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Production 4.0: Audi plans for the smart factory

Automotive production is becoming more integrated and at the same time has to be more intelligent and more efficient. Flexible production of customized vehicles is one of the big challenges for the future, especially for a premium carmaker like Audi. How will the "Vorsprung durch Technik" brand meet its aim of offering premium quality with added custom flexibility? The company sees the "smart factory" as the key. Whether it's body-color moldings or light-alloy wheels in a special size, almost every car is ordered with some kind of customization, and the demands are increasing. This requires of course already a lot of flexibility. While the variety of models and quality demands are increasing, automotive manufacturers such as Audi are eager to make production sustainable. In an Audi interview, innovation management members Alois Brandt and Henning Loser talk about "production 4.0" and the upcoming "smart factory." How will Audi manage the production site with its very high standards of quality, efficiency, and environmental acceptability? Will the so-called "smart factory," which should be the intelligent factory of the future, only employ robots? Alois Brandt: "With a deep look into the production, I am convinced that our employees and not machines are the relevant working forces behind the Audi brand. Machines can be bought anywhere." Increasing digitalization is paving the way for the smart factory – the intelligent, digitally connected production facility. New high-tech solutions in manufacturing should further increase the high level of quality, while at the same time the assembly work should be easier and result in better ergonomics. Can you give us a clearer imagination of the "smart factory"? Alois Brandt: "There are a lot of ideas. But the big question at the moment is: Which one is really needed and leads into the right direction?" Can you tell us a little bit more about "production 4.0"? Alois Brandt: "The assembly line as we know it in the present will no longer play the same role. If it makes sense, it will be terminated and replaced by – let's call it – a virtual assembly line. The production will be more modular than before and the car will be directed to a production point – a so-called 'island of competence' – where it is needed." Henning Loser: "If the vehicle is to be assembled to the customer's wishes, it is obvious that efficient programming of robots and coordinating with the human workers is needed.

The new Audi A8 moves upmarket and gains artificial intelligence

Audi is moving its largest sedan further up the luxury scale with the latest version of the A8. As Audi's flagship, the A8 naturally gets the best and newest technologies that the brand has to offer, including a range of mild-hybrid powertrains, a 48-volt electrical system, standard Quattro all-wheel drive, a lavish lounge-inspired interior, and automated driving systems. Two wheelbase lengths will be offered, the A8L getting a 5.1-inch stretch over the standard A8. The A8 also sets the style direction that the rest of Audi's lineup will emulate. While some of Audi's competitors will likely take umbrage at the claim that the A8 is "the first production automobile in the world to have been developed for highly automated driving," there are some new technologies for self-driving employed by Audi's flagship. At speeds of up to 37.3 miles per hour, the Audi AI traffic jam pilot takes control of starting, accelerating, steering and braking duties, allowing the driver to perform other tasks not related to driving... like watching the on-board TV, says Audi. Audi AI technology brings artificial intelligence to the A8. The AI system will presumably learn the driver's habits, likes, dislikes, and regular routes, and will make recommendations based on all that data. The Audi AI remote parking pilot and the Audi AI remote garage pilot perform exactly what you think based on their names, and the driver doesn't have to be in the car to make them work using a smartphone app. The 48-volt electrical system also exerts control over the A8's suspension. Not only can the system raise and lower each of the car's four wheels independently, it can position the A8 in a way to improve safety in an accident. Four-wheel steering with a variable ratio up front should make the big sedan stable at high speed and maneuverable at low speeds. Five engines will eventually be available in Audi's home market of Germany, and we'd assume some of those will come Stateside as well. Two 3.0-liter V6 engines – one gas and one diesel – will be optional at production time. The gas version puts out 340 horsepower. A gasoline-fed V8 will follow shortly thereafter with 460 horsepower, and a range-topping W12 will eventually be available with 585 horses. A belt alternator starter system is standard across the line. Later, an A8 L e-tron Quattro plug-in hybrid will hit the road with 449 total horsepower, 31.1 miles of electric range and a cool inductive wireless charging system.

Is Audi getting complacent and suffering from brain drain?

The argument is made in a Reuters article: Audi is falling behind other luxury brands, such as Mercedes-Benz and BMW, due to a lack of research-and-development spending and "brain drain," or the migration of top executives and R&D chiefs to other parts of the Volkswagen Group. Reuters notes that Audi's current R&D chief is the third in 16 months.
Audi, which contributed to 40 percent of VW Group's $11.6 billion in profit the first nine months of the year, is delivering cars at a record pace: 1.31 million were delivered from January to October 2013 versus BMW's 1.35 million. Yet Audi, Reuters reports, doesn't have a halo car akin to BMW's new electrified i3 and i8 or an answer to Mercedes' plug-in-hybrid S-Class, and the R&D spending at Audi is less than BMW and Mercedes by a fair margin. It's noted in the article, however, that Audi benefits from other R&D spending within VW Group.
Reuters mentions that BMW "trumpets its new 'i' series" and the new Mercedes CLA and GLA ranges are winning "rave reviews" as part of its argument that Audi's recent lack of technological innovation could hurt future sales. Those cars do pack tons of new technology, some of which are firsts for mainstream production cars. But last time we checked, the i3 could be causing BMW's stock to slide, the CLA isn't receiving the rave reviews that Reuters would have you believe and the GLA hasn't been reviewed yet.