESIGNERS INCOMPLETE RECORDS LARGE VOLUME OF PAPER GENERATED STORAGE LACK OF STANDARDISATION LIMITED TRACEABILITY HIGH COSTS FOR COMPLIANCE
28 PURPOSE SPECIFIC PARTICIPANTS COOPERATION TECHNOLOGY CONSORTIUMS SOFTWARE VENDORS SINGLE PICTURE OF TRUTH REGULATORS GRADUAL ADOPTION
29 THROUGH LIFE ASSET MANAGEMENT (TLAM) IN AVIATION USING BLOCKCHAIN Connected Permissioned Ledger TLAM view of shared data Web Portal Aviation TLAM Manufacturer Distributor Installer Inspector / Regulators Maintainer Operator Existing IT Landscape
30 TLAM SOLUTIONS USING BLOCKCHAIN Through life asset management (TLAM) using customer ERP solutions and Industry Blockchain TLAM view of key data Shared Blockchain ledger Web portal Shared key data As designed and manufactured detail spec s As designed maintenance routines As collected weights, and measures. Bill of lading Incoterms Shipping doc s As installed documentation, including details of any bespoke installation requirements. Inspectors identification, dates and times. Regulatory compliance doc s and cert s. Maintenance routines and schedules. Bill or materials Inspection notes Observations Asset operating information. Key Performance metrics Manufacturer Distributor Installer Inspector/ Regulator Maintainer Operator Source detailed information IFS ERP 2 ERP 3 ERP 4 IFS IFS
31 BENEFITS IMPROVEDDATA QUALITY ACCURATE MAINTENANCE HISTORY SINGLE TRACEABLE RECORD TRUST IN CHAIN LIGHTER ADMINISTRATION LOWER COSTS HIGHER SYSTEM UTILIZATION
32 INDUSTRIAL REVOLUTION 32
33 3D PRINTING AUGMENTED HUMAN & COBOTS AUGMENTED & VIRTUAL REALITY INTERNET OF THINGS BIG DATA ARTIFICIAL INTELLIGENCE Pensées Objets Processus 33
34 3D PRINTING 34
35 NOT ONLY FOR PROTOTYPES! MEDIUM MASS PRODUCTION: AEROSPACE PARTS STRUCTURAL PARTS BIG DIMMENSION 35
36 IMPACT ON PRODUCT DESIGN SHAPES THAT WERE UNTHINKABLE MORE FREEDOM IN DESIGN LESS ASSEMBLY _ + RESISTANCE WEIGHT 36
37 CLOSER TO CUSTOMER OPERATIONS VERY BIG PRODUCTION UNITS «LOW COST» COUNTRIES LOTS OF TRANSPORTATION LONG LEAD TIME SMALL PRODUCTION UNITS CLOSE TO CUSTOMER DEEP CUSTOMOIZATION FEX TRANSPORTATION REDUCED LEAD TIME 37
38 MANY OTHER IMPACTS 38
39 VIRTUAL REALITY & AUGMENTED REALITY 39
40 VIRTUAL REALITY - AUGMENTED REALITY 40
41 VIRTUAL REALITY 41
42 AUGMENTED REALITY 42
43 Prototype to showcase the user experience by using Sony SmartEyeGlass. - These glasses project text and images in an augmented reality way in front of both eyes. Possible to use voice control. 43
44
45 COBOTICS & AUGMENTED HUMAN 45
46 ROBOTICS COBOTICS 46
47 COBOTS ROBOTS COLLABORATIFS & EXOSQUELETTES 47
48 ARTIFICIAL INTELLIGENCE 48
49 INTELLIGENCE ARTIFICIELLE 49
50 CONNECTED OBJECTS, ROBOTICS, ARTIFICIAL INTELLIGENCE Complexity 1 st Industrial Revolution (MECHANIZATION) 2 nd Industrial Revolution (ELECTRIFICATION) 3 nd Industrial Revolution (ELECTRONIC) 4 th Industrial Revolution (CYBER-SYSTEMS) Time End of the 18th century Beginning of the 20th century Early 70 s Today 50
51 51
52 IFSworld.com COPYRIGHT 2017 INDUSTRIAL AND FINANCIAL SYSTEMS, IFS AB. IFS AND ALL IFS PRODUCTS AND SERVICES NAMES ARE TRADEMARKS OF IFS. ALL RIGHTS RESERVED. THIS DOCUMENT MAY CONTAIN STATEMENTS OF POSSIBLE FUTURE FUNCTIONALITY FOR IFS S PRODUCTS AND TECHNOLOGY. SUCH STATEMENTS ARE FOR INFORMATION PURPOSES ONLY AND SHOULD NOT BE INTERPRETED AS ANY COMMITMENT OR REPRESENTATION. THE NAMES OF ACTUAL COMPANIES AND PRODUCTS MENTIONED HEREIN MAY BE THE TRADEMARKS OF THEIR RESPECTIVE OWNERS IFS
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