david segal imts 2010 plm for value stream management

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Using PLM to Enhance Value Stream Management for Competitive Advantage David SEGAL Director, Industrial Equipment Industry Market Development Dassault Systèmes

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Application of PLM (Product Lifecycle Management) methodologies to facilitate Lean Manufacturing and Engineering. Particular use of PLM for Lean Product Development and enterprise Value Streams Management

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Page 1: David Segal IMTS 2010 PLM  for Value Stream Management

Using PLM to Enhance Value Stream

Management for Competitive Advantage

David SEGALDirector,Industrial Equipment Industry Market Development

Dassault Systèmes

Page 2: David Segal IMTS 2010 PLM  for Value Stream Management

Copyright Dassault Systèmes – 2010 – All rights reserved

Agenda - Built “Top-Down”:

• Introduction… and Lean Principles

• Value Stream Management

• Using PLM to Enhance Value Stream Management

• Introduction to PLM 2.0

• PLM Demo:“Collaborative Multi-discipline Engineering”(Lean Product Development)

Page 3: David Segal IMTS 2010 PLM  for Value Stream Management

To succeed in this market….

Customers demand:More value, service and product performance for lower price

Line integration for requirements and regulations

Post sale asset managementOn-site engineering support

More complex productsMultiple systemsMultiple product configurationsEtc…

Manufacturers challenge:How focus on customer needs and still

remain profitable?More value, service and product

performance at lower costInnovation for more complex products

and faster time to marketManage global supply chains and

extended value streamsInnovate to respond to the industry

evolution and emerging markets Enable sustainable growth

Page 4: David Segal IMTS 2010 PLM  for Value Stream Management

Focus on product value streams

At core of lean principles is a focus on what customers want, identifying anything that doesn’t add value in providing a product or service (waste), and then eliminating or minimizing those wastes.

Hundreds of activities, processes and inputs bring a product or service to market (i.e., a value stream).

Value streams run from the furthest supplier out to end customers, with inputs from many functions (sales, procurement, development, etc.)

Value-stream view of processes: asking whether each step adds value for the end customer, or does a step

actually waste time, movement, or resources?

Page 6: David Segal IMTS 2010 PLM  for Value Stream Management

Value Stream Management

Starts with understanding of Customer ValuesCustomer values differ from customer requirements

Requires the development of core systems that ensure the ability to create these values:

Manufacturing

Procurement

CustomerValues

Value Stream Mapping

Distribution

Product Development

Engineering

Knowledge Capitalization

Sales

Marketing

Regulatory

So , Value Stream Management can be defined to be…

Designing, improving, and sustaining both the relationships and the individual processes that contribute to the creation of customer value!

Page 7: David Segal IMTS 2010 PLM  for Value Stream Management

Value Stream Management

Value Stream Mapping

Knowledge Capitalization

Need for a Systemic View

Unified Vision

Complexity of conflicting valuesDependency and interrelationshipsChanges and transformation of values

PLMCollaborative

Management

Environment

Page 8: David Segal IMTS 2010 PLM  for Value Stream Management

PLM and Value Stream Management Aligning value streams to customer and business needs“The difference between profitable and unprofitable value

streams is how much usable knowledge is created and delivered by development. So, the primary wastes in

development are connected to knowledge, not physical transformation.”

Allen Ward, Lean Product and Process Development, The Lean Enterprise Institute, March 2007.

97% Non VA

97% Non VA

Most process improvement teams attack this (Value Activities)

Achieve this …

And ignore this

Typical Value Stream

3% VATeams tend to

evaluate processes by

focusing only on actions where something is being done to the product

Driven by Lean Manufacturing…

Page 9: David Segal IMTS 2010 PLM  for Value Stream Management

PLM and Value Stream Management Aligning value streams to customer and business needs“The difference between profitable and unprofitable value

streams is how much usable knowledge is created and delivered by development. So, the primary wastes in

development are connected to knowledge, not physical transformation.”

Allen Ward, Lean Product and Process Development, The Lean Enterprise Institute, March 2007.

