Primer for IT Opportunities with the Convergence of IT & OT

© 2021, Kellie Christensen. All rights reserved.
Kellie Christensen
CIO
IT OPPORTUNITIES WITH THE
CONVERGENCE OF OT & IT
Manufacturing Operational Technology & Information Technology Overview

About the Speaker
Kellie Christensen has more than 25 years of experience in software and technology in
a variety of progressive roles. Most recently, Christensen served as the CIO and Vice
President of Information Technology at Banner Engineering Corp – the U.S. market
leader in sensing technologies for factory automation with global manufacturing plants
and sales offices.
The importance of sensors in Industry 4.0 – Industrial Internet of Things (IIoT) –
positioned Christensen in a unique role within the corporation for the newest industrial
revolution. She explored new and non-traditional market partnerships to develop the
business, as well as advise the engineering group on development involving
networking, software and cybersecurity.
Christensen has an MBA from St. Thomas University in Minneapolis and received her
BBA from the University of Minnesota, Duluth. She also holds an active CPIM
certification with APICS.
2
Kellie Christensen, MBA,
CPIM
linkedin.com/in/kellie-christensen-mba
Kellie.Christensen@comcast.net

Purpose
The purpose of this presentation is to give a high-level overview of Operational Technology (OT) in
manufacturing and present some of the areas of opportunity for Information Technology (IT) to partner
together to reduce risk, reduce cost and in many cases, increase revenue and customer satisfaction.
Whether you’re new to the manufacturing industry or you have not had the opportunity to partner
closely with your manufacturing colleagues, this overview is meant as a primer to get the conversation
started. As the technology used in OT environments is continuing to be more modernized, there is
significant opportunity to work together to better manage the technology to accelerate business results.
Any feedback on this primer is welcome and appreciated.
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Agenda
• What is Operational Technology?
• Industry 4.0 & IIoT
• Convergence of IT & OT
• Opportunities for Synergy
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Operational Technology (OT) in Factory Automation
• Ruggedized systems that control the
infrastructure that power & control the
plants and keeps the factory lines running.
• Components include -
• Control systems
Examples:
– SCADA – Supervisory control and
data acquisition
– PLC – Programmable logic controller
– MES – Manufacturing execution system
– EMS – Energy management system
• Sensors

Examples of Sensing Applications
Operational Efficiency (Throughput)
Counting
Quality Inspection
Measurement

PRODUCTION
AUTOMATION
QUALITY
CONTROL
EFFICIENCY
MONITORING
The Purpose of OT
OT is a category of
computing and
communication systems
to manage, monitor
and control industrial
operations with a focus
on the physical devices
and processes they use.

Operational
Technology (OT)
should prevent quality
issues.

Three Dimensions of Manufacturing Excellence
Product
Process
Plant
Applying Digitization
& Smart Automation

The Promise of Industry 4.0
Improve Business Operations
• Maximize Uptime & Quality
• Visibility Across Operations
• Actionable Insights from Plant Floor Data
Innovation & New Revenue Streams
• Faster Time to Market
• Enhanced Innovation
• Supply Chain Visibility
Reduce Risk
• Address Growing Attack Surface
• Streamline Compliance

Connected Things will hit $30 billion by the end of 2020.
Companies want to derive value from data.
IoT exponentially increases the amount and types of data.
Inspired by Source: Cisco Smart Manufacturing Presentation, 2018
IoT Spending will hit $1.3 trillion by 2025.
$2.9 billion (22%) will involve Smart Manufacturing.

Did we hit
the forecasted spend?
YES!

Industrial IoT Stack
Components of Industrial IoT Opportunity for IT to Bring Value
Bring Best Practices and Expertise to:
• Business Automation
• Data Design Principles
• Data Quality Management
• Big Data Management
• Modern Analytics
• Cloud Storage Partnerships/Mgmt
• Application Lifecycle Mgmt
• Cost Reduction
• Cybersecurity!
• Network Quality of Service/Management/Security

Where does OT traditionally fit?

Can look more
like this…

• Often brought in late to help optimize
and/or secure digital initiatives in the
factory
• Often doesn’t know or understand the
purpose behind the initiative, lack of
production technology & practice
knowledge
• Under pressure to implement initiatives with no
down time in production
• Lacks IT background and disciplines
• “Just get it done” mentality/highly reactive
The Challenge
Both sides are struggling to meet
OT
IT

Why Converge?
Manufacturers need to have a connected factory if they want to
• Reap the benefits of big data
• Gain information for better decisions
• Optimize business processes
• Minimize sudden machine failures (predictive maintenance)
• Reduce operational costs
• Lower risks and shorten project timelines
Source: “IT and OT Convergence – The Inevitable Evolution of Industry”, IoT for All, May 16, 2017
….AND cybersecurity is essential to protect plant operations

Which can be distilled to….
OPTIMIZE
EFFICIENCY
REDUCE COST REDUCE RISK
INCREASE
VISIBILITY
DO THESE CONCEPTS SOUND FAMILIAR?

Which can be translated to….
BUSINESS
PROCESS
OPTIMIZATION
APPLICATION/
INFRASTRUCTURE
MGMT
CYBERSECURITY
BIG DATA MGMT
& ANALYTICS
DO THESE CONCEPTS SOUND FAMILIAR?

Are you struggling to manage the large volumes of data
being created in your manufacturing plants?
To Gain Insight, Ask Your Partners in Manufacturing…

Are you struggling to consolidate production
data and present it meaningfully?
How might mobile applications create efficiencies in
your plant operations?

How would applications help to
improve plant operations and visibility?
Are IT and production personnel
working together
to streamline plant operations, reduce risk, etc.?

In Closing
As the silos are broken down between IT and OT, corporations will gain commercial
opportunities as well as risk and cost reductions.
This is a journey and not a quick fix. It starts with clear corporate objectives at the
highest level and support that is fostered with strong communication and
collaboration.
This primer is not meant to be exhaustive but as an aide to start the conversation.
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Questions?
28
Kellie Christensen, MBA,
CPIM
linkedin.com/in/kellie-christensen-mba
Contact:
Kellie Christensen

Primer for IT Opportunities with the Convergence of IT & OT

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