xapp for manufacturing integration & intelligencefm.sap.com/pdf/8182/09_boris.pdf · whirlpool...

SAP xMIISAP xMIIxApp for ManufacturingxApp for ManufacturingIntegration & IntelligenceIntegration & Intelligence

De-Mystifying

Manufacturing Execution

Paul BorisDirector, Business Development

Emerging Solutions

Benchmarking

Expectations

Overview

SAP AG 2005 - SAP xMII – Improved Manufacturing Execution & Integration, Paul Boris, Emerging Solutions

Key Topics

� xMII Use Cases

� Customer SuccessBenchmarking

� What is Manufacturing Execution ?

� What xMII DeliversOverview

Benchmarking

Expectations

Overview


What is it …

� Well Established …� v11.5

� Adaptive Manufacturing Summit 9/27 & 9/28 - Denver

� Hundreds of Servers Deployed in all industries

� Ability to Function as a Stand-alone Application

� Set of Integrated Tools …� Data Access

� Business Logic

� Visualization

� KPIs / Alerts / Metrics

� SPC Engine and Visualization

� Aggregate/Transform/Visualize data from multiple sources …� SAP Business Suite

� MES

� Non-SAP Business Systems

� Process Control, Shop Floor, Quality, Lab Systems, etc


What is does …

� Supports Operational Excellence Programs

� TPM

� Six-Sigma

� Lean

� Autonomous Maintenance

� …any program requiring the delivery of the right information, at the right time, to the right people, in the right format

� Helps to …

� Identify optimal performance ensuring you maintain the proper amount of equipment / personnel

� Identify suboptimal performance resulting from either under usage, or form over usage that strips supply-chain productivity


Why it matters …

� Pratt & Whitney Canada – QM Integration

• $14MM Annual Savings

• Author QM Processes to the Front-line Operators

� PepsiCo - Asset/Order Performance

• Drive TE (OEE Derivative) from 65% to 85% in Capacity Constrained Environment

• Speed Acceptance of ERP Rollout wave

• Deliver Enterprise Integration

� Whirlpool Corporation – High-Availability

• 20x ROI in first 2 years

• Simplified Operator UI

• Integrated to Existing Shop Floor (MES) Applications

� Dow Corning – Customer Service / Inquiry & SPC, SQC

• Reduced Inquiry Response Time to Hours from Days

• Basis for Global Information Architecture


Typical Initiatives – Framework vs. Point Decisions

� xMII can deliver Point Solutions

� OEE Accumulation

� KPI Calculation

� KPI Reporting

� Manufacturing Analytics

� Dashboarding

� …

� xMII can act as the tool supporting Operational Excellence

� MES Integration

� Multi-site Performance

� Quality Comparisons

� Re-use / Re-purpose Shop Floor Data at the Enterprise

� Shop Floor User Simplification

� TPM

� Lean Sigma

� High-Availability Options

� …


xMII Benefits – Framework vs. Point Decisions

� Simplify Acquisition and Presentation of data

� Deploy new or previously unavailable* views of data

� “Future-proof” Operational Technologies

� Author Business Processes to the front-line operations

� Compose Vertical / Horizontal Processes from existing data sets

� Dramatically reduce the time to deploy, cost and number of System Interfaces

* Based on existing disparity, the time to collect, aggregate, analyze and distribute Information often makes it dated (at best) or invalid (at worst).


Performance Optimization

1

1. Equipment Status Changes and associated Status Codes immediately detected from existing Shop Floor Automation Systems

2. Status Codes are compared to Maintenance System for standard Event Descriptions

3. Status Codes are compared to Operational Excellence / TPM System for current acceptable Cause Codes for that asset

4. Operators enter additional commentary as needed

5. Maintenance can be alerted if the issue is beyond the operator’s abilities.

6. Real-time feedback on performance based on standard run rate and actual thru-put for order in process

7. Every event, including associated data, is captured for further review and analysis –only events over a certain threshold are shown on-screen / or require operator input

2 3 47

5

6


Quality-centered Composites


MES – the fundamental model …

MESA INTERNATIONAL MES MODELfrom MES Explained: A High Level Vision, MESA International

