Lincoln Electric/Harris Products: Consolidating Multiple Engineering Systems into SAP PLM

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1 Lincoln Electric/Harris Products: Consolidating Multiple Engineering Systems into SAP PLM Jeff D. Crawford, Director of IT, The Harris Products Group Sascha Schwenker, Director SAP PLM Services, CENIT North America

2 LEARNING POINTS Engineering does not have to be isolated from SAP Attaching Engineering to SAP opens many opportunities for data sharing SAP PLM can embody your engineering workflow Resourcing a multi-entity, multi-site project is complex Herding cats is always difficult No good deed goes unpunished! Will hear about this later

3 BEST PRACTICES SAP DMS is the foundational link between Engineering and SAP Centralizing engineering data in SAP facilitates real-time data sharing of the most current versions of designs, work instructions, etc. SAP PLM supports integrated workflow in a seamless fashion

4 AGENDA Your Speakers CENIT NA Lincoln Electric/Harris Products Group The Original Idea A Change of Direction Strategy Needed Blueprint Blueprint Visualization Implementation Issues

5 CENIT North America CENIT AG Founded 1988 (CENIT GmbH), Public since 1998 Headquarters in Germany, Stuttgart Branches all over Germany CENIT North America, Inc. Founded 2001, HQ in Auburn Hills, MI Member of CENIT Group CENIT France, Swiss, Romania, Japan ~ 750 Employees ~ $100 Mill. annual revenue More than 1,500 active customers

6 LINCOLN ELECTRIC CORPORATION $2.9 Billion in sales FY2013 Worldwide leader of the highest quality welding, cutting, and joining products Arc welding Robotic arc welding Plasma and oxyfuel cutting equipment Headquarters Cleveland, Ohio Operates in 160 countries Plants Everywhere on the planet Truly a global enterprise SAP user since 1999 single worldwide instance

7 THE HARRIS PRODUCTS GROUP $350 Million division of Lincoln Electric Worldwide leader in brazing alloys, gas flow regulators, cutting torches and tips Headquarters Mason, Ohio Plants Mason, Ohio Gainesville, Georgia City of Industry, California Tijuana, Mexico Dzierzoniow, Poland Sao Paulo, Brazil Regulators Tips

8 SO HOW DID WE GET HERE? Harris had a need for a globally viable and consistent engineering system We open the story in May

9 HARRIS ORIGINAL IDEA/OBJECTIVE Leverage existing engineering toolsets Create a single global engineering database Enable collaboration Shorten time to market on modified and new products Enable engineering anywhere

10 HARRIS ORIGINAL APPROACH Bologna, Italy, facility were SolidWorks users for many years 4 years ago connected Bologna and Poland together via DBWorks HPG Mason and Gainesville came up on SolidWorks in 2012 SolidWorks used for product design (saleable items) and machine designs (internal use only) Desired to connect the four sites together using DBWorks Funding approved to complete the project 10

11 HARRIS SOLIDWORKS AND DBWORKS SolidWorks Drawing DBWorks manages the links SolidWorks Models Components DBWorks manages the links

12 ORIGINAL CONTEMPLATED ARCHITECTURE Mason New Connection Poland New Connection Existing Connection Italy Gainesville New Connection Each location would have a DB Works server to support good performance. Each location would have a replicated copy of the database. System would grab an object from another system if necessary. Full copies/updates would be done at night/off hours

13 THE DAY THE EARTH STOOD STILL. At Sapphire 2012 investigating future ability to tie SAP to SolidWorks/DBWorks Met representatives from CENIT NA Contemplated using them to link DBWorks and SAP/PLM once the DBWorks project was up and running But then CENIT suggested a different approach.. DBWorks project put on hold pending an evaluation Mentioned plan to corporate.. 13

14 CENIT ALTERNATIVE APPROACH SolidWorks (the modeling/design tool) can be hooked directly to SAP Via the Document Management System (DMS) module DMS plays the storage role that DBWorks provides Architecture is essentially the same with the exception of a master server in Cleveland Additionally, HPG would need basic functionality in SAP PLM module to replace the workflow capabilities already in DBWorks Solution could also replace Adept, existing Harris document storage solution. This would be a new and unanticipated benefit 14

15 CENIT ALTERNATIVE ARCHITECTURE New Connection Cleveland DMS Master New Connection Mason New Connection Poland Gainesville New Connection Italy Existing Connection Turn off Each location would have a DMS Content server to support good performance. Each location would have a replicated copy of the database. System would grab an object from another system if necessary. Full copies/updates would be done at night/off hours

16 WHILE ABOUT THE SAME TIME. Lincoln Electric had Document Management and PLM needs, as well as Wayne Trails, a recent Lincoln Acquisition

17 COHESIVE ENGINEERING STRATEGY NEEDED Situation demanded a Lincoln-wide Engineering Strategy SAP DMS-PLM would be the foundation Various Lincoln entities will have differing needs from a PLM-DMS solution Lincoln to drive the creation of a Lincoln Blueprint that contained the superset of requirements needed by all business units Guiding Principles Provide a structure to capture and maintain intellectual capital concerning Lincoln Electric products Drawings Models Etc Create a single global engineering database with division identification Enable collaboration Shorten time to market on modified and new products Enable engineering anywhere Make drawings easily available to those who most need them Integrate PLM with our core ERP system - SAP Idea Strategy Blueprint Implementation

