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Production Operations Excellence for A&D Tier Suppliers http://www.siemens.com/mom Subba Rao Manufacturing Operations Management

Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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Page 1: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Production Operations Excellence for A&D

Tier Suppliers

http://www.siemens.com/mom

Subba RaoManufacturing Operations Management

Page 2: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Agenda:

Operational Excellence for A&D manufacturers

Myth vs Reality

How to get there? Dilemma!

Solution @Work

Page 3: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Efficiency, Effectiveness

and Excellence

Page 4: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 4 Siemens PLM Software

In the context of manufacturing organization ….

Effectiveness… is determined without reference to costs …

means DOING THE RIGHT THINGS

Not really measurable

Main aim is to achieve goal

CONSIDER LONG TERM STRATEGY

Efficiency… is the degree to which objectives are achieved …

means DOING THE THING RIGHT

Measurable concept (time, effort, cost)

Preserve resources

FOLLOW PROCESSES

OPERATIONAL EXCELLENCE = EFFICIENCY x EFFECTIVENESS

Page 5: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 5 Siemens PLM Software

Aerospace & Defense Market Space

Note: CAGR is based on 2015 numbers

High

Low

High

Volume

Low

Key processes & skills capacity

Variability in factory routings

A&D

Tier 1High Touch Labor

Hand Tooling

Manual to Semi-Automated Tests

Depot repairs performed within factory

Multiple variants of a configuration

Mixed BOM’s with conditions of supply

A&D

Tier 3

• Low Touch Labor

• Factory Automation

A&D Tier 2

Yield impact analysis on factory flow

Design to cost & recurring unit cost

Complexity & Volume Drive Manufacturing Processes

Page 6: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 6 Siemens PLM Software

Typical inefficiencies in production floor

One reason: lack of synchronized processes and harmonized systems

Lack of tools to design for manufacturing during

detailed design & push to production

Complexity in design change introductionsTiming to effect work in process rework

Scheduling to optimize resources

Alignment of as-designed with as-built for

compliance

First Time Through Test Yield (FTTTY) driving

rework & factory efficiencies

Disparate systems & paper travelers for production

process orchestration

Typical shop-floor IT environment

?Efficiency

Effectiveness

Page 7: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 7 Siemens PLM Software

What is the complexity of reaching production ready state

PLM ERP MES

Upstream processes have to be streamlined for accurate downstream information flow

……. to bring efficiencies and effectiveness for operational excellence

Page 8: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 8 Siemens PLM Software

Even with all accurate upstream validation

Execution in shop-floor has its own complexity for information needs

Supply Chain

• Inbound Mtl inspection

& Audit

• Supplier collaboration

• Shipping / delivery

Mfg / Ind. Engineers

• BOM, BoP, changes

• WI, DCD

• Sketches/Drawings/

Models

Schedulers

• Constraint based

Detailed Scheduling

• What-if scenarios /

schedule repairs

Production Control

• Part, Kit & Tool

Movements &

• location tracking

• Point of use triggersQuality

• Quality Plans

• Measurement & Data

Collections, FAI, buyoff

• NCR’s & resolutions

Supervisors

• Resource plans

• Operator Time tracking

• Buy-off’s

• Overrides, escalations

Operators

• Order Execution

• WI adherence

• Data Collections

• Self buy-off’s

Machines

• Auto. Data Collection

• Product & Process

Tracking

• Perf. monitoring

Maintenance

• Preventative

• Reactive

• Predictive

• Prescriptive

CAM/Eqp Engr.

• Machine Data

Programs (DNC)

• Machine perf.

Monitoring

• Plant coordination

Plant IT

• Data Synchronization

• Data Integrity

• KPIs, Reporting

Pla

nt

Op

era

tio

ns M

an

ag

em

en

tP

lan

t O

pera

tio

ns M

an

ag

em

en

t

Corporate (IT, Business, Engineering ..)Corporate (IT, Business, Engineering ..)

Excellence in

operations mean

streamlined

synchronization

and coordination

across these

disciplines for an

effective &

efficient business

– financially &

competitively

Page 9: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 9 Siemens PLM Software

Broader spectrum of Manufacturing Execution capabilitiesSiemens solution addresses Business Problems from tactical to strategic needs

Detailed Prod.

