Shorter product life cycles require flexible machine and system concepts. Festo and FlexFactory support the development of flexible production, realized in an 'as a service' business model, whose essential components are 'maintenance as a service' or 'equipment as a service' models. This creates a flexible and scalable production concept that enables the manufacture of different product variants within a line using 'pay per part' or 'pay per use' models. This significantly reduces financial risks compared to conventional concepts.

Festo provides both experience in production automation and an extensive range of components from pneumatic and electrical control and drive technology. The company's AI-based software solutions, such as 'Festo AX' and 'Smartenance', help to evaluate machine data and provide insights into the machine's condition in order to avoid downtime.

FlexFactory, a joint venture between MHP, Munich Re and Porsche, acts as a business enabler and orchestrator. The company does not provide its own production facilities, but offers the knowledge and corresponding services required to set up flexible production as a one-stop service concept: 'Digital Production as a Service'. It also provides support in the actual implementation of the specific customer project.

In order to support machine and plant manufacturers in expanding and transforming their business model, the joint offering within the partnership covers three solutions that build on each other:

1. In-depth data analysis: the implementation of a 'Digital Financial Twin' that uses plant data from the 'Smartenance' maintenance solution.
2. Predictive maintenance and insurance concepts: enabling digital risk transfer solutions based on condition data.
3. Complete transformation to an 'as a service' business model - further development into a provider of guaranteed results, for example through quality guarantees, maintenance flat rates or output rates.

In a joint development project, the companies have tested the combination of their product offerings at Festo's Scharnhausen technology factory: In the pilot, the 'Smartenance' maintenance software collects data and makes it available to FlexFactory's 'Risk Balance Board' via the 'Digital Financial Twin'. This allows individual process steps on the store floor to be evaluated and continuously monitored in near real time. The aim is to increase the productivity and profitability of the machines and systems through early intervention.