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Global New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global R&D Effectiveness Page 1 David G. Sherburne Carestream Health Inc.

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Page 1: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Global New Product Development

Implementing Successful Transformational Change

David G. SherburneDirectorGlobal R&D Effectiveness

Page 1David G. Sherburne Carestream Health Inc.

Page 2: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Topic OutlineSnapshot of Carestream Health Inc.Globalization –The forcing functionInsights for setting up a successful transformationLearnings Summary

An overview of the Carestream Health project will be presented later in the conference.

Page 2David G. Sherburne Carestream Health Inc.

Page 3: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Carestream Health – Who We AreAn independent company with a proven track record and $2.5 billion in revenue

A world leader in:• Medical imaging … digital and film• Healthcare information solutions• Healthcare information solutions• Dental imaging and dental practice

management software• Molecular imaging• Non-destructive testing

Page 3David G. Sherburne Carestream Health Inc.

Page 4: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Who We AreApproximately 7,300 employees serve customers in more than 150 countries worldwide

We hold more than 1,000 patents for technology andpatents for technology and intellectual property

Our products are at workOur products are at work in 90 percent of hospitals worldwide

Page 4David G. Sherburne Carestream Health Inc.

Page 5: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Who We Are

Rochester,

A global company with Manufacturing and R&D locations around the world

Oakdale, Minnesota

New York

Woodbridge, Connecticut

London, United Kingdom

Minnesota

Shanghai, ChinaWhite City, Oregon Yokneam, Israel

Baltimore, Maryland

Berlin, Germany

Windsor, Colorado

Ra’anana, Israel

Maryland Atlanta, Georgia Xiamen,

China

Guadalajara,

ManufacturingToulouse, France

Paris, France

j ,Mexico

Page 5David G. Sherburne Carestream Health Inc.

R&D

Both Manufacturing and R&D

Page 6: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

The Globalization ChallengeGlobalization was required to meet the business needs of our company• Needed a balanced cost structure• Desired access to global talent poolsDesired access to global talent pools• Required deeper understanding of emerging markets

Business Challenges • Legacy Systems were outdated and not easily scalable• Lack of adequate IT investment resulted in non integrated point solutionsLack of adequate IT investment resulted in non integrated point solutions • Collaboration became more difficult via e-mail, uncontrolled data with partners• IT Infrastructure and networks were performing poorly in some parts of the

worldworld• Complexity in the organization increased as projects decentralized • Knowledge workers time was being drained communicating globally

Page 6David G. Sherburne Carestream Health Inc.

• Productivity of NPD remained roughly flat

Page 7: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

EnterpriseEnterprisePDMPDMAuthoringAuthoring

Legacy-Point Solutions lacking proper architecture and investment

EnterpriseEnterprisePDMPDMAuthoringAuthoring

MCAD Tools

NXNX

MQDS

SAP

Part Data

Confluence

Excel

CAPACAPATeamcenter

No No

No Integration

No Integration

Pro/EPro/E

SolidWorksSolidWorks

AutoCADAutoCAD

SAP

Lotus Notes DB

CAPA

BOM

El t i l P t

CAD Files PDF’s

No IntegrationNo Integration

MS Project

Team Room

CAPACAPASys 9K RoHS,

DoC, RoHS, DoC,

Pro/Intralink EQDS

No Integration

No Integration

AutoCADAutoCAD

ECAD Tools

Mentor DXMentor DX EE File Shares

SOP

DAMMR

Lotus Domino

Electrical Part Data, RoHS

External Systems

No Integration

No Integration

N I iN I i

,MSDS

(no home)

,MSDS

(no home)

ME File Shares,

CIDxNo No CadenceCadence

OrCADOrCAD

AltiumAltium

Shares,library cache DocManager

Version Control Tools

Systems

Standalone Systems

Information No No

No IntegrationNo Integration

CAD Files PDFs CQuest

Integration

Integration

Software Authoring

Desktop Tools(Browser,

MSOffi t )

Desktop Tools(Browser,

MSOffi t )

ClearcaseClearcase

SubversionSubversionPVCSPVCS

StarTeamStarTeam

ClearQuestClearQuestDefects

RequestsEnhancement

RequestsManual Integration

FlowNo

IntegrationNo

Integration

Caused by “Cost Center” mentality

Page 7David G. Sherburne Carestream Health Inc.

