unternehmensweites product lifecycle management mit agile
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Unternehmensweites Product Lifecycle Management mit Agile Stefan Sack - Director Agile PLM, Oracle EMEADüsseldorf - April 2008
Agenda
• What & Why PLM• Enterprise PLM & Agile PLM Solutions• Customers Case Studies & Examples
Why Product Lifecycle Management Accelerate Innovation & Maximize Profitability across the Lifecycle
• Innovation is a top business imperative • Renewed growth focus fueled by product innovation• New products, new markets, new technologies are top drivers• Executive focus on product development• Profitable Growth & Right-To-Market is the only option
• Key challenges driving PLM adoption• Global product development • Outsourcing & acquisition integration• Increasing product variance & complexity• Accelerating product launches and time to market/volume• Increasing regulatory compliance & product quality requirements• IP management and security
Why Products Fail?Challenges Affecting Profitability
Time
Prod
uct P
rofit
abili
ty
Misaligned Ideation & Development• Responding to Market Trends• Bad Projects Difficult to Kill• Products Not Right for Market
Missed Launch Dates• Disjointed NPD&I processes• Complex Packaging• Global supply networks
Process Inefficiency• Inaccuracy = Delays, Scrap, Rework, Recalls• Poor Internal / External Communication• Disjointed Change Management
Regulatory Compliance • Crisis Management e.g. Health Scare• Changing Regulatory Controls• Labeling requirements by region
Inability to extend product life• New customer preference• New trends – low carbs• New products & claims
Escalating Product Costs• Proliferation of Materials / Suppliers / Specifications• Cross Country Branding / Development• Inconsistent Quality
Product Development Volume Production
Idea Concept LaunchDesign
Brand Extension
Fragmented Product
Information
Fragmented Product
Information
UninformedDecisionMaking
UninformedDecisionMaking
DisconnectedBusinessProcesses
DisconnectedBusinessProcesses
MisalignedStakeholders
MisalignedStakeholders
80% of All Products Fail
to Reach Their Target
ROI !(Source: AMR)
MARKETING
Enterprise
Value Chain
Enterprise
Value Chain
ProjectProject
PRODUCTION
MESMESERPERP SCMSCM
PROCUREMENT
ERPERP
ExcelExcel
LEGAL & CA
AccessAccessEDMSEDMSNotesNotes
R&D (EUROPE)
R&D (ASIA) R&D
(US)
SUPPLIERS
REGULATORY BODIES
OUTSOURCED PARTNERS
ARTWORK DESIGN
CUSTOMERS
ExcelExcel
MCADMCAD
Recipe Mgmt
Recipe Mgmt CADCAD
Spec DB
Spec DB
QuarkQuark AdobeAdobeCADCADERPERP SCMSCM
Formulas
Design Briefs
Audits
Artwork Files
Specifications
Package Designs
Ideas
Submission
Files
CADModels
Samples
Formulas
Design Briefs
Audits
Artwork Files
Specifications
Package Designs
Ideas
Submission
Files
CADModels
Samples
BOMs
Design Briefs
Audits
Artwork Files
Specifications
Package Designs
ECOs
Material &
Substance Data
CADModels
Samples
Why Product Initiatives Fail?Product Information is Fragmented, in Disparate Global Systems
Concept Design & Develop
Prototype& Pilot
Launch& Ramp
Service & Support
Phase-out& DisposalProduction
DRIVE MARGINS& REDUCE SUPPLY
RISK
RAMP TO VOLUME& HIT TARGET COST
GET TO MARKETFASTER
DEVELOP PRODUCTS“RIGHT TO MARKET”
MITIGATE RISKASSOCIATED WITH
REGULATORY COMPLIANCE
REDUCE SERVICE & WARRANTY
COSTS
OPTIMIZEINVESTMENTDECISIONS
Product Lifecycle Management MissionAccelerate Innovation & Maximize Profitability across the Lifecycle
PLM Value Proposition – Quantifiable ROI
ChallengeChallenge PLM Impact PLM Impact DriversDrivers
