Can Unexpected Events Stimulate IT and OT Fusion?

Will Black Swan Events Become a Catalyst for IT and OT Integration?

An unexpected incident, known as a rare event, represents an unforeseen situation with a profound impact. While there is a debate surrounding the predictability of the COVID-19 outbreak, the extent of its consequences caught the global population off guard. COVID-19 rapidly altered the accustomed lifestyles and operational frameworks. By the conclusion of March, the count of individuals working remotely in Europe and the US had surged into the millions, with China reaching hundreds of millions. A rising number of educational institutions have shifted to virtual lessons and remote learning. E-commerce transactions have spiked, and the online gaming sector is witnessing a notable surge in participation. In the manufacturing domain, moving operations online has emerged as a pivotal strategy extensively deliberated by top executives over the recent weeks. In the foreseeable future, the existing scenario is likely to hasten, or even mandate, subsequent phases of digital transformation in industrial automation, thereby accelerating the merging of IT and OT.

1. Digital Supply Chains: Enhancing timely decision-making and facilitating proactive arrangements

In the era of interconnected economies, a single item out of stock can halt an entire production line. Numerous enterprises faced significant disruptions during the pandemic, underscoring the urgency to establish a digitized supply chain. Through the accumulation of extensive data, digital supply chain systems can proactively identify issues stemming from potential scarcity or overestimation of raw materials. Albeit the global supply chain experienced unexpected disruptions, entities equipped with digital supply chain mechanisms could adeptly assess potential risks and respond promptly to mitigate losses.

2. Digital Production Lines: Offering heightened adaptability and immediate shift in manufacturing focus

To address the shortage of medical supplies necessitated for combating the COVID-19 outbreak, numerous organizations reconfigured their production lines to manufacture personal protective equipment (PPE) and other critical supplies.

  • The perfume and cosmetic production lines at LVMH have transitioned to producing medical detergents and disinfectants.
  • The automotive assembly lines at Ford and GM have been repurposed to produce face masks and ventilators.
  • Dyson has developed new ventilator equipment by leveraging its existing technology and air purifier production.
  • Electronics contract manufacturer Foxconn has established new face mask production lines.

Previously, the ability to swiftly adjust production lines for manufacturing diverse products was predominantly embraced by manufacturers specializing in high variety and low volume production. It was perceived as a testament to adept managerial capabilities and workforce flexibility. However, in the future, this capability will be imperative to promptly respond to market fluctuations or unforeseen events like COVID-19, and may even determine a business’s sustainability. Digital production lines can monitor various production stages and promptly tweak raw material utilization and workforce deployment.

3. Remote Monitoring: Dispersing the notion of physical proximity between operators and equipment

Until recent times, operational control in industrial systems primarily relied on on-site activities. Workers had to be physically present at the factories to oversee control systems (e.g., SCADA). Following the onset of COVID-19, the necessity for “work from home” setups emerged as a safety measure to sustain operations, thereby emphasizing remote monitoring as an indispensable resource. Network administrators hurriedly assessed the feasibility of remote monitoring for each system and expedited the necessary upgrades to facilitate its implementation swiftly. These interim measures are poised to evolve into prolonged necessities.

4. Remote Maintenance: A fresh service model demanding acceptance from operations managers

Majority of clients entered maintenance agreements with their automation equipment suppliers to ensure prompt support in case of malfunctions. Despite the swifter troubleshooting capability offered by remote maintenance, operations managers retained a preference for on-site intervention by maintenance engineers. Often, upon the engineer’s on-site arrival, issues were found to be resolvable by minor adjustments or software updates, tasks that could be completed remotely. Vic Lin, IIoT Solution Business Development Manager at Moxa, noted, “The emergence of this unexpected event prompted widespread transitions in hardware and software usage. Most importantly, businesses got acquainted with the ease of remote maintenance and adapted to novel service paradigms.”