innovation in manufacturing and resources

In this issue Waste not, want not Managing waste to create greener manufacturing operations

issue Making a connection

issue moving

17 The technology at the heart of

17 summer today’s customer relationships onwindows.com

summer All in the plan forward

2009

2009 Why scheduling remains essential Lean manufacturing boosts productivity for manufacturing success and saves cash at Continental Automotive

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“Extraordinary times can create major business opportunities. Many energy companies used rising Wonderware to lead world’s largest industrial SQL Server commodity prices as an opportunity to reduce debt and bolster their balance sheets. Now, we project on China’s railways. Page 8 expect to see an uptick in mergers and acquisitions of companies with proven reserve positions.” Dr Albrecht Ferling, Managing Director, Worldwide Oil and Gas Industries, Microsoft foreword summer 2009

Editor s the economic downturn continues to affect organisations Jacqui Griffiths across the manufacturing and utility sectors, many are [email protected] looking not only to maximise today’s opportunities, but also Editor-in-chief A to position themselves for growth once the economy recovers. This Adam Lawrence [email protected] issue illustrates that future profitability depends on looking beyond Editorial team immediate challenges and taking a long-term view. James Dodd Sustainability is at the forefront of many manufacturers’ minds Lindsay James Rebecca Lambert right now. Not just in terms of green issues; manufacturers realise Contributors that a sustainable operation is more agile, reduces costs and complies more easily with Jürgen Biffar, DocuWare industry regulations. But as they look at in-house systems, manufacturers need to be aware Chris Caren, Microsoft Dynamics Matthes Derdack, Derdack of what’s going on outside. They can’t afford to sell on products alone; they need to focus Yves Dufort, Wonderware on customers and make the best use of the information that resides across the organisation Jonathan Dutton, Dassault Systèmes John Dyck, MESA to offer impeccable service and meet growing expectations. Dr Albrecht Ferling, Microsoft Throughout this issue of Prime, you will see how Microsoft and its partners have John Fox, PTC been working with manufacturers to help them achieve these goals. And now, you can Greg Gorbach, ARC Advisory Group Graham Hackwell, Preactor read the magazine online by visiting our new digital edition. Visit www.onwindows.com/ Haresh Khatwani, Microsoft digitaleditions. Maria Jesús Llorente, Qurius Eric Murphy, MatrikonOPC Mike Novels, Preactor Charles Johnson John Pearson, ConsultCRM Ari Pihlajavesi, Predisys Worldwide General Manager, Manufacturing & Resources Sector Mark Rewhorn Microsoft Steve Sacco, Invensys Gokhan Sarpkaya, Continental Tom Shoemaker, PTC Marina Stedman, SalesCentric publishing partners Michael Sternesky, Microsoft Jukka Valkonen, Tieto Prime is produced as a partnership between Microsoft and selected key organisations from the Romke Wijmenga, Asysco manufacturing sector. These partners help set the editorial direction of Prime, and collaborate Subscriptions to provide you with content that covers the key issues facing manufacturing, and technology Ritwik Bhattacharjee [email protected] solutions that can address these issues. Green IT advisor Dr Bernd Kosch, Fujitsu Siemens Computers Partner director Paul Simpson [email protected] Dassault Systèmes is the world’s leading PTC, our business is product development – product lifecycle management (PLM) software our objective is to provide the best product Partner managers applications and services provider. Its solutions lifecycle management (PLM) and enterprise Christian Jones enable the digital simulation of products and the content management (ECM) solutions. [email protected] definition of manufacturing and maintenance For more than two decades, PTC has Ben Mayer processes and resources. Central to Dassault delivered leading software solutions to the [email protected] Systèmes’ solutions (CATIA, SolidWorks, manufacturing industry. We have offices in Ricky Popat DELMIA, SIMULIA, ENOVIA, and 3DVIA), 3D more than 30 countries and over 50,000 [email protected] offers realistic visualisation, unambiguous global customers. communication and true collaboration. www.ptc.com Design and production www.3ds.com Bruce Graham Paul Robinson Kelvin Jones Reprints Stuart Fairbrother Fujitsu Technology Solutions – a Microsoft Gold [email protected] Certified Partner – employs more than 10,000 Wonderware, a business unit of Invensys plc, Publisher people and is part of the global Fujitsu Group, is the market leader in real-time operations Andy Clayton-Smith which delivers IT-based business solutions to management industrial software which includes: [email protected] customers in 70 countries through a workforce of Supervisory HMI, GeoSCADA, Production more than 160,000 employees. With its Dynamic Management, MES, Performance Management, Infrastructures approach, the company offers a EMI, and integration with asset management, full portfolio of IT products, solutions and services, supply and demand chain and ERP applications. ranging from clients to datacenter solutions, www.wonderware.com Managed Infrastructure and Infrastructure-as-a- sponsors Service. www.ts.fujitsu.com