Scheduling

Product / End

Item Track &

Trace (WIP)

Tool Track &

Trace

Work

Instruction

Delivery

Management

As-Built Data

Collection

Tool life and

Machine (Line)

Monitoring

Travel Work

Management

Process

Adherence &

Orchestration

Order

Maintenance

Operation

Reports, KPIs

and Analytics

Order Status

& Life cycles

with WIP

visibility

Supervisor

dashboard &

res. loading

per schedules

Order

Execution

Management

(Serialized /

Batch)

Engineering /

Manufacturing

Change

Incorporation

First Article

Inspection

Execution *

Non-

conformances

/ redline

management

Data

Collections &

SPC

Certification /

skills & Buyoff

Management

& adherence

DNC

Integration

Automation Integration

Order /

Operation

Hold/Release

Management

Teamcenter Manufacturing ERP Integration

S

I

M

A

T

I

C

I

T

Internal Shop-

floor

Logistics*

* In roadmap

Page 10: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 10 Siemens PLM Software

Operational Excellence

through Siemens portfolio

Harmonize & synchronize business

processes across Engineering,

Manufacturing Planning, production & quality

Teamcenter ERP SIMATIC IT

Page 11: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Myths vs Reality

Page 12: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 12 Siemens PLM Software

Myth 1: Our current processes and cross-department

collaboration is working but lacks discipline

Reality:

Disparate

systems in shop-

floor

Point to point or

no integrations

across systems

Cumbersome

collaboration methods

across teams

Page 13: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 13 Siemens PLM Software

Myth 2: Our engineering and business systems can provide all

required information to shop-floor and “niche” point solutions are

good

Reality:

Increased

customizations in

engineering and/or

business systems

Tedious engineering

and / or manufacturing

change incorporation

Advanced mfg.

technologies

needing richer data

from engineering

systems

Page 14: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 14 Siemens PLM Software

Myth 3: Our shop-floor infrastructure is archaic and we cannot

collect required data from machines or people (in right way)

Reality:

Point of use

information can

enable timely human

– machine data

collections

Automation of

human machine

processes is reality

and key for agility

Sensors and

advanced

technologies can

make machines

smart

Page 15: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 15 Siemens PLM Software

Myth 4: We collect all sorts of data, all we need is a data

warehouse and analytics tool

Reality:

Data with process

improvement tools is

key for mfg. flexibility

and effectiveness

Need to blend IT and

OT data for

streamlined process

improvements

Data redundancies

are not taken away

for educated

decision making

Page 16: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Unrestricted © Siemens AG 2017

2017.09.25Page 16 Siemens PLM Software

Holistic approach is key strategic lever

to overcome myths and achieve operational excellence

Design Engineering

Manufacturing Operations Management

Automation

Teamcenter

Simulation & Test

Manufacturing Engineering

Product LifecycleManagement

Run-Time Manufacturing Operations Service Bus

Lifecycle Analytics

SCADAManufacturing Execution

System

Quality Execution

System

Advanced Planning & Scheduling

Team

cen

ter

SLM

Enterprise Manufacturing

Intelligence

Visualization/Graphics Bus (JT + Atlas + Augmented Reality)

Production Execution

ERP

Page 17: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 17 Siemens PLM Software

Harmonize business process flows / steps across value chain

(Happy Path Example)

Manufacturing

Process (BOP)

Configuration &

detailed planning

Update Schedule

& Dispatch Order

Preview Order /

Generate Order

(with ERP data)

Assign named

users to

scheduled jobs

for the shift

Manage holds /

release of op,

process updates,

order splits

Execute

Order/OP, cert.

checks, review

WI, shop notes

Inspect, review

and perform

buyoff

Schedule

updates / repairs

Initiate Machine

Program

download (if

automated)

Manage as-builtInspection Calls

for buyoff

Plant asset

association,

durations &

release

configured Plan

Collect data:

Serial numbers,

tool-id,

inspection data

Disassemble

SN#, reopen

operations

Increase operator efficiency by providing order / operation / machine context specific information at point of use

Solution Enabler

• Real-time error proofing - certifications

checks, data collection deviations

• Single operator screen to navigate work,

collect reqd. data and complete the task at

hand with engineering authorized information

• Real-time visual indications of events &

issues and accurate track of all actions

• Near real-time information availability to other

teams within shop-floor

Business Value

PLM

ERP

MOM

Page 18: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 18 Siemens PLM Software

Harmonize business process flows / steps across value chain

(More common Unhappy Path Example)

Release Re-

plan (rework

order)

Re-plan

As-Built /

GenealogyRelease Hold

Order

Execution

Quality Review

& Discrepancy

Documentation

Initiate Defect

Define

Disposition

Steps

Change

Workflow

Review

Problem Report

Defect

Resolution Path

Escalate to

Engineering

Release rework

order

Review

authorized

rework

Execute rework

order

Accept / apply

changes to

order

Add context to

changes

Initiate order

specific

changes

Apply changes

to order

Initiate MCN, ECN

and Corrective

actions

PLM

ERP

MOM

Page 19: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

How to get there? Dilemma!

