REGIONAL INFRASTRUCTURES FOR GLOBAL ENTERPRISES AND SME

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1 REGIONAL INFRASTRUCTURES FOR GLOBAL ENTERPRISES AND SME Prof. Dr.-Ing. Thomas Bauernhansl November 23 rd,

2 Gross Capital Investment in Manufacturing Industries Industry Investments are too low! Gross fixed asset investment private sector in % from GDP in % GDPS Germany Europe (without Germany) source. Ameco, own calculation, BMBF 2

3 Innovation expenditure, 2006 =100 Innovation expenditure in Germany Innovation efforts of the German Mittelstand decrease Large enterprises (as of 500 employees) SME (5 to 499 employees) Under (5 to 249 employees) Preliminary figures for 2013, Figures for 2015 and 2015 are based on planned figures/company's expectations of autumn source. ZEW/Fraunhofer ISI 2015, Innovationsverhalten der deutschen Wirtschaft 3

4 Manufacturing in Europe Jobs and growth or highly specialized niche sector? A sensitive balance of external conditions The frightening situation Europe has a weakness in capital investment We experience reduction of the gross capital investment to a level below global competitors The Investment-quota is too low for the necessary renewal of the equipment, although capital is currently cheap Innovation potential is strongly linked to manufacturing capabilities Investment in Manufacturing is the key for productivity and success in global competition for structural change and innovation for adding value and growth to reach the 20 % goal of the EC 4

5 Baden-Württemberg is globally the leading industrial region What are the lessons learned for Europe's industry sector Industry sector in % from GDP in % GDPS source. Ameco, own calculation, BMBF 5

6 Evolution of Baden-Württemberg to an industrial hotspot Focus, long term orientation, clustering, sustainability Before World War II, BW s economy relied mainly on agriculture No natural resources led the way for strong knowledge based industries Research institutes, Universities and industry started to build networks supported by government Family owned companies with long term strategy grew steadily to world market leaders ,2 Bil. (4,8 % of BIP) invested in R&D (80% by industry companies) ¾ of all enterprises cooperate with public research facilities (Universities, Fraunhofer,..) Automotive and engineering hotspot around Stuttgart Medical engineering hotspot around Tuttlingen 6

7 Influence of Eco-Systems based on regional Infrastructure on the competitiveness of factories Financing Energy Services Supplier network Infrastructure Factory Public Authorities Research Universities, Education Characteristics of regional Structures competencies (life cycle support) cooperation (Coopetition) site-related factors (long term orientation) public infrastructure (Incl. Internet) Influence factors reaction rate long-term business relations common resources Media supply and removal Transport and IT Proximity, trust and deep understanding of each other are competitiveness potentials for factories in regional clusters (Eco-Systems) 7

8 S-TEC Stuttgart-Technology and Engineering Campus Base for springboard innovations in production IPA, IAO, IGB, IBP, IRB S-TEC- Industry on Campus S-TEC- Academy S-TEC Venture S-TEC Technology Transfer 8

9 Research infrastructures, example 1 Research campus ARENA 2036 Active Research Environment for the Next Generation of Automobiles changeable and flexible production including industrial internet (Industrie 4.0) intelligent functionally integrated lightweight construction continuous transfer also for other sectors motor for the promotion of up-and-coming scientists, further education, equal opportunity Arena 2036 research factory researchers from science and industry work under one roof project area m 2 up to 160 new job positions investment 30 Mio (building) R&D budget: 15 Mio /a construction ongoing, completion by

10 Research infrastructures, example 2 Campus Personalized Production Campus Personalized Production Industrie 4.0 / Industrial Internet Production Center for Smart Objects/ CPS Technologies Center for near-real-time Simulation Technologies Industry on Campus Center for Additive Production Technologies Industry on Campus Center for Smart Surfaces Center for Lightweight Construction Technologies 10

11 Research infrastructures, example 3 Sheet metal production of the future Service oriented machine control Campus for personalized production CPS intralogistics 5 years 2.5 Mio Lab for flexible sheet manufacturing Lab for Self-controlled production 11

12 IT infrastructures, example 1 Industrial Data Space will be a connective link between Digital Production/Logistics and Smart Services Public Data digital goods and services data joint digital service range customer production network logistics network human-machinecooperation network autonomization Internet of Things Industrial Data Space end-to-end-process individualization ecosystem«ubiquity commercial services industrial services Data from the Value Chain Flow of Information Flow of Goods 12

13 S e r v i c e s IT infrastructures, example 1 Federal secure IT platform for production data exchange Open, federative, and highly agile solutions provided by platforms Equipment Manufacturer Offering of completely new kindof services as well as accompanying services for products Improvements of service level,e.g. via preventive maintenance Usage of data for equipment or process improvements Software Vendor Additional marketing channel Access to new customer groups and cross selling Lower risk due to close integration of customer during development Use of existing IT resources Provisioning of Services Integration Interoperability between services Security concept Data privacy MARKET Business continuity PLACE Commercial Contract management Service accounting and invoicing Service level agreements Future Development Integration of standards and protocols New business models Community End User Professional IT solutions for the factory Pay-per-Use Usage of latest services Easy service implementation Protection of CAD, production and process data as well as knowledge 13

14 Qualification infrastructures, example 1 Stuttgarter Produktionsakademie Role and technology specific trainings Role-specific seminars for managers and specialists Organization, controlling and optimization of industrial production Technology-specific seminars Digital printing technology, imaging processing, functional materials, leight weight technology, surface technology, medical-/biologicalengineering, clean-room technology, robotic and automation Seminars about cross-functional topics Methodical know-how, soft-skills, legal topics In-house seminars Customized trainings 14

15 TOP 2 Research Program of the 2nd Funding Period Qualification infrastructures, example 2 Graduate School of Excellence advanced Manufacturing in Stuttgart Advanced Manufacturing Engineering Fundamentals, methods, technologies for Factories of the Future University Research projects Scientific environment Theory Fraunhofer Theory and practice, basics and application, research and education, university and industry Application Industrial environment Practice Industry Research and Education University, Fraunhofer and Industry Recruitment Admission Education Research projects Dissertation Doctoral degree (Dr.-Ing. and Dr. rer. pol.) 15

16 Summary Industry has highest influence on productivity, innovation and global competiveness of an economy Industrial sector in Europe is not strong enough (less than 20% of BIP) The Investment Quota is too low for the necessary renewal of the equipment, although capital is currently cheap The aging of production equipment leads to a continuous loss of productivity (there are regional and sectorial differences), especially on the sector of SMEs Baden-Württemberg can be a role model for Europe how to improve the situation based on a long term approach Clustering (focus on hot spots in value adding), infrastructure, competence building (Dual approach) and cooperation (public research facilities, coopetition) are the key for a successful reindustrialization strategy in Europe source: Expertenkommission 16

17 REGIONAL INFRASTRUCTURES FOR GLOBAL ENTERPRISES AND SME Prof. Dr.-Ing. Thomas Bauernhansl November 23 rd,

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