A Society of Cost Engineers’ Webcast on how Sustainability meets Profitability
There it is oh if we were 18 years old and knew how to deal with technology so we’ll be getting going in just a minute or two be patient be very patient you ready to go Jerry sure why don’t you go ahead and kick it off Gary and I’ll jump in
Oh okay well welcome everyone I believe the moderator my name is Gary kokens I’m a member an Advisory Board of the society cost Engineers there you can see on the screen you may want to write down that website if you’re not already a member um really good material in the website
Uh previous webinars have been on a whole host of topics including should costing Target costing this one is going to be very relevant in a minute or two I’ll introduce Nick leader and rudiger Stern who will be doing the presentation but this is on ESG environmental social and governance and it’s interesting when
You think about those three letters um when it comes to the E quite frankly my opinion it’s the most important one especially the younger younger kids environmental this is about climate change carbon footprint reporting reduction counting and the like the social that’s it’s a little bit tricky
We don’t want to get into politics governance though you know that’s really board of directors and the executive team there have the responsibilities to make progress with you know carbon footprint reduction and all the things that are impacting um the the environment so I’m going to let rudiger
Um and Nick self introduce themselves put up their Powerpoints and let’s get going so so rudiker can you get your PowerPoints up yes and please let me know when you see uh the screen there we go should be in a full screen mode now Perfect all right why don’t you introduce yourself a
Little bit both of you um and a little bit about your organization kanetko sure thank you very much uh Gary and Jerry for giving us the opportunity before we start getting into the topic sustainability meets profitability a quick introduction and Nick why don’t you start giving a overview about yourself
Brilliant well thank you for that great quick intro really good so I am a net leader you can guess from the accent I’m a British guy uh living in the UK but actually have worked all over the world so I have over 20 I think it’s technically I can put 25 years experience
Um working in the industrial management consultancy space um either owning or advising on large-scale transformations in industrial companies um I also work with organizations like the world economic Forum on their Advanced manufacturing a supply chain or value chain platform really helping us work on the agendas that are going
Through industry right now ranging from um ESG which Gary um and today’s topic is going to be around the future of manufacturing but also topics like supply chain resilience as well so I’m really excited to have the opportunity to speak with everybody today thank you very much Nick and let me
Introduce myself born and raised in Germany living in Potsdam near Berlin similar to Nick have worked on a global capacity in various roles primarily in management consulting with Accenture similar to to Nick and uh yeah Nick and I came across some time ago and have worked in various capacities since then
As part of my roles I have advised and consulted companies manufacturing companies in their industrial transformation engineering Transformations costing and quoting and I’ve also spent time with um with non-profit organizations and and Academia to uh yeah educate and transfer knowledge in have been with the Society of cost
Engineers for some time and yeah being an engineer by by heart and trade and yeah look forward to share my knowledge along with Nick in this webinar so uh after introducing us I would like to introduce uh connectio uh relatively new brand and name however we are
Looking back on uh 20 plus years of experience in production automation defining designing and implementing many manufacturing automation Solutions in various Industries and from that experience we do have the team as well as the skills and the experience to help manufacturing companies in their iot Journey and whilst implementing manufacturing automation
Solutions the data that have been produced or generated interest for the customers as well as for connect you and there was a pattern that has been identified and from that a product or products have been developed which we are now selling and implementing into the manufacturing
Industry we will look into some of these Solutions uh during this webinar and put it into context of sustainability and profitability what’s our value proposition what are we delivering to our customers um connectors uh software as a service business we do have a SAS solution or SAS Solutions available that can be
Accessed everywhere we provide a turn case TurnKey solution to the manufacturing industry that consists of sensors vibration sensors heat flow sensors we have our own cellular network and the Cloud solution that helps this playing and analyzing the data and all of that in a role-based and modern architecture as well as user experience
Given given our expertise we support with domain and Industry experts making our customers successful uh all of that with a local customer success team to shorten the time to Market and the time to value and where we have gaps that we we rely on our network of installation Partners in all the regions
We are present these regions are the United States Great Britain as well as the german-speaking country so the dacho region and last but not least in this webinar today as part of it we connect users we connect domain and Industry experts thought leaders we allow them to share their best practices we also
Collect the voice of the customer to improve our product and services and with that we give a platform to knowledge exchange among peers and and Industry industry thought leaders that’s what we say about us and here is what our customers say say about us or what the experience with us to uh core