MES Defined – The 11 Functions of MESexcerpted from MES Explained: A High Level Vision, MESA International

1. Resource Allocation and Status

2. Operations/Detail Scheduling

3. Dispatching Production Units

4. Document Control

5. Data Collection/Acquisition

6. Labor Management

7. Process Management

8. Quality Management

9. Maintenance Management

10. Product Tracking and Genealogy

11. Performance Analysis

“The announcement by SAP that it acquired Lighthammer will gain big points with

SAP users who’ve bought into the Adaptive Manufacturing vision. It’s a signal to the market that SAP clearly gets what’s needed to meet customers’ strategic goals

for manufacturing.”

- Alison Smith“Lighthammer – SAP gets it,” June 23, 2005

Many plants now have information systems that leave plantwide activities to non-automated systems, while other areas have software. MES is the set of software functions that work with the management systems, people and practices to support operations excellence.


MES – How the Pieces Fit …


� SAP Capability � There will be functional overlap

between components

� mySAP ERP and xMII are complementary and integrated

� MES Functionality Defined� Observation / Integration

� Enforcement

� Observation/Integration - xMII� Data Access (Plant & Enterprise)

� Machine Alerting / Alarming

� KPIs / Trending / Ad-Hoc Metrics

� SAP UI Simplification

� Drill-down / Across to Granular Data

� Enforcement – ECC & MES� BOM / Alternate Enforcement

� Effective / Expiration Dates

� Lot Track & Trace

� Serialization

� FIFO / LIFO Compliance

� True MES Capability� Observation + Enforcement


EndEndEndEnd----totototo----end Functionalityend Functionalityend Functionalityend Functionality

Suppliers & Contract

Manufacturers

Customers & Partners

Product Design & Quality

Marketing & Sales Supply Chain Management

Manufacturing & Assembly

Logistics & Distribution

Order Management Service Management

Enterprise Management & Support

Time-to-Market

Managing Innovation and

Development

Collaborative Engineering

Go-to-Market

Marketing

Sales Force Management

Channel Management

Supply-to-Market

Demand and Supply Planning

Sourcing and Procurement

Distributed Manufacturing

Quote-to-Cash

Quotation, Contract, and Order Management

Fulfillment and Logistics

After Sales Support

Customer Service Management

Service Parts Management

Field Service Management

Consulting and Engagement Management


Demand and Supply Planning

Demand Planning (S1, S64)

Supply Network Planning (S1, S64)

Distribution Planning (S64, S1)

Supply Chain Monitoring and Control (S51, B12)

Sourcing and Procurement

Source of Supply Management (S12, S47)

Purchase Order Processing (S47, S12)

Supplier Collaboration (S10, S64)

Distributed Manufacturing

Production Planning (S64)

Production Scheduling (S64, S1)

Manufacturing Execution (S64)

Corrective Maintenance (S64)

Quality Assurance and Control (S62)

SupplySupplySupplySupply----totototo----MarketMarketMarketMarket

Suppliers & Contract

Manufacturers

Customers & Partners

Product Design & Quality

Marketing & Sales Supply Chain Management

Manufacturing & Assembly

Logistics & Distribution

Order Management Service Management

SAP Product Available SAP Product Available with Future Releases Future Focus Partner Product Available Partner Product Available with Future Releases

Supply-to-Market


MES – Where mySAP ERP & xMII fit …

Business Logic & Execution

Enforcement

Shop Floor Business Process

& Operator Interface

Start/End Run

Load Material

Alter

Setpoint

Enforcement Required

Material

Qualified

Additional

Datasets

CorrectBOM/Route

etc

Manual

and/or

Automated

Data

Collection

Lot Trace/Split/Merge

Yes

No

Yes

Yes

Yes

Log/Report/IgnoreNo

Log/Report/IgnoreNo

Log/Report/IgnoreNo

...

Log/Report/IgnoreNo

Yes

mySAP ERP

Transaction Complete

Query Master Data

...

