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Information Delivery at Dow Corning: Key to Innovation and Delivering Operational Excellence
Information Delivery at Dow Corning: Key to Innovation and Delivering Operational Excellence
September 2006Page 3
The silicone technology pioneer…
A joint venture of Corning, Inc. and The Dow Chemical Company
Organized to explore the potential of the silicon atom in 1943
Dr. Franklin J. Hyde
September 2006Page 4
Dow Corning innovating around the worldMore than 7,000 products and related services
Approximately 25,000 customers
$3.88 billion in sales in 2005, globally dispersed with more than 60% outside the US
9,000 employees worldwide
Global leader in silicones and high purity silicon metal
Strong channels to market –distributors, web, commercial organization
September 2006Page 5
We serve customers’ diverse needs…AutomotiveBeauty &
Personal CareChemical
ManufacturingConstructionElectronics Food & BeverageHealthcare Household & CleaningImagingPaints and Inks Power and UtilitySolarPressure SensitiveRubber FabricationTextile, Leather
& Nonwovens
September 2006Page 7
Dow Corning’s SAP Landscape
• 1996 deployed a single global instance• Landscape Today
ERP 2004 (ECC 5.0) XI 3.0 (NetWeaver 2004)BW 3.5 (upgrading to 7.0)EP 6.0 / EP 7.0EBP 4.0 (Run on NetWeaver 620)CRM 5.0 (NetWeaver 2004s)SCM 4.10GTS 300_640 (NetWeaver 640)Solution Manager 5.0 (NetWeaver 2004s)xMII v11.0/11.5
September 2006Page 8
Key Challenges across Mfg and Supply Network
Productivity Improvements key to maintain marginsResponse time to customer inquiries were unacceptablePoor visibility into manufacturing exceptions across the enterprise and the supply chainPoor decision support multiple data sources for right time decision makingTool for every platform and vendorInability to sustain Six Sigma improvementsStruggled communicating the business strategy at every level of the organization and maintaining alignment
September 2006Page 9
Strategic and Tactical Goals
Drive Supply Chain productivity and Operational ExcellenceDelivering the corporate priorities strategic improvement goals “Meeting Customer needs EXACTLY” – improved response timeDifferentiated Supplier of Silicon MaterialsAggregate data from multiple sources across enterpriseImprove quality thru automation of Six Sigma processes and lower quality expensesEnhance employee accountability through actionable intelligenceLower TCO with common platform
September 2006Page 11
Integrates process, business and quality information through out the supply chain. Individual supply chains can • Support process
optimization• Pursue aggressive variability
reduction goals• response rapidly to
customers
Enterprise Manufacturing Data Analysis System: A global solution for manufacturing decision support
September 2006Page 12
Opportunity StatementBalanced AMB rapid and effective scorecard methodology will ensure implementation of it’s business strategy Making tradeoff decisions Facilitate organizational alignment to achieve business goals
Advanced Technologies and Ventures Business2003 Pilot Project Scope
Identify Six Sigma improvement opportunities Drive improved performance and provide measurable target, strategic goals and accountability
September 2006Page 13
Information Delivery Strategy -
A Common Information Delivery Framework
– That facilitates delivery of information:subsequent steps of the user’s workflow
• Data to Insight to Action– That empowers
• Businesses and functions to create information & performance views on their own
– From sources throughout the enterprise (vs. vendor centric)– Drill down, drill across, analytics, and alerting – Web based
September 2006Page 14
Enterprise Manufacturing Data Analysis System: Approach using SAP
Information Delivery Architecture
SAP Portal
SAPCRM
Data Whse Mfg Data BW
Browser (Internal and External Audience)Available Content based on your Role
SAP xMII BI/BWWeb Dely
Dynpro/.NetWeb Apps
ContentiView
ContentiView
ContentiView
ContentiView
Drag & Relate Eventing
Documentum(etc.)
Delivery
Workbench
Delivery &
IntegrationFram
ework
Standardized
Access Tool
R/3PI, LIMS Siebel, IIS, GDW, etc.
Content
CRM Information
ContentContent
Information Sources - Internal and External
Data
Sources
Act
ive
Dire
ctor
y
Rol
es &
Use
rs
September 2006Page 15
One Case Study: HSC SAP xMII Analytics PilotSupply Chain Visibility
Provided a step change in our ability to monitor and improve work and manufacturing processes and secondly, improve stability, root cause analysis and provide a step change improvements in quality and cost reduction
• New upstream visibility & early detection • Root cause analysis tool•Action taken without impacting end product quality or customers•Historical analytics
September 2006Page 16
Performance Mgt: Site Level & SC Performance Analytics
Deliver KPI’s and supplement analysis Driving productivity measures across in the Supply Chain – PLAN, SOURCE, MAKE, DELIVER <RETURN> - with standard solutions that are extensible and help solve very specific issues particular sites have.
Abstraction layer for
backend integration,
maintains
consistent, highly
functional user
interfaces across
multiple sites.
September 2006Page 17
Performance Mgt: Business and Industry Focus
Every employee understands how their work impacts the strategic improvement goals of their business through score carding with detailed drill down capability.
Within a single view, clearly quantify the businesses performance across a wide range of KPI with real-time analytics tied directly into disparate backend systems.
September 2006Page 18
Performance Mgt: Enables Corporate EISDelivering key performance indicators (KPI’s) and historical views which measure corporate performance across our four corporate priorities
Provides our executive team a common framework and delivery mechanism for the entire corporation with detailed business cuts into the performance.
September 2006Page 19
Delivering Analytics: Business Process and Product Quality in-process analytics that are tightly integrated into our business processes; drawing from multiple data sources and providing drill-downs – designed to facilitate the user’s workflows.
Automatically
aggregate data
from multiple
backend
systems.
September 2006Page 20
Composite Analytics: Condition Based Maintenance Plant floor and ERP Integration - Significant saving on PM cost through plant floor integration and improved asset management.
Users are able to create their own maintenance monitors based on set methods closing the loop with the shop floor.
September 2006Page 21
Sustainable Control Plans : Integrated Plant Floor Analytics
Plant floor and ERP Integration - Provides a conduit for cross process analytics and tighter plant floor integration and synchronization with ERP for Sustainable Six Sigma results.
Provides Visibility across multiple systems• Real-time status coding• Alerting & voice messaging• Historical analytics
September 2006Page 22
Results Summary
Increased employee productivity • millions of dollars in savings
• Reduced customer response time • from days to 1-2 hrs
• Drive Business Strategyalign and drive performance
• Sustainable Six Sigma processes • lowers costs and improved quality
• Support Increased sales• higher customer satisfaction
• Realized lower total cost of ownership • single instance of SAP ERP, SCM, Visibility and Interoperability
September 2006Page 23
- Deliver Our Vision- Common Analytics
Framework- Continued SOA
Deployment - Adaptive Business
Models - Portal Integration- Mfg xApps
Analytics- Drive Automation- Operational
Intelligence- Customer Value
Next Steps: Traction to Acceleration
September 2006Page 24
• Faster, better informed, decision makingThe right information at the right time
• Drive Out NVAFreedom to Innovate
• Leverage common framework and reusable components
extensible across the enterprise
• Streamlining global workflows by providing in process analytics
powered by service oriented architecture
• Empowering the Business – matching the skills, meeting the needs
leveraging the expertise of the “troops on the ground”
• Not about a tool, its about capitalizing on opportunities
going fast, taking risks, and learning
Lessons Learned