The OPC Foundation is dedicated to ensuring Xterprise is a leading developer of highly scalable, www.ccc.fi interoperability in automation by creating enterprise-class RFID software applications, and maintaining open specifications that combining our Clarity application framework standardise the communication of acquired technology with Microsoft platform technology. process data, alarm and event records, Recognised by Microsoft as the 2008 RFID Partner historical data, and batch data to multi- of the Year, and ABI Research as the market leader vendor enterprise systems and between in the emerging RFID software solution market, production devices. www.opcfoundation.org Xterprise delivers fast ROI, high value and low total www.matrikonopc.com cost of ownership. www.xterprise.com

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contents summer 2009

26 contents summer 2009

Frontline Features In practice 08 Wonderware is to implement a 32 Waste not, want not 50 Walking the walk SCADA system for the entire Chinese Sustainability is a vital part of Footwear manufacturer improves railway network in the world’s largest efficient manufacturing operations. collaboration and visibility in product industrial SQL Server project. Plus, We look at how technology can play development operations more news from the manufacturing IT an important role sector around the globe 51 Streamlining documents 36 Making a connection How John Deere Forestry sped Viewpoint The technological solutions that help up production of technical 18 Toward zero breakdown manufacturers get closer to what their documentation Notification workflow software is customers want and need a step towards zero downtime, says 52 Driving efficiency Matthes Derdack Industry forums Truck firm boosts its use of business 42 Automotive intelligence tools 20 All in the plan Automotive manufacturers are turning Mike Novels says scheduling remains to e-learning to control training costs 54 Globally networked crucial to manufacturing success Metabo is connecting its head office 43 Oil and gas and subsidiaries around the world 22 United we save Microsoft experts discuss how the using Microsoft Dynamics NAV Standardised communications oil and gas industries can beat the technology is key to saving money, says financial crisis 55 Information flows Eric Murphy Efficient management of a Canadian 44 High tech water treatment plant 32 24 Migrating to Windows Product development processes are Asysco’s Romke Wijmenga advises on becoming increasingly complex Signing off moving from legacy environments 56 The plant floor at centre stage 46 Utilities MESA’s John Dyck explains why the 36 Cover story Effective document management is shopfloor is increasing in importance 26 Moving forward central to best practice operations to manufacturers around the world How a lean manufacturing project helped global automotive supplier 48 Pharmaceutical Continental Microsoft has a growing presence in the pharmaceutical and life sciences sectors

49 Consumer goods Yves Dufort of Wonderware explains the importance of materials management

44

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www.microsoft.com Printed in Great Britain by The Manson Group 54 ISSN: 1747-1370 Issue 17

