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Peer-review under responsibility of the International Scientific Committee of the 13th Global Conference on Sustainable Manufacturing
Procedia CIRP 40 ( 2016 ) 536 – 541
13th Global Conference on Sustainable Manufacturing - Decoupling Growth from Resource Use
Opportunities of Sustainable Manufacturing in Industry 4.0
T. Stock*, G. Seliger
Institute of Machine Tools and Factory Management, Technische Universität Berlin, 10587 Berlin, Germany
Production Technology Centre, Office PTZ 2, Pascalstraße 8-9, D-10587, Berlin, Germany
* Corresponding author. Tel.: +49 (0)30 314 244 57; fax: +49 (0)30 314 227 59. E-mail address: firstname.lastname@example.org
The current globalization is faced by the challenge to meet the continuously growing worldwide demand for capital and consumer goods by
simultaneously ensuring a sustainable evolvement of human existence in its social, environmental and economic dimensions. In order to cope
ith this challenge, industrial value creation must be geared towards sustainability. Currently, the industrial
value creation in the early
industrialized countries is shaped by the development towards the
fourth stage of industrialization, the so-called Industry 4.0. This development
provides immense opportunities for the realization of sustainable manufacturing. This paper will present a state of the art review of Industry 4.0
based on recent developments in research and practice. Subsequently, an overview of different opportunities for sustainable manufacturing in
Industry 4.0 will be presented. A use case for the retrofitting of manufacturing equipment as a specific opportunity for sustainable
anufacturing in Industry 4.0 will be exemplarily outlined.
© 2016 The Authors. Published by Elsevier B.V.
Peer-review under responsibility of the International Scientific Comm
ittee of the 13th Global Conference on Sustainable Manufacturing.
Keywords: Sustainable development; Factory; Industry 4.0
The industrial value creation in the early industrialized
untries is currently shaped by the development towards the
fourth stage of industrialization, the so-called Industry 4.0.
his development follows the third industrial revolution
which started in the early 1970s and was based on electronics
and information technologies for realizing a high level of
automation in manufacturing .
The development towards Industry 4.0 has presently a
bstantial influence on the manufacturing industry. It is
based on the establishment of smart factories, smart products
smart services embedded in an internet of things and of
services also called industrial internet . Additionally, new
and disruptive business models are evolving around these
Industry 4.0 elements [1,3].
This development towards an Industry 4.0 provides
mmense opportunities for realizing sustainable
anufacturing using the ubiquitous information and
communication technology (ICT) infrastructure. This paper
will present a state of the art review of Industry 4.0 based on
research and practice. Wherein, the macro and micro
perspectives of Industry 4.0 will be visualized and analyzed.
ubsequently, approaches to sustainable manufacturing are
mbined with the requirements of Industry 4.0 and an
erview of opportunities for sustainable manufacturing in the
acro and micro perspectives will be presented. Finally, a use
e for retrofitting of equipment as a specific opportunity for
nable manufacturing in Industry 4.0 will be exemplarily
2. State of the Art
The main ideas of Industry 4.0 have been firstly published
KAGERMANN in 2011  and have built the foundation
for the Industry 4.0 manifesto published in 2013 by the
German National Academy of Science and Engineering
(acatech) . At European level, the Public-Private
artnership (PPP) for Factories of the Future (FoF) addresses
and develops Industry 4.0-related topics . The contents of
dustry 4.0 in the US are promoted by the Industrial Internet
onsortium (ICC) .
© 2016 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license
Peer-review under responsibility of the International Scientiﬁ c Committee of the 13th Global Conference on Sustainable Manufacturing
T. Stock and G. Seliger / Procedia CIRP 40 ( 2016 ) 536 – 541
The paradigm of Industry 4.0 is essentially outlined by
three dimensions [3, 7, 8]: (1) horizontal integration across the
entire value creation network, (2) end-to-end engineering
the entire product life cycle, as well as (3) vertical
integration and networked manufacturing systems.
