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How much do you know about the Industrial Internet? Publishing Time:2018-09-06 16:42
  Industrial Internet, as the key of competition in manufacturing industry is promoting the profound transformation of innovation mode, production mode, organization forms and business paradigm, and promoting the reshaping of industrial chain and value chain. It can be said with certainty that the Industrial Internet will surely bring all-round, deep-level and revolutionary changes in the future industrial development, and will have a profound significance on social productivity and the development of human history. In today's world, a new round of technological revolution and industrial transformation is emerging. As a product of deep integration between manufacturing industry and the internet, Industrial Internet has become a critical support of the new industrial revolution and an important cornerstone of intelligent manufacturing.
 
   The significance of the Industrial Internet cannot be overestimated. But what exactly is the Industrial Internet? How does the Industrial Internet change our manufacturing industry? Where is China in the world Industrial Internet landscape? In response to these major questions, our reporter has interviewed experts and explored the answers. Today, we will launch the "Three Questions about Industrial Internet" series of reports, so stay tuned.
 
  At the two sessions just concluded, the term "Industrial Internet" appeared frequently in various discussions. This year's report on the work of the government puts special emphasis on "developing the platform of Industrial Internet". "Industrial Internet" has become another hot word after the popularity of the "Internet of Things" and “smart manufacturing”.Large-scale manufacturing enterprises that we are familiar with are laying out early and seeking to reshape their core competitiveness with the help of the Industrial Internet.
 
  Then, what exactly is the Industrial Internet? "simply put, the Industrial Internet is a new type of network infrastructure that realizes the full interconnection of people, machines and things, and forms a new business format and application patterns for intelligent development," said Liu Jie, deputy director of the Information and Communication Administration of the Ministry of Industry and Information Technology.
 
  The basis of smart manufacturing.
 
   It is not difficult to understand the difference between the Internet of Things and the Industrial Internet. Because, literally, the Internet of Things emphasizes the “connection” between things, while the Industrial Internet needs to realize the full interconnection of people, machines and things.
 
  The fact that new technologies such as the Internet of things, big data, cloud computing, and artificial intelligence which bring dividends to the manufacturing industry can not do without Industrial Internet. With the efforts of professionals such as data experts and algorithm experts, many mature Internet companies have been able to apply these new technologies to industrial enterprises. "Industrial Internet itself is the product of the integration of information technology and industrial technology, and there is a strong force to promote cross-border innovation," said Liu Jie.
 
  After applying the Industrial Internet platform, Guangdong Vanward New Electric Co., Ltd. Has used artificial intelligence technology to coordinate tasks and control process between different manufacturing bases, and used big data technology to collect, archive and analyze 1.5 million pieces of data per month. With this platform, Vanward's overall efficiency has increased by more than 30%, product delivery cycle has been shortened by 20%, and market competitiveness has improved significantly. The sales revenue registers an annual increase of 4 billion yuan, up from 3 billion yuan, with a year-on-year increase of 33%. The inventory of raw material decreased from 67 million to 52 million, a year-on-year decrease of 22.3%. Remarkable economic benefits have been obtained. This is the "performance" of Industrial Internet.
 
  "New technologies such as big data, Internet of Things, and artificial intelligence are all supports of the Industrial Internet. Without the rapid development of these new technologies in recent years, there will be no boom in the layout of Industrial Internet in the world," said Pan Wen, director of the software department of CCID Research Institute of the Ministry of Industry and Information Technology.
 
   So, what’s the relationship between the Industrial Internet and smart manufacturing? In fact, the realization of smart manufacturing mainly relies on two basic capabilities, one is industrial manufacturing technology and the other is Industrial Internet.
 
  The former includes advanced equipment, advanced materials and advanced technology, which is the basis that determines the manufacturing boundary and manufacturing capability; and the latter includes intelligent sensing&controlling software and hardware, new industrial network, Industrial Internet platform, etc., which is the key to give full play of industrial equipment and the potential of processes and materials, and the key to improve production efficiency, optimize resource allocation efficiency, create differentiated products and achieve value-added services.
 
  Therefore, the Industrial Internet is regarded as the basis of smart manufacturing. "We can understand like this, that smart manufacturing is an intelligent industrial ecosystem including Industrial Internet, materials, design, technology, etc. Previously, the vigorous development of smart manufacturing in China has laid a good foundation for the development of Industrial Internet and provided good development environment," said Pan Wen.
 
   Achieve high-quality manufacturing.
 