6 onwindows.com 7 frontline a digest of manufacturing technology news

Dassault Systèmes brings Italian bridge plan to life IN FRONTLINE THIS issue Manufacturing companies The Italian province of Piacenza has kicked Systèmes with the chorography curves from its A & A Contract Customers Brokers...... 12 off a major manufacturing project by geographic information system, as well as the Aberdeen Group...... 12 developing a ‘virtual bridge’ with help from architects’ drawings of the bridge. In addition, China Railways...... 8 Dassault Systèmes. the composite model used satellite map Efore...... 13 The Piacenza province covers an area imagery taken from Microsoft Virtual Earth, as Gartner...... 10, 12 of 2,589 square kilometres, is located in well some onsite photographs. Lockheed Martin Aeronautics...... 9 the North West of Emilia Romagna and is The 3D terrain reconstruction was achieved Nalco Chemicals ...... 10 Opinion Research Corporation...... 12 two-thirds mountainous. For around 30 using Catia Imagine & Shape, while the bridge Piacenza Government...... 9 years, the inhabitants of Piacenza have been model was created using standard Catia solid SAAB...... 10 waiting for the construction of a bridge modelling. Finally, 3DVIA Virtools was used to Warwick Manufacturing Group...... 10 across the Trebbia river. combine the various sources of input to create The Dassault Systèmes project is expected the final virtual bridge. The entire project took to help the Piacenza authorities anticipate around ten days from start to finish. Solution providers work procedures, as well as to feed local The resulting solution is highly interactive, Accenture...... 15 curiosity. Once the three-year construction enabling Web-users to virtually walk on the Anglia Business Solutions...... 13 phase begins, citizens will be able to take bridge, travel the bike lane and change the time Arrow Electronics...... 14 virtual tours of the bridge through the of day to their liking. Atrion International...... 12 Piacenza Government’s Web site. Dassault Systèmes...... 9, 14, 15 The Piacenza authorities provided Dassault www.3ds.com Fujitsu Technology Solutions...... 10 The Chinese railway system is to be transformed over a ten year project Iconics...... 10, 12 iStore...... 16 Jet Reports...... 15 Lockheed Martin Aeronautics Kepware Technologies...... 12 Wonderware takes on Huge SCADA MatrikonOPC...... 12 expands its horizons with Teamcenter NetApp...... 12 OSIsoft...... 10, 15 project for China railways Lockheed Martin Aeronautics, the builder Preactor...... 12 of the advanced multi-role fighter the F-35 Predisys...... 13 China’s Ministry of Railways is to country’s transportation system.” said Mark Davidson, the company’s vice Lightning II Joint Strike Fighter (JSF), is PTC...... 13 Rockwell Automation...... 10, 12 implement the Wonderware System The initial rollout of Wonderware president. “The scalability of the software expanding its use of Teamcenter software, Siemens PLM Software...... 9, 10, 12 Platform as the SCADA system to operate System Platform software involves makes it possible to execute the project in Siemens PLM Software’s digital lifecycle Siemens...... 15 the country’s national railway. approximately 100,000 I/O points. By stages, enabling China Railways to operate management solution. This will enable a fully Solugenix...... 13 The project will extend to 2020 and the end of 2009, the SCADA solution will only the system that is required at a certain digital product lifecycle management (PLM) speakTECH...... 10 involves the automation of all power expand to 300,000 I/O points as more time. This allows railway managers to backbone for design, manufacturing and Supply Chain Systems...... 13 monitoring points for a majority of the stations are added, and will increase to 1.5 budget resources properly.” maintenance support for the JSF programme. Telligent Systems...... 10 Chinese railway system and will feature million I/O points by 2010. It is expected Wonderware has standardised its “Lockheed Martin’s decision to use Transcore Link Logistics...... 14 three million I/O points. The system will be that by the time the project is completed automation and control systems on Teamcenter to manage and protect its Wonderware...... 8, 12 the largest-scale industrial project to date in 2020, the Wonderware SCADA solution Microsoft’s industry-standard platforms, intellectual property is a testament to our of one F-35 aircraft per day. It will also allow Worldtech Security Technologies...... 12 involving the Microsoft SQL Server platform. will manage more than three million such as Microsoft SQL Server. “The commitment to provide a robust, open Lockheed Martin to much more effectively The project integrates a large part of I/O points and will include the Beijing- China Ministry of Railways selected PLM platform,” said Helmuth Ludwig, perform reconciliations to help improve the country’s railway lines running from Shanghai high-speed railway currently the Wonderware System Platform on president, Siemens PLM Software. quality and reduce cost while delivering on Microsoft technologies Beijing in the north to Guangzhou in the under construction. SQL Server to meet its unprecedented “Teamcenter will provide a solution that time, by tightly coupling engineering efforts .NET...... 14 south. The project’s estimated budget is scalability challenge without sacrificing enhances collaboration and innovation with manufacturing. Communicator ...... 10 approximately 3.5 trillion yuan (US$512 “This is a big leap from the reliability and security,” said Chris while delivering design anywhere; build The integration of processes and tools Dynamics AX...... 13 billion). The organisation expects a six year normal multi-day trip it Colyer, Microsoft’s global director of anywhere capabilities that are required for that enable data flow will be instrumental Dynamics...... 15 return on investment. manufacturing operations strategies. the global market of the JSF.” in driving future standards, maximising FAST ...... 14 “When the China Railway system is takes right now and is a “Microsoft and Wonderware offer a Lockheed Martin’s extended use of global partnerships, and providing world Hyper-V...... 10, 12 completed it will carry both passengers huge improvement in our solid and secure SCADA system built Teamcenter, which runs on Microsoft class products and services. The F-35 JSF Office Communications Server...... 10 and goods, reaching a distance of 4,000 on an open, highly scalable and fully technology, will allow for increased programme exemplifies efforts to enhance the SharePoint...... 8, 10, 13 kilometres in just a few hours,” said country’s transportation integrated architecture. Together, we collaboration between the company’s product value stream and realise the benefits SQL Server...... 10 Chen Qizhi, vice general manager of remain dedicated to providing robust, engineering and manufacturing of product process lifecycle management System Center...... 12 system” Virtual Earth...... 9 Chengdu Jiaoda Guangmang Industry, the easy-to-use automation software based environments, which will reduce the time system integration to be gained in the Windows CE...... 12 Wonderware system integrator managing “Wonderware System Platform was on Microsoft technology.” required to incorporate changes and enable aerospace and defence environment. Windows Server...... 10, 12 the project. “This is a big leap from chosen by the China Ministry of Railways critical production rates. The technology, for the normal multi-day trip it takes right because it is able to accept large I/O www.wonderware.com example, will be a key tool in enabling the www.siemens.com/plm now and is a huge improvement in our systems into a single, integrated solution,” www.china-mor.gov.cn company to reach a projected production rate www.lockheedmartin.com