The horizontal integration across
the entire value creation
network describes the cross-company and company-internal
telligent cross-linking and digitalization of value creation
odules throughout the value chain of a product life cycle
and between value chains of adjoining product life cycles .
The end-to-end engineering across the entire product life
ycle describes the intelligent cross-linking and digitalization
roughout all phases of a product life cycle: from the raw
aterial acquisition to manufacturing system, product use,
and the product end of life .
Vertical integration and networked manufacturing systems
the intelligent cross-linking and digitalization within
e different aggregation and hierarchical levels of a value
creation module from manufacturing stations via
manufacturing cells, lines and factories, also integrating the
associated value chain activities such as marketing and sales
or technology development .
The intelligent cross-linking and digitalization covers the
plication of an end-to-end solution using information and
mmunication technologies which are embedded in a cloud.
In a manufacturing system, the intelligent cross-linking is
by the application of so-called Cyber-Physical
ystems (CPS) which are operating in a self-organized and
manner [7, 9, 10]. They are based on embedded
mechatronic components i.e., applied sensor systems for
llecting data as well as actuator systems for influencing
physical processes . CPS are intelligently linked with each
other and are continuously interchanging data via virtual
networks such as a cloud in real-time. The cloud itself is
mplemented in the internet of things and services . Being
part of a sociotechnical system, CPS are using human-
machine-interfaces for interacting with the operators .
2.1. The Macro Perspective of Industry 4.0
The macro perspective of Industry 4.0 as shown in Figure
covers the horizontal integration as well as the end-to-end
ineering dimension of Industry 4.0. This visualization is
based on a strong product-life-cycle-related point of view by
tting cross-linked product life cycles as central element of
e value creation networks in Industry 4.0.
The horizontal integration from the macro perspective is
aracterized by a network of value creation modules. Value
creation modules are defined as the interplay of different
alue creation factors i.e., equipment, human, organization,
process and product . The value creation modules,
represented in their highest level of aggregation by factories,
are cross-linked throughout the complete value chain of a
ct life cycle as well as with value creation modules in
value chains of adjoining product life cycles. This linkage
leads to an intelligent network of value creation modules
covering the value chains of different product life cycles. This
intelligent network provides an environment for new and
novative business models and is thus currently leading to a
change in business models.
Displayed in Figure 1, the end-to-end engineering from the
acro perspective is the cross-linking of stakeholders,
cts and equipment along the product life cycle,
beginning with the raw material acquisition phase and ending
with the end-of-life phase. The products, the different
eholder such as customers, workers or suppliers, and the
manufacturing equipment are embedded in a virtual network
and are interchanging data in and between the different phases
of a product life cycle. This life cycle consists of the raw
aterial acquisition phase, the manufacturing phase -
containing the product development, the engineering of the
manufacturing system and the manufacturing of the
product - the use and service phase, the end-of-life phase -
containing reuse, remanufacturing, recycling, recovery and
posal - as well as the transport between all phases.
Fig. 1. Macro perspective of Industry 4.0
538 T. Stock and G. Seliger / Procedia CIRP 40 ( 2016 ) 536 – 541
Those value creation modules i.e., factories which are
embedded in this ubiquitous flow of smart data will evolve to
called smart factories. Smart factories are manufacturing
smart products and are being supplied with energy from smart
rids as well as supplied with water from fresh water
oirs. The material flow along the product life cycle and
between adjoining product life cycle will be accomplished by
smart logistics. The stream of smart data between the different
elements of the value creation networks in Industry 4.0 is
terchanged via the cloud.
Smart data arises by expediently structuring information
rom big data which then can be used for knowledge advances
and decision making throughout the product life cycle .
Smart factories are using embedded Cyber-Physical Systems
or value creation. This enables the smart product to self-
organize its required manufacturing processes and its flow
roughout the factory in a decentralized manner by
interchanging smart data with the CPS .