MSOffice, etc)MSOffice, etc)DOORS Requirements

Management ToolsDOORS Requirements

Management ToolsQuality Center

Automated Integration

mentality

Page 8: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

P j t t lit l l ti

Demands on NPD Workers Are Increasing• Project teams are split across several locations• Platform development is adding complexity in software and hardware• Iterative methods are desired for software and require fast information q

transfer• Daily builds are a common expectation for software• Fast cycles are required for prototyping hardware• Fast cycles are required for prototyping hardware• Design for manufacturability is critical as ties to supplier base become

weaker• Teams must leverage historical data to improve planning, compare

reliability, and drive improvements

• Engineers are pushed to do deeper analysis to ensure product quality g p p y p q ywhile coordinating many sources of information

• Requests for metrics and historical data comparisons are ever increasing and are taking longer to produce

Page 8David G. Sherburne Carestream Health Inc.

increasing and are taking longer to produce

Page 9: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Our future success required• A Leadership organization stepping up to create awareness, develop

strategy and drive change to improve operations• Architectural awareness and maturity in design of enterprise systemsy g p y• Careful integration strategies between applications- PLM-ERP-ALM• A master-data strategy - removal of duplicate data sources and multiple

manual data entry pointsmanual data entry points• Closed-loop processes with traceability across the process space• Product/HW systems optimized for access and collaborationy p• SW systems optimized for fast cycles and traceability• Retention of all forms of Intellectual Property, internal and external, to

retain “business flexibility”retain business flexibility• Tight integration and traceability across requirements, project

management and engineering change control to meet regulatory requirements

Page 9David G. Sherburne Carestream Health Inc.

requirements

Page 10: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Hitting the target- Its not just a simple arrow anymore

PeopleChange

Technology Driven

Performance Driven Change

Management

Communications

Driven Driven

Global Leadership

StrategyTechnology

ProcessClosed Loop

Awareness

Leading multi-Cultural

TechnologyGlobal Applications

Architecture

Standard

Inclusive

End to end

Co-located and

Cultural ChangeInfrastructure

Master Data

Global and

Page 10David G. Sherburne Carestream Health Inc.

FocusedGlobal andDistributed

Page 11: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Considerations required for Enterprise Transformation

• Complete view of New Product Development“building blocks”A i ti f th l it i th “l ”• Appreciation of the complexity in the “layers”

• Architectural orientation and familiarity with industry technologytechnology

• Process understanding and balance• TrainingTraining • Reporting structure and governance• Ubiquitous platformsUbiquitous platforms• Complete teams designed for success

Page 11David G. Sherburne Carestream Health Inc.

Page 12: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Complete View – Understanding the Building Blocks

PLM – Product Life Cycle Management Platform

Portfolio – Dashboards, Metrics, Web Channelsideas

SS

Prod

PDM – Data Management for Hardware

ALM – Data Management for Software

Proje

Qua

Portfo

Ma

Service D

ideas

ideas

SUPPO

RTA

SUPPO

RTAuct P

lanni

ect Manag

ality Data

olio Manag

anufacture

Delivery, Pideas

ideas AB

LE PRA

BLE PRing D

efini

Hardware Design

Software Design –

gement -P

Managem

gement

and Susta

Pubs,Trainideas

RO

DU

CTS

RO

DU

CTStion

gAuthoring –CAD-ME,EE

Design Authoring IDE

PC

P

ment

ain

ning

SS

Page 12David G. Sherburne Carestream Health Inc.

BOLD=Industry Term

Integration of Applications and Master Data StrategyCore

Page 13: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Appreciate the Complexity in each “Block”

Presentation LayerWeb Channels internal and external Social Dashboards BI

Busine

Business Process Layer - Standard Workflow and Responsibilities(Engineering Change Control, Production Release Process,

Web Channels internal and external Social, Dashboards, BI Increasin

ess Proces (Engineering Change Control, Production Release Process,

Supplier Quote Process, Defect Management Process)

Application Layer

ng Architec

ss Maturity

Aras Innovator, Teamcenter, Doors, Clearquest and Clearcase

ctural Matu

y IT M

Data LayerSystem of Record for Master Data Attributes Field Mapping to Metrics clean up

IT Infrastructure LayerNetworks Servers Databases Storage Back-up Archive

urity

Maturity

System of Record for Master Data, Attributes, Field Mapping to Metrics, clean-up

Page 13David G. Sherburne Carestream Health Inc.

Networks, Servers, Databases, Storage, Back up, Archive

Increase Organizational Maturity + Architectural Awareness = Success

Page 14: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Knowledge Sharing, Social Nets and Webchannel

Desktop Enterprise SystemsEnterprise Systems

Architectural Orientation and Strategic Planning Ability

PLM A IOffice, Office,

PDM

HW

MCAD Tools

and Webchannel

Supplier 1Supplier 1KM

PLM Aras InnovatorClosed Loop Engineering Change Management (HW/SW)Event Tracking and Defect MgmtCAPA Management

Aras

Office, ProjectOffice, Project

Dashboards-Metrics

HWWebchannel/

Social Development

Supplier 3Supplier 3

KM Platform

gAudit ManagementSupplier Access/ DFM InputSupplier Quote ECAD, MCAD PDM IntegrationsEBOM MBOM M

RQMTS

LN DBs

stem

s

Manufacturing TransferManufacturing TransferNew

Supplier 2

ECAD Tools

ECAD 1 Integrated As Built M t D t

Raw Material MasterEBOM, MBOM ManagementCosting Commercial Parts LibraryRoHASRequirements Change ControlA

utho

ring

Sys New

Platform SAPSAP

Testing

Purchase Portals –

ECoutlook

Modeling

ECAD 2

ECAD 3

Master Dataq gISDE Integration for SW events

Established Standard

A

Quality PlatformQuality Platform

Testing

Emerging

ECoutlookSmart source-Ebid

Integrated SW Development Environment SW Environment)

SW Project Management, Dashboards

SW Project Management, Dashboards

CM-STDCM-STD

Build Tools and Services. Test Scripting

Build Configuration

MS Visual StudioMS Visual Studio

XCODE Other

SW Authoring

No St d d

Some Integration

g gStandard

2012 Proposal

ISDE Core

Integrated SW Development Environment- SW Environment)

Page 14David G. Sherburne Carestream Health Inc.

