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December 2016 Edition 13.6

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The real and virtual worlds integrating at a steadily increased pace, the Internet of Things is pushing the evolutionary journey towards the fourth industrial revolution with various far reaching consequences. This fourth industrial revolution will not only herald change for the industrial sector, but will also have a major impact on how we live and work in general. Therefore, we are launching Africa 4.0 as a digital platform to the latest trends, technology and views regarding the IoT and Industry 4.0. Please subscribe to this magazine and always keep up to date with worldwide developments for smart factories, Industrial Internet of Things, smart manufacturing, advanced manufacturing and more.

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Please subscribe to this magazine and always keep up to date with worldwide developments for smart factories, Industrial Internet of Things, smart manufacturing, advanced manufacturing and more. This is a time consuming and costly process. Now the digital supply chain is supported by advanced predictive analytics that coordinate all principal partners, countries, individual parts, thousands of suppliers and even employees in the factories. Vincent continues, “As this example illustrates, IoT and analytics are innovating manufacturing, improving interoperability across a large set of assets and linking machines, products, computers, people, and analytical resources into one ecosystem. IoT and analytics are creating two important buckets of value in manufacturing: growing the business and operating the existing business more efficiently.” To reap the benefits of IoT, African entrepreneurs who want to operate on a global scale should be increasing investment in IoT infrastructure. Doing this reduces the dependency on labour intensive and time consuming tasks and brings cost efficiencies and improved competence to the business. As a result, the business will make smarter decisions and realise better profits. IoT in manufacturing can help companies realise the following efficiencies: 1. Accelerate planning and pre-manufacturing – IoT and analytics can deliver insight to help companies gain a better grasp on selecting suppliers, considering risk, managing material costs, and fluctuations, potentially resulting in improved predictability and performance in the local and international market. 2. Streamline manufacturing processes – Predictive tools and machine learning allow potential problems to be identified and corrected before they occur. The value of lean manufacturing and just-intime processes improves exponentially when intelligence obtained via IoT analytics is applied. 3. Improve post-manufacturing support and service – New levels of connectedness and the higher-level insights of IoT and analytics can help manufacturers gather information from customers effectively and improve service and support in the aftermarket. This enhanced support costs and builds long-term brand loyalty. Vincent concludes, “Manufacturers that want to improve their competitiveness internationally should seriously consider applying IoT data processing and analytical forecasting technologies i n t h e i r o p e r a t i o n s . Te c h n o l o g y - d r i v e n manufacturing innovations are evolving rapidly, which makes analytics and IoT a trend to watch in 2016 and beyond.” DELOITTE & TOUCHE Telephone: +27 11 304 -5618 E-mail: DELOITTE & TOUCHE: Oil and Gas Andrew Lane Energy & Resources Leader +27833262849 HOW ARE AFRICAN MANUFACTURERS EMBRACING INDUSTRY 4.0 OPPORTUNITIES? The use of industry 4.0 technologies makes it possible to manufacture entirely new things in entirely new ways and revolutionise research and development, supply chains, production and business models; and around the world, the traditional manufacturing industry is in the throes of a digital transformation that is accelerated by the exponential growth of these smart technologies. Companies in developed and emerging markets alike need to adapt to this rapid change and exponential growth if they are not to be left behind by developments in their sector and by their competitors. My team and I at Deloitte conducted a study on industry 4.0 in Africa by holding interviews with leading role players in manufacturing such as the CSIR-Meraka Institute, Department of Science and Technology, IDC (International Data Corporation) and Manufacturing Circle, as well as with executives from manufacturers such as CAD House, Ford, Hulamin, Nampak, Nissan and Toyota South Africa. Adoption of industry 4.0 in Africa/South Africa is low compared to the rest of the world The results of our survey found that the overall adoption level of smart technologies that accelerate industry 4.0 remains at a foundation stage in the South African/African manufacturing industries, but has the potential to reverse the dwindling contribution of manufacturing GDP in the case of South Africa, which is currently 12% of GDP compared to 25% in the 60s. While a stronger usage of advanced analytics exists within the automation and automotive sectors, the real opportunities of advanced analytics in other sectors are generally not yet