{"id":2462,"date":"2019-10-23T12:11:46","date_gmt":"2019-10-23T16:11:46","guid":{"rendered":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/?p=2462"},"modified":"2026-03-26T12:02:27","modified_gmt":"2026-03-26T16:02:27","slug":"implementing-smart-manufacturing-a-competitive-advantage","status":"publish","type":"post","link":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/implementing-smart-manufacturing-a-competitive-advantage\/","title":{"rendered":"Implementing smart manufacturing \u2013 a competitive advantage"},"content":{"rendered":"\n<p>The innovations across the landscape of <em>industrial machinery<\/em> in manufacturing see a phenomenal overhaul of\ntechnological progressions. It is a formidable task to validate and manage modern\nmanufacturing and assembly operations to achieve a first-class level of quality\nwhile optimizing cost.<\/p>\n\n\n\n<p>Our <a href=\"https:\/\/shows.pippa.io\/smart-manufacturing-by-siemens-plm\" target=\"_blank\" rel=\"noopener\">first podcast<\/a> in this series discussed <em>how machinery manufacturers are gaining a competitive advantage by implementing smart manufacturing<\/em>. We discussed how machine manufacturers are maximizing profits, and the industry trends driving the acceptance of this groundbreaking technology.<\/p>\n\n\n\n<p>Our resident expert and guest is Bill Davis, who\nis the <em>Director of Industrial Machinery and Heavy Equipment Solutions<\/em><em> at Siemens<\/em>, with over 30 years in the industry and 20\nyears as an engineer.<\/p>\n\n\n\n<p>Below, is a transcript excerpt from our <a href=\"https:\/\/shows.pippa.io\/smart-manufacturing-by-siemens-plm\" target=\"_blank\" rel=\"noopener\">first audio podcast<\/a> and <a href=\"https:\/\/blogs.plm.automation.siemens.com\/t5\/Digital-Transformations\/Industrial-machinery-and-smart-manufacturing\/ba-p\/617094\" target=\"_blank\" rel=\"noopener\">blog<\/a>.<\/p>\n\n\n\n<p><strong><em>Blake:<\/em><\/strong> Bill, before we dive into the topic, I thought it would be interesting to hear about your career, your background and education.<\/p>\n\n\n\n<p><strong><em>Bill:<\/em><\/strong> I appreciate the opportunity to\nspeak on this topic. My background and experience from industrial machinery and\nheavy equipment span 30 years. My career began as an engineer, working on\nhighspeed machinery and equipment and progressed through the ranks in\nmanagement, extending into operations. I have always been a driver of CAD, PLM,\nPDM, digital enterprise and the digital thread, and I&#8217;ve always been part of\nthe driving force behind implementing these technologies at companies.&nbsp; So, I&#8217;ve gained many skills with regards to\nCAD and PDM, as well as operations management. Thus, the topic of smart\nmanufacturing is near and dear to my heart.<\/p>\n\n\n\n<p>My education\nbackground includes a mechanical engineering degree, bachelor\u2019s in science\ndegree from Milwaukee School of Engineering, with a master\u2019s in Business\nAdministration from Marquette University, specializing in operations,\nmanagement and strategic marketing.<\/p>\n\n\n\n<p><strong><em>Blake:<\/em><\/strong> That\u2019s an impressive background. Within those 30 years of your career, how long have you been focused on smart manufacturing?<\/p>\n\n\n\n<p><strong><em>Bill:<\/em><\/strong> For about 20 of those 30 years, I&#8217;ve been an engineer. I&#8217;ve been either the liaison between engineering and operations or indirect operations management. So, throughout this timeline, I&#8217;ve seen a move towards <a href=\"https:\/\/www.plm.automation.siemens.com\/global\/en\/our-story\/glossary\/digitalization\/25216\" target=\"_blank\" rel=\"noopener\">digitalization<\/a>, and leveraging that into&nbsp;<em>smart manufacturing<\/em>.<\/p>\n\n\n\n<p><strong><em>Blake: <\/em><\/strong>Right. So, in broaching the\ntopic of smart manufacturing, let&#8217;s start at the 40,000-foot level and define\nit.