Solution in Detail Manufacturing ETO and Project Manufacturing

Solution in Detail

2013 SAP AG or an SAP affiliate company. All rights reserved.

Manufacturing

ETO and Project Manufacturing

Executive Summary Solution Overview Contact Us


2 / 27 2013 SAP AG or an SAP affiliate company.

All rights reserved.

Simplifying Complex Manufacturing

Manufacturers face challenges on many fronts

today: increased global competition, technical

issues in accommodating changing customer

requirements, government and industry

regulations, and the need for rapid response

to demand fluctuations. Together these require

an adaptable manufacturing process.

Companies are incorporating innovations such

as graphical bills of materials, mobile technol-

ogy, cybersecurity, and multiplatform, multi-

national IT support. But these innovations are

not always fully integrated, which means that

manufacturing processes are suboptimal.

This environment is complicated by the need

to comply with expanding government and

industry oversight.

Incorporating new technology to compete in the

evolving marketplace is critical. The engineer-

to-order (ETO) process supported by SAP

software allows for definition of each custom-

ers unique requirements, integrates innovative solutions, and minimizes expenditures of time

and money by reusing common products and

processes within the manufacturing lifecycle.

Manufacturers must monitor market dynamics

and employ innovation with a complete,

responsive, harmonized, and integrated

solution that efficiently manages process

and product cost and quality.

Efficient management of highly complex, variable, and tightly controlled

manufacturing is a challenge requiring technology that provides the necessary

process controls while quickly and accurately controlling product variation. Enabling Complex Builds

Managing Complex

Manufacturing

SAP Innovations

Improving Processes




Accelerate the design-to-delivery cycle by

effectively managing complex designs. Com-

prehend faster using multimedia instructions.

Computer-aided process planning ties

multimedia work instructions with the bill of

materials (BOM) for various types of work such

as assembly, fabrication, rework, and tooling.

Visual manufacturing graphics tie the BOM to

work instructions. BOM management provides

engineers with tools to create multilevel product

structures with closed-loop BOM validation

from design through delivery.

Project manufacturing keeps track of the

complex processes required to engineer,

manufacture, and deliver complex configurable

products.

Efficient manufacturing execution, in

conjunction with scheduling and shop-floor

process controls, quality management, and

as-built records, provides for efficient and

high-quality production.

Production deviations can be recorded

and tracked for closed-loop disposition

and corrective action.

Integrated Answer for Complex Builds

Get the intuitive solution needed to build complex, highly regulated products.

Manage configuration information and processes, including changes. Integrate

graphic design into the build to simplify comprehension. Manufacture deliverables

and components, enforcing regulatory and customer-driven requirements.


Enabling Complex Builds

Managing Complex

Manufacturing

SAP Innovations

Improving Processes

39% Lower manufacturing cycle

time where quality system has

simplified data sharing and

integration of inspection

planning with related

applications

Source: SAP Performance

Benchmarking



For manufacturers, efficiency and intuitiveness of processes can make the

difference between success and failure. Best-run manufacturers optimize

profitability and resource expenditure by efficiently managing production definition

and change. This allows them to provide their products at minimum cost. SAP

facilitates this outcome with its integrated planning and execution solutions,

resulting in:

Proficient Manufacturing Control

Reduced change incorporation cycle time

Accelerated design-to-delivery cycle

Improved manufacturing profitability

Improved accuracy of finished products

Reduced quality and compliance costs

47% Lower manufacturing cycle

time for organizations in

EMEA where control of

processes is through pull-

based production schedules

Source: SAP Performance

Benchmarking



Managing Complex

Manufacturing

SAP Innovations

Improving Processes



Manufacturing innovations are providing new

ways to reduce costs throughout the business:

Analytics solutions help optimize all areas of

manufacturing from start to finish organizing and managing business processes and costs.

Mobile solutions provide report and shop order

data wherever the Internet is available on a

choice of devices. Manufacturers can accomp-

lish more with less, tailoring access to tasks

at hand while improving quality and profitability

in the face of increased complexity and

competition.

Cloud solutions can simplify implementation,

track remote assets, eliminate physical borders,

and manage cost and risk. They provide a

unified answer for manufacturing issues such

as vendor coordination and multiplant manufac-

turing, and enhance communication.

SAP software accelerates complex assembly

manufacturing by coupling product visualization

with mobile and cloud technology to boost

productivity throughout the product lifecycle.

Visualization using 3D graphical navigation and

search helps a companys diverse departments to center on the product. The resulting quality,

operational productivity, and time-to-market

improvements increase a companys competitive advantage.

SAP Innovations

SAP assists in bringing technology innovations to the manufacturing supply chain.

These innovations accelerate comprehension, simplify and expand communication,

and enhance visibility to target activity, avoiding disruptions and speeding design-

to-market.