8 onwindows.com 9 frontline a digest of manufacturing technology news

News in brief Thriving in uncertain times

Rockwell Automation has released Microsoft’s Empowering Excellence 2009 popular with customers. “It was interesting Perspectives on sustainable series of manufacturing and resources to evaluate how Microsoft could help production: delivering economic workshops has been hailed a great success, with cost savings and better use of existing value and serving the greater good, with well-attended events taking place investments,” said a representative from the latest title in its ‘Manufacturing between January and April. SAAB, which attended the event in Sweden. Perspectives’ white paper series. The With a theme of ‘thriving in uncertain “The seminar was a great success,” said paper features insight from Rockwell times,’ the events were dedicated to an Roberto Penso, sales manager at Iconics, who Automation customers The Boeing audience of IT and business decision makers. attended the workshop in Istanbul, Turkey. “I Company, Coca-Cola, and General They provided participants with information had to extend my stay in Istanbul to manage Mills, as well as Rockwell executives. It and support on how they could use leading- the follow-up requests from customers.” can be accessed at edge technologies to help realise cost savings, “This is a great way to inform our http://literature.rockwellautomation.com increase efficiency, enable change and foster customers on what Microsoft can offer, and innovation. The success of the workshops is specifically what we can offer together with Warwick Manufacturing Group evident in the fact that Microsoft now plans our industry partners,” commented Freek (WMG) at the UK’s University of to extend in regions such as the USA, Latin Armbrust, partner industry manager for Warwick has been working with America and Asia Pacific during FY10. manufacturing at Microsoft, following a Siemens PLM Software to provide its Feedback from both customers successful event in the Netherlands. researchers, students and businesses and partners was excellent, with the with access to more than £22m demonstrations and case studies proving www.microsoft.com (commercial value) of technology in its new digital laboratory. Siemens PLM Software’s NX, Teamcenter and Tecnomatix products will be used in did you know? 40 seat bundles, which have been Wireless connectivity will be the main focus for vehicle integrated into WMG’s Microsoft IT manufacturers by 2012. infrastructure. Source: Gartner The Social Enterprise Alliance, a strategic collaboration between Microsoft Gold Certified Partners Telligent Systems and speakTECH, Nalco chooses OSIsoft PI has been established to deliver an integrated social networking solution Nalco Chemicals is to use the OSIsoft PI available so Nalco technicians and customers for customers in the manufacturing Infrastructure and Microsoft SharePoint can more easily collaborate across an enterprise and consumer goods sectors. Through platform, deployed via a Software-plus- to monitor and analyse data, while solving this ‘Social Enterprise Solution’, Services (S+S) model, to improve customer complex process problems in real time. companies will be able to connect asset protection, operations efficiency and “In today’s business environment, people with key customer communities throughput. need to be empowered with insight to make through social networking and Nalco’s global distribution of this system quick, informed decisions,” said Chris analytics technologies. will provide automated data collection from Colyer, global director of manufacturing customer oil and gas and chemicals production operations strategies, at Microsoft’s Fujitsu Technology Solutions has sites along with data streaming to a centralised manufacturing and resources sector. released its third-generation x10sure mission-critical repository and analytics engine “OSIsoft’s Managed PI S+S solution delivers solution, designed to provide SMBs based on the PI System. this capability, allowing companies to make with a cost-effective, high-availability The implementation will include the more relevant decisions based on advanced alternative to clustered hot-spare PI System infrastructure, which is built on data collection automation and analytics.” servers. Benefits of the solution Microsoft Windows Server 2008 and integrated “This solution allows us to offer our include hypervisor-level support for with Microsoft SQL Server 2008. The PI System customers high-quality performance data, virtual machines, integration with also uses Microsoft SharePoint Server 2007, and allows them and our service engineers Microsoft Hyper-V and higher levels of Excel Services and PerformancePoint Services to optimise treatment programmes system protection against unplanned to transform a site’s operational data into for maximum cost, performance downtime. intelligent information for use in real time by and sustainability credits, as well as Nalco’s process chemistry experts. It will further benchmark their operations,” said Steve leverage Microsoft Office Communications Taylor, president of Nalco’s Energy Server 2007 and Communicator 2007 as well Services division. as SQL Server 2008 Analysis Services and Reporting Services. The S+S deployment www.osisoft.com makes real-time information and analytic tools www.nalco.com

