The output is what matters - How Krones is using Ingeniq to advance plant engineering towards data-driven performance and lifecycle promises

 

Algorithm or mechanics?

 

Looking ahead ten or 15 years, will algorithms become more important than mechanics as a key differentiator? Will machines eventually become as standardised as screws, with the real competitive advantage coming from data and software?

Ricker: There are different market segments and very different customer strategies. We will continue to serve all of them. However, there will be applications where your description will increasingly apply. Many customers are under significant cost pressure and are looking for this very approach. It makes a difference whether someone operates a single shift or documents and evaluates every instance of downtime 24/7 around the clock and systematically eliminates the cause. Large customers in particular are increasingly moving towards system partnerships.

Tischer: At some point, certain physical limits are reached and some things become more interchangeable as a result. Then the next areas of potential no longer lie solely in the individual machine, but in the system. If you also consider sustainability, the focus broadens even further to encompass the entire factory, not just individual plant areas.

 

In the event of a fault, who makes the decision: the system or a human? Is this autonomy, or just traditional automation with a new name?

Ricker: Today, the supervisor receives advice on what to do. This is a key difference. The topics of automation and autonomy have been discussed for a long time, always with the aim of keeping operators out of the line as much as possible. The pandemic has further intensified this discussion: many bottlers have asked themselves how they can maintain production when staff are unavailable. We are heading in the direction of more autonomy, but in a controlled and gradual way.

 

 

Open systems, standards and interfaces

 

If Ingeniq is conceived as a platform, will the system remain proprietary or will it be open to third-party software?

Tischer: We have a solution that works. However, it would be naive to believe that the whole world relies exclusively on our system. Many customers have their own in-house systems. The key is enabling customers to utilise the data and the logic behind it. We can transfer this data at defined points.

 

Given the complexity of a bottling line in particular, the ‘one-stop shop’ approach should generate significant synergies.

Tischer: That’s right. The skill doesn’t lie in generating data. The skill lies in correctly interpreting and standardising that data. This is where we can draw conclusions that others cannot or find difficult. We are familiar with the machines, the processes, the anomalies and the interrelationships on the production line.

Ricker: As a solutions provider, standardisation has long been part of our approach. Until now, this has mainly involved sensors, motors and components. However, when applied to data and networking, standardisation takes on a whole new dimension. Many of our customers do not operate exclusively Krones systems. This is why interfaces must be created at certain levels. This presents a significant challenge, particularly for the industry as a whole.

 

In your view, are there comparable system approaches among competitors?

Ricker: We have now implemented Ingeniq, which is up and running in the field. This has certainly come as a surprise to some. I am not currently aware of any comparable approach on the market.

 

PET, water, CSD, aseptic and glass: where Ingeniq is being applied in production

 

Which areas does Ingeniq already operate in, and how can the concept be transferred to other sectors?

Tischer: We started in the still water segment. The first line has been operational in England for around a year, and further lines have been sold. The next step is CSD, carbonated soft drinks. There is significantly greater product diversity there, and product changes are more important. After that, we see potential in other areas, such as cans, aseptic packaging, and finally glass. Glass in particular will present a special challenge. Let’s see what we can showcase at drinktec 2028.

Ricker: The basic concept essentially applies to different line types. With still water, every bottle that reaches the pallet at the end of the line counts. With CSD, it is line changeovers and product changes that take centre stage. In aseptic production, the focus is on integration with hygiene and process safety – in other words, the entire supply chain, from preform to closure. With glass, particularly returnable glass, the issue of strain on the bottle across multiple cycles also arises. This has a significant impact on costs and sustainability.

 

To what extent is injection moulding integrated into this system concept?

Tischer: The Ingeniq line in England already integrates an injection moulding machine. With the Krones Prefero preform solution and the Prenexo transport and buffer system, the injection moulding machine can be directly interlocked with the stretch blow moulding machine. The key point is this: if we control the entire process, from injection moulding to the finished bottle, and can access the relevant data, we can significantly improve quality within the system. We have more comprehensive control over the process. This results in quality benefits and potential for lightweighting, which is particularly important when it comes to PET and rPET.