Products predict what that is we will talk about later we have seen customers reducing the unplanned downtime in manufacturing and asset management by up to 30 percent and as Gary and his introduction rightfully said impact so the uh the environmental side of the manufacturing operations we have seen up to 12
Reduction in energy consumption uh leading leading manufacturing companies rely on our services we cater into the manufacturing operations of companies we support oems in um complementing their products by by services and we also work with infrastructure or utility companies to monitor critical equipment for them sustainability meets uh meets profitability
Gary said it early on sustainability put in the context of ASG there is an environmental component to it monitoring the carbon emissions greenhouse gas emissions understand what’s the energy consumption and how much energy I put in to produce a part or a product there is the the social
Component and Gary you mentioned the the human rights and policies we extend the social component towards health and safety aspects yeah making sure we treat our employees or the workers carefully and make sure that the the health and safety risk has been addressed properly so that’s where where
Our products play an important role the governance um fees which includes the reporting and making sure that the stakeholders and the shareholders are informed are informed properly how is that relevant and how is sustainability and profitability linked uh on that on the path towards ESG compliance and achieving profitability
Targets manufacturing companies see a lot of challenges first of all there’s unplanned downtime so machines are not operating to the extent they should and companies spend time effort and money to react to unplanned failures and minor stops linked to that there is an unoptimized maintenance downtime to maintain and repair
Assets in the manufacturing space and that causes downtime more often than it might be needed and insights into the real health of an asset would be would be helpful uh needless to say spiraling energy costs and that coupled with the ESG reduction targets that are at hand are a challenge
To most of the manufacturing companies we have seen and we have worked with yeah that’s the input yeah so the asset the heads and the energy and then there is also a challenge with the output so am I am I getting uh the products yield and the quality I’m expecting and I have
Budgeted for in my business so uh getting that and understanding that is is an important part of manufacturing monitoring and last but not least as mentioned earlier the workers transformation of Workforce transformation with asset monitoring we are making sure that uh the the exposure to hazardous or remote locations is
Being reduced is less and and also addressing the challenge by by retiring Workforce and make sure that know how which is there has been captured in the in the in the system so where is the link so and um how does how does um asset monitoring help and how do
Companies overcome uh the challenges we have talked about and where’s the link between sustainability and profitability so by understanding the health of your asset and reducing the unplanned machine downtime you can increase these the lifespan of your asset that reduces costs now cost of capital and it reduces
The carbon footprint as you run on the same equipment for longer and it also reduces waste that has been caused by downtime just to give an example if you’re in a bakery and I’m talking about industrial scale bakeries yeah if the mixer is down an entire batch of dough
Needs to be thrown away so that is neither neither environmental friendly nor is it cost effective yeah um when we talk about unoptimized downtime we have seen a lot of unneeded repairs and overhauls of of manufacturing equipment that again causes carbon emissions by technicians going on site spending time and money on
Travel there are Parts being replaced that could have last longer with an impact on cost as well as Environmental on the energy side through monitoring the waste of energy has been reduced yeah all you can only measure a address and and reduce what you are measure
And the same is true for the yield yeah increasing increasing the yield by having visibility on the manufacturing processes is cost effective as well as helping the environment and with a modern architecture we headed when we were logging on earlier Gary by having a modern modern I.T Solutions and and
Systems you attract the younger Workforce and make sure you get the talent you need at a time but uh where is the link yes and we do have we do have uh the products for that uh predict which we will uh look into more closely we have impact for the
Energy monitoring output and resolve um to have to help the uh the workforce and um how do we do that uh so on the the predict site addressing the downtime um our own research as well as industry analysts indicate that 82 of all the manufacturing companies experience unplanned downtime and that’s a
Significant significant number and that leads that half of the audience being asked um is missing uh you know failing and delivering to the customer either product launch or on the supplier base and uh and uh 70 don’t know what their maintenance schedule should should look like with an average downtime uh event
That lasts four hours and costing nearly 2 million reducing downtime as a significant financial impact and we talked about the environmental impact already I was as a mind uh helping with that so with monitoring manufacturing equipment and infrastructure assets we uncover the hidden factories so we look behind the curtain and understand
The full picture of downtime and the associated costs um we also help with planning and managing uh [Applause] management the the maintenance and the repair schedules yeah so being warned if an asset um if an asset made might might fail and avoid issues to unexpected downtime more proactively
