J.D. Edwards EnterpriseOne Demand Flow Manufacuring

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2 Infotag Oracle JD Edwards 2014 am J.D. Edwards EnterpriseOne Demand Flow Manufacuring Dietmar Schraub Solution Architect

3 Safe Harbor Statement The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle s products remains at the sole discretion of Oracle. Oracle Confidential Internal/Restricted/Highly Restricted 3

4 Traditionelle Supply Chain Push Prinzip

5 Push Prinzip Supply Chain Risiken Bevorratung am tatsächlichen Bedarf vorbei Produktinnovation führt zur Veralterung vorhandener Bestände Lange Lieferzeiten führen zu Kundenverlust Hohe Bestände haben direkten Einfluß auf Ertrag und Liquidität u.s.w.

6 Symptome MK > FK (3:1 bis 10:1) TPc/t enthält < 20% wertschöpfende Zeit Kurze Lieferzeiten für Kundenbedarfe zwingen zur Bevorratung in hohen Fertigstellungsgraden Kosten TPc/t Fertigstellungsgrad Fertigstellungsgrad

7 Symptome Funktionsorientiertes Fertigungslayout Zerspanung Schweißabteilung Montage Qualitätskontrolle Isolierte und unsynchronisierte Zielvorgaben Einkauf: geringster Preis => zu große Mengen, zu lange Lieferzeiten Fertigungsabteilung: maximale Auslastung=> zu große Mengen, blockierte Ressourcen für andere Bedarfe

8 Demand-Driven Supply Chain Pull Prinzip

9 Der Ausweg Einführung einer Demand Driven Supply Chain Verbesserung des Materialfluß in der Produktion Etablierung sog. getakteter Mixed Model Flow Lines Drastische Verkürzung der Durchlaufzeit (TPc/t) Einführung von Pull-Systemen (z. B. Kanban oder Replenishment) Abkehr von der Auslastungsoptimierung Zuwendung zur Durchsatzoptimierung... mit dem Ziel jeden Artikel an jedem Tag auf Kundenbedarf zu fertigen, bei höchster Qualität und niedrigsten Kosten!

10 Demand Driven Supply Chain in action Stores Manufacturing Facility DFM01 SHIP DC01 WH01 Customer Supplier A DFM Assembly Line Transfer ST/OT Kanban RIP01 Vendor Managed Inventory Supplier B Feeder Line FL RIP02 Vendor Managed Inventory Distribution Center Kanban Pull Replenish

11 Was Experten sagen Once companies begin to extend Lean concepts into multiple, overlapping corporate domains, they become very dependent on information - and that's where having an integrated suite of business applications becomes so valuable. -- Bob Parker, VP of Research, 2004 Although demand-based flow manufacturing can achieve significant cost savings in the form of reduced inventory costs and improved productivity, the more significant strategic advantage comes from revenue building opportunities as customers respond more favorably to short cycle, on-time deliveries. -- Association for Manufacturing Excellence, April 2004

12 Demand Driven Manufacturing Mandate The demand-driven supply chain is not merely a good idea in developing a progressive business strategy, it s a requirement for companies looking to gain and sustain a competitive advantage in the volatile landscape of today s manufacturing environment. Arnold Kennedy APICS President and CEO May 2004

13 Warum Demand-Driven Manufacturing?

14 Percent Percent Percent Percent Why Demand Driven Manufacturing? Cost Benefits Finished Goods Reductions RAW Inventory Reductions % - 75% % - 40% 0 Implementation 0 Implementation WIP Inventory Reductions Floor Space Reductions % - 60% % - 50% 0 Implementation 0 Implementation

15 Percent Percent Percent Why Demand Driven Manufacturing? Cost Benefits Productivity Improvements Mfg Cycle Times Reductions % - 40% Implementation 25 0 Implementation 50%-90% On-time delivery Up to 97% Implementation

16 Traditional Manufacturing Layout Output orientated, Multi level, WO-based, push based Purchased Parts Subassembly Department WO #2 Level Leadtime 4 h Manufacturing Leadtime 8 h Assembly Department WO #4 Department WO #1 Department WO #3 Level Leadtime 4 h Manufacturing Leadtime 4 h Level Leadtime 4 h Manufacturing Leadtime 12 h

17 Flow Manufacturing Layout Throughput orientated, WO-less, pull based, lean Supplier Kanban pull chain Feeder Line Operation #1 Line Operation #1 Subassembly Line Operation #2 Assembly Line Operation #3 Level Leadtime 3 h Manufacturing Leadtime 3 h Total Manufacturing 6 h

18 Mixed Model Production Drive Manufacturing Flexibility and Efficiency Product Families Define multiple product families or models Design lines to make one or more product families or models Determine daily rates for mixed model production Seamlessly Accommodate Changes in Demand, Resources, or Product Mix

19 Lean Manufacturing Line Sequencing Produce a Product Family on a single Line Line Operation #1 Line Operation #2 Line Operation #3 Item A Item B Item C Warehouse WH Demand: Item A Qty. 2 Item B Qty. 2 Item C Qty. 2