18 A PRODUCT S LIFE CYCLE Idea Design Demand Re-cycle Product Info Service Make Deliver Product lifecycle management is an integrated, information driven approach to all aspects of a product s life. From its design inception through its manufacture, deployment and maintenance, culminating in its removal from service and final disposal. University of Michigan PLM Development Consortium Top Line Capability to offer a broader and richer product suite through integration with external design and supply chain partners Reduced time to market and reduced order cycle time for incremental revenue

19 GLOBAL AND INTERDISCIPLINARY interdisciplinary Product Development is expanding across the enterprise as well as into the extended enterprise Electronics Software Mechanical Bottom Line Ability to apply scarce design talent to most critical designs and issues Lower capital investment Reduced scrap and rework Greater agility Product Planning Product Definition Product Development Productionsystem Development Production Service Recycling Product Lifecycle Source: CSC

20 Consolidation SAP PLM - ENGINEERING IN A GLOBAL SAP BACKBONE INTEGRATION COLLABORATION AUTOMATION mcad and CAE ecad and SW Digital Planning Supporting Documents Global Backbone Process People Solutions Engineering Sourcing Manufacturing Marketing Service

21 SAP S APPROACH TO CAD INTEGRATIONS Metadata Documents (DIR) Product Structure Classification data BOD, BOM etc. Physical data CAD files Neutral files Additional files etc. Processes Change Management. Collaboration Data Exchange Links One common integration base for all engineering authoring tools mcad Systems - ecad Systems - CASE Tools

22 BLUEPRINT WAS NEXT Properly driving business value requires a solid Blueprint Consolidated blueprint representing a superset of requirements Solution Technical Architecture Understanding of how the solution works Workflow modeling Harris project than ended up as a project for the entire corporation Idea Strategy Blueprint Implementation

23 FROM THE CAD STRUCTURE TO THE M-BOM CAD Structure Management Assembly Part Part Assembly Part Part Part

24 FROM THE CAD STRUCTURE TO THE M-BOM CAD Structure Management SAP DMS Regulator Assembly Assembly Document BOD Pin Part Part Document Logo Part Part Document Gauge Assembly Assembly Document BOD Spring Part Document Disc Part Document Skeleton Model Part Document

25 FROM THE CAD STRUCTURE TO THE M-BOM SAP DMS SAP E-BoM Doc. Regulator BOD Mat. Regulator BOM Doc. Pin Mat. Pin Doc. Logo Mat. Logo Doc. Gauge BOD Mat. Gauge BOM Doc. Spring Mat. Spring Doc. Disc Mat. Disc Doc. Skeleton Mat. Oil

26 FROM THE CAD STRUCTURE TO THE M-BOM SAP E-BoM SAP M-BoM Mat. Regulator BOM Mat. Cockpit Pin Mat. Logo Mat. Gauge Sub Assy BOM Mat. Spring Bottom Mat. Disc Mat. Oil

27 CAD (SOLID WORKS) SAP INTEGRATION

28 SOLID WORKS SAP INTEGRATION

29 SAP INFRASTRUCTURE SAP Application Server CacheServer Poland US Content Server Cache Server Content Server

30 ENGINEERING STAGE GATE PROCESS Adopted by Lincoln and Harris as the method for designing new products and changing existing ones Each stage has a defined set of roles and tasks It represents the Engineering process workflow Phase I Definition Phase II Feasibility Phase III Prototype Phase IV Alpha Phase V Beta Phase VI Standard Phase VII Review As part of a work session we modelled a segment of the workflow 30

31 PHASE I IN DETAIL

32 VIDEO OF PROCESS So here is what the Blueprint looked like Play video of business process 32

33 IMPLEMENTATION ISSUES Funding discussions Corporate versus divisional allocation Future leveragability Timeline Who goes first? Business case Benefits versus buy-in versus commitment Resourcing complicated Economic conditions Delayed implementation Idea Strategy Blueprint Implementation 33

34 HPG LE PHASE I TIMELINE Centra kickoff and design Centra Build Centra data migration Centra integrated testing Centra training and go live Go Live Adept Mason kickoff and design Adept Mason Build Adept Mason data migration Adept Mason integrated testing Adept Mason training and go live Go Live Adept other kickoff and configure Adept other data migration Adept other integrated testing Adept other training and go live Go Live SolidWorks kickoff and design SolidWorks build SolidWorks data migration SolidWorks integrated testing SolidWorks training and go live Go Live

35 BUSINESS CASE CENTRA a burning platform Harris Savings Categories Draftsman time Engineering time Product time to market Adept retirement Document update Shop Floor packet distribution First pass yield Purchased parts Boils down to savings from Sharing Reuse Software retirement Time spent updating Adept Time spent collecting paperwork Mistake avoidance Part reuse and buy aggregation

36 RESOURCING - COMPLICATED

37 LEARNING POINTS Engineering does not have to be isolated from SAP Attaching Engineering to SAP opens many opportunities for data sharing Resourcing a multi-entity, multi-site project is complex Herding cats is always difficult SAP PLM can embody your engineering workflow

38 QUESTIONS 38

39 EVALUATE THIS SESSION Provide feedback via this short survey bit.ly/asug14 Provide event feedback in the same survey

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