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SAP INNOVATION FORUM ISTANBUL
SAP Predictive Maintenance and Service
Francesco Mari
Vice President – Business Innovation – Internet of Things
DIGITAL ERA
Connected Innovation
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 2Internal
Physical Objects Deteriorate with Usage
Ma
ch
ine
Ca
pa
bili
ty /
Re
sis
tan
ce
to
Fa
ilure
Time
Potential FailureP
Total
Failure
F Functional Failure
Preventive Maintenance
& Monitor Condition
Equipment UnusableRepair or Replace
Mechanically Loose
Ancillary Damage
Early Signal 3 - Oil Contamination Detected
Audible Noise
Hot to Touch
Early Signal 2 – Vibration Analysis Fault
Early Signal 1 – Ultrasonic Energy Detected
“Can”
“Want”
Maintenance strategies are aimed at preventing failures and
increasing the availability of the assets while investing the
minimum possible amount of resources
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 3Internal
Where are maintenance and service today?Different stakeholders with different concerns
How can I improve my
product’s reliability and
uptime for my customer?
How can I reduce my
warranty costs?
How can I generate new
service-revenue streams?
How can I provide the best service at the right time?
How can I utilize my
maintenance budget better?
How can I prevent unplanned
asset downtime?OEM Operator
Service provider
How can I prioritize maintenance
activities and operate with
reduced risks?
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 4Internal
Enters the Internet of Things // IoT := IT + OT
Currently, IT and OT are mostly separated world:
• Different technologies
• Different organization and responsibilities
• Different skills and professional profiles
• Often, even different codes and standards
Removing the barriers between IT and OT
we can overcome all these obstacles
• Critical decisions based on facts – rather than approximate
information
• No delay between facts, analysis, decisions and reactions
• Holistic optimization of systems, and of systems of systems
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 5Internal
Insight Action
IT/OT* Convergence
• Big Data ingestion
• Big Data infrastructure
• Merging sensor data
with business
information
Maintenance activities
• Prioritized maintenance
and service activities
• Optimized warranty
and spare parts
management
• Prescriptive
Maintenance
• Quality improvements
Data analysis
• Root cause analysis
• Asset health monitoring
• Machine learning
• Anomaly detection
• Triggering of corrective
actions
Connected assets
• Onboarding
• Connectivity
• Device management
• Security
Business Value
• Customer experience
• Increased quality
• Lower costs
• Operational efficiency
• R&D effectiveness
• Material procurement
Sensor Data Insight Action Outcome
SAP Predictive Maintenance and Service solutionFrom sensor to outcome
*) OT = operational technology
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 6Internal
How does such a solution generate value? Business value to OEMs and operators
Increased first-visit fix rate By understanding the detailed situation that has lead to an asset failure
better, OEMs and operators can identify the right skills and spare parts
that are relevant for corrective actions.
Improve service profitability OEMs can offer higher margin services that include remote monitoring
and simultaneously resolve more calls remotely to reduce service costs.
Reduced maintenance costMaintenance schedules can now be driven by sensor information that
allows operators to perform only the required interventions at exactly the
right time.
Warranty cost reductionService experts can conduct root cause analysis on their products in use
that can be leveraged to improve the design and production quality to avoid
further warranty claims.
Improved equipment effectivenessWith the use of machine learning algorithms (such as anomaly detection or
lifecycle analysis) asset operators can predict failures early and implement
corrective actions, which significantly increases the availability of critical
assets.
Business model innovationOEMs are now able to offer new service business models for their products
that were previously impossible, such as full-service agreements or pay per
use.
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 7Internal
Increase
effectiveness
Increase
efficiency
IT and OT
connectivity
Time, effort, or cost
is well used for the
intended task or purpose.
Effectiveness is the
capability of producing
a desired result.