 

 

Is Ingeniq more of an evolution or a revolution?

Ricker: Technologically speaking, it is an evolution because the concept is based on decades of experience in line engineering and servicing. However, strategically, it is definitely a revolution. Automation, digitalisation and lifecycle services are becoming increasingly interlinked. With concepts such as the Lifecycle Alliance, we are broadening our scope beyond line technology alone, taking on more responsibility alongside our customers for the long-term performance of production facilities - and aiming to reduce total cost of ownership.

 

Is the autonomous factory a vision – or already a reality?

Tischer: For us and many of our major customers, the autonomous factory is, first and foremost, a grand vision. Ingeniq is already a building block on this path. Our engineering expertise, ranging from process technology and intralogistics to the planning of entire factories, is a key driver. This enables us to view entire production systems, rather than just individual lines.

Ricker: The complexity for our customers continues to grow. In future, this complexity can only be managed by adopting a digital, networked, cross-system approach. Looking ahead, the focus will also be on cross-factory optimisation: which products will be produced, when and where, and with which resources? Ingeniq is an important milestone on this path.

 

From mechanical product to performance promise

 

So, where does Ingeniq’s real added value begin? Is it in predictive maintenance, selflearning systems or autonomous decisionmaking, or is it in the overall architecture?

Tischer: Ingeniq is certainly our flagship for a highly automated digital line, and much of it will eventually find its way into standard production as well. The real difference, however, is that we also cover the lifecycle. For the first time, we’re offering promises on total cost of ownership and output. So, what makes it special is that we combine lifecycle management with technology.

Ricker: Added to this is a performance-based service contract. This means that our performance is monitored more closely. Krones and the customer share the same goal: if a problem arises, our specialists will step in and both parties will be equally interested in resolving it quickly. This is what clearly distinguishes Ingeniq from a conventional system.

Tischer: The key difference lies in the alliance between the customer and Krones, which has a shared goal of achieving maximum performance at minimum total production costs. Ingeniq combines autonomous, high-end machines and systems; process and production data; and a data-driven service concept — the Lifecycle Alliance — to form an integrated system. This creates greater transparency across the entire production process, providing a better basis for continuous process optimisation.

 

You mentioned the total cost of ownership. How significant is its potential?

Ricker: The key lies in taking a total cost perspective. In certain applications, such as in the still water sector, we see the potential to reduce the TCO by up to 10%. This covers both Capex (Capital Expenditures) and Opex (Operational Expenditures). Responsibility for production and quality remains with the customer, as Ingeniq does not operate as an operator. However, in consultation with the customer, Krones takes on additional tasks in order to maximise the potential of the line. This is precisely what sets it apart from conventional lines.

 

Is this moving towards a pay-per-use model?

Tischer: No, the line is transferred to the customer’s ownership as per tradition. In addition, a performance-based service contract is in place. In water treatment plants in particular, the initial capital expenditure (Capex) often accounts for only a relatively small proportion of the lifecycle costs. This is why investing a little more upfront in automation and digitalisation can make sense if this expenditure pays for itself many times over during the lifecycle. However, many customers are very focused on Capex. This is precisely where we need to build trust. In the past, customers could say, ‘You install the system and then you’re gone.’ Now, however, we stay more closely involved and guarantee that the promised added value is delivered.

Ricker: It’s not just about demonstrating that it works in theory. We promise that it works.

 

Data transparency, operator guidance and predictive maintenance

 

Specifically, does ‘data-driven’ mean installing additional measurement systems or using existing data differently?

Tischer: For me, two things are particularly important: performance data and the ability to guide the operator directly to the source of a problem. The latter is especially crucial during operation. We use an operator guidance system for this purpose. Since fewer operators now work directly on the systems, it is important that they can be supported quickly and precisely in the event of a fault.

Tischer: Often, a fault manifests itself in a different place to where the original problem arose. The data helps us quickly begin the analysis and narrow down the cause. Based on this, we can provide the operator with specific guidance. They can then either resolve the fault themselves or call in an expert. In addition, performance data can be aggregated over longer periods. For example, we can identify where the greatest losses occur over the course of a month. Which machines repeatedly malfunction? Where do breakdowns occur regularly? We use such analyses in reviews to address these issues systematically.