10 onwindows.com frontline a digest of manufacturing technology news

News in brief Freight broker reduces storage needs Efore secures a clearer News in brief

Visualisation and manufacturing intelligence Canadian based customs and freight built-in clustering capabilities of Windows vision with Predisys PTC has partnered with Solugenix to software provider Iconics has entered into broker A & A Contract Customs Brokers Server 2008 to automate the failover of provide an integrated solution for a working relationship with Kepware has achieved significant IT efficiency servers; defer the purchase of additional A leading global power supply solutions and fact-based decisions faster than ever manufacturers. Companies using the PTC Technologies, a leader in communications gains by using Windows Server 2008 with storage for up to 24 months by freeing provider Efore has implemented Predisys before and move from reacting to preventive Windchill and Microsoft Dynamics for automation. Through the partnership, Hyper-V technology and Microsoft System more than 25 per cent of primary storage Manufacturing Analytical Suite to actions. We selected Predisys because of AX solution will benefit from enhanced the companies will deliver Microsoft Center with NetApp storage solutions. for reuse; and quadruple retention times replace its enterprise-wide legacy system. its leading-edge Web-centric software communications and a reduction in Windows CE communications solutions for “Our antiquated direct-attached storage for disk-based backup data from one week Predisys’ solution connects Efore’s global architecture and strong domain expertise in time spent and errors made manually use with Iconics’ embedded SCADA and system was not meeting our growth to one month to significantly bolster data manufacturing network into a single our industry.” moving product data from engineering visualisation products for machine and panel and management challenges,” said Dan protection and recovery efforts. operations performance measurement Predisys’ solution at Efore consists of applications to their ERP system. original equipment builders. Morris, systems engineer at A & A. “We “A & A is an excellent example of how platform. The solution provides the a number of applications for managing were continually adding more disk drives our customers are reducing their storage organisation with global visibility over its and harvesting the quality information Anglia Business Solutions, one of the The Gartner Enterprise Architecture as a short-term solution to scale storage requirements by 50–70 per cent using entire product life cycle, bridging R&D from automated test systems, inspection UK’s leading providers of Microsoft-based Summit will take place this year on 14-15 capacity. And we desperately needed to our storage efficiency technologies,” said with manufacturing. stations and customer support and repair business management solutions to the September at the Royal Lancaster Hotel consolidate our servers as well. While server Patrick Rogers, vice president of Solutions “Predisys is rapidly becoming a vital centre, as well as a uniform platform for fresh food industry, has acquired Supply in London, UK. Attendees will learn how virtualisation alleviated part of our problem, Marketing at NetApp. “We understand management and decision-making tool analysing this data and online reporting Chain Systems in Norwich, UK from its to reduce costs in their business and why we still experienced disk capacity issues that the challenges our customers are facing throughout our whole organisation tools running on Microsoft SharePoint. US parent AgriWise. In a share purchase Enterprise Architects should be used as constrained our virtualised environment.” to do more with less and reduce costs and from top executive level to R&D and In the plant floor level the system is used agreement on undisclosed terms, Anglia instruments of change to play a central A & A turned to Microsoft and NetApp, unplanned downtime. Microsoft’s server manufacturing operations,” said Panu Kaila, for online statistical process control of the has acquired both the UK business and IP and significant role in the future of the a storage and data management solution virtualisation platform gives customers a executive vice president, Operations, Efore. assembly processes. rights of the company from AgriWise. business. For more information, visit provider, to consolidate its server and powerful solution to consolidate their IT “Thanks to the global visibility and highly www.europe.gartner.com/ea storage infrastructure and has achieved infrastructure. Together, we’re helping refined, real-time intelligence it provides www.predisys.com a number of benefits in the process. The customers maximise the value of their us with, we are able to make more accurate www.efore.com PLM Europe’s annual user group conference, solution has helped the company to storage and servers in their virtualised Siemens PLM Connection 2009, takes administer both physical and virtual assets environments.” place this year on 5-7 October at the New using the Microsoft System Center suite York Convention Centre, Marne La Vallee, of systems management tools; improve www.microsoft.com Paris. This conference targets users of NX, overall system availability using the www.aacb.com Teamcenter and Tecnomatix software. Users can learn about the latest Siemens PLM Software developments and participate in the latest customer showcases from various did you know? leading companies on their successful More than half (54 per cent) of Americans strongly believe that highly adoption and implementation of Siemens automated and modern factories are important in order to improve or PLM Software technology. grow the economy.