Managing Complex

Manufacturing

SAP Innovations

Improving Processes



ETO Software Spans Manufacturing Needs

Process Planning and Scheduling

Define and organize tasks and resources globally to adapt to changing customer

and production needs.

Visual Manufacturing

Use leading 3D visualization technology to unify and accelerate the design-to-

manufacturing process.

Project Manufacturing

Track engineering, manufacturing, assembly, shipping, and installation processes

for an order.

Manufacturing Execution

Display, manage, and record highly engineered, changing data for production parts

and processes.

Process Planning, Scheduling

Solution Overview




Why SAP?

ETO and Project

Manufacturing




Engineer-to-order processes

leverage project, definition,

and execution functionality to

synchronize all aspects of a

products manufacturing cycle.

Managing Complex Manufacturing



Solution Overview




ETO and Project

Manufacturing

Process Planning,

Scheduling

Manufacturing

Execution

Project

Manufacturing

Visual

Manufacturing

Manufacturing

Business

Operations

Plant

Operations

Production

Operations Maintain

Orders

Resource

Planning

Define

Product

Manage

Released

Orders

Display Product

and Process

Structure

Maintain

Product

Structure

Define

Product

Life Cycle

Capacity

Leveling

Maintain

Resources and

Tools

Display and

Execute Orders

Define

Planning

Why SAP?



Planning data is tied to BOM data that is

populated from the visual manufacturing tool

from SAP or another modeling tool. Changes to

product structure are managed to comply with

engineering requirements. The plan can include

tools, specifications, graphics, and standard

data, including data collection options, icons,

and uniform instructions for key processes.

Planning components are validated to help

ensure inclusion in planning as part of the

closed loop for components.

Planning updates to support production may

be performed prior to or during shop execution

but not afterward (except for data integrity

reasons).

Integrate BOMs with text, tools, and

graphics to create and maintain shop

work and tool maintenance instructions

for manufacturing, rework, and

maintenance.

Process Planning and Scheduling

Capabilities


Benefits

Technology Innovation

Solution Overview




Conform with engineering requirements while

smoothly integrating parts and visual graphics,

specs, tools, and related documents.

Manage production resources for manufac-

turing, rework, and maintenance plans to

optimize the shop experience.

Create, standardize, and maintain work

instructions, specifications, and other

documents for an integrated, accurate, and

consistent manufacturing process. Manage

serialization, batch, time-sensitive material

(TSM), data entry, and first article inspection

(FAI) features.

Document, verify, inspect, and maintain critical

tools used in process planning to achieve

correct configuration, usage, and maintenance.

Manage the ability to view and edit planning

and production information for different

organizations within and outside the company.

Add and maintain inspection instructions to

assist in verifying compliance with internal,

customer, and government requirements.

Update work in process (WIP) where needed

due to engineering or manufacturing

requirements.

Document and Maintain Process Plans


Capabilities


Benefits


Solution Overview



Automate and coordinate parts and work

instruction incorporation, including visual

graphics and data storage.

Use standardized instructions to provide

consistent production and inspection text for

use throughout all facilities.

Record and manage processes and materials

with electronic buyoffs, serialization, batch,

data entry, TSM, and FAI features, simplifying

entry and recording of historical data for field

support.

Use data security by program and by field to

control collaboration by restricting the type of

data each organization can access, view, or

edit both inside and outside the company.

Integrate the management of tool usage and

maintenance. Provide visibility and control over

production with certifications.

Retrieve and maintain one or more production

orders simultaneously.

Reduce planning errors and product

lifecycle costs with consolidated,

standardized, intuitive, integrated

graphical planning and data storage

for simplified production processes.

Integrated Solution for Managing Complex, Changing

Products


Capabilities


Benefits


Solution Overview



Analytics solutions enable advanced modeling

and optimization throughout production, from

assessing resource utilization and improving

productivity to monitoring detailed stocking

information and measuring work-center

performance.

Innovations in Process Planning and Scheduling

Analytics solutions are now available

that can revolutionize manufacturing.


Capabilities


Benefits


Solution Overview



Manufacturers can use 3D visualization to

create, maintain, and communicate process

plans, BOMs, and work instructions. The 3D

visualization tools enable users to graphically

query and maintain multilevel product

structures while the system manages the


underlying data. The intuitive, graphical

presentation of complex structures enhances

understanding and promotes productivity in

structuring, integrating, manufacturing, and

servicing products across global manufacturing

systems.

Solution Overview

Use intuitive 3D visualization to create,

maintain, and communicate process

plans, bills of material, and work

instructions. Graphically query and

maintain multilevel product structures.

Capabilities


Benefits





Improve efficiency with visual manufacturing.

Use instance-aware product structures to

develop and coordinate BOM structures,

process plans, and work instructions.