<\/p>\n\n\n\n<p><strong><em>Bill:<\/em><\/strong> Okay, let\u2019s begin by talking\nabout a product that we all know and love, which is our cell phones. Think\nabout what it takes to manufacture that device, and you begin to see how smart\nmanufacturing plays a role from a product perspective. The cell phone has several\ndifferent components, and each one of them has engineering requirements and\ncontent that needs to be manufactured by someone. Also, often there are\nregulations, rules and requirements that the manufacturer or industry governs.\nFor example, the FCC legislates the cell phone.<\/p>\n\n\n\n<p>Smart\nmanufacturing says, <em>there\u2019s a digital\ntwin of this device<\/em>, but that\u2019s only a small portion of it. We want to\nextract that information and drive it into manufacturing operations, like CNC\nprogramming or inspection and drive assembly processes. So, we push that\ninformation back into the digital twin so that we have an<em> executable digital twin<\/em> of the cell phone at a product level.<\/p>\n\n\n\n<p>The machinery we\nuse to supply those cell phone manufacturers, industries and customers is\nasking us to provide additional content, including sensors and feedback about\nhow the production and manufacturing process executes, and we leverage that\nfeedback into the digital twin. So, an example would be if the housing for your\ncell phone is being machined on the CNC machine, the file needs to be generated\nfrom the CAD file and saved as a manufactured CAM file. However, at completion,\nwe want to know that the housing is correct. <\/p>\n\n\n\n<p>Therefore, an\ninspection process is going on and if we&#8217;re making the machine tool, we want to\ndrive that back into the inspection data that we receive from our machine tool,\nand back into the digital twin of that cell phone. Thus, we&#8217;ve got traceability\nfrom the design to manufacturing, and a closed-loop process that provides a\nwhole digital twin. We will be focusing more on industrial machinery in this\nprocess, and it&#8217;s essential to look at how the digital twin of the product and\nthe digital twin of the machine are linked together. <\/p>\n\n\n\n<p><strong><em>Blake:<\/em><\/strong> &nbsp;In focusing more on what Siemens Digital\nIndustries is doing to position itself in the market, how are they implementing\nsmart manufacturing into companies and manufacturers?<\/p>\n\n\n\n<p><strong><em>Bill:<\/em><\/strong> Firstly, Siemens is one of the\nlargest corporations in the world, and we&#8217;re in a unique position on the\nsoftware side, due to our association with <em>Siemens\nAG<\/em>. As one of the largest manufacturing companies on the planet, we\u2019re\nalways looking for opportunities to optimize manufacturing processes and earn\nmore profit from every process that executes. So, we provide a good testbed for\nour manufacturing operations and execution management software solutions.<\/p>\n\n\n\n<p>Secondly, Siemens is\na leading provider of industrial automation for many years and the largest\nindustrial automation supplier in the world. Therefore, we understand the need\nfor technology integration into the machinery. We provide a high-quality\nfunction in the industrial automation process, and by manufacturing those\ncomponents, we know what companies need from a machinery development\nperspective, and what is necessary to execute for staying ahead of the\ncompetition. <\/p>\n\n\n\n<p>When you have size\nand experience, coupled with a world-class presence, Siemens is the only\nprovider of the<em> executable digital twin<\/em>.\nWe have the software to realize every step in the manufacturing process, from\nthe creation of the idea to what we&#8217;re making from machinery, and how we&#8217;re\ngoing to be executing it through manufacturing and extending that into service\nlife. This background is crucial for a machine builder because it allows\nmachine manufacturers and designers to create more value, both in driving down\ncost and compressing delivery schedules. However, it also allows us to innovate\nfaster by closing the loop between manufacturing operations and engineering.<\/p>\n\n\n\n<p><strong><em>Blake:<\/em><\/strong> Yes, a very comprehensive\nsolution. <\/p>\n\n\n\n<p><strong><em>Bill Davis:<\/em><\/strong> Absolutely!