Optimization of maintenance and serviceBring business context to your operational data
Asset health control center
Fault pattern
recognitionMachine health
prediction
Create maintenance
or service order
Execute order
on mobile deviceVisual supportSchedule order
Ord
er S
tatu
s
Non-SAP applications
SAP S/4HANA
C4C / CRM
0011001
1101001
%
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 8Internal
Predictive Maintenance and Service On-Premise Edition (PdMS OPE)
Business Applications built on Modular Analytics
Geo-
Spatial
Insight
Provider
Asset
Explorer
Insight
Provider
Key
Figure
Insight
Provider
3D
Visualizat
ion
Insight
Provider
Predictive Maintenance and Service
Insight Provider
Lifecycle Management
Data Science Modeling &
Scoring
Insight Provider Runtime Services
Work
Activities
Insight
Provider
Derived
Signal
Insight
Provider
SAP HANA Enterprise
Edition
SAP IQ
SAP Data Services*
SAP ESP*
SAP Predictive Analysis*
SAP Lumira*
*Optional components
Asset Health Control Center (AHCC)
Additional
Custom
Insight
Provider
Predictive Maintenance and Service On-Premise Edition
Connected
Assets
Devices,
machines,
sensors
Integration
possible with
Telit
DeviceWise,
SAP PCo
Process
Automation
Closed-loop
business
process
integration
into PM and
MRS
Process
Integration
Data Management
Remaining
Useful Life
Prediction
Distance-
Based
Failure
Analysis
Anomaly Detection with Principal Component Analysis
Data Science ServicesInsight Provider
Product
Integration
IoT
Ap
pli
cati
on
s
Op
era
tio
nali
zed
An
aly
tic
s a
nd
Data
Scie
nce
Serv
ices
IoT
Base
Serv
ices
Big
Data
Pla
tfo
rm
Asset Health Fact Sheet (AHFS)
Maintenance Innovation in Context
Railway Case
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 10Internal
The Business Value of Maintenance Innovation
Perform ALL the required interventions, and ONLY the required interventions, at the RIGHT TIME, ensuring
availability of the RIGHT RESOURCES
Prevent breakdowns while trains are in operations
Prevent extended maintenance downtime due to unforeseen activities
Reduce Unplanned Downtime
Avoid any unnecessary activity
Plan in advance and in detail for any intervention, ensuring availability of spare parts, facilities, tools and trained resources
ReduceCosts of
Operations
>8-10% of direct savings on impacted maintenance costs
>x% of reduction of breakdowns of trains in operations
>y% increase in asset availability
Ground diagnostic
On board diagnostic
Dynamic Maintenance
Management System
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 11Internal
dischargingcharging
full
Bad condition
P (reference state) Q (current state)
Problem: Components of critical assets that can lead to unplanned downtimes
when they fail tend to be over-maintained independently from their actual status
Solution:
1. Data extraction and preparation: Extract the equipment’s sensor data from time
series storage and prepare it.
2. Learn a model and score new data: Compute the distances of each component
to a reference component using earth mover’s distance (lazy learner type of
algorithm) and store distances in time series storage.
3. By comparing the current values of sensor data of an item for a given point in
time (current state) with examples of pre-defined reference states (e.g. battery
full, charging, discharging etc.) it is possible to calculate a value that shows a
trend toward one of these pre-defined reference states and helps to get an
accurate interpretation of the current state of an item.
4. Due to the identified state action can be proposed and triggered automatically.
5. Components are shown in a ranked by distance ordering in the application.
Benefits:
Early identification of malfunctioning components in order to reduce downtime.
Interpretation of battery sensor data based
on pre-defined reference states
compare
similarity
Distance-Based Health Scoring
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 12Internal
Ranking of Distance Among Homogeneous Components
Rank Battery1 1282 3483 1334 1445 0086 1817 3668 0519 336
10 536…
371 103372 135373 281374 463375 096376 109377 086378 139379 308380 280
Massive automatic analysis of components vs. normal behaviors to measure and rank the distance, and
identify the potential bad actors
Maintenance policies get
differentiated by the various
sections of the ranking (e.g.:
do not perform any
preventive actions for the
batteries in the top 50% of
the ranking)
Very significant projected
savings on maintenance
costs without increase in
failures (partially already
confirmed by actual results)
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 13Internal
Transforming the Game in Maintenance Operations
Risk
Cost Definition of maintenance policies can be seen as the management of the tension and trade-off between costs and risks. Most of the efficiency efforts are aimed at making sure that the right balance is reached
Internet of Things-based maintenance innovation represents the opportunity of transforming structurally the system and reach a new level of balance between costs and risks
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
Thank you
Contact information:
Francesco Mari