Rolls-Royce launches R2 Factory, a digital transformation members’ community for tackling industrial challenges; R2 Factory combines data analytics, AI and machine learning with digital culture change, deep domain knowledge, system engineering expertise

April 8, 2022 (press release) –

Rolls-Royce has launched a new venture, called R2 Factory, a digital transformation members’ community that will help other organisations tackle their toughest industrial challenges.

Created out of R2 Data Labs – our in-house digital culture, data analytics and artificial intelligence (AI) unit – R2 Factory's team of specialists is inviting member organisations to collaborate with them to build solutions for their digital transformation challenges. The approach combines advanced data analytics, artificial intelligence and machine learning, with digital culture change, deep domain knowledge and system engineering expertise.

At the launch event on March 31st, Caroline Gorski, Chief Executive Officer, R2 Factory, said: “Five years into our own digital transformation journey at Rolls-Royce, we’ve learned some valuable lessons, including the need to look externally, collaborate and change culture as well as technology.

“Digital transformation is difficult and often unsuccessful, so we’ve created the R2 Factory as a safe space to do hard things, where we can share our Rolls-Royce successes and experiences with others.”

Aimed at global physical process-driven industrial businesses, which are asset-intensive and whose work is mission-critical, the R2 Factory team will work with its members through collaborative residency programmes. These will be focused on driving solutions in research and development, supply chain resilience, manufacturing, regulation and compliance, service and maintenance, AI and culture.

The successes achieved by R2 Data Labs in Rolls-Royce are not just about cost efficiency from digitalisation, but also increased digital literacy among the workforce and carbon footprint reduction. For instance, the team used data to reduce the carbon footprint in key supply chains by 40%.

Grazia Vittadini, Group Chief Technology and Strategy Officer, Rolls-Royce and also Chair of the R2 Factory Board, said: “Every organisation needs its creators, catalysts, campaigners, carers and convenors. Caroline and her team will be leveraging their Rolls-Royce experience of digital culture and technologies for the benefit of R2 Factory members, helping them find solutions to their own really tough digital challenges.”

With demonstrable results in culture change through the Rolls-Royce Digital Academy; societal change, through the team’s work with the non-for-profit Emergent Alliance; and supporting practical and ethical AI standards with The Aletheia FrameworkTM, R2 Factory will focus on helping members think differently about their digital challenges.

Caroline Gorski, added: “We know you can’t just add new technologies to an organisation. You have to think about practical deployment, about the people and about society. At its heart, successful digital transformation is a complete culture change and, in our experience, you can only achieve that when people collaborate.

“So, R2 Factory is a place where we can work with our members to build pragmatic solutions that make digital transformation actually happen. Only through collaboration will we change the way in which industry thinks about and tackles complex problems.”

About Rolls-Royce Holdings plc

1. Rolls-Royce pioneers the power that matters to connect, power and protect society. We have pledged to achieve net zero greenhouse gas emissions in our operations by 2030 (excluding product testing) and joined the UN Race to Zero campaign in 2020, affirming our ambition to play a fundamental role in enabling the sectors in which we operate achieve net zero carbon by 2050.
2. Rolls-Royce has customers in more than 150 countries, comprising more than 400 airlines and leasing customers, 160 armed forces and navies, and more than 5,000 power and nuclear customers.
3. Annual underlying revenue was £10.95 billion in 2021, underlying operating profit was £414m and we invested £1.18 billion on research and development. We also support a global network of 28 University Technology Centres, which position Rolls-Royce engineers at the forefront of scientific research.
4. Rolls-Royce Holdings plc is publicly traded company (LSE: RR., ADR: RYCEY, LEI: 213800EC7997ZBLZJH69)

About R2 Factory

1. R2 Factory is a membership community for organisations seeking opportunities to address the challenges of digital transformation in their businesses.
2. Its team has operated in Rolls-Royce since 2017 on digital transformation activities.
3. The Portland Place, London, boutique headquarters for R2 Factory covers six floors and incorporates events, collaboration and meeting spaces for members. Customers so far include AstraZeneca.
4. Members can upgrade to become residents to receive specialist collaboration programmes and gain access to unique digital products and services from R2 Factory.
5. The team is a global and diverse community, comprising 55 people from 14 countries, speaking 28 languages. Their skills and competencies range from artificial intelligence ethics, product development and data analytics experts, to digital culture and agile learning specialists.

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