Brownfield vs. Greenfield - Every Company can become Part of Industry 4.0

The Greenfield approach in Industry 4.0: the ideal

When smart factories are described, it is the “pure idea” of digitally transformed and networked production that is being referred to. All machines and systems are equipped with sensors that monitor ongoing operations, workpieces are smart objects that are equipped with chips and can provide information about their current processing status, and data storage in the background allows in-depth big data analyses to be carried out, which in turn serve as a basis for improving and adapting processes.

The smart factory described here must be understood as an ideal state. This ideal form of a networked factory would come about if you were to build a perfect production plant from scratch using every trick in the book. The problem with the so-called greenfield approach is that not every company that wants to take advantage of all the benefits of networked manufacturing can simply plan and build a new factory from the ground up.

This is how the German Electrical and Electronic Manufacturers' Association (ZVEI) visualizes digitized industrial production.

Factories and production plants are usually built to run for at least 20 to 25 years so that the costs can be amortized and profits generated. Greenfield projects are therefore the exception rather than the rule, and the majority of companies can more easily implement digitization in a brownfield plant. Nevertheless, there is currently a great need for action because more and more companies are switching to Industry 4.0 and competition is increasing accordingly.

The brownfield approach: the reality

In most cases, the reality is different. Many factories and plants were planned and built at a time when it was not yet clear how quickly the development of digital networking would progress. As a result, the production conditions in many factories no longer meet today's requirements.
 

A factory or production plant that has already been built and has been in operation for some time is described as a “brownfield” plant – a “brown field” is therefore a field that has already been built on. Accordingly, the brownfield approach in the context of Industry 4.0 involves the digital transformation of an existing manufacturing plant.

The first central step in a brownfield project is the digitalization of all analog components and processes. To prepare a conventional factory for networked production, for example, it is necessary to consistently digitize all processes in which communication is still based on paper or is carried out “by word of mouth”.

Just as the “paperless office” was based on the elimination of paper, this analog medium no longer has any significance in the smart factory either. The second decisive step on the road to networked production is the digital networking of machines, people and materials, for example with the help of sensors or RFID chips. There is no single recipe for success here, precisely because every company has achieved a different degree of digitization. So, very specific solutions have to be developed for each company in each industry.

The main challenges of digitization

When it comes to digitizing already existing processes, i.e. the brownfield approach, it is particularly important to ensure that they are transferred completely and with great care. Errors in the transfer from the analog to the digital world can have far-reaching consequences. Insufficient data quality is one of the most common sources of error in data science projects.
 

The problem is that all gaps or errors in process knowledge are adopted when linking to IT processes. Experts estimate that up to 40 percent of data in the IoT environment could be inaccurate, poor quality, or faulty and therefore useless. A typical source of error is duplicate data records or differently formatted data based on old industrial reporting systems, for example. When attaching measuring sensors, it is also important to ensure that the measured values are correct and not distorted by external influences. If you want to learn more about how to achieve optimal data quality, we have put together the 5 most important tips for doing so.
 

Many companies are hesitant to tackle Industry 4.0 because it seems like a Herculean task to digitally network the entire production process from now on. It is enough to find a single use case to start with and to implement it successfully. In our experience, the results are so convincing that the workforce is also more quickly and actively involved in the next project. This is how digital transformation can be achieved step by step. Complete system architectures are difficult to set up in parallel with ongoing production anyway.

Older systems in particular can benefit

Older machines or industrial systems in brownfield plants can benefit from digitalization and a switch to a data-based approach. This is because they are much more prone to maintenance than new systems. The more often machines need to be serviced, the longer the downtime. Even if only individual machines are out of action, for example because special spare parts are needed, in the worst case the entire production process can come to a standstill. The consequences can be enormous economic losses. In view of this situation, predictive maintenance offers a solution.

In this approach, a machine or production plant is equipped with numerous sensors to monitor its operation. This makes it possible to predict with a high degree of probability how long a machine will function without problems, right down to the component level. The measurement data can also be used to determine when a component needs to be replaced. This can be done before the component fails. Other digital technologies, such as VR or AR glasses, can also be used for preventive maintenance.

Every company, every factory and every plant can and must be digitized

The distinction between greenfield and brownfield plants makes one thing clear: every company, every factory and every process can be digitized. Since many companies in Germany still have some catching up to do in terms of development in the area of Industry 4.0, this approach is particularly promising. One prerequisite is crucial here: first of all, all processes in a company must be digitized. Only then can the actual digital transformation take place, in which manufacturing, supply, maintenance, production, delivery and customer service are linked in real time via the internet.

This digital networking of the manufacturing process is the core idea of Industry 4.0 and a promising concept that can make companies in Germany competitive and future-proof.