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Merck and Siemens enter Strategic Partnership on Digital Transformation Technology
Memorandum of Understanding signed to drive digital transformation
through strategic projects across all three business sectors of Merck
Siemens named one of the global preferred suppliers for Merck's next-level
automation, boosting global smart manufacturing with Siemens Xcelerator
platform
Merck's cutting-edge production, enabled by Siemens, sets new standards
in modular manufacturing
Merck, a leading science and technology company, and Siemens, a leading
technology company deepened their mutual cooperation aimed at taking smart
manufacturing to the next level today. Cedrik Neike, CEO Digital Industries and
Member of the Managing Board of Siemens AG, and Kai Beckmann, CEO
Electronics business and Member of the Executive Board of Merck, signed a
Memorandum of Understanding (MoU) to expand cooperation in Smartfacturing
(short for Smart Manufacturing) and outline the next steps for both companies. The
MoU makes Siemens a preferred global supplier and strategic partner for
Smartfacturing technologies, paving the way for transformative projects across
Merck's three business sectors.
Memorandum of Understanding signed to drive digital transformation
through strategic projects across all three business sectors of Merck
Siemens named one of the global preferred suppliers for Merck's next-level
automation, boosting global smart manufacturing with Siemens Xcelerator
platform
Merck's cutting-edge production, enabled by Siemens, sets new standards
in modular manufacturing
Merck, a leading science and technology company, and Siemens, a leading
technology company deepened their mutual cooperation aimed at taking smart
manufacturing to the next level today. Cedrik Neike, CEO Digital Industries and
Member of the Managing Board of Siemens AG, and Kai Beckmann, CEO
Electronics business and Member of the Executive Board of Merck, signed a
Memorandum of Understanding (MoU) to expand cooperation in Smartfacturing
(short for Smart Manufacturing) and outline the next steps for both companies. The
MoU makes Siemens a preferred global supplier and strategic partner for
Smartfacturing technologies, paving the way for transformative projects across
Merck's three business sectors.
"Healthcare, Life Science, and Electronics are at the core of improving lives and
creating a more sustainable future. By combining Merck’s expertise in these vital
sectors with Siemens’ cutting-edge hardware and software we are transitioning from
a concept of mass production to a modular approach, saving time and increasing
flexibility. With the MoU, we now aim to set new global standards for future production,” said Cedrik Neike. “Our collaboration, which spans over 145 years, is a
powerful reminder that Merck and Siemens are more than just partners - we are
longstanding allies in shaping the future.”
Kai Beckmann highlighted the importance of this partnership: “Our goal is to bring
new products to market faster, more cost-effectively, and with a heightened focus on
sustainability. Smartfacturing is essential to achieving this, and Siemens is the
perfect partner for this journey. Their deep domain expertise and century-long
familiarity with Merck uniquely positions them to rapidly implement and scale our
vision.”
Merck drives an ambitious digital transformation agenda. At the core of this
development is the digital transformation of manufacturing, Smartfacturing. The
MoU introduces a centralized governance structure to streamline decision-making
and a contractual framework to fast-track the partnership agreement, opening doors
to new business opportunities and industry-leading advancements. Central to this
partnership is the Siemens Xcelerator platform, which will provide Merck with
cutting-edge software and hardware solutions, enhancing their digital transformation
efforts. One key element is modular production based on the plug & produce
principle. This approach allows individual process modules to be added, removed,
or reconfigured with ease, significantly reducing the time to market, lowering
investment costs, and cutting CO2 emissions. The collaboration seeks to drive
innovation, reduce complexity, and create growth for both companies.
A recent example of successful collaboration is the modular manufacturing line for
GMP (Good Manufacturing Practice) production at Merck, based on the new
automation standard MTP (Module Type Package), which ensures that the facility
meets the highest standards of quality and safety, guaranteeing that every product
manufactured adheres to rigorous industry requirements, ultimately safeguarding
patient health and reinforcing Merck's commitment to excellence. Currently, Merck is
utilizing this new automation technology for pharmaceutical and chemical
production, but it can be applied to various production processes and manufacturing
industries.
Siemens AG (Berlin and Munich) is a leading technology company focused on industry, infrastructure, mobility, and
healthcare. The company’s purpose is to create technology to transform the everyday, for everyone. By combining
the real and the digital worlds, Siemens empowers customers to accelerate their digital and sustainability
transformations, making factories more efficient, cities more livable, and transportation more sustainable. Siemens
also owns a majority stake in the publicly listed company, Siemens Healthineers, a leading global medical
technology provider shaping the future of healthcare.
In fiscal 2023, which ended on September 30, 2023, the Siemens Group generated revenue of €74.9 billion and net
income of €8.5 billion. As of September 30, 2023, the company employed around 305,000 people worldwide on the
basis of continuing operations. Further information is available on the Internet at
www.siemens.com.
Merck, a leading science and technology company, operates across life science, healthcare and electronics.
Around 63,000 employees work to make a positive difference to millions of people’s lives every day by creating
more joyful and sustainable ways to live. From providing products and services that accelerate drug development
and manufacturing as well as discovering unique ways to treat the most challenging diseases to enabling the
intelligence of devices – the company is everywhere. In 2023, Merck generated sales of € 21 billion in 65 countries.
Scientific exploration and responsible entrepreneurship have been key to Merck’s technological and scientific
advances. This is how Merck has thrived since its founding in 1668. The founding family remains the majority owner
of the publicly listed company. Merck holds the global rights to the Merck name and brand. The only exceptions are
the United States and Canada, where the business sectors of Merck operate as MilliporeSigma in life science, EMD
Serono in healthcare, and EMD Electronics in electronics.