The language of digitalisation: Terms you should know.

The most important terms from the world of digitalisation

Algorithm
Simply put, an algorithm is a calculation method that solves complex problems in clearly defined steps. In the age of digitalisation, algorithms are indispensable for analysing data and making it usable. KSB Guard also uses algorithms to interpret recorded pump data.

Augmented reality (AR)
Augmented reality is a computer-based representation of the real environment, superimposed with virtual aspects. With AR, service technicians can, for example, view a machine on a display and display additional information.

Big data
Big data is one of the core concepts in the age of digitalisation. It refers to large amounts of data that have been generated from various sources and are saved, processed and evaluated.

Bitcoin
Bitcoin is a digitally generated cryptocurrency that has been around since 2009 and can be used to pay for things online. The digital currency works differently to regular money because Bitcoin consists only of data. Bitcoin is exchanged directly between the buyer and the seller. The virtual monetary system is not controlled or managed by any bank or state in the world. Instead, the value of Bitcoin is determined by the exchange rate through supply and demand on exchanges. Bitcoin is generated using complex encryption technologies (blockchain) that make counterfeiting virtually impossible, meaning that Bitcoin is extremely secure.

Blockchain
Bitcoin and blockchain are closely linked. The blockchain is a kind of warranty, i.e. proof that something is what it claims to be. In the non-digital world, we trust that a banknote is genuine and will retain its value tomorrow. For this, however, we need an intermediary, such as a bank. Blockchain technology, on the other hand, is a versatile, digital intermediary, an instance of trust that does not require humans. Here, trust in the blockchain is represented by an encrypted computer code.

An example: Person A wants to transfer one bitcoin to person B. The blockchain network now deducts the bitcoin from the network entry of person A and adds it to the network entry of person B. The blockchain network has no control centre, i.e. no single bank computer. Instead, it is is distributed over many different computers – all over the Internet, worldwide. The network records precisely, but anonymously, who owns what amount of bitcoin, and who transfers what to whom. You may compare it to a long table: Every change is recorded by the blockchain system in this table. Nothing that has been documented in its rows and columns can ever be changed or deleted. This creates an ever longer chain of table entries. The transactions executed during a given period of time are held in blocks which in turn form chains. Hence the name blockchain.

Bots
The word bot is short for robot. A bot is software that performs repetitive tasks automatically and, for the most part, autonomously. Search engines use, for example, bots to scan web pages and enter them into the search index. There are also social bots, which imitate human communication behaviour, especially on social media, by sending friend requests on Facebook or following other accounts on Twitter, for example.

Cloud
The term cloud has been around since the 1990s. It comes from IT and describes the interaction of several servers over the Internet. The cloud is essentially a computer cloud, data cloud or Internet cloud over which servers exchange different information with each other. In common parlance, the term cloud is also used to refer to cloud computing generally.

Cloud computing
In cloud computing, computing resources are made available via the Internet. This includes servers and storage, but also software and analysis functions. Cloud computing offers companies a number of advantages such as cost savings due to not requiring in-house infrastructures, services that are always state-of-the-art, and greater data security because cloud providers are able to invest more in data security than would be possible for many SMEs.

Cyber-physical systems (CPS)
Cyber-physical systems (CPS) play an important role in Industry 4.0. These are systems in which mechanical components are connected to each other via networks and modern information technology. As a rule, CPS consist of three parts: the mechanical components, the software and information technology.

Data mining
Data mining is the systematic application of computer-based methods to identify patterns, trends or correlations from large volumes of data.

Digital twin
A digital twin is the digital representation of a physical object. As they are based on real data (such as environmental conditions or machine positions), digital twins allow the performance of complex analyses and simulations. For example, concepts can be validated in advance or processes can be tested extensively in virtual environments. Digital twins are created on the basis of digital history files, i.e. complete documentation of the product life cycle of a machine or individual components.

GDPR
The EU’s new General Data Protection Regulation (GDPR) took effect on 25 May 2018. The GDPR imposes legal requirements on a broad range of private and public sector entities for the processing of personal data. These include reporting and accountability obligations as well as measures to ensure data security and others.

Industry 4.0
After the first Industrial Revolution (c. 1800), the second (c. 1900) and the third (c. 1970), we now find ourselves in the middle of the fourth, also known as Industry 4.0. Industry 4.0 refers to the intelligent networking of machines and processes in industry with information and communication technology.

Internet of Things (IoT)
The Internet of Things (IoT) is at the heart of Industry 4.0. IoT refers to the embedding of people, processes and (physical) objects in the virtual world. Internet-capable, intelligent machines can communicate with each other, automate processes, and also measure, collect and analyse data.

Artificial intelligence (AI)
The term artificial intelligence (AI) refers to techniques that enable computers to perform tasks usually requiring human intelligence. AI is also able to understand information and data, and take action based on them.

Lean management
Lean management is a concept in corporate management that aims to make activities more economical and reduce unnecessary costs.

Lean production
Lean production is a component of lean management. Lean production refers to the economical and time-efficient use of production factors such as operating equipment, personnel and materials, as well as the planning and organisation of business activities. KSB’s consulting, production and test centre in Pegnitz, Bavaria, is a good example: Most direct and indirect production processes here are already optimised and highly efficient.

New work
New technologies, digitalisation, automation and comprehensive global networking have led to a fundamental structural change in the world of work. New work epitomises this transformation of the world of work. The core values of new work are freedom, independence and participation in the community. Practical examples of new work are freelancing, 6-hour days or co-working spaces.

QR code
A QR (quick response) code is a two-dimensional code containing information that can be read quickly and easily with a scanner app. Practical: QR codes can encrypt not only individual words, but also entire Internet addresses.

Smart factory
Smart factory is a concept for expressing the ultimate goal of digitalisation in manufacturing. In Industry 4.0, the smart factory refers to a production environment that is able to organise itself. The smart factory relies on cyber-physical systems and the intelligent networking of machines and products.

Software as a Service (SaaS)
Software as a Service (SaaS) is a licensing and distribution model for software in which software applications are offered over the Internet (as a service). SaaS is usually provided on a subscription basis. Customers no longer have to buy their own software, but instead rent it over the Internet.

Virtual impeller trimming
With virtual impeller trimming, the operating point of a pump can be adjusted via smartphone. Unlike before, the operating process does not need to be interrupted. Energy efficiency can be quickly optimised if the actual Q/H point deviates from the design values and you can respond faster to system-induced changes.

Virtual reality (VR)
Virtual reality is an artificial reality generated by special hardware and software. VR applications usually require special VR headsets for displaying the artificially generated images. In combination with sensors connected to the VR glasses, which detect the location and position of the head, the wearer can enter and explore virtual spaces.

Wearable
Wearable technology, or wearable for short, is a category of electronic devices that can be worn as accessories, embedded in clothing, or otherwise worn on the user’s body, which registers and processes data relating to the user or their environment. Popular wearables include smartwatches and activity trackers.