 

To put it bluntly: will every bearing at Ingeniq have its own monitoring sensor in future?

Tischer: No, that’s not the point. The greatest potential lies in shifting from time-based maintenance to maintenance based on actual need. Until now, components were often replaced at fixed intervals, even if they weren’t worn out. In future, however, we will be able to schedule maintenance more closely in line with the actual condition of the equipment. Often, this won’t require many additional sensors. A lot of relevant data is already available, but it is not yet being used consistently.

Tischer: For example, wear on a gear or other components can manifest itself as increased energy consumption. Therefore, additional vibration sensors do not necessarily need to be installed everywhere. The key is to correctly interpret existing data and identify relevant correlations. AI can help detect deviations, patterns and anomalies. This allows you to draw conclusions about where wear is occurring and where maintenance is actually required. This enables maintenance cycles to be extended, unnecessary interventions to be reduced, and downtime to be avoided more effectively.

 

Is this data also fed directly into the development and design process?

Ricker: We don’t necessarily need more data. The systems already provide a great deal of information. The key is to structure it properly, for example by processing it in the cloud to derive relevant alerts. People cannot be expected to sit in front of data all day and evaluate it manually. Anomalies must be detected automatically and forwarded to the relevant departments. Initially, this will first of all concern the service department. But at the same time, there is a link to product development: if the data shows that certain components, functions or designs could be improved, this information is relevant.

 

 

A different sales approach

 

Would changing the focus to output also change the way such a line is sold?

Tischer: Yes, this is a major transformation process that begins right from the first customer contact. Traditionally, the focus was on selling the line itself: agree on a final price, install it, and then, if necessary, arrange a service contract. In future, more discussion will be needed about actual output and the lifecycle.

Ricker: Customers are no longer just thinking about which machine to buy; they are also considering what output they ultimately require. Based on their experience, they can now determine the required filling or line capacity. The approach is changing; it is increasingly about offering customers reliable performance and promised output. This is changing the entire sales approach. At the same time, the development team must consider serviceability and ease of maintenance more, as well as what information is needed to monitor certain components. These points must be taken into account at an earlier stage.

Tischer: This affects not only development and service, but the entire company and our customers too. There is no single standard concept here. The approach must be tailored to each customer within a defined framework. Ultimately, the focus is on the output: how many bottles will reliably arrive on the pallet? This performance is defined and promised jointly. This shifts the focus from merely selling machinery to making a holistic performance and service promise.

 

Could this be a step too far for an established engineering firm? We see in other industries, such as the automotive sector, how difficult it can be to combine digitalisation with traditional engineering expertise.

Tischer: Yes, there is a risk of that. And yes, it is indeed a big step, but it also creates a great opportunity. In the past, experience and availability were the main considerations in the service sector. Today, however, the focus is shifting more towards data-driven decisions, not to replace experiential knowledge, but to make it more usable. This is particularly important in the context of demographic change. In the coming years, many experienced employees will retire. This is why we need to extract knowledge from data more effectively, structure it, and make it accessible to everyone.

 

International competitiveness and speed

 

Are German mechanical engineering firms in a position to lead the way internationally on such issues – or are other countries, such as China or the US, already ahead in terms of speed and digitalisation?

Ricker: We certainly have the opportunity, because we are fundamentally capable of utilising these technologies. What must be clearly addressed is the speed and scale with which China, in particular, is tackling new issues. We are aware of this. That is why we, too, must enter the race with a different pace of implementation.

Tischer: In today’s world, it is no longer enough to develop an idea, test it for a long time, and then release it after a significant delay. So, we need to speed up, from idea generation through testing to implementation. Fortunately, we have excellent conditions: well-trained people and a global setup with expertise in many countries, including China, India and the US. Development no longer takes place centrally in one location. This is precisely where our advantage lies: we can integrate resources, experience and opportunities worldwide.