From a Workforce perspective and again now with manufacturing sites or or infrastructure equipment being in remote locations um the first time fix rate is important to um not overspend as well as to minimize the the carbon Emissions on the way of getting there it’s important to
Understand the root causes in case a uh an asset fails from an environmental perspective it’s interesting uh to to learn and understand that manufacturing companies contribute 16 percent um to the global GDP however they emit uh 20 of the CO2 emissions and consume 54 of the world’s energy so how do
Companies reduce their environmental impact and the check achieve Net Zero by 20 20 30. again yeah by monitoring the energy energy usage and make sure that all the information is available to support ISO 50 0001 compliance which goes hand in hand with ESG with asset minder impact we’re not only
Looking at electricity everyone talks about electricity but we look at the broader set of what we call wages that includes water consumption that includes compressed air gas electricity of course and steam as a secondary energy provider uh we look across all assets and the entire equipment totally vendor agnostic
So we don’t care about the existing metering in place we simply connect and we believe in Democrat that democratizing information so we provide energy data to everyone who needs it if you want to draw if you want to drive a change in behavior and reduce your energy bill then it is important that
Everyone knows about the consumption from the top floor to the shop floor and not only the engineering information of it but also the financial and carbon impact so providing the full transparency to the entire organization is e to us foreign Businesses started we assess the situation on site site serving uh the plant we provide the sensors and monitor all the relevant information we connect the sensors to our private Network and push the data to the to the Cloud solution and we help with analyzing the data Gathering the information and then
Put actions in place as well as tracking the actions to make sure that the measures that have been taken show the effect and the continuous improvement process can start from an energy consumption perspective as well as from a profitability perspective foreign audience May Wonder uh how that is
Relevant to the Society of cost engineers and as I believe many of you might be uh in involved in the planning and the bachelor budgeting and the quoting for new businesses uh and uh By Nature that uh process is based on assumptions uh so uh the plan planning
And budgeting and quoting for new business starts before drop one and is often based on is naturally based on on assumptions um however uh once the business has been granted and production starts consumption kicks in and to de-risk the business and make sure that you as a business and as a manufacturer
Achieve your ESG targets as well as your profitability targets uh we see a missing link between the assumptive and the consumptive side of the house and that’s why we believe in providing you more insights into the consumption and how to monitor the consumption is an important important topic for this audience
Is there anything you want to add to that part Nick before you uh introduce us to how to get to the to the value and customer examples so I mean the only thing I would actually everdicker is the only assumptive side of things a tremendous amount of effort is applied within the
Organization to gather those the information that’s needed to make those assumptions um and those assumptions are quite profound you know every business needs to report on for example their their carbon emission you know and your scope one emissions which are related to your manufacturing processes and the materials that you use from your
Suppliers as well you know all that effort needs to be brought better into context because as you supply to somebody else that becomes then their scope three emissions so there’s a chain of information that needs to be done here but it’s all done on gathering information in disparate places and not
Actually linked to really what are you doing how many parts have you used how much energy have you consumed in making those parts and as regulatory requirements are increasing in terms of the accuracy of that reporting you know there is a fundamental need to move away from assumptive models to actually
Looking at what’s really consumed to produce the things you are saying um so I think that to me is a big one of the biggest shifts and the challenge is actually understanding the elements that drive that consumptive model and actually it’s not really a model but actually consultative results in there
In that respect um brilliant should we should we move on uh in this so um the problem is I would say industry I think everybody probably has heard of the term industry 4.0 uh 4.0 for Germany you know it’s industry theip or null I got my German I got an
English mixed up there but industry 4 has been around for over a decade you know it was invented uh in Germany as part of a major probably Hanover actually uh and launched by the German government but 10 years later we are we as businesses are still still
Struggling to get to the value of Industry 4.0 and we’re working on a real Paradox at the moment because you know looking at the McKinsey results on the left hand side it’s clear that the majority of organizations and Executives and organizations particularly McKinsey you can say it’s Executives yeah are
Seeing this as critical to keep their operations running and improving the operational efficiency and many have started journey of Industry four and started to do and deploy the Technologies but they’re caught in what we call the pilot trap you know the majority of these these technology implementations are failing
Um and really are struggling to get to the value and the True Value within the organization so if we move on rudiger what we we’ve talked about value speed and scale here and really the first part of that journey is getting clear understanding of the why the financial why between improving these things