being explored by manufacturers. Usage of robotics is mostly at an automated stage and not yet at a smart or advanced stage. There is no widespread adoption of 3D printing yet within the South African manufacturing industry, although awareness of the significance and the potential of this exponential technology is high. Reasons for low adoption of industry 4.0 technologies The broader industry 4.0 adoption is hindered by a general reluctance to invest in new knowledge and technologies within government and industry, as the current economic environment forces South African manufacturers to save costs first and spend less on innovation. Poor connectivity and accessibility are also factors that influence low adoption, as well as concerns around cyber security. Outlook for usage of smart technologies amongst African manufacturers AFRICA 4. Information, Tech Trends Interviews and More... Utilizing the next Revolution. Article written by Karthi Pillay Previous Africa Manufacturing & Automotive Leader Deloitte Emerging economies can become early adopters of industry 4.0, acquire capabilities to develop advanced manufacturing systems and leapfrog their global competitors with unique locallydeveloped high-tech products and services. China’s shift in recent years from a manufacturing-intensive ‘made in China’ economy to an innovation driven ‘designed in China’ economy clearly illustrates that opportunity. The majority of our interviewees believe that industry 4.0 will have a strong impact in the coming years on Africa/South Africa in general and especially the South African manufacturing industry. At the moment, however, manufacturing in South Africa is going backwards in its percentage contribution to GDP. The question we have to ask ourselves at this moment in time is, do we continue on this path of deindustrialisation without complementing it with industry 4.0, or do we try to reverse the decline? If it is to be the latter, then it will require a getting together of the right minds to define where manufacturing is going in South Africa. I invite you to connect with me to discuss this topic further. South Africa is not short of brainpower both in the private and public sectors, but it needs to become a collective effort. You are welcome to also download our Africa Industry 4.0 report, for further reading. Mike Vincent Africa Industrial Products and Services Sector Leader 011 806 5467 The need for the Next Generation Forensic Practitioner

Now Launching: VIETNAMESE ENERGY COMPANY GETS CONNECTED TO IMPROVE OPERATIONS PetroVietnam, one of the largest energy companies in Southeast Asia, will use Honeywell’s Connected Performance Services (CPS) to improve performance and operations at Binh Son Refining and Petrochemical (BSR), a manufacturing subsidiary located in Quang Ngai City, Vietnam. BSR refines crude oil and produces bio-fuel and petroleum products such as polypropylene. To improve its processes, BSR will combine CPS’ Industrial Internet of Things (IIoT) technologies and domain knowledge of the petroleum refining industries. The combination gives BSR greater visibility into its operations, allowing operators to detect and prevent issues that can reduce plant efficiency or impede productivity. The result is a cloud-based solution that continuously monitors streaming plant data and applies process models, best practices, big data analytics, and machine learning to find latent and emerging performance problems. If issues are identified, plant personnel are immediately alerted with specific operational recommendations. Honeywell experts serve as secondary process advisors, providing further monitoring and direction as needed. This can help plants increase output and avoid unplanned shutdowns, resulting in millions of dollars per year in increased productivity. “Honeywell’s CPS technology uses the plant’s own process data with cloud-based optimization and reliability solutions to ensure the operation runs at peak efficiency,” said Zak Alzein, vice president for Honeywell UOP’s CPS business. “Honeywell will be in a position to use plant-specific information to provide BSR with actionable recommendations that can significantly improve its profitability.” “The CPS system is an important tool to help our refinery produce more gasoline and consume less energy,” said Tran Ngoc Nguyen, President and CEO of Binh Son Refining & Petrochemical Co. “We believe it will improve our staff’s capabilities so they can keep our operation running at peak performance.” Vietnam’s oil reserves—currently totally about 4.4 billion barrels—make it the third-largest reserve of crude oil in Asia, after China and India. According to the U.S. Energy Information Administration, Vietnam produced an estimated 355,000 barrels per day of petroleum and other liquids in 2015. MEDIA CONTACT John Simley Honeywell UOP +1 (847) 391-2278 +1 (847) 612-1484 - Mobile HONEYWELL SA (PTY) LTD Local Enquires Telephone: +27 11 695 8000 SCHNEIDER ELECTRIC LAUNCHES NEXT GENERATION OF ECOSTRUXURE, THE ARCHITECTURE AND PLATFORM FOR END-TO-END IOT-ENABLED SOLUTIONS AT SCALEA • Open and interoperable system architecture and IoT platform delivering enhanced value around safety, reliability, efficiency, sustainability and connectivity for Building, Grid, Industry, Data