Digitisation and Industry 4.0: the role of SMEs in the transformation of Europe’s economy

1. Challenges and support for SME through digitisation –
„Competence Centre for Digitalization of skilled Craft“
Dr. Christian Welzbacher

2. AGENDA
1 Short introduction to HPI and skilled craft sector in Germany
2 Effects of digital change on SME in the craft sector
3 Support offers of „Competence Centre for Digitalization of Skilled Craft“
4 Experiences, (first) conclusions and perspectives
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3. ► 1929 German Skilled Craft Institute
Heinz-Piest-Institute for Skilled Craft Technology (HPI)
and German Skilled Craft Institute (DHI)
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 1921 Scientific Research Institute for German
Skilled Craft Politics (Hanover)
 Since 1950 „Institute for Skilled Craft Technology “
 Cooperation with Gottfried Wilhelm Leibniz
University Hanover since 1953
 30. September 2016: 28 Employees
office
craft economy
and trade law
work, vocational
education & training
Technology –
Organization –
Qualification

4. HPI – key activities
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Promotion of small and
medium sized companies
in the skilled craft sector
Innovation and technology
transfer
Technical consultation and
expert opinion
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5. Skilled crafts sector in Germany
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► Economic sectors: Industry, service, trade and skilled craft
► 53 chambers of skilles craft, 37 national confederations of guilds
 Skilled craft sector represents
> 1 Mio. (= 27%) companies
> 5,4 Mio. (= 13%) employees,
> 371 Thsd. (= 27%) apprentices,
> 533 Bln. € (= 17%) of gross domestic product.
► Size/employees of enterprise: 93% < 20 , 2% > 50, average of 5
► SME of skilled craft sector show lack of capacity for innovation:
External support needed to seize chances and
opportunities related to digitalization!

6. Digitalization is not limited
to the producing industry
sector, it is affecting the
whole economy!
Digitalization ≠ Industry 4.0 / IoT
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http://www.dmc.de/wp-
content/uploads/2015/02/digitale-
transformation_gro%C3%9F-
1024x563.jpg

7. Digital change
= holistic digital transformation
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customer
experience
business
processes
business
model
communi-
cation, PR
identity,
products
work
function

8. Public funded support offers for SMEs and the
skilled crafts sector in Germany
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► Federal Ministry for Economic Affairs and Energy
► Several promotional programmes, e.g.
 Funding of 103 consultants for innovation and technology,
located at chambers of skilled craft and national guilds
 Technology transfer to SME through education and training
 Technology transfer to SME through support of technological
updatig of educational infrastructures
 Promotional programmes for SME like “Mittelstand digital”,
Usability, eBusiness guides, Platform industry 4.0,
“Mittelstand 4.0”

9. Competence Centre for Digitalization of
Skilled Craft
(Kompetenzzentrum Digitales Handwerk)
Support for SMEs and Skilled Craft sector
Dr. Christian Welzbacher
Heinz-Piest-Institute for Skilled Craft Technology
at Leibniz University Hanover (HPI)

10. The Project
Period: 01.04.2016 - 31.12.2018
Funding: Federal Ministry for Economic
Affairs and Energy
Project partner:
Heinz-Piest-Institute for Skilled Crafts
Technology
German Confederation of Skilled Crafts
Federal Centre for electro and information
technology
Chamber of Skilled Crafts Dresden
Chamber of Skilled Crafts Koblenz
Chamber of Skilled Crafts Oberfranken
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11. ICT-based business models
Holistic ICT based business
models,
Development and extension
of ICT based Services,
Costumer-Product-Service
relationships,
Future markets like Smart
Home, Smart Grid, AAL etc.
Competence partner East: Chamber of skilled crafts Dresden
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12. Information- and communication technology (ICT)
Hardware, Software,
Process-Security,
eServices like eSupply,
eBills, eContracting
Data security
Data storage
Networking
Competence partner North:
Federal Centre for electro and information technology e.V.
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13. Production- and automatization
3D-printing and rapid
prototyping, intelligent
networking of production
components, Optimization
of materials and
production lines,
automatization, Robotics,
Big Data, Software,
Energy management,
Competence partner South: Chamber of skilled crafts Oberfranken
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14. Business processes
Secure mobile processes,
Business , support and
steering processes,
Costumer focus,
efficiancy
Process-description,
visualisation and
documentation
Lieferanten-
netzwerk
Kooperations-
partner
Produktion LogistikEinkauf
Planung
Kunden-
netzwerk
Horizontale Wertschöpfungskette / Vernetzung
Lieferant KundeUnternehmen
4.0
Competence partner West: Chamber of skilled crafts Koblenz
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15. Transfer
Qualification
Dialog / consultation
Information and sensitisation
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16. Transfer offers of the
Competence Centre for Digitalization of Skilled Crafts
Information and Dialog
► Single SME dialog
► Roadshows
► Expert information meetings
► Workshops
► Media Centre
► Demonstration events at
competence Partners
Qualification
► Seminars
► Web based seminars
► Tutorials
► eLearning
► Exchange of experiences
Transfer
► SME transfer projects
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17. First events
(Start Summer 2016)
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42 Conferences and Meetings
(Craft Skills, Politics, R&D)
59 Roadshows
(15 to 30 Participants)
43 Information events
(10 to 10.000 Participants)
75 single SME dialogs
8 Transfer Projects
~ 1.000 SMEs reached

18. 10/21/2016 18SMAU Round Table: Milan, October 26th 2016
• Lively interest in activities (Skilled Crafts sector, public, R&D)
• SMEs accept support instruments
• First positive effects reported (best practice, bandwagon-effect!)
• Establishment of targetgroup oriented information and support
portfolio:
- Demand analysis
- Standardisation and quality control
- Qualification of consultants
• Sustainable System!
First conclusions and perspectives

19. Heinz-Piest-Institut für Handwerkstechnik
an der Leibniz Universität Hannover
www.zdh.de
Bildnachweise der Titelfolie (von links oben nach rechts unten): fotolia.com, Anton Maltsev / LVDESIGN / Heiko Löffler / Grecaud Paul / Piga / xy / niroworld / blickwinkel2511
Dr. Christian Welzbacher
Wilhelm-Busch-Str. 18
30167 Hannover
Institutsleiter
0511 – 701 55 20
welzbacher@hpi-hannover.de
www.hpi-hannover.de
Thank you for your interest!