siemens.com/simatic-it Manufacturing Operations Management

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2 Manufacturing Operations Management How do I run my manufacturing operations better? Different terms are just trying to explain how wide the scope can be. The best name to describe the whole "category" of Level 3 operations is indeed Manufacturing Operations Management, or MOM. MOM represents a holistic solution to improve manufacturing operations performance. MOM systems are built to consolidate the management of several production processes, such as quality management, sequencing, non conformance management, asset management, and so on, within one system. Siemens AG All rights reserved. Page 2 Manufacturing Operations Management has extensive capability for supporting multiple key business processes and systems.

3 Manufacturing Operations Management is the core element to link PLM & Automation and to provide a real-time Industry Software layer Plant model BoM, BoP / Recipes NPI (new products) Globalization & consolidation has created enterprise platforms to manage the Supply Chain and PLM processes with no link to the manufacturing base. The Siemens MOM Platform interacts with ERP, PLM and Automation domains to fill the gap, towards a single coordinated Enterprise. Siemens Manufacturing Operations Management Automation Order/Supply chain data As-built data Manufacturing Execution Data collection Today SCM and PLM processes have no consistent interaction to the manufacturing base Only Siemens is able to have PLM, ERP & Automation into a single coordinated Enterprise Siemens AG All rights reserved. Page 3

4 Manufacturing Operations Management Siemens is expanding its portfolio towards a Manufacturing Operations Management (MOM). Replicate improvement across all plants and integrate intelligence from the shop floor to the top floor, maximizing efficiency and quality across production operations are the goals of manufacturing companies. PLM QMS R&D EMI SCM - ERP APS MOM Siemens MOM standardize and optimize manufacturing processes, minimizing lead-times, optimizing i i asset utilization, reduce global l Time-to- Market improving response time and increasing production visibility. This is critical to gaining the full benefits of further investments in manufacturing operations management solutions covering the whole enterprise. Siemens AG All rights reserved. Page 4 MES Production Management HMI-SW / SCADA Automation NC PLC Batch HMI Sensors, Drives, Field Instrumentation, ISA-95 DCS

5 AS SW - Manufacturing Operations Management Industry key steps to success: Choose technology capabilities that are integrated through a common solution platform and support all aspects of manufacturing operations Automate data collection Standardize processes Guarantee higher quality Provide visibility to decision makers investing in Manufacturing intelligence Only Siemens is able to offer a Complete & Integrated Industrial Portfolio with strong Industrial Software Layer PLM Complete Connected Industrial Portfolio PLM SCM - ERP SIMATIC IT SIMATIC IT QSYS Preactor R&D Suite Intelligence Suite GMPS/APS MES SIMATIC IT Production Suite ISA-95 SIMATIC Win-CC Automation - Simatic Batch DCS NC PLC HMI Sensors, Drives, Field Instrumentation, Transactio onal Real time Siemens AG All rights reserved. Page 5

6 Global presence of the Siemens MOM Team R&D and Delivery Hubs Siemens has probably the largest Manufacturing IT organization in the world Quick facts: Great Britain HQ in Genoa, Italy Germany Core R&D sites in Germany, Italy, UK, India, Austria & US Global Delivery Hubs in Key Regions Organization of approx people Considerable Portfolio covering Vertical knowledge in key processes 500+ in R&D significant investment Global and worldwide partners network Strong growth - Faster growth than market Belgium Huizingen France Chippenham Toulouse Detroit Portsmouth Chicago Boston Plano São Paulo Höhr-Grenzhausen Karlsruhe Nuremberg Lindau Eisenstadt Austria Italy Genova Bangalore Mumbai Beijing Shanghai Siemens AG All rights reserved. Page 6

7 AS SW Manufacturing Operations Management portfolio: Five strong software offerings I IA AS SW WinCC HMI SW SIMATIC IT - MES WinCC OA -SCADA QSYS - QMS PREACTOR - APS The Number 1 HMI-SW Complete and powerful HMI-SW functionality for all industry sectors Engineering Efficiency & TIA Portal Integration Highest Availability Openness & Scalability The Leading MES Full featured MES with model based architecture Industry features built in for optimized portfolio in: Process Industries Discrete Industries Life Science Industries Open & High End SCADA Open Architecture for flexible usage Platform neutral Large scale distributed applications possible Highest safety Quality Management Quality Management Compliance Management Complete PDCA Cycle for Quality & Production World Leader in APS SW Detailed Production Scheduling Capacity Planning Graphical MPS Used in all Manufacturing Sectors Siemens AG All rights reserved. Page 7 5 strong building blocks as foundation for an integrated & complete Manufacturing Operation Management Software Portfolio