97% Non VA

Typical Value Stream

3% VATeams tend to

evaluate processes by

focusing only on actions where something is being done to the product

Driven by Lean Manufacturing…

Knowledge-Based Process Automation

Knowledge-Based Product Engineering

Page 10: David Segal IMTS 2010 PLM  for Value Stream Management

PLM and Value Stream Management Knowledge-Based Process Automation and Engineering

Impact on R&D and DesignGlobal, Complex, Multi-discipline Engineering and development costs control

Impact on sourcing/supplier managementGlobal Collaboration across supply chain for NPI and ETO processes

Impact on manufacturingProduction lines balancing, simulation and automation

Impact on distribution Global inventory and assets management

Impact on customer service and supportVoice of the Customer and early product experience in the Engineering process (Digital roll-out)

Page 11: David Segal IMTS 2010 PLM  for Value Stream Management

Experience

Experience

DesignSimulate

Produce

Collaborate

Customer/People

©Dassault Systèmes 2009– Customer and DS Channels personal use only

“A Global Development Environmentthat provides value-streams optimization from Bidding to Commissioning and Lifelike Experience to deliver First Time Right Innovative and Sustainable Products”

PLM 2.0 for Lean Engineering

Page 12: David Segal IMTS 2010 PLM  for Value Stream Management

12

Devices/Products/Services

Middleware platforms

People PLM 2.0 for Lean Engineering

Collaborative Innovation

Lifelike Experience

IP Modeling & Simulation

DigitalManufacturin

g& Production

RealisticSimulation

©Dassault Systèmes 2009– Customer and DS Channels personal use only

Virtual Design

Page 13: David Segal IMTS 2010 PLM  for Value Stream Management

Ship

Deliver

End of

Life (EOL)

Processes

Service & Support

Processes

Enterprise Business Processes

ProductEngineering

Processes

Systems Engineering

Processes

ManufacturingProcesses

1

2

3

4

5

Industrial Equipment Domains Overview

Page 14: David Segal IMTS 2010 PLM  for Value Stream Management

Ship

Deliver

End of

Life (EOL)

Processes

Standard Manager

Standard Designer

Services

Technical Writer

ProjectManager

Buyer

ProductManager

Customer

Systems

Engineer

Suppliers

Sales

Simulation Engineer

Controls Engineer

Fluidics EngineerElectrical Engineer

Mechanical Engineer

Process Planner

Tooling Designer

Resource Programmer

Production Engineer

Instructions Designer

QualityEnginee

r

Industrial Equipment Roles

Page 15: David Segal IMTS 2010 PLM  for Value Stream Management

End OfLife

ShipDesign

ValidationOrder

Start Of Prod.

Manuf.Validation

ProductValidation DeliverRFX

Project Carry Over

Bidding Phase

Product Manager

Project Manager

Sales

ControlsEngineer

Mechanical Engineer

Electrical Engineer

Fluidics Engineer

Buyer

Standard Manager

Customer Systems

Engineer

Product Architect

1

Industrial Equipment Value Activities

Page 16: David Segal IMTS 2010 PLM  for Value Stream Management

End OfLife

ShipDesign

ValidationOrder

Start Of Prod.

Manuf.Validation

ProductValidation DeliverRFX

Project Carry Over

Detailed Design Phase

Product Manager

Project Manager

Sales

SuppliersControlsEngineer

Mechanical Engineer

Electrical Engineer

Fluidics Engineer

Buyer

Standard Manager

Standard Designer

Customer

QualityEnginee

r

Simulation Engineer

Systems

Engineer

Product Architect

2

Process Planner

Tooling Designer

Resource Programmer

Industrial Equipment Value Activities

Page 17: David Segal IMTS 2010 PLM  for Value Stream Management

End OfLife

ShipDesign

ValidationOrder

Start Of Prod.