Transaction Feedback


MES – How the Pieces Fit …


� SAP Capability � There will be functional overlap

between components

� mySAP ERP and xMII are complementary and integrated

� MES Functionality Defined� Observation / Integration

� Enforcement

� Observation/Integration - xMII� Data Access (Plant & Enterprise)

� Machine Alerting / Alarming

� KPIs / Trending / Ad-Hoc Metrics

� SAP UI Simplification

� Drill-down / Across to Granular Data

� Enforcement – ECC & MES� BOM / Alternate Enforcement

� Effective / Expiration Dates

� Lot Track & Trace

� Serialization

� FIFO / LIFO Compliance

� True MES Capability� Observation + Enforcement


The Current State of Manufacturing - Disconnected

� Disparity of Systems and Data

� A typical manufacturing plant will have between 10 and 50 shop floor automation (SFA) systems

� A multi-site manufacturer will have between 40 and 700 SFA systems across its enterprise

… typically running in a disconnected fashion

Factory

Enterprise

DISCONNECT

DISCONNECT

DISCONNECT


Using Manufacturing Operations as an Advantage …

SFAC - Shop Floor Automation and Control Systems

MES – Manufacturing Execution Systems

How are we hitting our targets?

� Total Cost of Production and Variance� Labor and Resource Productivity� Order Fill Rates and Cycle Times� Fixed and Variable Asset Utilization

ERPCoordination

What’s happening during every shift?

� Material availability and consumption� Capacity availability and utilization� Schedule changes� Product Genealogy tracking and QM

MESObservation &

Enforcement

What’s happening at each line?

� Cycle Times / Operating Efficiencies � Machine Breakdowns / Unplanned Downtime� Quality Index� Predictive Maintenance requirements

SFACControl &

Repeatability

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SFAC - Shop Floor Automation and Control Systems

MES – Manufacturing Execution Systems



ERPCoordination



MESObservation &

Enforcement



SFACControl &

Repeatability

xMII Creates a Monolithic view of Existing Apps or Data









xMII Creates a Monolithic view of Existing Apps or Data


Multi-Plant Context

Company

Plants R3, mySAP ERPSAP NetWeaver®


xMII Architecture


Use Models Directly Supported by xMII


End-to-End Composition / xMII & SOA


Typical MES Requirements – Where MES and xMII fit …

� General � Data Collection Devices & Terminals

� Transaction Validation

� Alarming / Alerting

� Machine Performance

� Order Dispatching� ERP Connectivity

� Order Prioritization & Completion

� Factory Order Execution� Order Display & Compliance

� Enter / Review Setup Data

� Incident Log

� Order Completion

� Alter Machine Status

� Machine Tracking� Machine Status

� Problem / Maintenance Alerting

� Machine Efficiency

� Quality� Application Integration

� Traceability

� Dashboards

ECC / MES

Benchmarking

Expectations

Overview


Results of Using Manufacturing as an Advantage …

excerpted from:“Pursuing Manufacturing Excellence through Real-time Performance Management and Continuous Improvement”

Greg Gorbach

Vice President, ARC

SAP xMII Drives Greater ROI by exploiting opportunities to use and re-use plant systems and data to drive operational effectiveness.


Rate of Return with Small Project teams

START

Operatordashboard

Supplierdashboard

D J F M A M AJ J OS N D J F M

2004 2005 2006

Plannerdashboard

Operatordashboard

CMM

Agile Development

Procurement dashboard


These customer examples illustrate in detail the innovative

business processes resulting from the rapid generation of

Manufacturing Composite Applications leveraging SAP xMII

� Notification / Response Time Reduction- Dow Corning

� Margin Analytics - Eastman Chemical

� Performance Optimization- PepsiCo

� Quality Improvement- Pratt & Whitney

� Efficiency Optimization- Nova Chemicals

xMII Manufacturing Composite Application Examples


Notification & Customer Response Time - Dow Corning

5. Email report to Product Manager, Disposition to SAP QM, Close record in QN System

2. Find Batch(es) created in MES to satisfy Production Order

3. Get Historian and LIMS data for batches, run xMII Analytics

4. If SPC Alarm it is a Batch production problem – provide aggregate view of LOTS & CUSTOMERS

1. Look up customer PO from SAP & return SAP Production Order

1

2

5

3

4


Business Case – Service Improvement

� Application Reduced Customer response time to QN from 7 Days to less than 1 Day

