Copyright © 2014 Rockwell Automation, Inc. All Rights Reserved.

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Innovations in Industrial Mobility TechnologyMotorola Solutions

Innovations in Industrial Mobility Technology

JIM HILTON | MANUFACTURING WW PRINCIPAL

FinishedGoods

Manufacture & Assembly DeliveryPacking ShippingReceiving SCADA

Quality Control Service

PROCESS Food & Beverage

CPG - Soft goods (i.e., Soaps)Pharmaceutical and medicinePaper, print, and publishing

Chemical, plastics, and rubberTextiles and apparel

DISCRETETransportation equipment

CPG - Hard goods (i.e...Toys)Industrial & electrical equipment Computer & electronic products

Furniture & office equipmentMedical equipment

DEFINING THE MANUFACTURING ENTERPRISE

40%of annual profits can be lost due to unplanned downtime

54%of US manufacturers say they lack a unified view of their plant floor information

PLANT & FACTORY

- “Manufacturing Transparency, Turning Visibility into Value,” Aberdeen Group

- “The Hidden Cost of Downtime: A Strategy for Improving Return on Assets,” Maintenance Technology

5

ENHANCE OPERATOR EXPERIENCEENABLE MOBILITY

Motorola ET1 - Client -

PanelView™ Plus 6- Server - VNC Pocket

Cloud

Unit Counts Receive, Act and Acknowledge Alarms Review Historical Trends

Free operators from stationary clients yet still provide quick information

6

ENHANCE OPERATOR EXPERIENCEENABLE MOBILITY

Motorola ET1 PanelView™ Plus 6

FactoryTalk® View SEVNC Pocket Cloud

Vmware View

Enable mobile operators to be proactive instead of reacting to alarms Autonomous Maintenance Retrieve Manuals, Drawing and Procedures from anywhere

Free operators from stationary clients yet still provide quick information

FactoryTalk View SE

For the Operators Monitoring process to keep production running

Identifying relationships to optimize the process

Operator

For the Production Manager Schedule, track production activity

Way production is running, ways to improve

Production

For the Engineering / Maintenance Manager Keeping plant running

Predictive maintenance, asset optimization

Engineering

For the Quality Manager How product was made, ensure compliance

Ways to improve product and yield

Quality

For the Executive Costs, schedules, production output Financial indicators, sustainability

Plant Mgmt.

The Pressure to Improve ProductivityWhat keeps manufacturers up at night ?

MOBILE OPERATOR“It has been unbelievable! The concept is fabulous. Operators take this with them and are immediately aware of alarms and can begin to investigate. What would have taken 2 operators now only takes one.”

Major Cheese Manufacturer10/2012

Mobile HMI Benefits# of Operators Per Shift# of Shifts Per Day# of Workdays Per WeekFully Burdened Cost Per FTE % of Operators Using Mobile HMI

Hours Worked per FTEHourly Labor Cost

Annual Expansion/Relocation Savings# of New HMI Stations Planned for Next 5 Years$ Average Cost of New Fixed HMI Hardware & Installation# of HMI Station Moves Planned for Next 5 Years$ Average Cost of Relocating an HMI Station% of New HMI Stations Eliminated by Mobile HMI% of Relocated HMI Stations Eliminated by Mobile HMI

$$ Saved

Response Time Improvement - Downtime & Scrap# of Process Alarms Per Operator Per Shift# Avg Response Time Minutes without Mobile HMI# Response Time Minutes with Mobile HMI

Downtime Savings % of Process Alarms Resulting in Downtime$ Downtime Cost Per Minute# of Downtime Minutes Per Alarm without Mobile HMI% of Downtime Saved with Faster Response

$$ SavedProduct Scrap Savings

% of Alarms Resulting in Scrap Product$ Product Scrap Cost Per Alarm% of Scrap Saved with Faster Response

$$ Saved

Data Entry Labor Savings# of Operator Rounds Per Operator Per Shift# of Data Entry Minutes to Record Round Data

Average Payback

< 3 months without WLAN

< 8 months with WLAN

PACKAGINGWORLD www.Packworld.comJanuary 2014 Issue

WIP (using RFID)TDM is able to use RFID to report vehicle receipt, production progress and shipping updates back to Ford in real time.