Manuf.Validation

ProductValidation DeliverRFX

Project Carry Over

Product Manager

Project Manager

Sales

SuppliersControlsEngineer

Mechanical Engineer

Electrical Engineer

Fluidics Engineer

Production Engineer

Buyer

Standard Manager

Standard Designer

Customer

QualityEnginee

r

Systems

Engineer

Process Planner

Tooling Designer

ServicesSimulation Engineer

Resource Programmer

Instructions Designer Technical

WriterProduction Phase

Product Architect

3

Industrial Equipment Value Activities

Page 18: David Segal IMTS 2010 PLM  for Value Stream Management

End OfLife

ShipDesign

ValidationOrder

Start Of Prod.

Manuf.Validation

ProductValidation DeliverRFX

Project Carry Over

Product Manager

Project Manager

Sales

Suppliers

Customer

QualityEnginee

r

Services

Technical Writer

Production Engineer

Instructions DesignerImplement &

MaintainPhase

4

Industrial Equipment Value Activities

Page 19: David Segal IMTS 2010 PLM  for Value Stream Management

End OfLife

ShipDesign

ValidationOrder

Start Of Prod.

Manuf.Validation

ProductValidation DeliverRFX

Project Carry Over

Service & Support

Processes

Enterprise Business

Processes

ProductEngineering

Processes

Systems Engineering

Processes

Manufacturing

Processes

Products Portfolio & Requirements Management

Enterprise Projects Management

Quote to Order Management

Suppliers & Sourcing Management

Systems Engineering

Regulatory Management

Service & Support Engineering / Operations

Structure & Body Design

Mechanical Design

Analysis & Simulation

Product Virtual Commissioning

Product Architecture & Synthesis

Manufacturing & Production Operations

Industrial Equipment Processes Overview

Page 20: David Segal IMTS 2010 PLM  for Value Stream Management

PLM supports value-stream continuous improvement

Applying continuous improvement across a value stream relies on basic lean principles:

Minimizing waste Lowering costsImproving productivityEnhancing revenue generation through better use of assetsImproving ROI

PLM enables efficiency fundamentals:System Stability - All participants need to access a single, consistent data source

Process Standardization - Definition and capture of standard reference processes is a must in a value stream

Correction and Improvement - Problems and improvement opportunities should be identified, analyzed, and eliminated quickly

Page 21: David Segal IMTS 2010 PLM  for Value Stream Management

PLM supports value-stream continuous improvement

“In some cases, application of Lean Principles hasprovided a 60-70% reduction in product development time.”Clifford Fiore, Accelerated Product Development,Productivity Press, New York, 2005

“Lean Product Development offers by far the greatest potential for a competitive advantage for any consumer driven company and is a critical component in dealingwith the many environmental challenges that all companies must now take into consideration.”The Toyota Product Development System, Morgan & Liker, 2006.

CustomerCase Studies:

Metrics Improvement

Product Development Cycle Times

60-70% reduction

Bid-Win strike rate

From 10 to 40 %

Time to design 20-30 % reduction

Engineering change process cycle time

10 -20 % reduction

Time to Manufacture 10-15 % reduction

Time to find information 50-60% reduction

Design errors 50 -60 % reduction

Page 22: David Segal IMTS 2010 PLM  for Value Stream Management

DI

Page 24: David Segal IMTS 2010 PLM  for Value Stream Management

Back Slides

Dassault Systèmes

Page 25: David Segal IMTS 2010 PLM  for Value Stream Management

Impact on sourcing/supplier managementParticipation in new-product development:

“Managing Supply Chains for Growth and Efficiency,” Industry Week and IBM Global Services, January 2008.

Page 26: David Segal IMTS 2010 PLM  for Value Stream Management

Impact on customer service and supportCollaborative Design with Suppliers and

Customers

Source: 2009 MPI Manufacturing Study, Manufacturing Performance Institute, 2009.

Page 27: David Segal IMTS 2010 PLM  for Value Stream Management

Video

Page 28: David Segal IMTS 2010 PLM  for Value Stream Management

Impact on R&D and DesignCollaborative Multi-discipline Engineering