� Commitment of 4 hours for containment, 24 Hours for root cause analysis

� Business Benefit

� Increased market share in the electronics industry due to superior customer service – GM Speciality Materials Business “ROI? – either we get our response time to under 3 days or

we’re out of this business”

� $1.4M Cost avoidance due to faster containment

� Deployment Time – 6 weeks


1. Display key products in production, future planned runs and calculated values.

1

23

5

4

5. Drill-down into LIMS details to verify quality levels.

2. Drill-down into MES for batches in production and planned for a single product.

3. Drill-down into laboratory data for a single batch

4. Display customers that have open demand for product with specifications in production.


4

Performance Optimization – Visual Plant

1. Real-time Kanban Bin Status based on data from individual operations and business system – can be directly tied to mySAP ERP.

2. Current Order and Release Status for targeted operations –Ability to generate tickets, re-generate tickets, view documents as well as track status of orders

3. Real-time Operation Metrics with Drill In for trending analysis

4. Ability to monitor ticket status and find lost or stranded bins or loads.

1

2

3


Ability to analyze root causes of constraints that impacted losses in Production Capacity and contribution margins drives Continuous Process Improvement

Impact of Manufacturing Excellence on Bottom Line


SPC – On the Fly

The date or time column must be the first column in the Excel file and must have a column heading.


SPC – On the Fly

Imported file, Selected the column,

selected the standard chart type from

the SPC module.


Plant to ERP - Production Operations

Interactive Workcenter

Schedule: Production

Schedule updated every 30

minutes.

Double Clicking on a

production order provide

the confirmation screen

to enter new production.


Opportunity – Streamline Interaction with Plants

Quality Management

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AP

R3,

Leg

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Pallet Labeling

Warehousing

Material Movement

Recipe Management

Line MonitoringFie

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uctu

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SAP GUI

Output Management Fie

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SA

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MII

Sh

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SAP Standard PatternFor Plant Connectivity Library of xMII Objects

+ -

Radio Terminal Devi ce

F

N

R

Sampling of BusinessProcesses Deliveredto Sites

ANY Single ProcessIs Divided into MultipleInteractions…

Any Interaction, to Multiple Interfaces to systems, devices, processes…

Retain Device and System Flexibility at the Plant Floor

� Decouple Operators and Operations from the technology stack� Leave existing systems in place as you rationalize your infrastructure� Extend the life of legacy applications until new technologies are introduced


Point vs. Platform – ROI moving Forward

Industry Trends and InitiativesAMR, Gartner, ARC

Your Long RangeManufacturing Architecture

SAP’s Adaptive EnterpriseAdaptive Manufacturing, DDSN, E-SOA

Point Solution Path

SOA Approach


� Simplify Acquisition and Presentation of data

� Deploy new or previously unavailable* views of data

� “Future-proof” Operational Technologies

� Author Business Processes to the front-line operations

� Compose Vertical / Horizontal Processes from existing data sets

� Dramatically reduce the time to deploy, cost and number of System Interfaces

xMII Benefits – Framework vs. Point Decisions

Many plants now have information systems that leave plantwide activities to non-automated systems, while other areas have software. MES is the set of software functions that work with the management systems, people and practices to support operations excellence.


Questions …


Glossary

• ECC – Enterprise Core Components, mySAP ERP

• KPI – Key Performance Indicator

• MES – Manufacturing Execution System

• OEE – Overall Equipment Effectiveness

• QN – Quality Notification

• SFAC – Shop Floor Automation & Control

• SOA – Service Oriented Architecture

• SPC – Statistical Process Control

• SQC – Statistical Quality Control

• TPM – Total Productive Manufacturing

• VIP – SAP Cross-app for Plant Maintenance Simplification

• xMII – SAP Cross-app for Manufacturing Integration & Intelligence

xapp for manufacturing integration & intelligencefm.sap.com/pdf/8182/09_boris.pdf · whirlpool...

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