The smart product holds the information about its
uirements for the manufacturing processes and
nufacturing equipment. Smart logistics are using CPS for
upporting the material flow within the factory and between
factories, customers, and other stakeholders. They are also
g controlled in a decentralized manner according to the
requirements of the product. A smart grid dynamically
atches the energy generation of suppliers using renewable
energies with the energy demand of consumers, e.g. smart
factories or smart homes, by using short-term energy storages
or buffering. Within a smart grid, energy consumers and
suppliers can be the same.
2.2. The Micro Perspective of Industry 4.0
The micro perspective of Industry 4.0 presented in Figure 2
ainly covers the horizontal integration as well as the vertical
integration within smart factories but it also is part of the end-
to-end engineering dimension.
Fig. 2. Micro perspective of Industry 4.0
T. Stock and G. Seliger / Procedia CIRP 40 ( 2016 ) 536 – 541
The smart factory as value creation module at the highest
aggregation level contains different value creation modules on
lower aggregation levels such as the manufacturing lines,
manufacturing cells or manufacturing stations. Smart factories
will increasingly use renewable energies as part of a self-
sufficient supply in addition to the supply provided by the
al smart grid . The factory will thus become an
supplier and consumer at the same time. The smart
grid as well as the energy management system of the smart
factory will have to be able to handle the dynamic
requirements of energy supply and feedback. The supply of
resh water for the value creation modules within the smart
factory is also another essential resource flow, requiring
equate and intact water reservoirs.
The horizontal integration from the micro perspective is
by the cross-linked value creation modules
ng the material flow of the smart factory also integrating
the smart logistics. The in- and outbound logistics from and to
e factories as part of the smart logistic will be characterized
by transport equipment that is able to agilely react to
unforeseen events such as a change in traffic or weather and
which is able to autonomously operate between the starting
t and the destination. Autonomously operating transport
equipment such as Automated Guided Vehicles (AGVs) will
be used for realizing the in-house transport along the material
low. All transport equipment is interchanging smart data with
the value creation modules in order to realize a decentralized
coordination of supplies and products with the transport
systems. For this purpose, the supplies and products contain
fication systems, e.g. RFID chips or QR codes. This
enables a wireless identification and localization of all
materials in the value chain.
Vertical integration and networked manufacturing systems
rom the micro perspective describes the intelligent cross-
linking of the value creation factors: product, equipment and
uman, along the different aggregation levels of the value
creation modules from manufacturing stations via
manufacturing cells and manufacturing lines up to the smart
factory. This networking throughout the different aggregation
levels also includes the cross-linking of the value creation
odules with the different value chain activities, e.g.
marketing and sales, service, procurement, etc. .
The value creation module in a factory corresponds to an
mbedded Cyber-Physical-System. The manufacturing
ipment, e.g. machine tools or assembly tools, are using
sensor systems for identifying and localizing the value
creation factors, such as the products or the humans, as well
as for monitoring the manufacturing processes, e.g. the
cutting, assembly, or transport processes. Depending on the
monitored smart data, the applied actuators in the
manufacturing equipment can react in real-time on specific
ges of the product, humans or processes. The
communication and exchange of the smart data between the
value creation factors, between the value creation module and
the transport equipment, as well as between the different
els of aggregation and the different value chain activities is
being executed via the cloud.
Table 1 provides an overview of the main trends and
development for the different value creation factors
in Industry 4.0.
Table 1. Trends and expected developments for the value creation factors
The manufacturing equipment will be characterized by the
application of highly automated machine tools and robots. The
equipment will be able to flexibly adapt to changes in the other value
creation factors, e.g. the robots will be working together
collaboratively with the workers on joint tasks .