Um no an average downtime event we talked about previously um can cost up to four uh sorry up to two million dollars and that does vary by the way quite significantly between the industry you’re in but clearly knowing what the implication of the problems you’re trying to solve
Has a massive value in there and the environmental impact you know value is not always measured in pounds Shillings and Pence as we say in the UK but can sometimes be measured in the impact an organization has on the environment and also the society around it so you know
Increasingly you know we’re not talking about punitive fines here we’re talking about the ethical responsibility of a manufacturer and the value it creates within the society operates and the environmental impact it has and finally you know Workforce in manufacturing there is a global deficit of people to be able to do these skilled
Jobs that make things um and getting the talent in bringing and attracting new Young talent that is wanting to be part of what has historically seen as being a dirty industry is critical for organizations to be able to continue to operate in the future and create the value and the
Return on value to the shareholders if we continue um yeah 74 and we talked about are failing one of the problems is they’re slow projects they are difficult to release whilst they have struggled to actually connect directly to Value they’ve also often struggled to deliver you know often these projects start off
Designing and building something off a platform where actually these problems have been solved already by building and buying Sorry by buying commercial Products off the shelf you know and as rudiger mentioned at the start of this presentation that was the Genesis behind connectio 20 years this organization has been in Industry solving industrial
Problems and quite frankly solving the same industrial problem over and over again so we’ve made products out of that so go for products that get you to speed to delivery and obviously speed to delivery awesome is speed to value another element which is a kind of a
Fake or false assumption when you go to Industry poor and enable your organization to address um your ESG challenges as well as your profitability and efficiency challenges is you can’t do that with the kit you got out at today on the shop floor and that’s completely wrong that’s a false
Assumption many of the Technologies including our own ones in our connectio are able to be retrofitted to the what you have today you can make your existing products and Assets in your factory smart and connected um and that’s a major barrier to remove so there is no major Capital Investments than needed
And the final one is this real real soft thing when you move forward and actually accelerate your digital transformation Journey address those profitability questions address sustainability questions ultimately about people and you’ve got to get the hearts and minds of those people on board with the journey and the
Transformation that you have to go through and people unlike processes are not machines yeah so you have to win them over you win them over people adopt and use it if people adopt and use it you get to Value we’re going to go back to Value over and over again
And then finally if we move to the last slide on these points scale now I I I I work with the world economic Forum World economic forum is very famous for something called The Lighthouse industry Lighthouse programs Lighthouse programs show a great example of a factory that’s doing some great
Things using modern Technologies you know perhaps significantly reducing its emissions or increasing its operational performance and improving its operating margin the challenge there is how do you actually do that not just in one Factory but across all the facilities that you have so the trick to do that is to focus
On things that are repeatable um and sustainable in terms of their value not just about one-time hits but in years to come we’ll still implement the value and can be applicable across the board don’t just think also about the value in terms of the board and the and the
Executives in the organization this stuff has to work from the Grassroots up so when you think about these changes in your organization start thinking about the shop floor transformation and the changes and all the way up to the top top um the board level so energy reduction
You know and making sure that energy reduction is on the agenda of the executive is very easy there’s a financial consequence of it but make it felt and impassioned about the operator as well on the machine so they want to make sure the machine is using at least
Or the least amount of energy as possible and you know the start of this I talked about scope one and scope three about the supply chain as well and you know don’t just think you know around some of the things you can do to improve the sustainability credentials and as a
Consequence some of the profitability in the organization think about it across your entire value chain you know when you’re doing some of these changes can you also make those changes available to your supply chain but also promote those on what you’re doing to your to the companies you’re
Supplying to and some of those then start to have some of those social implications as well because you’re dry you’re enabling that um across the whole organization and into the local um the local society as well so um just some ideas of value speed and scale so let’s bring this to life um
This is truly an ESG story so um one of connectio’s customers is a reverse manufacturer now what do I mean by reverse manufacturer because that’s a unusual term um you know if you think about it is if a manufacturer makes a car at the end of
The car’s life that car has to be recycled it’s part of the the circularity um and that recycling when you take a finished product and then strip it down into its base components of materials that fundamentally is reverse manufacturing and there’s huge value in a vehicle as you scrap as