<\/p>\n\n\n\n<p><strong><em>Blake:<\/em><\/strong> In looking at the trends in\nthis industry, how do you see Siemens machine trends aligning with smart\nmanufacturing? What is this process? <\/p>\n\n\n\n<p><strong><em>Bill:<\/em><\/strong> My background is primarily\nindustrial machinery, although I spent some time in heavy equipment as well. There\nare some overarching themes and trends that we&#8217;ve been seeing in machinery\ndevelopment over the last several years and they circulate four topical areas. <\/p>\n\n\n\n<p>The first one is <em>connected<\/em>. We want to have our customers\nexpect that our machines are going to be communicating with other machinery in\nthe plan. They&#8217;re going to be communicating with their overarching operating\nsystem and the machine OEM. <\/p>\n\n\n\n<p>Secondly, it is a\ntrend for <em>adaptability<\/em>. &nbsp;This reflects how quickly the machine modifies\nits existing operating parameters and reacts to changing conditions. So, switching\nfrom one bottle size or one cell phone to another is a push-button affair. Currently,\nthere\u2019s much information, sensors and capabilities available, so the machine\ncan recognize when upstream products and processes have changed and automatically\nupgrade those changes to its operating conditions. It&#8217;s the beginning of <em>artificial intelligence for machinery<\/em>,\nbut it&#8217;s spawned by all these sensors and capabilities, along with customer\u2019s\nexpectations for these machines to be more flexible.<\/p>\n\n\n\n<p>The third trend is <em>predictability<\/em>. With various operating conditions and unpredictable customer environments, we see an increased emphasis on simulation and the predictability of how a machine will perform in the field. It\u2019s more complicated at higher speeds, with diverse use cases and enhanced complexity of machinery. It&#8217;s becoming more difficult to simulate all the aspects of a machine. <\/p>\n\n\n\n<p>The last trend is <em>extendability<\/em>. We want to continue to be\na provider of value to machinery. As a machine builder, I want to take my\nmachine and extend its life, through the customer facility, and its entire\nlifespan. Also, from a financial perspective, I can create more value for my\ncustomer and be able to change some of the dynamics behind the cash flow to\nextend the life of the machine through predicted maintenance and adaptive\nperformance. This is even more crucial as the workforce reduces.<\/p>\n\n\n\n<p>In the past,\nexperienced machine operators could tweak the machine and make it continue to\noperate in the field; however, that kind of experience is disappearing, with people\nretiring from the workforce. So, the OEM or machine builder needs to be more\nengaged with the customer throughout the machine life. This relationship is a\nvalue proposition for the customer and can transform their financial\nperspective.<\/p>\n\n\n\n<p><strong><em>Blake:<\/em><\/strong> In retouching on your statement\nabout extending the life of a machine, are you seeing trends changing in the\nway a customer purchases a machine? Are they spending more money? Are they\nupgrading more frequently? <\/p>\n\n\n\n<p><strong><em>Bill:<\/em><\/strong> Historically, a company buys a\nmachine from you and the machine operates throughout a certain lifespan and\nthen you change the product, or they change the product. Currently, they either\nmust buy something from you to adapt that machine to fit the new product, or\nthey must replace it. So, we&#8217;re seeing machine complexity being incorporated\nwith changing conditions, from a customer perspective, with shorter production\nruns. They need a more versatile machine.<\/p>\n\n\n\n<p>Another occurrence\nis that customers are less willing to invest vast sums of money on machinery\nwhen they could use <em>production as a\nservice<\/em> option, which allows that customer to buy machine capacity. This\nemerging trend is becoming popular with the heavy equipment manufacturers when\nyou&#8217;re leasing machines. The difference is you&#8217;re paying for performance. So,\nif that machine isn&#8217;t running, you&#8217;re not paying for it. &nbsp;The machine builder, or OEM, has a vested\ninterest to ensure the device always works. Therefore, if it&#8217;s not meeting the\nproduction requirements \u2013 it needs service \u2013 then the OEM is financially\nresponsible to rectify any performance problems or downtime issues and address them\nquickly to restore their cash flow.