  China FAW Group Corporation has faced a series of outstanding problems in the process of service transformation: First, the old system can not meet the high concurrent, high frequency needs of access, and there have been serious performance bottlenecks. Second, the system that runs for 10 years is old, it is difficult to superimpose new business, and it is difficult to expansion. Third, different models access different business platforms, which requires complex maintenance and high management costs. After the application of the Industrial Internet platform, not only the effective management of the tens of millions of vehicles has been achieved, but also has gained the supporting of real-time analysis of big data processing capabilities, as well as the supporting of fleet management, car-sharing and other services.
 
  Obviously, the Industrial Internet can solve the problems in the development of China's manufacturing industry and promote its high-quality development. The Industrial Internet starting from the production, can improve the quality and efficiency of the supply system, expand the effective and medium-to-high-end supply, enhance the adaptability of the supply-side structure to the changes in demand, and promote the country's economic growth in the direction of pursuing higher quality, more efficient, more fair and more sustainable.
 
  "The main role of the Industrial Internet is to support the digital transformation of manufacturing enterprises, effectively help enterprises to improve production efficiency and reduce costs." Pan Wen said that on the one hand, the Industrial Internet can promote the transformation and upgrading of traditional industries, so that each resources are more optimally allocated and more industrial economic benefits will be obtained; on the other hand, it can accelerate the cultivation of emerging industries, such as industries of intelligent production, network coordination, service extension and personalized customization.
 
  The concept of the Industrial Internet was proposed by General Electric Company (GE) in 2012. And GE believes that even if the Industrial Internet can only increase the productivity and energy efficiency of China's specific industries by 1%, it has the potential to save China's industries of aviation, electric power, railway, medical, and petroleum a cost of about $24 billion over the next 15 years. By 2030, it has the potential to bring about growth opportunities of $3 trillion for the Chinese economy. This will effectively promote China's industrial production methods to transform from extensive low-efficiency to green and high-efficiency and industrial ecology to transform from low-end immaturity to high-end perfection, and enhance the development of the overall industrial chain.
 
  "Why should we develop the Industrial Internet? Because the Industrial Internet can provide key support for the construction of a manufacturing powerhouse, and it can greatly expand the new space for the development of the digital economy." said Liu Jie.
 
  Platform system is the core.
 
  There is a saying in the industry that for the Industrial Internet, the network system is the foundation, the platform system is the core, and the security system is the guarantee. Among them, the role of the network system and security system are easy to understand, but why is the platform system the core?
 
  An Xiaopeng, deputy director of the Department of Information Technology and Software Services of Ministry of Industry, replied that the Industrial Internet platform can be said to be the "operating system" of the Industrial Internet, because the number of people, machines and things connected by the Industrial Internet platform will be much larger than the number of those connected by individual operating systems, and the value brought by Industrial Internet platform will be more than that brought by individual operating systems.
 
  “The Industrial Internet platform is also the core of the new ecological competition in manufacturing.” An Xiaopeng explained that the Industrial Internet platform has a significant “Matthew effect”. When its industry APP and users reach a certain scale, the platform will boom and form a competition by which winners will become more stronger. The Industrial Internet platform also has a significant “substitution effect”, which can greatly reduce the cost and difficulty of the information deployment of enterprises, and promote the manufacturing industry to come to a new stage of system restructuring, power transformation and paradigm shift.
 
  In the view of Yu Xiaohui, chief engineer of China Information and Communication Research Institute and secretary general of Industrial Internet Consortium, China's Industrial Internet has initially formed three major application paths, namely, intelligent factories for internal productivity improvement and intelligent products, services and coordination for enterprise’s external value chain extension, and platform operation for opening ecosystem, namely, Industrial Internet platform. The first two have been practiced a lot around the world, while the Industrial Internet platform has not been fully explored in the world.
 
  The Industrial Internet platform faces strategic opportunities for scale expansion. Chinese enterprises, such as CASICloud, Sany, Haier, Huawei, have taken the lead in launching Industrial Internet platform services based on their own manufacturing capabilities and advantages of their scales, and the platform have been widely used in many fields such as aerospace, mechanical engineering, steel and petrochemical.
 
  "Industrial Internet is spawning a new industrial system." Pan Wen believes that the mobile Internet platform has created a series of new industry links and values such as application development, application distribution, online and offline businesses. At present, the Industrial Internet platform has shown its power in application innovation and the integration of industry and finance, and is expected to develop into a brand-new industrial system in the future to promote the forming of a multilevel development environment for the nationwide business startup and innovation.