Case Study1:

Heidelberg, Honeywell
and Eaton Smart
Product and Services

Case Study1:
Heidelberg, Honeywell and Eaton Smart
2 Product and Services

Group Members:
Farhan Ishraque Khan

BIT 0201

Md. Saeed Siddik

BIT 0218

Atish Kumar Dipongkor

BIT 0217

July 19, 2012

Case Study1:
Heidelberg, Honeywell and Eaton Smart
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Product and Services

Overview:
What

is Smart Product & Service?

Problem Identification
IT Solution
Advantage of Smart Product
Case Study Questions Answers

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Case Study1:
Heidelberg, Honeywell and Eaton Smart
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Product and Services

Smart Product!!!

Embedded Service - Paving the Way for Smart

Products
Do not 'become smart' by throwing more features.
Smart products get smart by using Internet-delivered
services.
Businesses are rushing to get embedded systems into
the hands of workers to improve operations.
Example: Police departments, airlines, shipping
services, rental car agencies.

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Uses of Smart Services

Minimize maintenance and repair cost.

Cost effectiveness.
User Friendly.
Time effectiveness.
Customer and user satisfaction

July 19, 2012

Case Study1:
Heidelberg, Honeywell and Eaton Smart
Product and Services

Inputs from Case Study: Heildelberg

High-end Printing Presses for printers and print media

producers.

Smart Product: Ability to monitor its equipments remotely using

built in sensors, networking microprocessors and other IT
technologies.

Insight to optimize printing performance.

Minimize maintenance and repair cost.

Financial year 2010/2011: Heidelberg presents figures for first

six months significant rise in incoming orders.

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Inputs from Case Study: Honeywell

Control & Automation system for Petroleum Refineries

Represented small part of cost involved in operating

and maintaining a refinery.

Process Knowledge System: A system of operations

and information technologies deployed at a
customers refinery but remotely controlled by
Honeywell.

Fewer false alarms, less anticipated downtime and

lower maintenance cost.
Enabled Honeywell to increase scope of other
services provided to customers.

Fortune 100 company that invents & manufactures

technologies .
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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Inputs from Case Study: Eaton Corp.

Began making axles and later diversified into residential circuit

breakers

Home Heartbeat: Monitors the status of various home systems

and alerts the homeowner when something is amiss.

Usage of water sensors, open/closed sensor, power sensor and

wireless network.

Sustainability: At Eaton, sustainability isnt an autonomous

program or initiative. Its how they do business and its an
increasing part of their business success.
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Case Study1:
Heidelberg, Honeywell and Eaton Smart
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Product and Services

Question 1
Why should manufacturing companies
build smart products and smart
services?
What Business Benefits can they gain?
Provide several examples beyond this
case.

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Case Study1:
Heidelberg, Honeywell and Eaton Smart
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Product and Services

Importance of building smart products

and services

Its not enough for companies to offer valuable services for their
products but to provide smart services.

For smart services, usage of IT to build smart products,

Smart products can detect approaching failure and alert users.

Gives the company opportunity to provide maintenance services

and enjoy the resulting benefits.

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Benefits of smart products and

services to Business

In business, Smart means solving problems fast and

efficiently.

Decreases the cost and increases the profit.

Expansion of customer base in the market.

The functionality, efficiency, reliability and

sustenance of smart product and service will also be
the other key components to affect the customer and
market.
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Product and Services

Importance of building smart products

and services contd.

The more functions a product has, the higher price

will be sold.

If manufacturing companies can develop smart

products or smart services, they can gain those
benefits.

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Case Study1:
Heidelberg, Honeywell and Eaton Smart
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Product and Services

Examples Of Smart products and services

Smart Systems for Cars for Safe Mobility and
pedestrian safety
Pedestrian Recognition, Intersection Control, Lane
Departure Warning, Stability Control, Detection of
Surface and Pavement Conditions, Night Vision, Driver
Condition Monitoring, Redundant Systems for Vehicle
Control and Emergency Shutdown

Driver Assistance Smart System

Autonomous Handling of Routine Driving Conditions,
Driver Information on Traffic, Intelligent Speed
Adaptation, Sensing of Drivers Intentions; Intelligent
Transport Systems

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Question 2
What information Technologies are used
by the companies in this case to build
smart products and services?
What other IT components might be used
and their Capabilities?

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Case Study1:
Heidelberg, Honeywell and Eaton Smart
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Product and Services

Information Tech used by the

companies
HEIDELBERG (Printing Company)
Smart printing services comprising of built in
sensors, networking microprocessors and internet.
HONEYWELL (Petroleum Refinery)
Experion process knowledge system comprising of
control and automation systems, remote network
technologies and knowledge system.
EATON CORP (Electrical Appliances)
Home heart beat Systems comprising of water sensors,
open/closed sensors, power sensors, wireless
communication system and a key fob device(used by
customer to communicate with
base
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2012station)

Case Study1:
Heidelberg, Honeywell and Eaton Smart
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Product and Services

Other IT components that might be used

e-Commerce

Database Management

Improve customer Behavior and Experiences

Identify customer purchase / demand behavior trending
Identify competitive Strategies for effective Decision
Making

Supply Chain Management

We can do Data Mining and implement Fuzzy logic to

do Analysis and trending of Business Operation

Customer Relationship Management

Buy and Sell without intermediaries

Refurbished products can also fetch profits

Improvement of logistics
Ease of part procurement

RFID
VNC (Virtual Networking Control)
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Product and Services

Question 3
What are some limitations of a smart
products and services strategy?
Give examples of challenges that a
business might encounter and how to
overcome them?

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Limitations of Smart products and Smart

Systems

Infrastructure cost incurred for initial installation at

customer end.
Focus on Elite customers.
Embedded Technology reliability issues.
Usage of network internet, mobile technology and
other communication technologies.
Reliability of sensors and microprocessors.
Not feasible for a huge customer base.

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Business Challenges Faced by Companies

Manufacturing Smart products and services.

Marketing challenges for smart products.

Peoples perspective towards smart products and
services.
Price of the smart products and services.
Customization for diverse customer base.
Lack of chances for mass production.
Data security
Rapid changes in technology.
High Skill Manpower Requirements

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Methods to overcome Business Challenges

Usage of Appropriate technology for development of

smart products and services.
Understanding the needs and requirement of
consumer base and expansion in consumer market.
Integrating simplicity of operation and functionality.
Adaptation to changing IT and IS and incorporating
the same in the products and services.
Usage of quality parts and components in smart
products and services.

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

References:

Heidelberg, Honeywell, And Eaton:

[http://www.caseforest.com/case-study-Heidelberg-Honeywell-And-Eaton.aspx]
OPPAPERS : Heidelberg, Honeywell, And Eaton
[http://www.oppapers.com/essays/Heidelberg-Honeywell-And-Eaton/729675]
Smart Products and Smart Services - Heidelberg, Honeywell & Eaton
[]
Heidelberg, Honeywell, and Eaton: Using Information Technology to build smart
products and services.
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http://mishelper.blogspot.com/2011/07/heidelberg-honeywell-and-eaton-using.ht
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Heidelberg, Honeywell and Eaton Smart
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Product and Services

Q & A ???

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Heidelberg, Honeywell and Eaton Smart
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Product and Services

July 19, 2012