The current jobs in manufacturing are facing a high risk for being
automated to a large extent . The numbers of workers will thus
crease. The remaining manufacturing jobs will contain more
knowledge work as well as more short-term and hard-to-plan tasks
0]. The workers increasingly have to monitor the automated
equipment, are being integrated in decentralized decision-making,
d are participating in engineering activities as part of the end-to-
The increasing organizational complexity in the manufacturing
system cannot be managed by a central instance from a certain point
on. Decision making will thus be shifted away from a central
instance towards decentralized instances. The decentralized instances
will autonomously consider local information for the decision-
making . The decision itself will be taken by the workers or
the equipment using methods from the field of artificial intelligence.
Additive manufacturing technologies also known as 3D printing will
be increasingly deployed in value creation processes, since the costs
of additive manufacturing have been rapidly dropping during the last
years by simultaneously increasing in terms of speed and precision
7]. This allows designing more complex, stronger, and more
ghtweight geometries as well as the application of additive
manufacturing to higher quantities and larger scales of the product
The products will be manufactured in batch size one according to the
individual requirements of the customer . This mass customization
of the product integrates the customer as early as possible in the
value chain. The physical product will be also combined with new
services offering functionality and access rather than product
wnership to the customer as part of new business models .
3. Sustainability in Industry 4.0
A paradigm Industry 4.0 will be a step forward towards
ore sustainable industrial value creation. In current
literature, this step is mainly characterized as contribution to
the environmental dimension of sustainability. The allocation
of resources, i.e. products, materials, energy and water, can be
realized in a more efficient way on the basis of intelligent
cross-linked value creation modules .
540 T. Stock and G. Seliger / Procedia CIRP 40 ( 2016 ) 536 – 541
Besides these environmental contributions, Industry 4.0
holds a great opportunity for realizing sustainable industrial
alue creation on all three sustainability dimensions:
omic, social and environmental. Table 2 summarizes the
rtunities of sustainable manufacturing for the macro
perspective of Industry 4.0. Table 3 gives an overview of the
opportunities for the micro perspective. The concepts
ted in both tables merge the most important approaches
of sustainable manufacturing in current literature with the
trends and developments related to Industry 4.0.
Table 2. Opportunities of sustainable manufacturing for the macro
In Industry 4.0, new evolving business models are highly driven by the
use of smart data for offering new services. This development has to be
exploited for anchoring new sustainable business models. Sustainable
business models significantly create positive or reduce negative impacts
for the environment or society  or they can even fundamentally
contribute to solving an environmental or social problem .
dditionally, sustainable business models are necessarily characterized
by competitiveness on the long-run . In this context, selling the
unctionality and accessibility of products instead of only selling the
tangible products will be a leading concept.
Value Creation Networks
The cross-linking of value creation networks in Industry 4.0 offers new
opportunities for realizing closed-loop product life cycles and industrial
ymbiosis. It allows the efficient coordination of the product, material,
energy, and water flows throughout the product life cycles as well as
between different factories. Closed-loop product life-cycles help keep
roducts in life cycles of multiple use phases with remanufacturing or
reuse in between. Industrial symbiosis describes the (cross-company)
operation of different factories for realizing a competitive advantage
by trading and exchanging products, materials, energy, water  and
also smart data on a local level.
Table 3. Opportunities of sustainable manufacturing for the micro perspective
The manufacturing equipment in factories often is a capital good with a
long use phase of up to 20 or more years. Retrofitting enables an easy
d cost-efficient way of upgrading existing manufacturing equipment
ith sensor and actuator systems as well as with the related control
logics in order to overcome the heterogeneity of equipment in factories
10]. Retrofitting can thus be used as an approach for realizing a CPS
oughout a value creation module, such as a factory, with already
existing manufacturing equipment. It extends the use phase or
acilitates the application in a new use phase for the manufacturing
quipment and can essentially contribute to the economic and
nvironmental dimensions of sustainability. It is particularly suitable
for small and medium sized companies, being a low-cost alternative to
new procurement of manufacturing equipment.
Humans will still be the organizers of value creation in Industry 4.0 .