 

Is Ingeniq only available for greenfield lines?

Tischer: Yes, the concept as a whole is only available for new lines.

Ricker: However, individual elements can be digitally integrated into existing lines. This improves service levels there as well. However, performance promises such as those offered by Ingeniq cannot be offered in the same way for existing lines.

 

Data sovereignty, trust and the limits of networking

 

When a system learns: does it do so on a line-by-line basis or across lines? Does datadriven knowledge transfer occur within the network of installed lines?

Ricker: That is a major advantage. Experience and insights from one line can, in principle, also be utilised for others. When many inspection systems or lines in the field provide data, patterns can be identified and improvements derived. These insights can lead to optimisations that benefit not only a single line, but all comparable lines.

 

Who owns the generated production data – and who benefits financially from it?

Tischer: This issue requires great attention and caution. It must be guaranteed that data is processed anonymously and securely. Data sovereignty, security and confidentiality play a central role. Networking many lines offers enormous potential for faster learning and more widespread implementation of improvements. At the same time, ownership of the data, how it may be used, and how customer data is protected must be clearly regulated.

Ricker: Clear standards exist for this purpose, and the requirements in Europe are already very high, with some being mandated by law. These include cybersecurity, data security and data standards. We adhere closely to these guidelines and must ensure that they are complied with internationally.

 

 

Can you guarantee that sensitive customer data will not fall into the wrong hands or become visible to other customers?

Ricker: It’s important to make a clear distinction here. Customer and production data are 100 per cent protected. It is anonymised or neutralised. Under no circumstances must sensitive customer data be shared between customers.

Ricker: The situation is different for certain machine data. For example, if we observe that a particular component tends to reach higher temperatures after a certain period of operation in various regions around the world, this technical insight can be put to use. This type of data is relevant for technological development and is not sensitive, provided it does not allow any conclusions to be drawn about the customer or their production processes. The system must be designed so that no customer data is exchanged. This is one of the major challenges of networked systems.

 

Trust thus becomes a new level of customer loyalty.

Tischer: We have long-standing relationships with our customers, and this has fostered a great deal of trust over many years. This is a major advantage in this context. As systems become more interconnected, data is shared and utilised jointly, and service models become more closely linked to actual output, suppliers and customers naturally grow closer. Such a model cannot function without trust.

 

Cost-effectiveness and payback

 

How quickly does an Ingeniq system, or indeed the entire concept, pay for itself?

Tischer: It varies greatly. This depends on the specific objectives of each customer. Some customers focus primarily on achieving the lowest possible cost per case. Others prioritise maximum output or the greatest possible flexibility. Consequently, the cost-benefit analysis differs depending on the customer and application.

Ricker: However, when viewed over the entire lifecycle, there is significant potential for savings. In certain applications, such as still water, savings of up to 10% on total operating costs are possible. The initial investment is higher because additional automation and digital functions have to be factored in. For those considering total costs and the long-term lifecycle, this approach can pay off after just a few years.

 

So, the main advantage is increased efficiency?

Ricker: Yes, but in this context, efficiency encompasses several factors: improved performance, reduced energy consumption, optimised material usage and smarter production planning. As part of a holistic approach, coordination with the customer is also important.

Tischer: The aim is to reduce downtime, cleaning times, and unproductive time. In essence, we address all aspects of waste in the production process. Through better planning, greater transparency and targeted optimisation, these losses can be systematically reduced.

 

Does that mainly relate to management and planning, or does the individual filling machine also consume less energy?

Tischer: This also affects the design and energy consumption of the system. Historically, systems were often designed with additional capacity reserves because faults, buffer times and interruptions were factored in. However, if we can reduce these faults through data, automation and better control, we will need to plan for fewer safety reserves. Machines can be designed to match actual demand more closely while maintaining the same output. This also impacts energy consumption.

 

Sustainability as a systemic effect

 

Does the holistic approach reveal new potential that could not have been fully anticipated initially?

