lockheed martin aeronautics: implementing sap in a...
TRANSCRIPT
Lockheed Martin Aeronautics:Implementing SAP in a ComplexManufacturing Environment
David LoganDirector, OneAero OperationsLockheed Martin Aeronautics
SAP Advanced Manufacturing SummitSeptember 16-17, 2009
© SAP AG 2009. All rights reserved. / Page 2 ©2009 Lockheed Martin Corporation
Agenda
1. Lockheed Martin Corporation
2. Understanding the Challenge: Unique Business Requirements
3. Meeting the Challenge: The OneAero Project
4. SAP Functionality for Key Capabilities
5. LM Aero Future Vision
6. Keys to a Successful Implementation
© SAP AG 2009. All rights reserved. / Page 3 ©2009 Lockheed Martin Corporation
Lockheed Martin Corporation
Information Systems& Global Services
Electronic Systems
Space Systems
Aeronautics
Lockheed Martin Co.
Fort Worth, TXFort Worth, TXMarietta, GAMarietta, GAPalmdale, CAPalmdale, CA
YF-22F-117
U-2
X-35
F-16
F-35CCV
F-35ACTOL
F-35BSTOVL
C-5
C-130J
F-22
29,000+ Employees Across the Company and29,000+ Employees Across the Company andAround the WorldAround the World
© SAP AG 2009. All rights reserved. / Page 4 ©2009 Lockheed Martin Corporation
Understanding the Challenge: UniqueBusiness Requirements
2422
20
18
16
14
12
10
8
6
4
2
0Y1 Y4 Y5 Y6 Y7Y2 Y3
Delivery Schedule (Years)
F-35 Supply Chain andGlobal Sustainment 2Go-Live
F-35 Monthly Aircraft Delivery Rate
© SAP AG 2009. All rights reserved. / Page 5 ©2009 Lockheed Martin Corporation
Understanding the Challenge: Unique Business Requirements
F-35 (JSF) Program OverviewThe F-35 is collaborative effort of 9 partner countries with 3,000 deliveries scheduled for the next 30 years.The F-35 is comprised of 3 variants designed for different branches of the armed services.
Variant CTOL STOVL CV
Acronym Conventional Takeoff and Landing Short Takeoff, Vertical Landing Carrier Variant
Primary Customer Air Force Marines Navy
Variant Name AF BF CF
UK
United StatesItaly
The Netherlands
TurkeyCanada
Australia
Norway
Denmark
© SAP AG 2009. All rights reserved. / Page 6 ©2009 Lockheed Martin Corporation
Diagrams
Denmark
TurkeyGreece
S. KoreaIsrael
UKItaly
IndiaPakistanGA
CA
TXJapan
Canada
Challenges:•Support full rate production•International supply chain•Consistent process•Supply chain visibility•Numerous hand-off’s•Balancing inventory
Vision:Integrate the supply chain andprovide visibility with a largecontingent of suppliers
Final Assembly and CheckoutLocations (FACO)
Understanding the Challenge: Unique Business Requirements
International Participation
© SAP AG 2009. All rights reserved. / Page 7 ©2009 Lockheed Martin Corporation
Meeting the Challenge: The OneAero Project
OneAero Vision: Lockheed Martin Aeronautics will transform business processes, systemsand information through the implementation of SAP software, combined with significantprocess improvements, positioning us to meet the challenges of effectively producing the JSF,achieving horizontal integration and retiring high-risk, aging systems.
.
* Formerly Visiprise; Currently part of SAP Complex Assembly Manufacturing Solution (CAMS)
© SAP AG 2009. All rights reserved. / Page 8 ©2009 Lockheed Martin Corporation
Meeting the Challenge: The OneAero Project
Launch Sequence Timeline
2008 2009 2010 2011Jan
Aug May Feb Aug NovDeployment 2Supply Chain
Deployment 1Finance
L1Fort Worth
F-22
L5Palmdale
Unclassified
The second supply chain launch (L2) marks the initial SAP go-live for the F-35Joint Strike Fighter program. The phased launch approach, beginning with theF-22 program as a pilot, was chosen to mitigate risk to F-35 production rate goal.