Integrate visual manufacturing with enterprise

resource planning (ERP), product lifecycle

management, and manufacturing executions

systems.

Integrate visual/spatial and analytical data from

various sources with production instances of

components.

Graphically query, filter, and maintain multilevel

product structures while the system manages the underlying data.

Manage extremely large, complex structures

with massive designs and data sets.

Minimize impact on computing resources.

Enable Efficient Manufacturing


Solution Overview

Capabilities


Benefits




Product structure integration from design

completion through manufacturing and shipping

eliminates duplication of design elements. This

provides a smooth handover from definition to

execution.

Graphical tools greatly simplify the query and

maintenance of process and product data

required to support the complicated structures

associated with complex manufactured prod-

ucts. At the same time, they improve product

and process quality.

Integration with tools from SAP, such as for

business and production planning, minimizes

data entry and greatly reduces input time and

errors.

Accelerate Comprehension and Consolidate Product

Knowledge

The SAP 3D Visual Enterprise Viewer

application accelerates work instruction

comprehension and minimizes the need for

written instructions. This is especially valuable

in high-turnover, multilanguage shops.

The end result of all these benefits is to reduce

manufacturing costs and lead times and deliver

products to the customer faster, all the while

supporting compliance with quality and safety

standards.

Simply and quickly access and maintain

multilevel product structures in an

intuitive graphical manner. Enhance

understanding and eliminate unneces-

sary duplication of effort for complex

structures.


Solution Overview

Capabilities


Benefits




Graphics from multiple software platforms can

be rendered using the solution for visual

manufacturing from SAP. The graphics can

then be displayed on several device platforms

based on the manufacturers needs.

Innovations for Visual Manufacturing

Metadata associated with the graphics can be

displayed using the solution and can be queried

using business analytics tools.

Production is simplified through use of

mobile platforms that allow devices to

display instructions and provide

analytics.


Solution Overview

Capabilities


Benefits




Use project manufacturing functionality to

manage long production cycles from product

definition through shipping, including quotation

and production phases.

Use work breakdown structures (WBS) to

define project tasks, materials, resources, and

capacities for logistical planning and execution.


Take advantage of advanced project and prod-

uct scheduling, constraint-based production

schedules, and interactive simulation for what-if

scenarios.

Identify impact of added or changed production

orders. Use advanced planning and scheduling

to improve delivery rates, reduce inventories,

and react better to production changes.

Solution Overview

Structure a project from initial customer

quotation through production project

scheduling. Manage work breakdown,

scheduling strategies, and project

capacities.

Capabilities


Benefits





Project manufacturing tracks engineering,

manufacturing, assembly, installation, and

shipping, keeping track of order-related

activities.

Rough-cut planning provides initial basic dates

and key resources for project orders. BOMs,

routings, and drawings are not required and

may be preliminary. Rough-cut planning is kept

separate from production capacity analysis but

can be integrated when firm.

Prototype development is supported, including

multiple integrated manufacturing activities.

WBS functionality is available to structure

the overall project. Task and relationship

networks, including material and capacity requirements, trigger logistical planning and

execution.

Changes to project and WBS structures are

supported over a projects lifetime.

Manage Complex Product Build Cycles

Templates are available to accelerate

structuring for both work breakdown and

networks.

Various methods of analysis and scheduling

strategies are supported, including back-

ward/forward, finite/infinite resources, and

dates in the past allowed/forbidden.


Solution Overview

Capabilities


Benefits




Project scheduling functionality simplifies and

integrates scheduling using interactive, intuitive

tools. This provides users with current, accu-

rate visibility into project and product sched-

uling, identifying constraints early in the

development lifecycle, improving production

and request for quotation/request for proposal

processes.

Multiple scheduling strategies are available to

remove backlog and improve planning results.

Key performance indicators (KPIs) are moni-

tored, including lead time and delay.

Efficient Planning Improves Complex Manufacturing

Activity

Resource allocation is enhanced with inter-

active simulation of a variety of scenarios to

minimize backlog and delays, improving

capacity utilization.

Simulation also provides greater transparency

and alerts for early detection of bottlenecks and

missing components.

Leverage the advanced planning and

scheduling functionality for project

manufacturing to manage and stream-

line overall activities related to complex

custom sales orders.


Solution Overview

Capabilities


Benefits




Analytics and graphics solutions enable

advanced modeling and optimization through-

out every aspect of the manufacturing network,

from assessing current downstream demand to

improving new product launches.

SAP innovations improve complex

assembly performance across the

enterprise.

Innovations for Project Manufacturing

Mobile solutions give manufacturers always-on

access to production status reporting and

exceptions and alerts, providing for simpler

processes, better decision making, and fewer

risks to customer service.


Solution Overview

Capabilities


Benefits




Organize and control production and other

order types by work area, worker, priority, and

operation.