Tischer: Yes. A good example of this is the air conveyor and the topic of block systems. Conveyors are also installed as buffers in many systems to absorb disruptions. If a problem arises, these buffers help keep the process stable in the short term. However, if we can significantly reduce disruptions, the system can be redesigned. This raises the question of whether more areas of the line could be grouped directly into blocks. Some conveyors might then no longer be needed. This would result in lower energy consumption, less maintenance and lubrication, reduced space requirements, and less complexity overall.

 

So, while complexity increases initially, it must also be made more manageable.

Tischer: Exactly. If buffers can be reduced through more stable processes and better data, this will have benefits in terms of space requirements, costs, energy and maintenance. The challenge lies in managing the higher level of system integration in such a way that it does not create new complexity for the customer.

 

Will Krones use process data as part of its own value creation in future? Will data be monetised to a greater extent?

Ricker: The term ‘monetisation of process data’ can be misleading, so I would use it with caution. Of course, our business must be profitable. However, our primary focus is on using process data to enhance the efficiency, sustainability and performance of our solutions for customers. If there is no added value for the customer, it won’t work for us either.

Ricker: It is important to me that Krones will not become a pure data, IT or software company. We will remain a machinery and line manufacturer.

However, data and digital solutions will become an important part of our offering. In certain market segments, there is high demand for data-based services, automation, and holistic service models. In other segments, there is greater reluctance. This is why different models will continue to exist in the future, ranging from individual machines and highly automated lines to comprehensive lifecycle concepts.

 

Right now, what matters more: steel or data?

Tischer: It’s the combination. Even data won’t result in good systems without outstanding mechanical engineering and process expertise. However, without data, much of the system’s potential cannot be realised.

 

Is Ingeniq also a tool for managing sustainability?

Ricker: Yes. A line that delivers a higher output can either run for a shorter time or produce more in the same amount of time. This improves specific energy and media consumption figures. Shorter cleaning times, reduced downtime and fewer stoppages directly contribute to sustainability and efficiency. It is important to consider the entire process. Together with the customer, we start with the product and the packaging, and then look at the entire process chain – right through to retail. There are opportunities to unlock efficiency potential at every step, for example in material usage, weight or process design.

Tischer: This also includes energy consumption at the factory level. Peak consumption often occurs because several processes generate high energy demands simultaneously. If this simultaneity is better balanced, the same peak capacities are no longer required. This can be compared to a smart home: if the control system operates intelligently and holistically, energy consumption can be managed more effectively than if each controller operates in isolation. This principle can be applied to a single production line or an entire factory.

 

How Ingeniq is changing things internally

 

To what extent is Ingeniq changing development work at Krones?

Tischer: It’s a significant shift. A key difference is the close collaboration between software and digital teams and traditional mechanics right from the start. At the same time, there is great interest on both sides as colleagues recognise its potential. Development processes are changing, too. We’re working on a more international scale as digital teams are often based in other countries, and our working methods are becoming more agile. Sprints and faster iterations are complementing traditional development models.

 

Does digitalisation also entail a cultural shift within the company?

Ricker: I’m keeping my fingers crossed that it won’t be a cultural shift in the basic sense. We are proud of our company culture, which encompasses how we interact with one another, our customers, and our partners. However, there is definitely a technological and procedural shift. The disciplines are becoming more intertwined. Digital twins, new development systems and data-driven working methods are transforming processes. It is important to bring experienced colleagues on board and combine their knowledge with new technologies.

Tischer: One major issue is the fast pace of change. In the digital world, development cycles are significantly shorter than in traditional mechanical engineering. In the past, major development milestones were often tied to long trade fair cycles, such as drinktec. In the digital world, a huge amount happens in just four years. The challenge lies in reconciling these different cycles.

 

Does the guiding principle behind Ingeniq also apply to your in-house processes?

Tischer: Yes, it’s essentially the same principle. For us, too, it’s about using data to automate processes and make workflows more efficient. Autonomous vehicles operate in our production halls and robots assist with assembly and other processes. The fundamental principles are the same: making data available, stabilising processes, increasing efficiency, and enabling greater autonomy step by step.

 

Is digitalisation generally met with enthusiasm within the company? Or is there also scepticism?