8 Towards The Global Shop Floor Manufacturers value creation processes start at the plant Headquarters Each plant has its own strategy and they all operate in a very individual way R&D Facility Plant Plant Plant Plant Plant Manufacturing operations need to be transparent and coordinated, worldwide Successful coordination can only occur through h seamless integration of operating levels Plant Plant Manufacturers need the right technological enabler to coordinate their manufacturing and R&D/ engineering processes Cross plant visibility can help to optimize global business Siemens AG All rights reserved. Page 8 SIMATIC IT offers the right level of responsiveness for today's and tomorrow s business requirements

9 Fulfill the key market challenges with a unique MES/MOM solution Main market challenges MES/MOM benefits Huge market and pricing pressure Recent economic crisis Achieve the efficiency targets Innovation Quality Improve efficiency, flexibility and visibility Improve strategic decisions and business plans Improve in different areas with key strategic initiatives Speed up on new products introduction, release, design, maintenance, Improve quality of raw materials, procedures, setups, materials assembly, Siemens AG All rights reserved. Page 9

10 Maximize Typical Manufacturing Execution and Intelligence benefits to the corporate level ENTERPRISE MES benefit ts at Pant lev vel Reduced waste and rework Higher materials yield Improved efficiency of equipment Improved OEE Reduced work-in-progress Increased overall quality MES - MOM Interoperability with Enterprise, unlocking incremental ERP and PLM benefits Manufacturing Intelligence with KPI s & Reporting, facilitating the collection, tracking and reporting of accurate and unified manufacturing performance data Plant Execution, systemizing i the execution of production (modeling and building a workflow of procedures) MES be enefits at the enterprise level PLANT Siemens AG All rights reserved. Page 10 MES-MOM offers significant benefits improving operational performance in the plant and yet has a role to play in strategic initiatives

11 SIMATIC IT Portfolio Production Suite Production management and execution Scalability y R&D Suite Integrating R&D and manufacturing processes, workflows and data Efficiency Profitability I lli Intelligence Suite S i Real-time data monitoring and historical data collection in a unified environment Consistency Flexibility Industry y Libraries Discrete Manufacturing Process Industry Life Sciences Industry Visibility Quality Transparency V l Added Value Add d Services S i A broad concept of Customer Care Siemens AG All rights reserved. Page 11

12 ISA-95 as Siemens MES Standard ISA-95 defines integration of control and business levels Four Pillars in ISA-95: Process & Product Analysis Le evel 4 usiness Planning Logistics B P & SCM ERP System Business Data Integration B2MML PLM System intenance Operation Ma Pr roduction Op peration ration Quality Ope In nventory Ope eration Le evel 3 MES Level 0,1,2 Con ntrol t Manager Report Inte erspec nilab U BATCH CONTROL SIMATIC IT Industry Libraries SIMATIC IT Components SIMATIC IT Framework Process Data Integration OPC RFID CONTINUOUS CONTROL DISCRETE CONTROL Third party DB With the SIMATIC IT MES Portfolio, we cover fully the pillars of ISA-95 Both the functionality as the architecture of SIMATIC IT, allow modular, scalable approaches and enable faster roll-outs Siemens AG All rights reserved. The open and diversified SIMATIC IT portfolio enables collaboration across plants and integration with ERP, PLM, SCM Page 12

13 SIMATIC IT Production Suite for Increased Performance and Synchronized processes Production Suite Production management and execution SIMATIC IT Production Suite organizes and integrates the manufacturing process, including standard operating procedures, control points and business events SIMATIC IT Production Suite is based on the ISA-95 standard and synchronizes business processes with manufacturing processes, collecting and providing production and quality data Manufacturing Workflow Order Download Material Load In Order Scheduling Order Execution Quality Testing Siemens AG All rights reserved. Page 13 Production Reporting Corrective Actions OEE Material Genealogy Cross industry standard software Flexible and Scalable True ERP collaboration through interoperability Lower cost of ownership Fast to roll-out Secure existing investments

14 SIMATIC IT R&D Suite for Increased Brand Value and Faster Time-to-Production R&D Suite Integrating R&D and manufacturing processes, workflows and data Unilab R&D Facility Production Modeler Report Manager Manufacturing Facility Unilab Production Modeler Report Manager SIMATIC IT R&D Suite decreases time-to-production and positively influences market position, cost and business results based on that capability Historian R&D Reference Interspec & ProdDefMan Historian MES Reference Interspec & ProdDefMan SIMATIC IT R&D Suite uses key capabilities of SIMATIC IT Production Suite, combined with dedicated libraries comprising functionality that is adapted to R&D Environments in order to provide key collaboration tools Process Industries Other Components Data Integration Services Material Manager SIMATIC IT R&D Suite FWB, LIMS & ELN Other Components Data Integration Services Material Manager SIMATIC IT Production Suite Life Sciences Industries Siemens AG All rights reserved. Page 14 Key Features Production Modeling, Material Management, Laboratory Information Management (LIMS), Product Specification Management Electronic Lab Notebook (ELN) to drive the day to day drive the dayto-day operational R&D activities and to document experiments and to make knowledge available within a common repository Formula Work benching Temporary Workspace Re-use of what is already available in SIMATIC IT Interspec Formulation Development with cloning & copying capabilities, calculation support