Reduce costs and increase Reduce costs and increase efficiencies thru global efficiencies thru global engineering and outsourced engineering and outsourced design & design & mfgingmfging collaborationcollaboration
Enable Globalization
& Outsourcing
Low Cost Design Centers, Low Cost Design Centers, Outsourced Design & Mfg, Outsourced Design & Mfg, AcquisitionsAcquisitions
Reduce cycle time Reduce cycle time ---- 1010--20%20%Improve productivity Improve productivity ---- 2020--40%40%
Accelerating Time To Market
Faster innovation Faster innovation cycles, NPI explosioncycles, NPI explosion
Reducing Costs &
Increasing Profits
Intense pressure to reduce Intense pressure to reduce costs and supply risk, costs and supply risk, improve profit marginsimprove profit margins
Reduce material costs Reduce material costs ---- 22--5%5%Reduce new part adds Reduce new part adds ---- 1010--30%30%Reduce Waste / Rework by 30Reduce Waste / Rework by 30--40%40%
Managing Risk& Ensuring Compliance
Increased Quality Increased Quality and Regulationsand Regulations
Managing risk across Managing risk across financial, regulatory and financial, regulatory and international complexityinternational complexity
What is PLM?
PLM enables companies to accelerate product innovation and maximize product
profitability……through the management of the
information, processes and decisionsabout their products…
…throughout the product lifecycle and across the global product network
Agenda
• What & Why PLM• Enterprise PLM & Agile PLM Solutions• Customers Case Studies & Examples
ItIt’’s all about s all about CollaborationCollaborationand and Product InnovationProduct Innovation
Cell Phone
2008 1978
Agenda
• What & Why PLM• Enterprise PLM & Agile PLM Solutions• Customers Case Studies & Examples
Agile PLM enables the Enterprise Product Record
Manufacturing Information- Bills of Materials- Mfg. Instructions- Revisions- Site Specific Information
Service Information- Corrective Actions- Field instructions- Service BOMs
Cost Information- Standard Parts- Part/BOM Costs- Cost History
Supplier Information- Preferred Suppliers- Alternate Sources- Availability
Design Information- Schematics & Drawings- CAD Models- Software/Firmware- Design Reviews- Design Structure- Configuration rules
New Product Information- Programs- Resources- Tasks/Schedules- Issues/Action Items- Deliverables
Compliance Information- Regulatory- Standards- Audits
Customer Information- Requirements- Configurations- Quality Issues
ProductRecord
ProgramExecution
ProductOperationsBusinessProcesses
DecisionSupport
Concept
Concept Plan Validate Launch Sustain EOLDevelop
Global Product Development & Design Collaboration
New Product Introduction & Outsourced Manufacturing
Product Cost, Quality & Compliance Management
Product Portfolio, Program, & Resource Management
Program Information
Customer Information Supplier InformationManufacturing Information
Service Information
Compliance InformationDesign Information
Purchasing Information
Collaboration
Agile PLM enables Streamlined Processes, Better Product Decisions
OEMOEMCUSTOMERCUSTOMER
REPAIRREPAIRCENTERCENTER
SUBSIDIARY / SUBSIDIARY / JOINT VENTUREJOINT VENTURE
DISTRIBUTION CHANNELDISTRIBUTION CHANNELCHANNEL ASSEMBLYCHANNEL ASSEMBLY
COMPONENTCOMPONENTDISTRIBUTORDISTRIBUTOR
ODM / EMSODM / EMSODM / EMS
COMPONENTCOMPONENTMANUFACTURERMANUFACTURER(IDM / FABLESS)(IDM / FABLESS)FOUNDRYFOUNDRY
CONTRACTCONTRACTDESIGNDESIGN
OEMOEM
ASSEMBLY,ASSEMBLY,TEST,TEST,
PACKAGINGPACKAGING
