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Published: 21 December 2017      

Cargotec and Konecranes share new digital ecosystem

Both companies are participating in a new digital ecosystem launched by the Finnish innovation hub DIMECC Ltd.

DIMECC is working to develop a standard framework for connectivity and the flow of data necessary to support the Internet of Things in an industrial environment, such as a container terminal, that will underpin a new category of digital services.

This does not exist today, and the DIMECC report notes: “As life-cycle data of long-lifetime equipment fleets are often fragmented and possessed by several players, like manufacturers, owners, operators, and service providers, the emerging issues must be resolved concurrently, to everybody’s satisfaction. There are often technical issues, such as what information to collect from various sources and how; operative issues, such as how to make information collection, analysis, and utilization so efficient that the value exceeds the cost; and business model issues, including how the value is shared between different players involved in services around complex distributed fleets”. 

With its “S4Fleet- Service Solutions for Fleet Management” project DIMECC has identified and studied three major areas: strategic intelligence in fleet management; changes needed in the operational management of companies during that transformation; and technology enablers for fleet-based industrial data symbiosis, to produce a framework for future digital services. 

Konecranes played a leading role in DIMECC, with Juha Pankakoski, Executive Vice President, Technologies at Konecranes, serving as the chairman of the Connected Industry ecosystem.

“Konecranes’ vision is to know in real time how millions of lifting devices perform and use this knowledge around the clock to make our customers’ operations safer and more productive. In practice, this means that customers will receive new digital services, which are based on the data generated by equipment.

“Devices’ capability to analyze their status and communicate their findings, combined with digitalized maintenance processes and real-time information for our customers, will enable new developed service products. Cranes must also be able to adapt to their environment and operate autonomously as part of the logistics chain,” Konecranes said in a statement.

“Connected Industry makes it possible, for example, to connect current manual cranes to a fast mobile broadband and thus become part of a digital factory. Konecranes wants to be in a leading position, when logistic processes are enhanced with goods’ flow data. This can broaden our existing business model as the producer of equipment and maintenance services to a company also generating added value for operative logistics, helping customers in many new ways,” added Juha Pankakoski.

Cargotec stated: “The vision of the Connected Industry Ecosystem is to transform rapidly increasing data into creative new business. The ambition is, for example, to apply artificial intelligence to companies' activities and build platforms and standards to enable data sharing between the participants.
"Digitalisation is one of Cargotec's strategic must-win battles, and it is natural and important to us to be part of industry ecosystem that aims to develop it. We have plenty of previous experience from similar collaboration efforts. For example in 2016 we, together with leading maritime industry and ICT companies, started work to establish world's first ecosystem aimed at creating autonomous marine transport system to the Baltic Sea by 2025," said Tuomas Martinkallio, Director, Digital Service Enablers, Cargotec.
"Already now, our business areas Kalmar, Hiab and MacGregor have produced a number of significant digital solutions. With this cooperation effort we believe that new innovations will emerge in this area. In a logistics process, an efficient sharing of information will open new opportunities to optimise supply chains. Without support from an ecosystem, a single actor would not succeed in this”.

Harri Kulmala, CEO of DIMECC, emphasised the importance of inter-company cooperation: "The Connected Industry Ecosystem brings together leading machine builders and leading providers of digital solutions, components and services. We want to be in the front line of connected industry where traditional supply chains are replaced by systemic value creation, while digitalisation supports the emerging of new business.”

DIMECC’s report notes companies need to make a serious commitment to digitalisation if their offerings are to deliver real value: “The industrial internet and the more widespread utilization of data offer huge opportunities for both manufacturing companies and software companies. However, it is not sufficient to “just install sensors in products” and then start obtaining the benefits". The S4 project identifies the technical requirements, relational requirements (including contracts with customers covering the use of data) and organizational requirements necessary to capitalise on the industrial internet and digital services. 

The report can be accessed here:

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