15 SIMATIC IT Intelligence Suite for Optimum Visibility Intelligence Suite Real-time data monitoring and historical data collection in a unified environment SIMATIC IT Intelligence Suite turns large amounts of manufacturing data into real knowledge and drives business results based on that knowledge SIMATIC IT Intelligence Suite in each plant can deliver KPIs to a centralized Data Mart and provide an overview for manufacturing executives with drilldown capabilities Discrete Industries KPIs Time Held, Time Late, Lead Time, Running Time, WIP, Queue, On Time Quality Dashboards and scorecards Process and Life Sciences Industries Siemens AG All rights reserved. Page 15 KPIs Machine States, Reliability Algorithms, Performance and Quality Algorithms, Design Speed Algorithms, State Duration, Cycle time Dashboards and scorecards

16 SIMATIC IT Portfolio: MES for Verticals Production Suite Production management and execution R&D Suite Integrating R&D and manufacturing processes, workflows and data Intelligence Suite Real-time data monitoring and historical data collection in a unified environment Industry Libraries Discrete Manufacturing Process Industry Life Sciences Industry Value Added d Services A broad concept of Customer Care Scalability Efficiency Profitability Consistency Flexibility Visibilityibilit Quality Transparency Discrete Manufacturing Process Industries Life Sciences Industries Siemens AG All rights reserved. Page 16

17 SIMATIC IT MES for Verticals Technological Highlights SIMATIC IT for Process Industries SIMATIC IT for Discrete Manufacturing SIMATIC IT for Life Sciences Industries Productized Industry specific func y Libraries a ctionality pac llow to offer cks Siemens AG All rights reserved. Page 17 Continuous Investment in Repeatability and 360 Interoperability

18 Industry Orientation: Standard Software + Vertical functionality packages Process Industries Discrete Manufacturing Life Sciences Industries MES for verticals: Primary Production Mgt Secondary Production Mgt Including: Integrated Quality Asset & Utilities Mgt Detailed Scheduling MES for verticals: Assembly & Complex Manufacturing Assembly in a box Automotive Including: Quality and Non conformance Detailed scheduling (Enterprise) Manufacturing Intelligence MES for verticals: Electronic Batch Recording (ebr) Weighing & Dispensing Including: Integration with R&D Suite functionality: Specification Management, LIMS, ELN, Formula Workbench Detailed scheduling Siemens AG All rights reserved. Page 18

19 MES for Verticals: Faster project implementation with lower TCO Less Customization Standards-based Project Project Flexibility Scalability Maintainability ROI Reducer Project Industry Libraries Industry Libraries ROI Enhancer SIMATIC IT SIMATIC IT SIMATIC IT Repeatability Product Product Product Compatibility Efficient application engineering and standardization through a modular approach and the reuse of model sections Reduction of the configuration effort on a project, building MES solutions with fast ROI Siemens AG All rights reserved. (Return on Investment) and low TCO (Total Cost of Ownership) Page 19

20 SIMATIC IT Value Added Services A broad concept of Customer Care SIMATIC IT Value Added Services (VAS) offers significant benefits to customers through an innovative Maintenance concept, a new Partner Program and Technical Training. SIMATIC IT Maintenance program: helps customers to prevent unforeseen or unplanned costs for system interventions, composing a maintenance program based on both standard and optional services, with the right balance between predictive, preventive and reactive measures, and based on the newest technologies. SIMATIC IT Technical Partner Development program: offers a wide range of technical services from presales to product consulting to support of Partner projects in the best possible manner. SIMATIC IT Technical Training program: consists of a range of training courses providing deep knowledge of SIMATIC IT Products. Siemens AG All rights reserved. Page 20 The right balanced approach for a complete coverage of the customers MES installation

21 SIMATIC IT integrates Manufacturing Operations into the Enterprise Built on ISA-95 Four Pillars in ISA-95: Process & Product Analysis Vertical Integration: to and from ERP and Control Maint tenance Operatio on Prod duction Operatio on Qu uality Operation Inve entory Operation Horizontal Integration: Product and Production Discrete Manufacturing Requirement Engineering Specification Development Simulation MES Process Industries Product Design / Engineering Acquisitions: UGS, Innotec, ELAN Production MRO Life Sciences Industries For all Industries......and for all Regions Siemens AG All rights reserved. Page 21

22 SIMATIC IT key benefits Integrated portfolio (MES-ERP, MES-PLM, MES-Control,...) enabling integrated and standardized processes (plant, R&D, HQ...), resulting in: increased performance/flexibility and cost reductions increased brand value/quality and faster time-to-market better visibility/transparency Optimizing market responsiveness High level of scalability Real-time capabilities and broad range of functionalities Highest availability of the production system Optimization of system reliability Faster Return on Investment (ROI) and lower Total Cost of Ownership (TCO) Siemens AG All rights reserved. Page 22