• Real Time Tracking Realized• “Precise” Visibility• Complete & Consistent data collection

• Real-time data and visibility streamline operations and decrease downtime

• Operators can focus solely on labor tasks with significantly less multitasking and data entry

• Plant-floor operations are much more fluid with reliable automated data capture

“The application makes decisions and directs traffic flow based on the information in the system, and it’s hands-off, so our operators aren’t riffling through paper, trying to see where things go and needing to make decisions. It’s all very visual,”

MOBILE MAINTENANCE IMPACT“The ET1/Mobile HMI is an excellent complement to our existing use of fixed local and networked based HMI. Putting the information in the hands of the craftsman working on the machine saves both time and resources. The ability to provide a graphical HMI interface as well as accessing work orders, parts lists, and manuals will allow us to reduce downtime and increase productivity. The uses of this device is only limited by your imagination.”

International Food Processor10/2012

Mobile Maintenance Benefits# of Maintenance Technicians Per Shift

# of Shifts Per Day

# of Workdays Per Week

# of Workweeks Per Year

Fully Burdened Cost Per FTE

% of Maintenance Techs Using Mobile HMI

Hours Worked per FTE

Hourly Labor Cost

Troubleshooting Time Improvement# of Maintenance Troubleshooting Events Per Shift

# Avg Troubleshooting Minutes without Mobile HMI

# Avg Troubleshooting Minutes with Mobile HMI

# of Technicians Involved Per Event without Mobile HMI

# of Technicians Involved Per Event with Mobile HMI

$ Downtime Cost Per Hour

$$ Saved

Data Entry Labor Savings# of Work Orders Per Maintenance Tech Per Shift

# of Data Entry Minutes to Record All Work Order Data at Shift End

$$ Saved

Average Payback< 4 months w/ existing WLAN

< 10 months with new WLAN investment

DRIVING EFFICIENCY on the Shop FloorBusiness Need (Line Side Inventory)

1. Large Elimination of paper based procedures2. Real-time Inventory Control

ROI Factors• Real-time control of 1200 orders per day, 15% increase in output• 1.8 million more shipments with 2200 fewer man hours• Less miss-shipment coupled with 98% inventory accuracy• Inventory levels declined by 121,000 cases

Business Need (Traceability & Quality) 1. Risk Mitigation2. Raw Material Lot Tracking / Unbroken Chain of Possession3. Product History & Genealogy4. Process Conditions, Movement & Status5. Isolate Impact of Process Variability

“We needed a solution that would allow us to comply with the FDA mandate, but at the same time, not disrupt the manufacturing processes we already had in place,” said Rick DePinto, IT manager for Ce De Candy. “The Motorola enterprise mobility solution met our firm timing and budget requirements, increased our productivity, and improved data quality and process efficiencies, while providing the superior ruggedness that is essential in our warehouse environment.”

Solution• Motorola Handheld devices & infrastructure• Manufacturing-driven control of inventory• Traceability – from “cradle to grave”

Driving Traceability in Produce

Project: To trace tomatoes and other produce using RFID. Tags will be placed on produce boxes and pallets

In the event of a recall, the state wants to be able to trace a product to the farm of origin and identity where inventories were sent, all within a few minutes.

Hawaii Dept of Agriculture1. Improve Quality and Freshness

2. Trace Product to Farm of Origin

3. Identify all Distribution Routes

Track & Trace (Traceability)

Asset Tracking (RFID Tray Tracking)Using trays with embedded RFID Chips and retro-fitting old trays with RFID Chips

• Inside the ‘Four Walls’ • Track inventory within warehouse• Store batch data like expiration date

• Outside the ‘Four Walls’• Minimize Tray Loss• Track and charge customers that

lose trays for trays’ cost

• When using ‘Full Tray Product’• Inventory transport and delivery trucks faster• Automatic ordering based on counts

WARNING Line 6! E-stop Pressed

Marquee Manager Gateway for:• OPC • ODBC• RSLinx • FactoryTalk View SE• RSView32

• FirstPAGE Server• FirstPAGE Alarm Manager Server• Marquee Manager Server

FirstPAGE Alarm Manager Gateway for:• OPC • ODBC• RSLinx • FactoryTalk View SE• RSView32