DESIGN CONCEPTDESIGN CONCEPTOTHEROTHER
PCMPCM
RFQ QUOTERFQ QUOTEPRODUCT CHANGEPRODUCT CHANGE
PHYSICAL DESIGNPHYSICAL DESIGNPACKAGEPACKAGE
ORDERORDERFORECASTFORECAST
RFQ QUOTERFQ QUOTEORDERORDER
PCMPCM
OTHEROTHERFORECASTFORECAST
RFQ QUOTERFQ QUOTEPRODUCT CHANGEPRODUCT CHANGE
ORDERORDERPCMPCM
RFQ QUOTERFQ QUOTENPINPI
PRODUCT CHANGE ORDERPRODUCT CHANGE ORDER
ORDERORDERPCMPCM
FORECASTFORECAST
RFQ QUOTERFQ QUOTECONTRACT DESIGNCONTRACT DESIGN
NPINPIPRODUCT CHANGE ORDERPRODUCT CHANGE ORDER
INVENTORY INFOINVENTORY INFO
ORDER FOR FACTORDER FOR FACTPCMPCM
RFQ QUOTERFQ QUOTENPINPI
PRODUCT CHANGEPRODUCT CHANGECARRIERCARRIER
ORDERORDERPCMPCM
FORECASTFORECAST
RFQ QUOTERFQ QUOTE
ORDERORDERFORECASTFORECAST
PCMPCM
ORDERORDERFORECASTFORECAST
RFQ QUOTERFQ QUOTEORDERORDER
ORDERORDERFORECASTFORECAST
RFQ QUOTERFQ QUOTE
PCMPCMCARRIERCARRIERNPINPI
OTHEROTHERFORECASTFORECAST RFQ QUOTERFQ QUOTE
NPINPIPRODUCT CHANGEPRODUCT CHANGECOLLABORATIONCOLLABORATION
ORDER DEMANDORDER DEMANDCHANGESCHANGES
PRODUCT CHANGEPRODUCT CHANGENPINPI
ORDERORDERPCMPCM
PCMPCMPRODUCT CHANGEPRODUCT CHANGE
ORDERORDER
PCMPCM
RFQ QUOTERFQ QUOTENPINPI
PRODUCT CHANGE ORDERPRODUCT CHANGE ORDER
ORDERORDERPCMPCM
FORECASTFORECAST
RFQ QUOTERFQ QUOTEPRODUCT CHANGEPRODUCT CHANGE
ORDERORDER
Agile PLM enables the Global Product Network
Agile PLM completes the Enterprise Application footprint
Order to Fulfillment
Manufacturing
SRM
Planning
Fulfillment
Sales & Marketing
Service &Support
Order Management
Financials
Inventory
HRM
Projects
GRC
Product Innovation
New Product Introduction
Agile ProductAgile ProductCollaborationCollaboration
Engineering, Engineering, Operations & Operations & Supply ChainSupply Chain
Enterprise product record visibility, management &
collaboration
Agile Enterprise Agile Enterprise VisualizationVisualization
Native document collaborative visualization across the global enterprise
CrossCross--EnterpriseEnterprise
Agile Engineering Agile Engineering CollaborationCollaborationEngineering desktop
integration & collaboration
DevelopmentDevelopment& Engineering& Engineering
Agile Product Cost ManagementAgile Product Cost ManagementProduct sourcing and lifecycle cost
& risk management
Procurement ProfessionalsProcurement Professionals
Agile Product Portfolio ManagementAgile Product Portfolio ManagementIntegrated product, program,
resource & portfolio management
Executives & Program OfficeExecutives & Program Office
Agile Product Agile Product Governance & Governance & ComplianceCompliance
Product & program compliance against
standards & regulatory requirements
Compliance Compliance OfficeOffice
Closed-loop product quality management across the extended
enterprise
QualityQualityProfessionalsProfessionals
Agile Quality Agile Quality ManagementManagement
Agile PLM Solution
Agenda
• What & Why PLM• Enterprise PLM & Agile PLM Solutions• Customers Case Studies & Examples
Agile PLM Strenghts
RegulationsRegulationsRegulations Shorter LifecyclesShorter Shorter
LifecyclesLifecycles
OutsourcingOutsourcingOutsourcing Demand for Innovation
Demand for Demand for InnovationInnovation
Product ComplexityProduct Product
ComplexityComplexity
GlobalizationGlobalizationGlobalization
These trends require companies to collaborate (with external These trends require companies to collaborate (with external partners) across the design and supply chains to succeedpartners) across the design and supply chains to succeed
New Product Intro & Ramp Up
Outsourcing & Supply Chain
IP Management & Control
Main Agile PLM Industries