Management End of

Life

XCODE, Other Key IDEs

StandardIntegration

Page 15: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Business Process Development- Low Level Architecture Swim Lanes PLI Initiative

Key Points

Drives deeper “use case” discussions

Refines functionalRefines functional requirement understanding

Concentrates people on future state andfuture state and consistency vs current state, holding on to today

Swim LanesSwim Lanes Organization Independent

Focuses training development on process p pnot button clicks

Focuses test plans for validation on key workflow performance

Page 15David G. Sherburne Carestream Health Inc.

p

Page 16: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Process Balance Yin-Yang Suppliers and PartnersSuppliers and Partners

Defects

Product Lifecycle ManagementResearch Concept Retirement

Product Lifecycle Management

Enterprise Resource Planning ApplicationLifecycle

ProductData

ManagementRequirementManagement Management ManagementManagement

Balanced representation from

Page 16David G. Sherburne Carestream Health Inc.

pSubject Matter Experts on both ends of the process spectrum

Page 17: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Training• Technology and Process are complex, skimping on training

leads to inefficiency and slow adoptionT i i th t t f b i t T h l• Train in the context of business process not Technology “button clicks”

• Carefully identify the roles that require training and targetCarefully identify the roles that require training and target information

• Evaluate self paced training, it’s the hardest to deliver but most flexible for users

Page 17David G. Sherburne Carestream Health Inc.

Page 18: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Reporting Structure and Governance

CTO Office CIO Office

Director R&D

Alignment with IT

• Ensures ScalabilityDirector R&D Effectiveness

David Sherburne

• Architectural focus and alignment

• Improved on-going services

• Leverages strengths of both groupsBusiness Structure• Sponsors• Subject Matter Experts• Subject Matter Experts• Middle Managers• Finance

Page 18David G. Sherburne Carestream Health Inc.

Page 19: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Choose “Ubiquitous” Platforms and “Real” Partners

• Platforms must scale globally• Provide a cost model in line with business benefit• Allow web access with solid security• Enable flexible configuration and integration• Deliver user performance globally• Allow for growth over time• “Real” partners provide a strategic relationship

Share in riskOff fl ibl t i li ith b i dOffer flexible terms in line with business needsPartner during implementationKeep costs in line with benefits

Page 19David G. Sherburne Carestream Health Inc.

Page 20: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Aras “Attitude” and Advantages • Cost model allowed global scale• Flexible architecture enabled rapid development

50% i th th l tf50% easier than other platforms• Web based, scalable cost model…

key to ubiquitous accesskey to ubiquitous access• Ties to MS Sharepoint, which is being evaluated

for the enterprise• Good Technical Partnership – Anti-virus performance,

E-Signature help• Some risk but balanced with High Value• Community concept, that we hope to better leverage

Page 20David G. Sherburne Carestream Health Inc.

Page 21: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Complete Teams = Successful Results

Business Processand

Technology Partners

&Application

Leading Change

and Metrics Development

Application Architecture

IT A hit tIT Architecture,Master Data

Cleaning and Migration

Coding and Configuration

Skills for g a oimplementation

All skills are critical and

Page 21David G. Sherburne Carestream Health Inc.

critical and equal for success

Page 22: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Learnings to Date

• Mindfully consider the elements required for success…• Carefully craft your team, leadership awareness, project management, and

communications skills• Set project governance and decision rights formally• Determine your internal critical mass and match with implementation partner

development speed• Ensure business-process work leads and requirements follow• Work in parallel with master data modeling and migration tests• Train in context of the business process not in context of the toolTrain in context of the business process not in context of the tool• Get involvement of Subject Matter Experts early and often. Cover all disciplines

and phases of the lifecycle…. Balance…. • Turn user interface prototypes early fast and review the implementation• Turn user interface prototypes early, fast and review the implementation

approach taken carefully• Prioritize architecture and code reviews highly; easily skipped• Verify and Validate functionality using business process diagrams as basis

Page 22David G. Sherburne Carestream Health Inc.

• Verify and Validate functionality using business-process diagrams as basis

Page 23: Global New Product Development Implementing Successful ... · PDF fileGlobal New Product Development Implementing Successful Transformational Change David G. Sherburne Director Global

Global New Product Development

Implementing Successful Transformational Change

David G. SherburneDirectorGlobal R&D Effectiveness

Page 23David G. Sherburne Carestream Health Inc.