Product compliance specialist and Source: Rockwell Automation; Opinion Research Corporation Microsoft independent software vendor Atrion International has recently acquired a whole host of new mid-market and enterprise customers including Teknos Preactor partners with Wonderware Group Oy, Dubois Chemicals, BG Products, Kuwait Petroleum and Champion Preactor International has received planning technology. Technologies. All of these customers certification from Wonderware, and will “Wonderware is used in over one- have implemented Atrion’s product provide the Finite Capacity Scheduling third of the world’s plants and facilities, compliance suite to address REACH and module for the Wonderware Operations and many of these sites can make further GHS regulatory compliance demands. system, formerly known as Factelligence. efficiency gains by integrating their The two companies worked closely together plant floor and production planning Worldtech Security Technologies, a to ensure a seamless integration between capabilities,” said Preactor CEO Mike provider of cyber risk and compliance Wonderware Operations and the Preactor Novels. “Preactor has a long history of management solutions for industrial 400 advanced planning and scheduling (APS) its systems being used in an enabling automation industries, has formed a system using Wonderware’s supply chain capacity with Wonderware solutions in strategic partnership with MatrikonOPC. connector technology. many different industries. This is a logical The alliance involves the incorporation The agreement follows research by extension, providing the proven benefits of of Wurldtech’s Achilles Satellite testing Aberdeen Group, which found that the two leaders in their fields to manufacturers platform and certification programme 20 per cent best implementers of lean the world over.” into MatrikonOPC’s range of solutions. manufacturing used lean scheduling tightly integrated with manufacturing www.preactor.com execution systems and enterprise resource www.wonderware.com

12 onwindows.com frontline a digest of manufacturing technology news

News in brief Truck show release for TransCore People power focus News in brief

Global electronic components and TransCore Link Logistics launched an at Global Energy Forum computer solutions provider Arrow upgraded version of Loadlink Online at Jet Reports, the independent Electronics is providing greater access this year’s ExpoCam – Canada’s national The Madinat Conference Centre reporting solution for Microsoft to its product data and simplifying the trucking show. in Dubai played host to the second Dynamics products, is undergoing a search and ordering process within its The enhanced online freight matching Microsoft Middle East and Africa period of development and certified components database through the system is built on the Microsoft .NET Global Energy Forum in April. users are being offered a preview launch of new online features. Building platform, which provides increased Sponsored by leading partners into both the new Jet Reports on the strength of Microsoft FAST, computing speed and flexibility, as well as including Dassault Systèmes, Siemens, roadmap and new product approach Arrow’s new parts search engine, the a broader tool set. The new system is one Accenture and OSIsoft, the one-day to be announced in September enhancements represent the next step of the few in the freight matching logistics conference focused on people as ‘the 2009. The solution company is to provide greater tools and information marketplace to take advantage of .NET real energy in oil and gas’. also increasing its number of via Arrow’s online resources. technology. postings, mark leads as being contacted, Delegates learned how the certified trainers, professionals, and “Speed, reliability, and ease of use were chat with other subscribers and view live technologies of Microsoft and its specialists. These new measures are Dassault Systèmes’ Delmia Automation the essential criteria for users,” said Claudia leads in a new, larger tab that provides partners could help them drive all keyed towards broadening the solution has been recognised in the Milicevic, general manager of TransCore them with all the information at a glance. performance by empowering insightful Dubai was the venue for the forum manufacturing solution’s reach, Information Technology category at the Link Logistics. “Many of the enhancements A new template posting functionality decision-making and developing improving operational reporting for 15th annual Automotive News Premiere are the direct result of suggestions by enables customers to select the loads and sustainable business strategies – key on how companies could leverage customers. Automotive Supplier’s Contribution to dispatchers who use the system in day-to-day trucks they need to move for that specific day, needs in today’s uncertain economic existing technology assets to enable Excellence awards. operations and needed an online application as well as giving them the ability to upload all climate with its volatile crude prices. staff to innovate and drive the business that provides alternative posting options and selected postings with a single click. People were foregrounded as forward. instant results.” the most valuable resource for Subscribers now have the ability to edit www.transcore.com organisations, and sessions focused www.microsoftmeagef.com frontline a digest of manufacturing technology news

