Added Value Through Sovereign Data Rooms

The industrial transformation is in full swing. Whereas in the past the focus was primarily on collecting large amounts of data, today we are concentrating on deriving real business value from that data. The shift toward a smart data economy is far more than a purely technical modernization – it represents a fundamental strategic realignment for companies and their collaboration.

In the manufacturing industry, data has long been established as an essential component of strategic decision-making. Nevertheless, the vast majority of the data collected remains unused—according to current estimates, about 80% of the industrial data collected is neither analyzed nor processed further (source: “German Companies Are Not Making Sufficient Use of Their Data”, in: VDI Nachrichten, June 12, 2024), but instead remains unused in systems and machines. As a result, numerous insights into processes, machine performance, and quality indicators are lost, which would be valuable for optimization or the development of innovative services. To address this problem, data rooms are considered a promising approach: They enable the structured and secure use of decentralized data sources, even across company boundaries, without requiring all information to be consolidated into a central system.

The basic idea of a data room is to create a common "data hub" and a common exchange space for many players along the value chain. Instead of companies only sharing their data directly with each other or switching to external platforms, data rooms rely on open and interoperable structures. All participants are connected to each other via so-called connectors and can exchange data depending on their needs and access rights - similar to a digital marketplace for data. Importantly, the data is not stored centrally, but remains in the respective systems. The data room only regulates who can access and use which data - according to common rules and contracts. This creates a trustworthy environment in which companies can share data without revealing their business secrets or losing control of their information.

A data room enables collaboration on an equal footing: all participants define the rules together and benefit from the exchange of data. This overcomes typical problems such as data silos and the fragmentation of information. In the past, companies could usually only share data with known partners and via special interfaces, which often led to effort, inefficiency and a dependency on specific IT providers. A data room solves these problems by allowing flexible networking with many participants - new partners can also be integrated. For example, medium-sized suppliers or customers have the opportunity to participate in a shared data ecosystem without having to program individual interfaces or hand over their data completely.

Data sovereignty is a critical success factor. Many companies are reluctant to share information for fear of losing control. This is exactly where data rooms come in and enable the exchange of data through controlled access.

A technological key component that enables data exchange without loss of control and is based on the AAS is the Eclipse Dataspace Connector. It creates a secure, policy-driven exchange between organizations.

Before data flows, all organizations involved agree to a digital contract. This creates the necessary basis of trust for collaborative business models.

A data space in the manufacturing industry typically brings together all relevant players along the value chain. These include, among others:

• Manufacturer (producer of goods or equipment)
• Suppliers (suppliers of components, materials, or preliminary products)
• Service partners - such as service and maintenance companies or IT/technology partners
• Logistics and distribution partners (freight forwarders, dealers)
• Customer or operator of the machines/systems (e.g., factory operator)

• If applicable Recycling and waste management companies (for circular economy)

   

All these parties can be directly or indirectly integrated into a data room and exchange data with each other. The special feature: Each participant decides for itself which of its data it releases and to whom - for example, a supplier only to a specific manufacturer - and retains data sovereignty at all times. The shared data platform means that previously isolated islands of information can be connected, enabling new collaborations. In Germany, this principle is used in projects such as Manufacturing-X or Factory-X, where manufacturers, suppliers, service partners, and even recycling companies exchange networked data within a data room without losing control of their own information.

In an industrial data room, various data and information can be shared among partners, depending on what is necessary and appropriate for the collaboration. Typical examples include:

• Product and production data: Product master data (e.g., material composition, parts lists) as well as production parameters and measurement data from machines and systems. Quality data and process KPIs can also be exchanged, for example, to improve production quality across the supply chain. 
   
• Maintenance and operating data: Information about machine statuses, maintenance histories, fault messages, or spare parts and repair data. For example, manufacturers or service partners can access the current operating hours of a system or upcoming maintenance dates to proactively offer services. 
   
• Supply chain data: Inventory and delivery information, order status, logistics, and traceability data. Sharing such data in the data room creates transparency along the supply chain, for example, to detect supply bottlenecks early or provide proof of origin.
   

• Product lifecycle information: For example, the Digital Product Passport (DPP), which can be distributed via a data room. It bundles all important information about a product over its entire life cycle - from production to use and recycling. For example, downstream users of a machine could access design data, instructions for use, maintenance plans, or environmentally relevant disposal information provided by the manufacturer and suppliers in the data room.

   

It is important that sensitive information remains protected throughout this process. In the data room, therefore, only necessary data fields that are released to specific authorized parties—and even these are shared only with authorized partners and often in aggregated or anonymized form. For example, two component suppliers could exchange only specific measurement values of their components in the data room, allowing a data service to automatically “match” suitable parts without the companies revealing their complete production secrets. Overall, any type of digital information can be shared, provided the participants agree on it – from simple sensor data and parts lists to complex 3D models or manufacturing plans – as long as technical interfaces and clear usage agreements are in place.

In an initial pilot project, we will work with our customer to demonstrate how to get started with cross-border data exchange. On this basis, we are developing patch management for system components as a concrete practical example.

The aim is to provide a transparent overview of the devices used and their hardware and software versions. In addition, available patches and their significance in terms of their criticality are to be presented transparently. A secure and traceable process for updates will be developed on this basis. The data room is also used for other areas such as device management and the digital calibration certificate (a machine-readable, XML-based digital version of a traditional calibration certificate).

We know that every industry has its own unique requirements. At Arvato Systems, we don’t just focus on the regulatory requirements and specific characteristics of the manufacturing industry. We also have industry expertise in the energy and utilities sector, healthcare, the consumer goods industry, and logistics, among others.

In the healthcare sector, for example, our membership in sphin-X (a cross-sector, interoperable, networked, and open health data ecosystem) demonstrates our ability to implement solutions for highly sensitive, personal data.

In the context of developing data ecosystems, we focus on onboarding companies and providing value-added services, such as the Digital Product Passport and other data-driven services. In doing so, we act as a competent, cross-industry partner for our clients, facilitating the exchange of ideas and the joint design of innovative solutions.