Three different sustainable approaches can be used for coping with
social challenge in Industry 4.0. (1) Increasing the training efficiency of
workers by combining new ICT technologies, e.g. virtual reality head-
mounted displays with Learnstruments. (2) Increasing the intrinsi
motivation and fostering creativity by establishing new CPS-based
pproaches of work organization and design, e.g. by implementing the
concepts of flow theory  or using new ICT technologies for
implementing concepts of gamification in order to support
decentralized decision-making. (3) Increasing the extrinsic motivation
y implementing individual incentive systems for the worker, e.g. by
taking into account the smart data within the product life cycle for
providing individual feedback mechanisms.
A sustainable-oriented decentralized organization in a smart factory
focuses on the efficient allocation of products, materials, energy and
water by taking into account the dynamic constraints of the CPS, e.g. of
the smart logistics, the smart grid, the self-sufficient supply or the
ustomer. This concept towards a holistic resource efficiency is being
described as one of the essential advantages of Industry 4.0 [2,3].
The sustainable design of processes addresses the holistic resource
efficiency approach of Industry 4.0 by designing appropriate
manufacturing process chains  or by using new technologies such
as internally cooled tools .
The approach for the sustainable design of products in Industry 4.0
focuses on the realization of closed-loop life cycles for products by
abling the reuse and remanufacturing of the specific product or by
applying cradle-to-cradle principles. Different approaches also focus on
signing for the well-being of the consumer. These concepts can be
upported by the application of identification systems, e.g. for
recovering the cores for remanufacturing, or by applying new
additional services to the product for achieving a higher level of well-
being for the customer .
4. Retrofitting Use Case
The objective of this use case has been the development of
retrofitting solution for a desktop machine tool within the
laboratory of sustainable manufacturing of the Collaborative
esearch Centre 1026 at TU Berlin. The method for
developing the retrofitting solution covers four sequential
s: (1) situation analysis, (2) definition of the monitoring
strategy, (3) data processing and (4) implementation of the
equipment in a CPS.
The situation analysis includes the definition of the list of
uirements. In this case, the retrofitting solution is supposed
monitor the existing operational states of the equipment:
shut on/off, idling, processing and fault. It also should be easy
to install as well as cost effective.
Additionally, the situation analysis focuses on the selection
the sensor system according to the list of requirements.
In terms of the use case, an acceleration sensor has met the
T. Stock and G. Seliger / Procedia CIRP 40 ( 2016 ) 536 – 541
The definition of the monitoring strategy contains the
definition of the measuring parameters, the definition of the
monitoring position and orientation of the sensor, the
application of the sensor as well as the execution of the
measurement. For the use case, a Beckhoff PLC has
transformed the analog signals of the acceleration sensor into
digital signals for the subsequent data processing.
The data processing evaluates th
e input data according to a
predefined logic in order to identify the different operational
states. The visualization of the data has been realized by a
Human-Machine-Interface, which displays the current
al state as well as the measured vibration profile of
the machine tool. Figure 3 shows the experimental setup of
the milling machine, sensor and HMI.
This milling machine can now be implemented in a CPS.
connection with a smart product the retrofitted machine can
decentrally schedule the material flow and is furthermore able
to automatically react to any machine failures by e.g.
orming the responsible worker.
5. Summary and conclusion
In this paper a state of the art review for the current
dustrial development know as Industry 4.0 has been
presented. In order to give a comprehensive understanding of
this development, the micro and macro perspective of
Industry 4.0 have been described based on the current
findings in research and practice. Subsequently, different
opportunities for realizing a sustainable manufacturing in
Industry 4.0 have been presented for the macro as well as for
e micro perspectives. These opportunities are combining
research approaches in the field of sustainable
manufacturing with the future requirements of Industry 4.0.
Finally, a use case for retrofitting of a machine tool as a
specific opportunity for sustainable manufacturing in Industry
.0 has been outlined.
This research was supported the CRC 1026 "Sustainable
anufacturing – Shaping Global Value Creation" funded by
e German Research Foundation (DFG).
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