1. The Future of Manufacturing
Joe Barkai
ACE 2013
April 30, 2013

2. Out of the Recession (?)
Sources: Markit Group Holdings Ltd., 2013
ISM, 2013
Joe Barkai2
30
35
40
45
50
55
60
65
PMI
Jan 2000 - Mar 2013

3. Out of the Recession (?)
Sources: Markit Group Holdings Ltd., 2013
ISM, 2013
Joe Barkai3

4.  Optimism?
 Uncertainty!
Joe Barkai4

5. Rethinking Priorities
0% 10% 20% 30% 40% 50% 60% 70%
Manufacturing footprint and sourcingstrategies
Manufacturing process innovation
New product innovation
New/enhanced customer services
Supply chain collaboration and transparency
Transactions/joint venture to acquire access to new
markets, technology or talent
Next1-2 years
Past 1-2 years
Which of the following elements of your operations will contribute significantly to
overall profitability?
Source: Economist Intelligence Survey, 2012Joe Barkai5

6. Let’s Innovate
 Innovation is expensive
 Innovation is risky
 Innovation takes time to make a difference
 Innovation may not solve the problem anyway
Waste
Differentiation
Neutralization
Productivity
Source: Geoffrey Moore, Dealing with Darwin
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7. 0
20
40
60
80
100
120
140
160
180
200
Jul-01
Oct-01
Jan-02
Apr-02
Jul-02
Oct-02
Jan-03
Apr-03
Jul-03
Oct-03
Jan-04
Apr-04
Jul-04
Oct-04
Jan-05
Apr-05
Jul-05
Oct-05
Jan-06
Apr-06
Jul-06
Oct-06
Jan-07
Apr-07
Jul-07
Oct-07
The Tipping Point
Source: Adapted from Sketching User Experience
(Buxton, 2007), TechDigest.tv, Yahoo! Finance
Joe Barkai7

8.  “From image to implant”
 “Zero spare part inventories”
 “Minimal” supply chains
Manufacturing Renaissance?
Joe Barkai8

9. The Wonderful World of 3D
Printing

16. The Wonderful World of 3D
Printing

20.  Quality
 Reliability
 Safety
 Regulations
 IP protection
 Traceability
The Path to Industrialization
Joe Barkai20

21.  Global markets
 “Design anywhere / build anywhere / sell & support
anywhere”
 Global supply chains
Global Manufacturing Imperatives
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22. Not Much Has Changed In A 100 Years
Leverage Economies of Scale
Automation
Craftsmanship
Mass
Production
Lean, TPS
Flexible
Manufacturing
Joe Barkai22

23.  Harmonize different manufacturing plants: products,
processes, resources
 Design for capabilities
The Global Virtual Plant Floor
Demand
Forecasting
Design for
Capabilities
Plan for
Capacity
Joe Barkai23

24. Modularity and Platforms
Joe Barkai24

25. Collaborating on Innovation
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Competitors (e.g. to reduce costs, benefit from…
Academic institutions
Government/Public-sector organizations
Technology providers (e.g. IT or plant specialist)
Productcompanies (e.g. to provide a combined …
Supplier (e.g. to cooperate on product design)
Key Customers(e.g. for bespoke productdevelopment)
Much greater/ greater collaboration Same level of
collaboration
Much less/less
collaboration
No collaboration
Source: Economist Intelligence Survey, 2012
Do you intend to collaborate in innovation more or less with the following external
groups over the next 12 to 24 months?
Joe Barkai25

26.  The „ME‟ economy
 From products to performance
 Dynamic innovation-networks
Evolution of New Business Models
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27. Joe Barkai27
 The „ME‟ economy
 From products to performance
 Dynamic innovation-networks
Evolution of New Business Models

28. Design DeliverMakeInnovate
Customer as
Designer
Mfg. Supplier
Design
Suppliers
Manufacturer
Local Plant
3rd Party
Service
Provider
Sales
(Products &
Service
Customer
Customer as
Manufacturer
Supplier
collaboration
Predictive Maintenance
Everything and Everyone is Connected
Service
Customer Intimacy
Joe Barkai28

29. The Digital Thread
 Enterprise PLM/PDM strategy
 Foundation for data quality and analytics
 Multidisciplinary optimization
 Leverage emerging IT models
 Cloud
 Mobility
 Social business
 Big data and analytics
Joe Barkai29

30. • Multiple datastores
• Fragmented processes
• “Localized” / domain specific
analytics
Connect, Analyz
e, Predict and
Act
• Outsourcing design
• Collaborative design
Increase Value
Reduce Waste
• Limited visualization
• Cloud
• Mobile-enabled
Reduce
Complexity
(&Complication)
Strategy for Success
• Single virtual data model
• End-to-end multidisciplinary visibility
• Predictive analysis
• Context sensitive, smart action
• Design for performance
• Customer centric
• Modular & reusable design &
processes
• “Glocal” manufacturing
• User /context aware decision making
• Context sensitive, smarter action
• Visual decision making
• Social-embedded
FROM TO
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31. Stay In Touch
(and request presentation slides)
@JoeBarkai
jbarkai@comcast.com