<\/p>\n\n\n\n<p><strong><em>Blake:<\/em><\/strong> Thank you, Bill, for this highly informative discussion\non smart manufacturing and its competitive advantage. <\/p>\n\n\n\n<p>To learn more about the competitive advantages of smart manufacturing&nbsp; for industrial machinery, listen to or read the <a href=\"https:\/\/shows.pippa.io\/smart-manufacturing-by-siemens-plm\" target=\"_blank\" rel=\"noopener\">first podcast<\/a> or <a href=\"https:\/\/blogs.plm.automation.siemens.com\/t5\/Digital-Transformations\/Industrial-machinery-and-smart-manufacturing\/ba-p\/617094\" target=\"_blank\" rel=\"noopener\">blog<\/a> in this series.<\/p>\n\n\n\n<p><em>This concludes the fifth blog in a series on Smart Manufacturing and the trends affecting the industry. Our future blogs will continue to spotlight transcript excerpts from the original podcasts<\/em>, <em>providing solutions for where today meets tomorrow.<\/em><\/p>\n\n\n\n<p><strong>About our expert:<\/strong><br><strong><em>Bill Davis<\/em><\/strong><em>&nbsp;is the acting Industrial Machinery and Heavy Equipment Industry leader for Siemens Digital Industries Software. His experience and insights have been acquired from a career spanning 30 years in engineering and operations management with machinery and heavy equipment companies.&nbsp; Bill holds a master\u2019s degree in Business Administration from Marquette University, with a concentration in Operations Management and Strategic&nbsp;<a rel=\"noreferrer noopener\" href=\"https:\/\/blogs.plm.automation.siemens.com\/t5\/Digital-Transformations\/Industrial-machinery-and-smart-manufacturing\/ba-p\/617094#\" target=\"_blank\">Marketing<\/a>, as well as a Bachelor of Science degree in Mechanical Engineering from Milwaukee&nbsp;<a rel=\"noreferrer noopener\" href=\"https:\/\/blogs.plm.automation.siemens.com\/t5\/Digital-Transformations\/Industrial-machinery-and-smart-manufacturing\/ba-p\/617094#\" target=\"_blank\">School<\/a>&nbsp;of Engineering.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Machinery manufacturers are gaining a competitive advantage by implementing smart manufacturing.<\/p>\n","protected":false},"author":29361,"featured_media":2463,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spanish_translation":"","french_translation":"","german_translation":"","italian_translation":"","polish_translation":"","japanese_translation":"","chinese_translation":"","footnotes":""},"categories":[1],"tags":[5,92,73],"industry":[],"product":[],"coauthors":[],"class_list":["post-2462","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-additive-manufacturing","tag-industrial-machinery","tag-smart-manufacturing"],"featured_image_url":"https:\/\/blogs.sw.siemens.com\/wp-content\/uploads\/sites\/19\/2019\/10\/smart-manufacturing.jpg","_links":{"self":[{"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/posts\/2462","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/users\/29361"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/comments?post=2462"}],"version-history":[{"count":4,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/posts\/2462\/revisions"}],"predecessor-version":[{"id":3024,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/posts\/2462\/revisions\/3024"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/media\/2463"}],"wp:attachment":[{"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/media?parent=2462"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/categories?post=2462"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/tags?post=2462"},{"taxonomy":"industry","embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/industry?post=2462"},{"taxonomy":"product","embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/product?post=2462"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/blogs.sw.siemens.com\/thought-leadership\/wp-json\/wp\/v2\/coauthors?post=2462"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}