L4PalmdaleClassified
L3Marietta
ClarksburgMeridian
L2Fort WorthRemaining
D1All SitesFinance
© SAP AG 2009. All rights reserved. / Page 9 ©2009 Lockheed Martin Corporation
SAP Functionality for Key Capabilities
* Formerly Visiprise; Currently part of SAP CAMS
ComputerAided Process
Planning(CAPP) *
Shop FloorManagement
(SFM) *
TransportationManagementSystem (TMS)
SupplierNetwork
Collaboration(SNC)
Global TradeServices (GTS)
© SAP AG 2009. All rights reserved. / Page 10 ©2009 Lockheed Martin Corporation
Benefits of SAP CAMS
SAP Functionality for Key Capabilities
Manufacturing Execution System: Why SAP CAMS?
© SAP AG 2009. All rights reserved. / Page 11 ©2009 Lockheed Martin Corporation
SAP Functionality for Key Capabilities
SAP Enterprise Integration: CAPP, SFM, SAP
As-built RecordChange Requests
ItemMBOMRouterOperationWork InstructionInspection CharacteristicsBuyoffData CollectionOperation CertificationToolsECOCNC Program
OrderCharge CodeUnit Number/ QtyResource
Order StatusOrder ConfirmationLabor ConfirmationTool UsageRework
Unit NumberItem
BOMMMCM
ItemMBOMRouterStandard TimesTools
Order
Material Consumption
Other
Other
Other
Other
Other
Other
Closed-loop Enterprise Integration:PLM-ERP-MES(CAMS)
© SAP AG 2009. All rights reserved. / Page 12 ©2009 Lockheed Martin Corporation
MIDDLEWARE
(SAP PI)
SAP Functionality for Key Capabilities
Enterprise Integration: CAPP, SFM, SAP
© SAP AG 2009. All rights reserved. / Page 13 ©2009 Lockheed Martin Corporation
User Interaction
Business Processes
Basic Services
Powered by SAP NetWeaver™XML Message Exchange
SAP Functionality for Key Capabilities
Supplier Collaboration: SNC
© SAP AG 2009. All rights reserved. / Page 14 ©2009 Lockheed Martin Corporation
Aircraft Master Scheduling Logistical Project Process
AF-5AF-5
AF-5-1
SAP Project Systems
A/C Mate and Final Installation
InspectionPaint
Wing Installation
Flaps
Leading Edges
Center Fuselage Installation
Pre-FitBulkhead Assy
FLAP-121
LEADEDGE-002
BLKHD-004
SAP Production Planning
LEADEDGE-002
NetworkReservation Materials Planning (MRP)
Capacity Requirement
Capacity Planning (CRP)Work Center: PAINT1
Capacity Load Increased
Available Capacity Reduced
Confirmations Reduce Load
Materials Planned by MRPReqmt. Date Network Driven
Relationship (SS +10)
Relationship (FS)
Aircraft ProjectConfiguration “AF”Ship # 5PS-Networks support
project-orientedmanufacturing model:• Provides powerful, but
flexible scheduling tool
• Tight integration withPlanning and MaterialManagement
• Supports greater visibility toshopfloor operations
SAP Functionality for Key Capabilities
Network Scheduling: SAP ECC
© SAP AG 2009. All rights reserved. / Page 15 ©2009 Lockheed Martin Corporation
SAP Functionality for Key Capabilities
Logistics Execution: SAP ECC
© SAP AG 2009. All rights reserved. / Page 16 ©2009 Lockheed Martin Corporation
• Global Trade Services (GTS)Export / Import
Sanctioned Party List screeningAutomatic License Determination and Value AdjustmentCustoms Documentation Generation
– Electronic communication with U.S. Customs A.E.S.(export only)
Tight Integration with ECCAutomatic screening of Customers/Suppliers againstSanctioned Party ListAutomatic screening of Sales Orders/Deliveries for ExportAutomatic screening of Purchase Orders/InboundDeliveries/Advanced Shipping Notices for Import
SAP Functionality for Key Capabilities
Trade Compliance: GTS (Future Release Capability)
© SAP AG 2009. All rights reserved. / Page 17 ©2009 Lockheed Martin Corporation
Outbound:
