Man, Machine Andthe Factories Ofthe Future
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#8 –November 2018 -Special Edition for Founders Forum xIndustry In Partnership With Henkel Conference TRANSFORMING A DIGITIZING GROWING UP DIGITAL GERMAN GIANT LOGISTICS WHAT INDUSTRIAL Q&AWITH HENKEL’S A$4TRILLION COMPANIES CAN LEARN CHIEF DIGITAL OFFICER OPPORTUNITY FROM STARTUPS MAN, MACHINE AND THE FACTORIES OF THE FUTURE SUPPLÉMENT GRATUIT AU #22816 DU QUOTIDIEN «LESÉCHOS» DU 5NOVEMBRE 2018 NE PEUT ÊTRE VENDU SÉPAREMENT Go make it. We’ll protect it. We all have amission. Core to ourmissionis protecting yours. It’s whywefocus on security from thebeginning. Becauseofthat, we’re able to help protectevery customer we serve. Whether you’re pioneeringadvancements in healthcare or buildingthe futureofeducation,GoogleCloud helpstokeepyourorganizationsafe. Seehow we do it at g.co/cloudsecureUK TABLE LETTER FROM THE EDITOR OF CONTENTS P.04 THE BRIEF It was welcome news to learn that five out of nine P.06 THE FACTORIES OF THE FUTURE of the most advanced factories in the world namedbythe World P.10 FLEXIBLE MANUFACTURING Economic Forum and McKinsey are European. The factories P.12 Q&AWITH HENKEL’S CHIEF DIGITAL were chosen outofaninitiallist of 1,000. And, as illustrated in OFFICER the stories in this magazine, there are other signs that Europe P.14 THE SEARCH FOR NEW MATERIALS is holdingits own in the Fourth Industrial Revolution. France’s INNOVATIONS Sigfox is aglobal powerhouse in Internet of Things connecti- P.16 LAUNDRY &HOME MEET INDUSTRY 4.0 vity.Germany’s arago, backed with an investment of $55 mil- P.18 CYBERSECURITY AND THE INTERNET OF lion from the private equity fund KKR, is offering corporates THINGS what it claims is aneutralalternativetoAIsolutionsoffered by P.20 FAST FASHION TAKES ON AWHOLE NEW MEANING big American and Chinese platform companies. And big European companies and entrepreneurs are collabora- P.23 FACTORY-IN-A-BOX ting through Henkel X, an open innovationplatform created by P.24 TOP 25 IIOT STARTUPS TO WATCH Henkel, a142-year-old maker of chemicals and consumer goods. P.26 AWAZE FOR FACTORIES As members of the Henkel Xnetwork gather with Sigfox, ara- P.28 HOW 3D PRINTING IS IMPACTING go and otherstartups in Düsseldorf November8and 9, they will MANUFACTURING be reminded that there is no place forcomplacency in thisfast- P.31 SPOTLIGHT ON AN ADVANCED paced digital world. As Brent Hoberman, executive chairman PHARMACEUTICALS PLANT and co-founder of Founders Forum and RobChapman, CEO of P.32 MAN AND MACHINE Founders Intelligence write in their guest essay:“Startups have P.35 AN APP STORE FOR THE FACTORY FLOOR learned discipline from industrial companies. It is time for in- P.36 IIOT: EVERYTHING IS CONNECTED dustrial companies to learn creative chaos from startups.” P.38 IGNORING THE HERD P.40 HOW BLOCKCHAIN IS CHANGING SUPPLY CHAIN MANAGEMENT P.42 GOING DIGITAL P.44 ASTRATEGIC PERSPECTIVE ON AI P.46 A$4TRILLION OPPORTUNITY P.49 WHAT CAN INDUSTRIALS LEARN FROM STARTUPS By Jennifer L. Schenker Editor-in-Chief, The Innovator —P.3 THE BRIEF THE CHANGING NATURE OF COMPETITIVENESS The changing nature of economic competitiveness in aworld HR’S USE OF AI IS INNOVATION that is becomingincreasingly INDEX GROWING AND SO ARE transformed by new,digital technologies is creating afreshset 1 —Germany 87.5 CONCERNS of challenges for governments and 2 —United states 86.5 businesses. That is the key finding 3 —Switzerland 82.5 of the WorldEconomicForum’s 4 —China &Taiwan 80.8 2018 Global Competitiveness Report. 5 —Sweden 79.8 Some 78% of human to give you 100 resumes, it will spit According to thereport, which uses 6 —Japan 79.3 resourcesdepartments expecttouse out the top five, and we’ll hire those.” abrandnew methodology to fully 7 —United Kingdom 79.2 machine learning in at least one But the company realized its new 8 —South Korea 78.2 capturethe dynamics of the global HR process withintwo years, system was not rating candidates 9 —Netherlands 77.5 economy in theFourth Industrial according to anew survey conducted for software developer jobsand 10 —Finland 76.3 Revolution,manyofthe factorsthat by Bain&Company, which polled other technical posts in agender- 11 —France 76.1 willhave thegreatest impact in human resource executives and neutral way. 12 —Denmark 75.4 drivingcompetitivenessinthe future 13 —Canada 75.0 managers at 500 large companies That is because Amazon’s computer have never been the focus of major 14 —Singapore 75.0 in the U.S., Germany,and the United models were trained to vet applicants policy decisions in thepast. 