20 Lean Manufacturing Line Sequencing Optimize Throughput OP 1 OP 1 WH OP 2 OP 2 WH OP 3 OP 3 Traditional: WO based OP 1 OP 1 WH OP 2 OP 2 WH OP 3 OP 3 OP 1 OP 1 WH OP 2 OP 2 WH OP 3 OP 3 OP 1 OP 2 OP 3 Demand Flow: Lot after Lot OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 1 OP 2 OP 3 OP 3 OP 1 OP 2 OP 3 Demand Flow: Sequenced: One by One OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 Demand Flow: Sequenced: green after red, yellow after green OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3

21 Lean Manufacturing Optimize Throughput OP 1 OP 2 OP 3 Demand Flow: Sequenced: green after red, yellow after green OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 Demand Flow: Line Balancing, Optimized Takt OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3 OP 1 OP 2 OP 3

22 Mixed Model Production - Line Sequencing Drive Manufacturing Flexibility and Efficiency 8h Daily Demand 4 Replenishment time 2h Kanban Size 1 Kanban Cards 2 Takt = 0.5 h (16 Ea)

23 Mixed Model Production - Line Sequencing Drive Manufacturing Flexibility and Efficiency 2h 8h Daily Demand 4 Replenishment time 2h Kanban Size 1 Kanban Cards 2 Takt = 0.5 h (16 Ea)

24 Mixed Model Production - Line Sequencing Drive Manufacturing Flexibility and Efficiency 2h 8h 2h Daily Demand 4 Replenishment time 2h Kanban Size 1 Kanban Cards 2 Takt = 0.5 h (16 Ea) 2h 2h

25 Neue Konzepte Schlanke Wertströme in der Fabrik benötigen in Konsequenz nur noch schlanke Steuerung und damit schlanke Softwarestrukturen. Nur wenige Software/PPS Anbieter sind sich dieser Herausforderung bewusst und haben eine adäquate Antwort darauf -- Fred Wilbert, GM leonardo group, 2006 und deren Folge:

26 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Dc x Q x R HR x P WORK = AT ATw TAKT Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management LEAD TIMES = TP c/t Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge ) X

27 ... und wer diese erfüllt: Demand Flow Manufacturing Oracle Confidential Internal/Restricted/Highly Restricted 27

28 Demand Flow Manufacturing liefert die Methodik zum modellieren von mixed model flow lines um gezielt auf Kundennachfrage zu produzieren formalisiert Flow Technology Methodiken und Berechnungen in Software Unterstützt den Aufbau einer Demand Driven Supply Chain schließt die Lücke zum ERP-System - Kostenrechnung, Kalkulation - Auftragsverwaltung (Verkauf, Einkauf) - Bestandsverwaltung - Prognoserechnung und Bedarfsplanung - etc.

29 Wer ist JCIT (demandpoint)? John Costanza Institute of Technology JCIT schrieb das Buch über Demand Flow Technology Vordenker für fortschrittliche Fertigungskonzepte Kursteilnehmer ausgebildet in Demand Flow Technology

30 V.A. Machine Labor D/S Qty. Int./Ext. Machine Labor Machine Labo r D/S Qty. Int./Ext. Dist. TQC Volume DFT Tools & Methodology DEMAND AT CAPACITY OT., Temps, 2 nd Shift/Line, 3 rd Shift/Line, Outsource Total Product cycle time (TPc/t) OPERATION SHEETS 6 - Months Max Capital Min Inventory MODEL # OPERATION # 1400 OP 120 Dc?? Peak Demand PROCESS I.D. SYSTEM DRIVE ASSEMBLY TQC PAGE of 2 2 WORK CONTENT VERIFY Avg. Demand FIND PART# DESCRIPTION QTY Disk Frame /8 Pan Head Screw = Shift 2 - Shift Min Capital Max Inventory = P.C.O. # SDA120P2 Rev. E DATE 1/21/02 Time SEQUENCE OF EVENTS PRODUCT SYNCHRONIZATIONS KANBAN Product P/N Vacuum Brake Process I.D. Valve Assembly Seq. # Task Set-Up Move Quality Info. Desc Check bracket assembly with valve body.20 Confirm eject mechanism works freely Load Stacker with springs.45 S 50 E Verify TQC on green tag 17.0 Install eject spring in valve * Install eject button on spring *.10 Verify bezel slot signs with body 19.0 Install bezel onto valve body *.10 TQC bezel against valve face 20.0 Pressurize valve body assembly.25 Verify 40 PSI

31 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge )

32 Process Definition

33 Product Synchronization

34 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge )

35 Process Map Volume Design

36 Process Map

37 Process Map Time Communality Map

38 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge )

39 Calculate Line Design

40 Line Design Total Product Cycle Time

41 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge )

42 Daily Planning...

43 ... and Sequencing

44 Daily Sequence

45 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge )

46 Orderless Completion

47 Multi-Level-Superbackflush

48 Multi-Level-Superbackflush

49 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge )

50 Kanban Demand

51 Pull Chain Definition

52 Kanban Approval Workbench

53 Neue Anforderungen an die ERP-Software Produktsynchronisierung / Wertstromanalyse (Value Stream Mapping) Process Maps mit detailierten Arbeitsinhalten (Sequence of Events) Line Design Daily Planning and Sequencing Orderless Completion Fertigstellung gegen Linienpläne Kanban-Management Integration zu anderen ERP-Modulen (Kosten, Bestände, Aufträge )

54 DFM Data Transfer

55 Fragen & Antworten

56 Oracle Confidential Internal/Restricted/Highly Restricted 56

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