You kind of reverse and recycle what’s behind it so um this particular organization you know they take close to 150 000 Vehicles every year back into their facilities and from that can produce nearly half a million tons of Quality Steel that can be reused and that circular economy really kicks in into
That position they don’t just do that in one place they do that in 23 facilities across their across the UK and you know just to put that when we talked about a four hour downtime being worth a couple of million well as I said it there is quite
Dramatically but in one of their facilities and hours downtime is somewhere between 15 to 20 000 pounds um so if we look at this the company really had to address that downtime because it was actually affecting the whole ESG cycle there because they can’t recycle cars the supply chain backs up now
That’s really interesting because when the factory is down Lorry loads of cars get stuck on the road because they can’t come into the facility and offload them um so they turn to connectio and the asset minder predict product to really help them understand across the facility what’s working well and what wasn’t now
As I talked about before this isn’t about putting new equipment in and what you see on the left hand side here is actually what we do there is this the little white devices so these are sensors and what they’re doing is on the on on this in particular
I think this is a I think very sure this is a bearing on a motor it it’s just measuring that’s actually a cycling fan I was trying to remember what it was it’s actually written on the picture but it’s measuring the vibrations of what’s going on
And I’ll show you in a minute the information that you can detect and deduce from just looking at the vibration of it and we’ve deployed over a hundred of these across the facility and they are speaking to our connectivity later our our gateways and that Gateway transmits this to a single platform that
Um that talks now that single platform is giving the customer the insight to understand what’s going on across the critical assets so there’s 25 critical assets across their Factory and that’s helping them understand the health of it and understanding when to take intervention so that stops two things it prevents
Doesn’t eliminate by the way and we’ll go on to that in a second but it prevents downtime but it also means if you start seeing trending patterns um going out you can actually make earlier interventions and perhaps swap a bearing out now what that means is you put a new
Bearing in but that old bearing can also be brought out and then again remanufactured now one of the things I did I used to work for SKF which is one of the largest bearing manufacturers in the world a remanufactured bearing uses 90 less energy to produce so again when you do that it
Significantly impactful in terms of the environment as well as stopping you having downtime so it has a massive profitability Implement implementation um we talked about this earlier but this stuff it doesn’t take months to implement uh literally 60 days from the point where you got an order we had an
Operational system that’s pretty unheard of in the world of iot and it took us two weekends to implement it um The Journey though we’re not going from zero to two thousand miles an hour uh from the beginning the customer is going through a journey the first journey point and we’re still kind of
Moving through that so half the day the data so they’re in that awareness phase what is the healthy assets what’s going on and I do something to prevent it um we’re transitioning right now into the alerting phase so now we’re aware of what’s going on we’re making proactive interventions we’re telling people hey
This sensor here on the Cyclone fan is going out of kilter and then finally is the prediction so let’s bring this to life here this is actually what you’re looking at is the actual vibrations of one of those little white um uh sensors and what you see here is
In in this is a start stop in February and you can see there’s like a a pattern going along and it’s sitting behind these red the yellow and red lines and the yellow and red lines are the thresholds the alerting thresholds which are set by ISO standards for example
And you what you see here on the 23rd of February there’s a massive Spike and then you can see that spiking increasing over time and then running at a very high level so a few days until the 24th of March happens is that that Cyclone uh well
Actually this is the air knife and a bearing in an airline started to behave very differently than it did before started to go well actually go from typically about 2G to Now 26 G um in its acceleration and then the 24th of February uh sorry 24 March just stopped dead
What happened is that’s a failure that’s a potential failure of the fan um and then for 21 days that fan wasn’t running yeah let’s say they’re just waiting for the spare parts to come through and then the fourth uh 14th of April things start up and as you can see the
The vibrations are back to normal again so what’s this telling us well this information can be used by your people to keep things up and running you have a failure you could have taken in that 30-day window intervention or even nine days in if it took 21 days to Source the
Part or even recognize something goes wrong you need to leave time to Source new parts potentially so this is just a real example of how vibration alone can help you improve both the efficiency because obviously in that time it’s running it’s going to be using more energy than it would normally do and
Actually predict when something fails and avoid the downtime um just going actually I forgot I had this slide but this is actually going right down into the details but the really clever thing that can go on here is we can look at these little patterns
Um and what you can see here is the G the same as you saw on the previous side but analyzed in a different way so this is a a Time wave form um and what you see at the bottom is a normal behavior and you see there it’s
