Although the concept of digitization has existed for several decades, it has been developed more rapidly in the industry 4.0 era.In particular, the EU released the “New Strategy for European Industry” on 10 March 2020, which defines the vision for the future of the new Strategy for European industry: industries that are globally competitive and world-leading, industries that pave the way for climate neutrality, industries that shape Europe’s digital future.Digital transformation is also a key measure of the EU’s “green New Deal”.
In September, Eu President Von der Leyen pointed out in the plenary session of the European Parliament that it is necessary to promote the transformation and transformation of the “Digital Decade of Europe”, formulate a “common plan for Europe’s digitization” and define the development goals by 2030.In the next five years, she believes, the volume of global industrial data will triple and the opportunities that follow will quadruple.The data economy will be a powerful engine of Europe’s industrial transformation. This is one of the reasons to build a European cloud based on “Gaia X” to increase data sovereignty in Europe.The EU industry will also focus on the development of technologies such as artificial intelligence and infrastructure issues such as data connectivity.
It is noteworthy that the two themes of “digital transformation” and “low-carbon metallurgy revolution” in The European steel industry are intertwined and co-exist.Digital technology will also play an important role in zero emissions.For example, Tenova, a leader in “hydrogen based direct iron reduction technology”, has partnered with Microsoft in industry 4.0 to innovate the metallurgical industry with innovative solutions for the steel industry through Microsoft’s Azure platform.
Challenges in the digital transformation of The European steel industry
There are four important levers in digital transformation: digital data, automation, connectivity, and digital customer access.At the same time, digital transformation faces the following four dimensions to achieve the integration of all systems and production units:
“Vertical integration”, that is, system integration from sensors to the classic level of automation of ERP (enterprise Resource planning) systems.
Horizontal integration refers to the integration of systems throughout the production chain.
“Life cycle integration” is the integration of the entire plant life cycle from basic engineering to decommissioning.
“Horizontal integration”, that is, based on decisions between steel production chains, involves technical, economic and environmental aspects.
Framework for the digital transformation of European industry
The following three different manufacturing modes are included in Industry 4.0.
The first is intelligent manufacturing (IMS), which uses advanced manufacturing technology and information to optimize the production process of products and services.Second: Internet-of-Things based manufacturing, which relies on developing and leveraging intelligent Manufacturing objects (SMO).Third: cloud manufacturing.
The author explains the concepts related to the “digital transformation” of the European steel industry as follows:
“Digital” refers to the transformation of interactive communications, business functions, and business models into digital form.“Digitization” promotes the integration of digital technologies into the business domain.“Digital transformation” is not only about simple transformation from “analog” to digital data and documents, but also about creating networks, efficient interfaces, and integrated data exchange and management between business processes.
“Industry 4.0” is based on new interconnections in process operations, involving interoperability, information decentralization, real-time data collection and increased flexibility, four key aspects of the fourth Industrial Revolution.The term “industry 4.0” was first used in the German government’s “High-tech 2020 Strategy” initiative.In “Industry 4.0”, as compared to “Industry 3.0”, the equipment can operate automatically without human intervention or very limited human intervention.In particular, enhanced automation and connectivity with network physical systems (CPS), including smart phones capable of automatically exchanging information, triggering actions and controlling each other independently, storage systems and production facilities.In addition, the Industrial Internet of Things (IOT) can exchange information provided by sensors working in real time, analyze data by developing predictive models, and transmit data to local servers or cloud servers.The industrial Internet of Things can detect and predict the abnormal situation in the operation process of the system in the early stage, and predict the remaining life of key components with big data according to the “predictive maintenance” paradigm, and finally realize the product quality management in the whole production chain.
The digital transformation is a key link in the fourth industrial revolution, and a wealth of new enabling technologies will be available.The Internet of Things (IOT), big data, cloud computing, machine learning (ML), artificial intelligence (AI), Service Internet, next-generation sensors, electromechanical integration and advanced robotics, network security, 3D printing, digital twinning, machine-to-machine (M2M) communication, etc., are all included.Through the application of these technologies, as well as the higher level of connectivity cooperation, resource sharing, to explore new business models.
Underpinning the digital transformation of Europe’s steel industry
3 main research projects
The first category is the study of digital and enabling technology development projects, including the Internet of things, big data and cloud computing, self organizing production, production line simulation and physical systems (CPS), intelligent information supply chain network, vertical and horizontal integration, predictive maintenance, network security work, strengthen the maintenance and service, digital logistics vehicle automated driving, knowledge management.
The second category, funded by the Coal and Steel Research Fund, includes the most active participants: The BFI of Germany, MEFOS/KIMAB of Sweden, RINA CSM of Italy, Sant ‘Anna, Thiessen, Amie, Tata, Gerdau, PRIMETALS, SMS Siemag and Darnelli.
The third category is Europe’s other funding schemes for digitisation and low-carbon technologies for the steel industry.For example, the Seventh Framework Plan (FP7) (2007-2013) and its successor, The European Horizon Plan Horizon 2020 (2014-2020).Most of these projects were launched between 2014 and 2017.Some projects include DISIRE, CoPro, FUDIPO, MORSE, RECOBA and COCOP.These projects for the digital transformation of the steel industry were already in operation before the industry 4.0 concept was proposed.