•Consolidation of internationalshipments to subcontractors inEurope and the Far East
Inbound:
•Consolidation of shipmentsinbound to localized groupings ofmanufacturing facilities and 3PL
Global Visibility: visibility of delivery schedulesassociated with both inbound and outboundshipments
TransportationManagementSystem (TMS)
SAP Functionality for Key CapabilitiesTransportation Management: TMS(Future Release Capability)
© SAP AG 2009. All rights reserved. / Page 18 ©2009 Lockheed Martin Corporation
LM Aero Future Vision
© SAP AG 2009. All rights reserved. / Page 19 ©2009 Lockheed Martin Corporation
Keys to a Successful Implementation:Launch 1 Success Factors
531 people> 1.0M Hours worked
27 Web-Based Courses53 Instructor-Led Courses
27K Training Hours1446 End Users
4,303 Defects47,000 Steps
7,000 Scenarios
1,745 requirements
700 development objects1045 Business Process Procedures
6,235 PO’s16,804 Vendor Masters23,563 Material Masters
33,553 Production Orders343,288 Financial Breakpoints
99.9% of Data Loaded4,886,780 Records
542 Records Required MitigationSuccessful Dry-Run
Exhaustive testing, thorough data cleansing and validation, detailed and interactive trainingcourses and our partnership with SAP, Deloitte and BackOffice were critical to our success.Exhaustive testing, thorough data cleansing and validation, detailed and interactive trainingcourses and our partnership with SAP, Deloitte and BackOffice were critical to our success.
© SAP AG 2009. All rights reserved. / Page 21 ©2009 Lockheed Martin Corporation
Slide Citations
Slide Description Source
1 a. F-35 Manufacture a. JSF Military Websitehttp://www.jsf.mil/images/gallery/sdd/f35_manufacturing/a/sdd_f35manfa_045.jpg
3 a. – d. Lockheed Martin Corp.e. Map with small planes
a. – e. All photos are from the Consulting Onboarding deck from D1
4 a. Delivery Ram up Schedule a. JSF Military Website,http://www.jsf.mil/downloads/documents/ANNEX%20A%20Revision_April%202007.pdf
5a. Large F-35
b. Small F-35 Variants
a. Lockheed Martin Website, http://www.lockheedmartin.com/products/f35/f-35specifications/f-35a-ctol-
specifications.htmlb. Lockheed Martin Website, http://www.lockheedmartin.com/products/f35/f-35specifications/index.html
10
a. Electronic Work Instructions
b. Order Processing Timec. Shop Order Visibility
d. Non-Conformance Processe. Engineering Change Incorporation
a. Visiprise Customer Case Study, http://www.manufacturing-executive.com/sponsors/visiprise/lockheed.pdf
b. Creative Commons, http://search.creativecommons.org/# , Search for “stack of paper”c . JSF Military Website,
http://www.jsf.mil/images/gallery/sdd/f35_manufacturing/a/sdd_f35manfa_004.jpgd. JS Military Website,
http://www.jsf.mil/images/gallery/cdp/lockheed/manufacturing/cdp_loc_manf_001.jpge. JSF Military Website,
http://www.jsf.mil/images/gallery/sdd/f35_manufacturing/a/sdd_f35manfa_029.jpg
14 a. F-35 Manufacturing/Tools a. JSF Military Website,http://www.jsf.mil/images/gallery/sdd/f35_manufacturing/a/sdd_f35manfa_022.jpg
15a. Demand Driven Replenishmentb. All others
a. Lockheed Martin Website,http://www.lockheedmartin.com/data/assets/aeronautics/gallery/f35/flights/flight02/ae070108_27_01133.jpg
b. FMF Warehouse Photos – 2009
16 a. Global Trade a. Lockheed Martin Website, http://www.lockheedmartin.com/isgs/capabilities/globaldelivery.html
18a. FMFb. FPS
c. SCD
a. FMF Warehouse Photos - 2009b. JSF Military Website,
http://www.jsf.mil/images/gallery/sdd/f35_manufacturing/a/sdd_f35manfa_045.jpgc. Lockheed Photo Collage, http://www.jsf.mil/f35/