15 —Austria 74.3 Kingdom,including publicly traded by observing patterns in resumes Theseinclude ideageneration, and privately owned companies submittedtothe company over a entrepreneurial culture,openness Source: World Economic Forum acrossabroad range of industries 10-year period.Most came from and agility. from manufacturing to retail to men, areflection of male dominance The tool maps the competitiveness healthcare. Somecompanies surveyed across the tech industry. landscape of 140 economies through are already seeing successfrom TheSeattle company ultimately 98 indicators. Foreach indicator, fromideagenerationtoproduct using the technology. disbanded the team by the startof using ascalefrom 0to100, it commercialization. Some 103 Unilever,for example, is using AI lastyearbecauseexecutives lost indicates howclose an economy is countries scored lower than 50 in to help withscreening job candidates hope for the project, according to to the ideal stateor“frontier”of this area of the index,whichis and thetechnologyhas cut the the Reuters report. competitiveness. When combining toppedbyGermany,followed by average timeittakes to hirenew Amazon’s experimentoffers acase thesefactors, the UnitedStates the United States and Switzerland. people by 75%, according to Bain. studyinthe limitations of machine achieves the best overall performance The report notably finds that the But news of the Bain survey comes learning. It also serves as acautionary with ascore of 85.6, ahead of attitude toward entrepreneurial risk as news reports revealed that Amazon taletothe growing list of large Singapore and Germany.The average is the mostpositive in Israel and hadtoscrap an AI system that it companies includingHilton score for the world is 60, 40 points tends to be negative in several East was using forrecruiting purposes Worldwide Holdingsand Goldman away from thefrontier. Asian economies. Canada has the becauseitfound it wasbiased against Sachs Groupthat arelooking to One of the report’smost concerning most diverse workforce and women candidates .“Everyone wanted automate portions of the hiring findings is therelative weakness Denmark’s corporateculture is the this holy grail,” an Amazon executive process. acrossthe board when it comes to least hierarchical,both critical factors told Reuters. “They literally wanted mastering the innovationprocess, for drivinginnovation. it to be an engine where I’m going P.4—THE INNOVATOR THE BRIEF of Change Global Technology Group is an exclusive, action-based global network of male leaders in technology aiming to accelerate their diversity learning and programs. The leadersare committed to standing up alongside women to share responsibility andreinforce accountability for addressing gender inequalitywithin their organizations and the industry at large. Seventeen globalleadershave committed to being Male Champions of Change, including: — Steve Demetriou, Chairmanand CEO, Jacobs — Mark Read, CEO,WPP — Tony Hall, Director General, BBC — Bob van Dijk,CEO,Naspers — Wendell Brooks, President,Intel Capital ACCELERATING — Gavin Patterson, CEO,BTGroup CHANGE — Jonathan Newhouse, Chairman/CEO,Condé Nast International — Ambarish Mitra, Co-Founder and CEO,Blippar — Nagaj Kashyap, Corporate Vice President and Global Head, M12 — Rahmyn Kress, Chief DigitalOfficer,Henkel and Founder, Agroup of prominent male business leaders arestepping up Henkel X to become Male Champions of Change for anew group calledAccelerateHER, — Brent Hoberman CBE, Co-Founder,Founders Factory/first minute which was formed to address the under-representation of womenin capital/Founders Forum the technology industry. — David Jones, Founder/CEO,You &MrJones andOne Young World AccelerateHER, apart of the FoundersForum group, aprivate global Founder communityofsuccessful technologyfounders and investors, is working — Damian Bradfield, President, WeTransfer with anetworkoftechnology leaderstoaccelerate change throughbest — Philippe Chainieux, CEO,Made.com practices andpromote the value of gender parity.Its work focuses on — David Eun, President, Samsung NEXT and Chief Innovation Officer, threecore areas: events, strategy and innovation, and Male Champions Samsung Electronics of Change. — Frédéric Mazzella, Co-Founder and President, BlaBlaCar Its global AccelerateHER events shine alight on accomplished female — Nicolas Brusson, Co-Founder andCEO,BlaBlaCar founders, (suchasex-Google and Yahoo executive Marissa Mayer,pictured here) providingthe crucialvisibility thegroups says femalefounders Each Champion is conducting leadership assessments and focus groups need to raise capital, access new networks or partner with collaborative within their organizationsleading up to the inauguralGlobal Tech companies.The group says it is evaluating and mappingbest practices Group meeting in January 2019 in Davos, Switzerland. The Global Tech across technology companies, providing partners with guidance and Group will meet again in London next June around AccelerateHER’s advice on the latest innovative diversity technology.The Male Champions