Display context-sensitive 3D visualization, work

documents, tools, text, specs, drawings, and

external links in a simple, intuitive way.

Manage simple or complex buy-off confirmation

processes and callboards.


Solution Overview

Manufacturing execution for complex

assembly efficiently manages shop-floor

product and processes, scheduling

priorities, quality management, and

as-built records.

Capabilities


Benefits


Integrate standard processes, data entry,

complex data entry, and warning icons.

Support part and process nonconformance

management integrated with order and

operation completion.

Bundle all recorded product data associated

with an order. Store it with production BOMs to

create a complete as-built record.




WIP documentation, including production and

rework orders, manages each workers access rights to actions such as start, stop, complete

work, hold/release, split, reschedule, close,

reopen, certification, batch activity, callboards,

and more.

Work queues and assignments let work be

assigned to personal queues or grouped for

work by tasks or operations.

Visual work instructions (2D and 3D) can be

linked to parts lists and used to display

assembly or disassembly activities. Tools,

specifications, work instructions, and more are

displayed.

Data collection and serialization are integrated,

stored, and archived with work instructions.

Contract tool manufacturing and maintenance

activity and listing in shop orders are available.

Manage and Document Shop Activity

Performing first articles, managing time-

sensitive material, and tracking orders through

production are supported.

Nonconformance management controls shop

quality.

As-built BOMs graphically display the structure

of components and assemblies as they are

completed.


Solution Overview

Capabilities


Benefits




Management of activity by predefined worker

privileges and certifications to match defined

production order tasks simplifies the manage-

ment of work in production.

The automated display of WIP by order or

operation within natural groupings simplifies

management of workers and shop orders.

Visual work instructions (2D, 3D) accelerate grasp

of instructions and minimize issues with compre-

hension of the written word. This is extremely

useful in high-turnover, multilanguage shops.

Integrated Solution Manages Complex, Changing WIP

Reduce cycle times and order proces-

sing costs with efficient execution

features. Minimize rework and repairs.

Reduce inventory. Assimilate users

quickly through intuitive interfaces.

Visual links between work instructions and

product data (serialization, time-sensitive,

tooling, and other information) simplify

collection of that data. Because visualization

is so natural, it reduces collection errors and

streamlines the shop experience.

Integration of first article (part) inspection

simplifies production instructions. Simplified

management of time-sensitive materials

reduces excess and expired materials.


Solution Overview

Capabilities


Benefits




Analytics solutions enable advanced modeling

and optimization throughout production, from

assessing resource utilization and improving

productivity to monitoring detailed stocking

information and measuring work-center

performance.

.

Innovations in Manufacturing Execution

Analytics solutions can now be

combined with mobile solutions to

revolutionize manufacturing.

Mobile solutions give users access to

production instructions wherever they are

needed. They reduce throughput time by

providing access when and where it is needed


Solution Overview

Capabilities


Benefits




Engineer-to-Order and Project Manufacturing Value Map



Solution Overview




ETO and Project

Manufacturing

Production

Planning and

Scheduling

Quality Planning

and Control

Manufacturing

Execution

Production

Planning and

Scheduling

Performance

Visibility and

Monitoring

Quality Planning

and Control

Manufacturing

Execution

Process Planning

and Scheduling

Manufacturing

Execution

Visual

Manufacturing

Engineering

Project

Manufacturing

Production

Planning and

Scheduling

Manufacturing

Execution

Lean Six Sigma

Analysis

Poka Yoke

Processing

Collaborative

Manufacturing

External

Processing

Subcontracting

Core

Corporate Quality Quality Planning

and Control

Quality

Operations

Make-to-Order

Manufacturing

Outsourced

Manufacturing

Repetitive

Manufacturing

Engineer-to-Order

and Project

Manufacturing

Lean

Manufacturing

Quality

Management and

Compliance

Performance

Visibility and

Monitoring

Why SAP?



Why SAP?

Manufacturing and business solutions from SAP help companies closely align

operations with corporate objectives and integrate manufacturing with business

processes, to achieve greater marketplace success and optimize IT investments.

Production planning, scheduling, execution, and quality assurance are all integrated in solutions for

complex assembly manufacturing from SAP.

These solutions include a comprehensive portfolio of closed-loop processes across planning,

scheduling, and execution that leverage industry best practices.

Organizing and enabling asset utilization while simplifying and expediting manufacturing processes

across the value chain, these solutions serve the complete value chain for complex assembly.

SAP software helps customers harmonize their existing landscape and rapidly leverage industry

best practices.

SAP technologies such as mobile computing with analytics help enhance the user experience with

touch user interfaces and role-specific mobile apps.



Solution Overview




ETO and Project

Manufacturing

Why SAP?




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Solution in Detail


Manufacturing

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Solution in Detail Manufacturing ETO and Project Manufacturing