Electronics / Mechatronics
Supply Chain
Product Cost Management
Compliance
Quality
Compliance and Quality
Packaging & Labeling
Compliance
Recipe/Formula Specifications
Packaging
More HighTech Centric Ones
Potential new Agile PLM Industries
telco providers
New Service Intro & Ramp Up
Engineering & Construction
Apparel
financial services
retailers with own brands
New Service Intro & Ramp Up
Lifecycle MgmtCollaborative Environment for new Project
Project Management
Season Management
Pack Mgmt
1,300+ Enterprise PLM Customers
Cisco Apple
Agile PLM Customers in Europe
Example Customer Results
• Reduced new product introductions process from 45 to 7 days • Reduced Costs: Lowered development costs • Increased Efficiency: Streamlined product development processes
• Managing NPD & NPI processes with compliance and collaboration• Outsourced manufacturing to sustain growth• Reduced Time to Volume and material costsDigital Networks
• Global packaging management
• Common way of working globally on Product Data• Common view to project status globally
• Manage product configurations and the engineering supplier collaboration process
COMPANY OVERVIEW• Leading Electronics Manufacturing
Services provider focused on delivering innovative design and manufacturing services to technology companies
• Headquartered in Singapore with facilities in 32 countries on 5 continents
CHALLENGES / OPPORTUNITIES• Designing, building, and delivering
products via it’s global network at minimum cost and time requires very close collaboration across stakeholders
SOLUTIONS• Agile Product Collaboration
CUSTOMER PERSPECTIVE“Our first installation of Agile proved to be so effective at speeding product delivery that we are rolling out Agile globally.“-- Michael E. Mark, Chairman and CEO
RESULTS• Reduced NPI cycle time by several
months for Microsoft Xbox• Enabled instantaneous communication of
design releases and ECOs to 200 vendors involved in collaborative design & delivery
COMPANY OVERVIEWBayer Healthcare develops, manufactures and markets innovative products for disease prevention, diagnosis and treatment.Revenue - US $ 11.6 billion.
CHALLENGES/OPPORTUNITYAllow ease of Product Record Data exchange between non-integrated, multiple sites by integrating formula, label, packages & graphics, with project management, linked to product recordFostering organizational process discipline to effectively maintain Bayer’s “Innovation strategy”Reduce operational bottlenecks and manage costs - increase number and quality of ideas from project decisions made within brand strategy to portfolio strategy Inadequate communication of changes to stakeholders
SOLUTIONSOracle Product Lifecycle Management (PLM) Oracle Product Collaboration (PC) Oracle Product Portfolio Management (PPM)
RESULTS• 50% reduction in Package/Label Error Rate• 50% reduction in rework cost ($400M over 3
years)• Cycle time reduced by 3 weeks ($3M per
year)• 20% reduction in labor effort per packaging
change• 5 Legacy systems replaced
CUSTOMER PERSPECTIVE“Agile has helped us to achieve our goal -an integrated approach to manage all the relevant data and processes around our products -formulas, labeling information, and packaging specifications.”Craig Morgan, Sr. Dir. –Packaging Operations, Bayer
Philips Oral Healthcare
COMPANY OVERVIEWPhilips Oral Healthcare has become one of the most successful businesses in Royal Philips Electronics, one of the world's biggest electronics companies and Europe's largest, with sales of US $36 billion in 2005.