Normally just running and there’s a very cyclic pitch because obviously things are going round and round and round but what you can see here and above is the problem we saw and what you see here is um these little spikes of acceleration and that you know and we can actually
Read those our software can help you understand and read them and actually like it’s like a little bit like reading tea leaves in the bottom of a cup you can actually understand what’s potentially going wrong with that that bearing so you’re not only knowing something might fail but why it is
Failing as well and that really helps you make smart decisions fast um so what was the benefit well we know that in less than 10 hours of downspyme this software will be paid for and we are monitoring that right now with the customer it took us from go live less than 48
Hours to support or identify the first opportunity of value creation let me get and again let me bring this back to an ESG context this wasn’t about something failing but what we did notice is the extractor fans in the building were turning themselves on at two o’clock in the morning
But the factory is shut down at two o’clock in the morning it’s wasted energy so it’s not just about all that clever stuff about spotting things that might break it’s about using that information to make smart decisions that actually here saves the company money in terms of energy but also therefore if
They use less energy their carbon emission ultimately drops they they are now from the work we’ve done uh we’re an activity we’ve actually sold the second site now we’re now looking to bring it into the third site and now they’ve got the um the vibration information the next stage of the
Journey which uh looking at us with is not just looking at the vibration of the machine but looking at the energy consumption because when you start combining the energy consumption with the vibration then smarter decisions can be made as well and but you really then
Know how much each of these beats a kit are consuming and start to be able to report accurately this is back to the consumptive position accurately you say per ton of Steel how much energy did you need to do to produce that ton of recycled seal so
That kind of ton per squ uh carbon emission or you know is absolutely critical for that consumptive calculation um so to to Really to conclude with um we are really working with companies to help them achieve their sustainability goal we talked about two things there we talked about energy
Um we’ve talked about vibration but you know this is really where uh sustainability starts to meet profitability sustainability until recently was very much a topic you’ve had to have but nobody knew why other than being told you had to reduce it now there is a real Financial imperative so
If a company can reduce energy costs between three to twelve percent is watch where is what we’re seeing here that’s a financial that is really a bottom line impact you can have and given the energy costs have typically particularly gas and electricity have gone increased over the past two years
By over 300 percent and again that’s hitting your margins all the time yeah a small increase or Improvement like three to twelve percent of energy usage has a big implication in terms of businesses profitability um reducing the downtime because if you’re not produce if you’re down you’re not producing things as well
So reducing that unplanned downtime of around about 30 as a massive implication in terms of the ability to produce Parts but also means that you’re not having the lights on when nothing’s producing so making sure that every drop of energy you’re using is being using to produce
Things is being used to produce things productive uh productively and accurately so a typical organization can easily say say about 2 million a year through just looking at those elements alone and that’s based on about a 500 million dollar uh turnover business so real savings can be had some very
Simple and quickly implementable Solutions um really I think this is uh towards the end of the presentation so let’s open up to some questions yep thank you okay thanks rudiger Nick let me chime in here for a second um first I I do a fair number of presentations at accounting conferences
I have a practice of then going to the exit door before they leave and people greet me and they say very interesting and I say to them interesting or relevant there’s a difference relevant means when I go back to the office I may be able to apply that and I
Hope that is applicable to the attendees I want to make a comment about rudiger and Regulatory Agencies I think we may be underestimating how quickly regulatory agencies are going to start coming up with standards to monitor progress meeting Targets this is going to put some pressure on board
Of directors and CFOs and the executive team you know I don’t think they can basically play games you know they’ll be an increase in standard setting I know I’m a little bit involved with uh CO2 reporting and actually accounting how to how to measure it so
Um I did have a member of soce who had a conflict but they asked me to ask you to a question and here’s the question what has been a major lesson learned by your customers that have implemented your asset minder software this is a curveball I know you’re in Germany and
UK curveballs are American baseball but this is the curveball what has been one major lesson learned implementing what from that your customers have learned implementing your tool yeah I’ll I’ll start and I’ll let you add Nick yeah so uh one is um the to the example that Nick has shown um
The adoption is an important piece of it yeah making sure the the system is not been not just been implemented it’s been used and it’s been the value it provides has been uh leveraged by the by The Audience by the uh um by the employees yeah so uh that is uh definitely a