MOTOTRBO Radios

The SolutionSoftware Bridge from Plant Floor alarms & events to mobile devices and two-way radios

STAFF COMMUNICATIONSALARMS AND ALERTS

WARNING Line 6! E-stop pressed

OPTIMIZING ACROSS THE ENTERPRISE

Real Time AlertsEnterprise Wide ImprovementsService, Productivity, Efficiency, Inventory,

…more

• Service Alerts• Order Submission• Inventory Allocation• Delivery Notification• Management Alerts• Competitive Activity

• Pricing Updates• Inventory Visibility• Service Directives• Collections Notes• Promotion Approvals• More…….

From and To all Mobile Users

77%correlation between profitability and inventory turns

10%of the inventory value is the typical cost of carrying inventoryWAREHOUSE

& DC

- “Demand-Driven Inventory Optimization and Replenishment: Creating a More Efficient Supply Chain,” by Robert A. Davis, 2013

- “Inventory Optimization: Show Me the Money,” Supply Chain Management Review, July 19, 2011

NEW INNOVATIONS

More capable devices and networks…Smaller: New categories of mobile devices are

now possible to connect entire workforces

Digital: Combined voice and data applications, with movement towards IP for interoperability

Wearable: Superior ergonomics drive productivity, accuracy and data capture for traceability

Modular: Hardware serving your micro-niche

Browser-Driven: Flexible OS and UI capabilities

RFID-Enabled: Passive data collection for visibility

Service-Based: New procurement and pricing models ease burden and mitigate IT risks

Touch-Centric: Expanding capabilities data input and rich visual rendering in touch-centric devices

PAGE 21

UPGRADE INBOUND HANDLING OPERATIONS

• Speed up the flow• De-skill the workforce• Execute perfectly• Drive out waste

PROJECTED FIVE-YEAR GROWTH OF MULTIMODAL

VOICE AND SCREEN GUIDANCE BY 2018.

%

EFFIENCY in Yard and InfrastructureBusiness Need (Trailer Tracking)

1. Large production facility with many trailers, yards, and dock doors2. Resource intensive management involving all manual processes3. Lack of real-time, actionable information for assets in the yard4. Increasing distribution costs need mitigating strategy

ROI Factors• Facilitate yard process redesign• Drive yard operational efficiency• Expand asset visibility beyond the 4-walls to the yard• Reduce manual yard checks• Reduced late, demurrage and detention fees

Business Need (Operational Efficiency in Mobile Environment) 1. Enhance Inventory Accuracy & Warehouse Efficiency2. Provide Wireless Backbone to Support Laptop Needs

• Durability was Key – Moisture Resistant, High Heat• Cost, Proven Reliability and Strong Partnerships• Partner Experience in Site Surveys and Hardware Staging

ROI Factors• ROI in 9 Months• 10% Labor Savings – Achieved Almost Immediately• Increased Visibility into Real-Time Production By Line• Reduced Truck Load Time

50-70%of potential service revenue is lost because of poor record keeping and management

$1BAverage revenue lost each year by consumer packaged goods companies due to out of stock conditions on the retail shelf.

FIELD OPERATIONS

- AMR Research, via Zebra Technologies “Improving Route Accounting with Mobile Printing Applications”

- “A Comprehensive Guide To Retail Out-of-Stock Reduction In the Fast-Moving Consumer Goods Industry,” by Thomas W. Gruen, Ph.D., University of Colorado at Colorado Springs and Dr. Daniel Corsten, IE Business School Madrid24%

Of manufacturers indicate that ‘increased customer service orientation’ is the most important transformation to their company’s future business success over the next 3-5 years

OUR SOLUTIONS ARE BUILT ON A DEEP UNDERSTANDING OF THE CHALLENGES YOU FACE IN YOUR FIELD OPERATIONS.

FIELD SERVICEDIRECT STORE DELIVERY

PRE SALES & MERCHANDIZING

PROMPT SERVICE PROVIDED, FIRST TIME FIX COMPLETED

Dispatch receives work order and reconfigures existing route plan. Technician schedules are adjusted based on proximity, expertise, and equipment availability so work can be completed promptly, protecting customer satisfaction and reducing cost to serve.