CHALLENGES/OPPORTUNITYIncreasing product diversity and supply chain complexity
Bill of Materials increased 350%New Product Programs increased 4xNumber of suppliers doubled
Inefficiencies in product development and life cycle management slowed products to marketNo formal support for marketing claims that differentiates Sonicare from competition
SOLUTIONSOracle Product Collaboration
RESULTS• Complete product record from concept to end
of life within Agile• Manufacturing and R&D costs reduced by
30% • Improved inventory performance - Inventory
turns increased 100% in a year after implementation
• Cycle times, change control, raw material releases now accurately measured and reduced to hours
• Research documentation associated with marketing claims now within product record
CUSTOMER PERSPECTIVE“Our inventory performance over the last year since we really started using Agile has gone up almost 100% in terms of inventory turns.”Mark Johnson, Vice President, Supply Chain Operations
COMPANY OVERVIEW• Leading tier one supplier of aircraft
systems. This Aircraft Systems Branch represents 22% of the Group turnover
• Headquartered in Paris, France Intertechnique has 990 employees and generates 218M€ in revenue
CHALLENGES / OPPORTUNITIES• Reduce design cycle time to meet
customer demand• Reduce operational costs• Support the move from point solution to
system provider• Improve brand image by reducing non-
conformance and issue handling cycle time as well as improve the corrective action process
SOLUTIONS• Agile Product Collaboration• Agile Product Quality Management
RESULTS• 65% average reduction in changes cycle
time (from 14 to 5 days)• 350K€ recurrent yearly reduction in non
value add activities• 100K€ recurrent yearly reduction in non
quality at design• Up to 60 days lead time reduction on long
lead time items• 50% time reduction in problem handling
during production• 500% reduction in non-conformance
handling at first article inspection• 23% increase in the number of registered
issues
COMPANY OVERVIEWNumico, Netherlands is the fastest growing international food company, and the #3 global provider of baby food (Nutriciabrand). Numico selected Agile PLM for Process to control the entire life cycle of their food products, across ideation, recipe management & optimization, product labeling and manufacturing instructions. .Revenues (2006): $3.5 Billion; employees (2006): 12,900
CHALLENGES / OPPORTUNITIESManual process and data for specification management, formulation management, nutrition management and compliance managementMultiple manual touchpoints between internal systems, requiring re-keying of dataPoor supply chain visibility resulting from lack of integrated systems
SOLUTIONS• Agile Product Lifecycle
Management for Process• Agile Product Data
Management for Process• Agile Formulation and
Compliance• Agile Product Supplier
Collaboration
RESULTS• Implement one single “version of the truth”
for product data• Achieve seamless integration between
systems to improve efficiency and reduce errors and food safety risks
• Align specification management with innovation, quality, regulatory and food safety requirements
ItIt’’s all about s all about CollaborationCollaborationand and Product InnovationProduct Innovation
2008 1978
Blackberry
Just 30 Years
34
• PLM is strategic to Oracle and our customers• Product Innovation is a top business imperative, PLM is the key
enabler• Speeding innovation while delivering ‘right-to-market’ (right timing,
volumes, quality, margins & compliant with regulations) is critical• Oracle’s Agile PLM provides best-in-class PLM
• Strong, highly referenceable install base of 1,300+ global customers• Deep domain expertise & best practices across industries• Broad suite of out-of-the-box applications deploy quickly
• Oracle delivers Open, Integrated, Enterprise PLM• Leverages CAD, ERP and other existing enterprise investments• PLM is evolving into an enterprise-wide, cross-functional discipline
across all lines of business• Enables companies to address end-to-end lifecycle business
problems across organizations and value chain
Summary