Page 20: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 20 Siemens PLM Software

Tactical vs strategic “needs”

dilemma in starting the journey

Solve immediate problems at hand Take right steps that aligns with strategy &

also solves immediate problems at hand

Short-

term

Demands

Short-

term

Demands

Long-

term

Goals

Long-

term

Goals

Page 21: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 21 Siemens PLM Software

Stages to achieve the holistic vision of digital enterprise…

Each manufacturer is at a different starting position

Model-based simulation – Virtual and real production increasingly merge –

PLM

TIA

MES/MOM

3D model based Product Engineering

and mainly 2D model based Industrial Engineering on independent data bases

Various, heterogeneous, mostly homegrown Shop Floor IT Systems managed on plant

level

Mix from old and new machines with different level of

automation, sensoric and connectivity to Shop Floor IT

Product- and Industrial-Engineering collaborate on a shared and consistent data

model for production planning

One Solution to connect the field level and consolidate and

integrate the Shop Floor IT components

TIA Portal to manage automation engineering - full integration of field level into

Operations Management platform creates transparency

of operations

Operations Management shares the planning data

model and connects planning in real time to the

shop floor • Maximum flexibility• Improved “Design for

Manufacturability” • Optimal balance between

planning and autonomy

Product- and Industrial Engineering manages

concurrently the comprehensive Enterprise Bill

of Process

Smart connected devices deliver continuously real-time data to various application to

optimize shop floor productivity

Increased

Digital Enterprise

Implementation

ERP

Page 22: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 22 Siemens PLM Software

As each manufacturer has different starting point

1. Journey & duration towards digitalization for operational excellence varies

BUT with same end goal in mind

2. MES/MOM is one of the core elements of that journey

3. Some implementation examples of SIMATIC IT deployments in aerospace

companies … towards this journey

Page 23: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 23 Siemens PLM Software

Solution @Work: Aero Engines Manufacturer

“Simplification the processes: 100’s of

custom systems & interfaces, reduce

waste, move to paperless, reuse, refine

& re-purpose”

Reduce non-conformances, modifications, development cost and time to manufacturing

Roll out at other plants in UK, USA, Asia, … + other programs

Current /

Emerging

State

Page 24: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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2017.09.25Page 24 Siemens PLM Software

Solution @Work: Aircraft engine components

manufacturer

“Streamlining the business processes

through connectivity between MES and

PLM”

Process and Work instructions from PLM to MES

Feedback from production to PLM

Digitally driven best practices to reduce time to manufacturing

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Solution @Work: Aerospace OEM

“Harmonize methods and processes to

reduce data duplication for asset

performances and material tracking”

Standardization of asset monitoring and KPI / performances across sites

Composite material tracking

Page 26: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

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Solution @Work: Defense Contractor - USA

“Provide Safe Passage signals to the

Automated Guided Vehicle (AGV) control

system. Monitor Safe Passage signals from

OEM Systems and Work Cells

Collect, archive, trend and analyze key

performance data”

Real-time data collections

Asset performances, KPIs & safe passage permissive’s

http://www.assemblymag.com/articles/

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Solution @Work: Aerospace OEM

“Orchestrate automated cell processes

for task accomplishments, status and

KPI visibility across automated assets

capturing & reacting to human –

machine events”

Data collection and orchestration from a flexible automated cell

Monitor & execute each equipment and process step based on release machine programs

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2017.09.25Page 28 Siemens PLM Software

MES/MOM

Various, heterogeneous, mostly homegrown Shop Floor IT Systems managed on plant

level

Operations Management shares the planning data model and

connects planning in real time to the shop floor

Increased

Digital Enterprise

Implementation

One Solution (incremental & modular way) to connect the

field level, engineering / business level and

consolidate and integrate the Shop Floor IT components

Typical current state Recommended state Enabler of collaboration

PLM

TIA

Smart connected devices deliver continuously real-time data to various application to

optimize shop floor productivity

Product- and Industrial Engineering manages

concurrently the comprehensive Enterprise Bill

of Process

Path forward to change the status quo and achieve

operational excellence in shop-floor

Standardize business processes with modular deployment of MES/MOM, as an

enabler for digital enterprise realization towards operational excellence

Page 29: Production Operations Excellence for A&D Tier …...2017/10/24  · Subba Rao Manufacturing Operations Management Agenda: Operational Excellence for A&D manufacturers Myth vs Reality

Thank Youwww.siemens.com/mom

Subba Rao

Lead Strategic Engagements / Industry Management

Manufacturing Operations Management

Email: [email protected]

Phone: +1 (248) 514.8466