Center customers • Leveraging advancements in IoT, mobility, sensing, cloud, analytics, and cybersecurity technologies to deliver Innovation At Every Level from Connected Products to Edge Control to Applications, Analytics and Services • Developed with partners Microsoft, Intel and others and open to an ecosystem of developers, data scientists, hardware and service partners who can create or co-create solutions and applications RUEIL-MALMAISON, France - November 29, 2016 - Schneider Electric, the global specialist in energy management and automation, today announced the launch of its next generation EcoStruxure architecture and platform to deliver IoT-enabled solutions at scale for building, grid, industry and data center customers. The enhanced architecture and platform is open, scalable and interoperable, connecting the three core layers of Schneider Electric’s technology stack, from connected products, to edge control, to applications, analytics and services. This next generation EcoStruxure delivers enhanced value around safety, reliability, efficiency, sustainability, and connectivity of IoTenabled operations. Next Generation EcoStruxure delivers advanced value EcoStruxure enables Schneider Electric, its partners and end-user customers to develop scalable and converged IT/OT solutions that deliver innovation at every level to an organization or enterprise. Leveraging connectivity and data to create controls and actionable business insights, with the combined power of analytics and closed-loop applications, Schneider Electric empowers customers and partners to augment operations to reach new levels of operational efficiency, sustainability, asset performance and people productivity. EcoStruxure fosters open innovation and interoperability and is developed in partnership with leading standards organizations and best-inclass technology leaders. “EcoStruxure combines our history in pioneering in automation, energy management and deep domain expertise with data-driven metrics and analytics to help us maximize the value of the Internet of Things for our customers,” said Dr. Prith Banerjee, Chief Technology Officer, Schneider Electric. “EcoStruxure gives our customers the platform, architecture and roadmap to quickly and easily implement IoT in an enterprise, extending the benefits of IoT beyond the device layer to create a more intelligent, efficient and secure operation.” Delivering Innovation at Every Level of the Technology Stack AFRICA 4. Information, Tech Trends Interviews and More... Utilizing the next Revolution. EcoStruxure builds on Schneider Electric’s longstanding product and system leadership to provide the industry’s most comprehensive portfolio of interoperable and cloud-connected and/or onpremise technologies organized around its three layers of technology innovation: • The first layer builds on Schneider Electric’s core competency in developing connected products with embedded intelligence, such as sensors, medium and low voltage breakers, drives and actuators. • The Edge Control layer gives organizations the critical capability to manage their operations onpremise as well as from the cloud depending on their needs. This includes connected control platforms with remote access, advanced automation and operator override capabilities. Local control and firewall protection is included to maximize the benefits especially for mission-critical applications. • Schneider Electric’s focused investment in R&D and product development in the critical areas of software, analytics and services, coupled with the integration of recent acquisitions such as Invensys, Telvent and Summit Energy forms the third layer of the stack – a portfolio of apps, analytics and services. EcoStruxure enables the most extensive breadth of vendor-agnostic apps, analytics and services on open IP protocols in order to work with any hardware, system, or control. “Our innovation technology stack is critical to our open innovation approach, designed to deliver the most innovative IoT-enabled solutions to our customers,” added Banerjee. “Introducing a comprehensive suite of apps, analytics and services built on the capabilities from within Schneider Electric and our network of partners and developers, enables our customers to benefit from open, interoperable and future-proof solutions that maximize the value, performance, reliability and efficiency of their entire operation and enterprise over time.” Innovation at Every Level: Delivering Advanced Platform Capabilities EcoStruxure is designed to meet the core customer challenge of implementing IoT solutions seamlessly, cost-effectively and at scale. The redefined IoT platform bridges the IT/OT gap and connects the three core layers of Schneider Electric’s innovation technology stack to maximize value for customers. The launch of the EcoStruxure platform provides a secure, IoT-enabled technology backbone with three core technology capabilities: • Embedded connectivity and intelligence that enables smart sensing, embedded computing, IP networking and edge analytics • A foundation for smart operations to serve as the building blocks for control, management, automaton and optimization continued on next page


December 2016 Edition 13.6
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