Engineering Magazine – June 2019

18 JUNE 2019 ENGINEERING

SUSTAINABILITY

Industry 4.0 and the circular

economy: closing the gap

Simon Earnshaw on how data capture and automation can serve as a

significant enabler of more sustainable activities and circular strategies

I

f there’s one term that will resonate

with manufacturing and engineering

businesses right now, it’s ‘Industry

4.0’. The growing furore comes largely

from the value proposition at hand –

the promise that big data analysis and

higher levels of automation can drive

productivity, reduce operating costs and

boost profitability.

Somewhere over the fence sits the

circular economy. It may not be as new

a concept as Industry 4.0, but it’s one

that has, over the years, attracted equal

attention. The definition of a circular

economy can vary, but I like to view it

as simply an intention to produce and

distribute products in a more renewable

and sustainable fashion.

What is astonishing is that, to date,

both of these topics have been viewed

largely in isolation, with very little said

about the link between the two. The

reality is that these issues are often

inter-reliant.

Data capture and automation can

serve as a significant enabler of more

sustainable activities and circular

strategies. And the ability to contribute

to a truly circular economy gives Industry

4.0 and the drive for data capture

purpose and intent. Arguably, there

are cases where Industry 4.0 has the

potential to eliminate waste altogether.

Let me give you an example from

my own sector – the manufacture and

distribution of industrial gas. This is, at

a very simple level, your classic circular

economy. Compressed gas cylinders that

have been in use for several decades

are still being cleaned, refurbished and

re-used. Nothing is wasted, they simply

keep re-circulating, with the cylinders

arguably worth many times more than

the product inside them.

Now, let’s consider what data

capture and analysis can do for this

circular economy.

The diesel fuel used to distribute

liquid gas products and cylinders

accounts for our second biggest

operating cost. By using telemetry

technology to capture, transmit

and track location and consumption

data from these products, we

can better understand customer

demand, optimise the sequencing and

frequency of deliveries and reduce

fuel consumption. And then there’s

the use of new IIoT telemetry units on

the cylinders themselves making them

the ultimate reusable container. By

tracking the contents of our cylinders,

we can not only offer full transparency

on consumption rates and ensure just-

in-time refills – boosting productivity

• we can help users detect leaks –
  improving safety – and also incentivise
  the prompt return of cylinders and
  their re-distribution.
  I am responsible for driving forward
  the application of data and analytics such
  as this, both within our organisation,
  but also with our engineering and
  manufacturing customers and I’m seeing

Simon Earnshaw