Customer Drivers and Capability Improvements NFPA Technology Roadmap Customer Drivers and Capability Improvements Briefing Materials and Worksheets February 2019

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NFPA Technology Roadmap The NFPA Technology Roadmap describes an industry-wide consensus regarding the pre-competitive research and development needs associated with improving the design, manufacture, and function of fluid power components and systems. The research and development agenda it describes is focused on advancements that will help the fluid power industry meet the future needs of its customers, expand into new markets, and attract the best and brightest students to the field. It is used by the NFPA and the Center for Compact and Efficient Fluid Power (CCEFP) to guide their research efforts, by NFPA members and other industry partners to inform decisions about research partnerships and product development, and by academic, government, and other organizations that wish to pursue research and development projects of importance to the fluid power industry. It is updated every two years under the guidance and leadership of the NFPA Roadmap Committee.

Definition of Pre-Competitive Research Pre-competitive research is performed at the time in the technology development cycle when interested, but potentially competitive parties agree that there is value to be gained from a collaborative rather than a competitive approach. It generally resides in the middle ground between fundamental basic research conducted mainly in universities and proprietary research performed or directed mainly by companies. It can be performed to develop new technologies or to determine the market readiness of new technologies.

Capability Improvement 2019 Roadmap Elements Customer Driver Capability Improvement Research Area Research Target Research Project Customer Drivers are the business or technology objectives of fluid power customers. They help them serve the needs of their own customers, and are not necessarily connected to their use of fluid power. Capability Improvements describe the ways in which fluid power systems must improve if they are to meet or better meet the customer needs described by the Customer Drivers. Research Areas are the broad areas of pre-competitive investigation that could assist in bringing about the Capability Improvements. Research Targets are the objectives that quantify or otherwise describe successful strategies for pursuing the Research Areas. Research Projects specifically address and attempt to achieve the Research Targets. EXAMPLE: Increased productivity and performance Increase power density of fluid power systems Use additive manufacturing to produce integrated FP components Demonstrate high pressure capability of AM FP components Pressure test to failure AM fluid power components

Capability Improvement Roadmap Process and Timeline – Phase 1 Customer Driver Capability Improvement Research Area Research Target Research Project Feb-Mar 2019 Phase 1 – Customer Drivers & Capability Improvements Briefing materials sent to Roadmap Committee: NFPA Customer Market Survey Customer Drivers and “Capability Improvements” identified in 2017 NFPA Technology and FPAMC Manufacturing Roadmaps In-person meeting at the March 1 FPIC Seminar to: Identify and rank Customer Drivers Identify, rank, and connect Capability Improvements to Customer Drivers Discuss possible Research Areas & Targets

Top 10 Fluid Power Customer Markets According to NFPA’s latest data, these ten customer markets represent 60% of hydraulic and pneumatic product sales. When referencing customers and their needs, the 2019 NFPA Technology Roadmap will default to customers in these ten markets.

Customer Drivers The following chart was used to combine elements from the 2017 NFPA Technology Roadmap and the 2017 FPAMC Manufacturing Roadmap into a single list of draft customer drivers for the 2019 NFPA Technology Roadmap. Customer Drivers from the 2017 NFPA Technology Roadmap were listed in the first column. Customer Competitiveness Drivers from the 2017 FPAMC Manufacturing Roadmap were listed in the second column, with those similar to one of the Customer Drivers from the 2017 NFPA Technology Roadmap placed in the appropriate row. Each row in the third column is meant to represent a reasonable combination of the elements in the previous two columns, noting that not every row need represent a 2019 Customer Driver. 2017 Technology Roadmap Customer Drivers 2017 Manufacturing Roadmap Customer Competitiveness Drivers DRAFT 2019 Customer Drivers Increased productivity and performance Improved product/system performance Increased availability/up-time Increased availability and up-time Lower total cost and life cycle costs Lower cost (initial and life cycle) Lower total and life cycle costs Increased ease/predictability of maintenance Reduce maintenance Reduce, increase ease and predictability of maintenance Quieter machines Lower environment impact Lower environmental impact (e.g., quieter machines) Machines compliant with safety regulations Overall efficiency Increased energy efficiency Integration Greater integration of systems Speed to market Increased speed to market Educated workforce and customers NOT A CUSTOMER DRIVER