Ricker: As with any major change, there will be both supporters and sceptics. Some people are enthusiastic about driving such initiatives forward. And there are others who ask: Does it really work? What will it mean for me? What will I need to change? This is why it is important to get people on board and keep them well informed. The direction is clear. We shouldn’t hold back those who are leading the way. At the same time, we mustn’t leave those who are still hesitant behind. The added value comes from combining traditional mechanical engineering expertise and practical experience with new digital systems. At the same time, success will depend on our mindset: we need to remain open, curious, and willing to learn, as this will be essential to stay relevant and competitive in the future.

 

Risk and Success

 

Where does the greatest risk for Ingeniq lie?

Tischer: With Ingeniq, we are taking on more responsibility for a lines’ output and lifecycle. To be honest, we are mechanical engineers in transformation. Until now, we have been less involved in plant operation. This means that we also have a learning curve when it comes to precise long-term operation. In the past, this risk was sometimes too high for us. However, thanks to digital tools, data and greater transparency, we can now play a much more active role in operations and make more informed decisions. This makes the risk more manageable. Of course, digitalisation still carries risks. However, we are not changing our entire portfolio overnight. Instead, we are introducing such concepts step by step and gaining experience. Overall, we see significantly more opportunities than risks.

 

How will you measure Ingeniq’s success in five years’ time? Is it by the number of systems installed, or by other metrics?

Ricker: Ultimately, success will be determined by how much volume we can generate with this concept and how attractive it is to the market. Of course, we must also achieve our financial targets. But first and foremost, the key thing is that the customer sees the added value. If we deliver what we set out to do, the customer benefits, creating a win-win situation for us too.

Tischer: Five years is a reasonable amount of time to establish whether a system has found its place in the market. We would consider it a success if Ingeniq were perceived as naturally as the ErgoBloc — if people simply said, ‘That’s logical, that makes sense, that’s the right way to go.’ Achieving that status would be a great success.

 

 

What could cause Ingeniq to fail?

Tischer: It represents a new way of collaborating between Krones and its customers. Both parties need to be open to it. It involves data sharing, trust, and a different kind of partnership. Not every customer will want that, and that’s OK. That’s why it is important to clearly identify which customers would benefit from this concept and which would be better suited to the traditional approach. Selecting the right customers and embracing change are crucial.

Ricker: Projects sometimes fail because objectives are not fully aligned. With Ingeniq, this is precisely where our strength lies. If you opt for this concept, both teams are in the same boat right from the outset. It’s not just about installing a system, carrying out a performance test, and handing it over anymore. We work together over several years to achieve maximum performance. This team spirit is evident from the very first installations.

 

What are you personally most proud of in this project?

Ricker: At Ingeniq, it is the team’s performance above all else that makes me proud. Virtually all departments were involved, including sales, technical design, networking, IT, spare parts supply, support structures, and global support centres. This was not the initiative of a single department, but a joint project spanning many areas. If we can maintain this collaborative spirit and approach, I will be even more proud.

Tischer: Our customers are facing many challenges: increasing complexity, rising energy costs and a shortage of skilled workers. I am proud that we are setting the next industry milestone and providing answers to our customers’ key problems. Not everyone can deliver such a concept. Thanks to its breadth of experience and expertise, Krones is able to create such a solution for the industry. This is precisely what makes our approach so powerful.

 

If you were to look ten years ahead, how would you like to be judged?

Ricker: I would like to be judged on Krones’ continued growth and success. The key is to achieve our goals and remain a reliable partner for our customers. With Ingeniq, we are taking this partnership a step further. If, in ten years’ time, we can look back and say that we have continued on this profitable path and that our customers worldwide value and benefit from our solutions, then I will be satisfied.

Tischer: I see it similarly. Many industries are under pressure, particularly in Germany. For me, the key is for Krones to remain strongly positioned in the market, to stay an innovation leader and maintain or build on this lead over the next ten years. We must use our expertise and strengths to stay at the forefront.

 

Thank you very much for the interview. 

Ricker: Thank you for the interesting questions.

 

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