Lesson learned and to your recent point with the Regulatory Affairs um what uh customers value using asset Miner is the the amount of information and the historical information they gather and capture by using asset minder so when it comes to um not not only reporting but justifying um justifying Investments going forward
Or uh or justifying um extensions so that that’s when they when they rely on the data that’s been that’s been captured analyzed and made available using as a minor yeah I think from my side um being clear on the value from the beginning um I think actually we guide our
Customers through that so spray less less of a couple I used to work by the way at least once one week every month in Boston so I am familiar with a couple of phrases on the other side the Atlantic um generally not by the way using generally using s’s rather than Zeds to
Get it spelled correctly um but um I think ultimately it’s the power rudiger mentioned a phrase yeah if you can’t measure it you can’t improve it what we do is we start to measure things they’ve never been able to measure before um and that is
Um a moment of when companies go aha the light bulbs come on you know you think about a page you know a paint shop and understanding how much energy is being used not just by the paint shot but by the oven versus the sprayers versus the Conveyor Systems and actually saying
That you you’ve got the oven on the Conveyor Systems are off but the sprayers are still you know powered up what’s going on you know you can’t drop the oven all the way down because it costs too much to raise the air temperature but you can reduce the temperature and
That Insight that you suddenly get by seeing the data but connecting it to the real world is is so critical and finally is that piece there this we talked about technology it’s 20 if less technology 80 if not more people and data is nothing without knowledge I
Mean there is a huge explosion around artificial intelligence right now it’s a buzzword and and I see many of my customers hiring data scientists but you a data scientist in industrial context is useless without the knowledge of the process um so a great example again as I was
Working with a customer this week where we were saying look at I think you’ve probably got an issue with your bearing on this particular item and then they went two two things they said which always makes me smile one is yeah we could hear it so you knew about the problem and
That’s a learning a lot of our customers have is the people around the maintenance Engineers walking around know what go what goes on we’re just now measuring it to prove it but secondly it wasn’t the bearing it was actually the the rotating item was out of balance because of some
Um muck that had stuck onto one onto the fan blade so what we detected as a bearing failure was actually something completely different and that’s not a problem with our software It’s a combination of knowledge and data gives companies the greatest value from these products so I think
That is probably for me one of the greatest learnings you can have we just have seven minutes and so be brief on answering this one and then we’ll hand it off to Jerry to do some concluding remarks about the society Quest Engineers but this has to do with
Uh in your presentations about hearts and Minds and the need for soft skills in addition to the hard skills of being you know measured scientists engineers and so forth and so the question is what suggestion do you have how to overcome resistance to change because that’s part
Of the soft skills this you said getting the hearts and minds but some of the hearts and minds they’re not on board so what is the suggestion to how to get the buy-in from uh people that are either skeptical or maybe there’s politics at play and you’ll need to be brief so that
We can end and end on time make it relevant to the individual that is that is key yeah so I I think um not everyone I mean everyone should be concerned about ESG but not to the same extent and so it needs to be relevant to the individual and head them
In their day-to-day job that is key Nick I was going to say is that the same you know if you can show how it adds value to their world people tend to be more receptive um communicate is probably one of the simplest things you can do if they’re
Aware of these things you have time to overcome some of it and I guess the third one very quickly is you can’t win everybody except the fact you can’t win everybody’s minds but you will ultimately have some people that will act as advocates and gradually everybody will come over yeah very good
Uh my interesting or relevant I would basically say this presentation was was relevant so Jerry I hope you’re still on I’m going to toss it back to you some concluding remarks and uh the attendees I hope you come to our future webinars go to the website as well there’s a lot
Of archived material there and good reading material blogs I’ve authored a few of them so Jerry let you um oh and there’s I think some oh good I’m glad you put that up um email addresses for rudiger and Nick if you want to directly communicate with them so Jerry concluding remarks
Sure sure thanks Gary for uh for moderating and thanks you guys for uh presenting today fantastic um as Gary did uh allude to that we’re going to be doing a uh hopefully a web webinar webcast once a month and the next series is going to be based on all
Of our sponsors so each of our sponsors will take a a day and uh explain their software and their Solutions and uh the benefits that each one of them provide Gary will be moderating those as well uh so thanks Gary for doing all that um also want to remind everybody that
The Society of cost Engineers basic membership is free based on uh all our sponsors contributing to our financial status we are going to be implementing a premium membership will you get access to a little bit more information a little bit more benefits so stay tuned for that and uh I guess
That’s it for me everybody have a great day thanks for presenting go out and enjoy the rest of the day thanks guys cheers thanks everybody thank you