Worksheet – Prioritization of Existing Drivers The following customer drivers were identified when combining the 2017 roadmaps. For each of the customer markets that you are familiar with, rank how important each driver is in that market. Use the following scale: 1 = Very important; 2 = Somewhat important; 3 = Not especially important. CUSTOMER MARKETS CUSTOMER DRIVERS Increased productivity and performance Increased availability and up-time Lower total and life cycle costs Reduce, increase ease and predictability of maintenance Lower environmental impact (e.g., quieter machines) Machines compliant with safety regulations Increased energy efficiency Greater integration of systems Increased speed to market Construction Machinery Agricultural Machinery Class 4-8 Trucks Automotive Material Handling Oil & Gas Machinery Lawn & Garden Mining Machinery Metalworking & Machine Tools Power Generation Complete this worksheet online at: https://www.surveymonkey.com/r/KCFFFWF

Complete this worksheet online at: Worksheet – Identification of New Drivers For each of the customer markets you are familiar with, identify any customer drivers NOT described above that you would have ranked as "1 = Very important" in those markets. CUSTOMER DRIVERS Construction Machinery Agricultural Machinery Class 4-8 Trucks Automotive Material Handling Oil & Gas Machinery Lawn & Garden Mining Machinery Metalworking & Machine Tools Power Generation Complete this worksheet online at: https://www.surveymonkey.com/r/KCFFFWF

Capability Improvements The following chart was used to combine elements from the 2017 NFPA Technology Roadmap and the 2017 FPAMC Manufacturing Roadmap into a single list of draft capability improvements for the 2019 NFPA Technology Roadmap. Research Challenges from the 2017 NFPA Technology Roadmap were listed in the first column. Capability Challenges from the 2017 FPAMC Manufacturing Roadmap were listed in the second column, with those similar to one of the Research Challenges from the 2017 NFPA Technology Roadmap placed in the appropriate row. Each row in the third column is meant to represent a reasonable combination of the elements in the previous two columns, noting that not every row need represent a 2019 Capability Improvement. 2017 Technology Roadmap Research Challenges 2017 Manufacturing Roadmap Fluid Power Manufacturing Capability Challenges DRAFT 2019 Capability Improvements Increase energy efficiency Improve reliability Improved quality control Improve quality and reliability Reduce size and weight Product design integration Increase power density Build “smart” components and systems Increase value Use product data to add value Reduce environmental impact Improve energy storage capabilities RESEARCH AREA Widen scope for fast and accurate fluid power control Enable fluid power applications in new markets Widen scope of application Product performance improvements NOT A CAPABILITY IMPROVEMENT Reduce lead time Increased productivity in manufacturing processes Manufacturing flexibility Increase speed to market Workforce development Provide greater expertise

Worksheet – Prioritization of Existing Capabilities The following capability improvements were identified when combining the 2017 roadmaps. For any customer market in which the listed customer drivers are important, rate the degree to which advances in each area of capability improvement would increase fluid power’s ability to meet each customer driver. Use the following scale: 1 = YES, advances in this area of capability improvement WILL increase fluid power’s ability to meet this customer driver; 2 = MAYBE, advances in this area of capability improvement MIGHT increase fluid power’s ability to meet this customer driver; 3 = NO, advances in this area of capability improvement WILL NOT increase fluid power’s ability to meet this customer driver. CUSTOMER DRIVERS CAPABILITY IMPROVEMENTS Increase energy efficiency Improve quality and reliability Increase power density Use product data to add value Reduce environmental impact Widen scope of application Increase speed to market Provide greater expertise Increased productivity and performance Increased availability and up-time Lower total and life cycle costs Reduce, increase ease and predictability of maintenance Lower environmental impact (e.g., quieter machines) Machines compliant with safety regulations Increased energy efficiency Greater integration of systems Increased speed to market Complete this worksheet online at: https://www.surveymonkey.com/r/KCFFFWF

Complete this worksheet online at: Worksheet – Identification of New Capabilities For any customer markets in which the listed customer drivers are important, identify any fluid power capability improvements NOT described above that you would have rated as "1 = YES, advances in this area of capability improvement WILL increase fluid power’s ability to meet this customer driver" for the listed customer driver. CUSTOMER DRIVERS CAPABILITY IMPROVEMENTS Increased productivity and performance Increased availability and up-time Lower total and life cycle costs Reduce, increase ease and predictability of maintenance Lower environmental impact (e.g., quieter machines) Machines compliant with safety regulations Increased energy efficiency Greater integration of systems Increased speed to market Complete this worksheet online at: https://www.surveymonkey.com/r/KCFFFWF

Complete this worksheet online at: Comments List any comments relevant to the above subjects here: Complete this worksheet online at: https://www.surveymonkey.com/r/KCFFFWF