SALES CALL COMPLETED, ORDER PROCESSED

Sales representative previews new product with store manager, secures initial order and end cap placement. Also notes competitive pricing and ensures planogram compliance while on site.

DELIVERY MADE, CUSTOMER INVOICED

The route sales representative delivers the perfect order and replenishes the shelf. Billing is completed quickly and accurately. During stop, store manager mentions intermittent issue with one of the refrigerators, so sales rep opens up ticket with the field service team.

1. OPTIMIZING SALES, DELIVERY, MERCHANDISING

Signature Capture Personal Area Network

“PAN”

Image / Video Utilization

Gained ProductivitySales Increases

Best Practice TrainingCompany Compliance

Innovation in Image Capture & ScanningDecreased Costs…… Proof of Performance…….. Productivity

WLA

N -W

iFiW

WA

N -

Carriers

+ +Improved RevenueDecreased Costs

Gained Productivity

Gained ProductivityDecreased CostsImproved Service

“Turn right onto East Avenue…”

Route Optimization • Bread Crumbing• Geo-Fencing

Asset Tracking• Geo-Coding• Goods localization

Fleet Management• Telematics Seamless integration• GPS and Engine diagnostics• DOT and IFTA Reporting

2. Practical Use of Telematics, GPS, Location Based Services

3. OPTIMIZING PRODUCTIVITY AND REVENUE RECOVERY

Voice RecognitionGained Productivity

Hands Free Capture

PCI Compliant PlatformDelivers New Savings

Debit / Credit PaymentIncreased Sales

Improved Revenue

Hands Free Data CaptureGained Productivity

Voice / DataConvergence

Voice (Person to Person)Decreased Cost

Gained Productivity

OPTIMIZING ACROSS THE ENTERPRISE

Real Time AlertsEnterprise Wide ImprovementsService, Productivity, Efficiency, Inventory,

…more

• Service Alerts• Order Submission• Inventory Allocation• Delivery Notification• Management Alerts• Competitive Activity

• Pricing Updates• Inventory Visibility• Service Directives• Collections Notes• Promotion Approvals• More…….

From and To all Mobile Users

Tools

Rockwell Microsite: http://www.motorolasolutions.com/rockwellautomation

www.plantcalculator.motorolasolutions.com

CALCULATING THE ROI FOR A MOBILITY PROJECT

Safety & Environmental• Soft and Hard Costs

Time Savings• Hard Costs – Downtime• Soft Costs – Labor Productivity

Equipment Savings• Hard Costs – Reconfiguration• Soft Costs – License Utilization

Material Savings• Hard Costs – Scrap / Waste

www.plantcalculator.motorolasolutions.com

Investment Type Technology Investment

Cost per Device $1,500

Wireless Coverage Cost per Plant $200,000

Other Upfront Costs (Software, Training, etc.)

$57,500

Recurring Service Contract Costs per Device

$250

Total 5 Year Investment $364,750

ROI in 3 months with Cost Reduction5% In downtime resolution10% In alarm troubleshooting time5% less scrap per downtime event

BEST PRACTICES FOR REALIZING YOUR CALCULATED ROI

Envision, Document, and Execute a Mobile Strategy

• Engage Cross Functional Team Representing All User Groups

Embrace the Opportunities for Nascent Solution Interfaces

• Control Systems (PLCs) – Mobilize and Route Alarms and Alerts

• Visualization & HMI – Operator Rounds, Maintenance Technicians

• ERP / WMS / MES Systems – Inventory Management, Asset Tracking, Traceability

Enhance ROI by Selecting Industrial Devices and Networks

• Operations-Critical Solutions Built for Your Workflows & Environments

• Size for Today and Tomorrow’s Voice and Data Communications Needs

Explore Joint Solutions from Encompass Partners

BUILDING A CUSTOM TCO MODEL

https://partnercentral.motorolasolutions.com/TCO

Motorola MFG Resources

• Industry Week Webinar: http://bit.ly/plantmobility

• MSI MFG Page: http://www.motorola.com/Business/US-EN/Business+Solutions/Industry+Solutions/Manufacturing

• Rockwell/Motorola Microsite: http://www.motorolasolutions.com/rockwellautomation

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