Integrated data for the oil and gas industry

iStore’s customers include Shell, which requires data to make better-informed decisions about drilling activities

The Information Store (iStore) is now “By integrating IHS information move data to a new storage location. offering oil and gas companies the ability into PetroTrek Digital Oilfield, oil This data can be retrieved in real time, to seamlessly integrate exploration and companies can extract, view and leveraging existing IT investment and production (E&P) data from IHS, a analyse all available data more easily, infrastructure, and PetroTrek then global source of critical information enhancing their ability to make timely, presents it in recognisable formats that and insight in industry, with their own better-informed decisions about their include text and graphics for quick data into digital oilfield platforms using exploration, drilling, production and analysis of oil assets. PetroTrek Digital Oilfield. acquisition and divestiture activities.” “As oil and gas companies are The solution from global company increasingly seeing the benefit in iStore, which helps petroleum “IHS and iStore customers merging financial and operational data, companies access E&P data wherever more people than ever need to have it resides and whose customers include now have a seamless access to business intelligence tools Shell and BP, allows users to access, and easy way to combine for right-time analysis and heightened view, and analyse the IHS oil and gas decision making,” said Craig Hodges, well and associated production data proprietary internal data US energy and chemicals industry along with content from other data with external data in an solutions director at Microsoft. sources on Microsoft Office SharePoint “SharePoint Server provides an Server 2007 and Virtual Earth. integrated view” infrastructure that allows PetroTrek “IHS and iStore customers now have users to quickly get up to date, a seamless and easy way to combine PetroTrek is a Web-based software collaborate and manage multiple data proprietary internal data with external tool that allows the retrieval and sets from a single location.” data in an integrated view,” said Barry viewing of data stored in disparate Irani, president and CEO of iStore. database systems without having to www.istore.com

16 onwindows.com viewpoint notification workflows

machine and IT managing systems. toward zero Gartner calls this ‘communication- enabled business processes’. These contemporary software systems breakdown deliver critical information based on presence of personnel; they choose the Notification workflow software helps manufacturers move a proper communication channel and work step closer to zero downtime, says Matthes Derdack with predefined high-speed escalation chains. If they are based on closed-loop communication principles they also ensure uring uncertain economic resolution by means of technology and the delivery of business-critical messages times operational excellence wireless communication, already offered as they track the delivery of notifications Dbecomes an even more important by a few specialised vendors. and can automatically act in case of a failed factor in retaining existing customers, As humans are still the ultimate decision delivery attempt – for example, by choosing staying competitive, cutting costs and makers in unexpected situations, a key a different communication channel or the reducing business risks. To a large element of achieving zero downtime is the next person in the notification chain. The extent operational excellence is based inclusion of people in the communication closed-loop communication principle also on business continuity, and the ultimate cycle in case a serious issue cannot be involves feedback of the notification process goal of business continuity is simply zero- resolved without human intervention. back to the very system that initiated the downtime. For such cases, proper man-machine communication chains, so it knows when a Researchers have described how interfaces are essential. But having responsible person has been informed and Japanese companies gained a competitive intuitive process management consoles acknowledged the problem. Matthes Derdack is the co-founder edge by pioneering lean manufacturing is not sufficient. A comprehensive and As an example, Boehringer Ingelheim and co-owner of Derdack, an methods. Another key area of lean reliable approach requires smart and Netherlands recently invested in an independent software company manufacturing that turned companies super-fast communication solutions – for automated notification workflow system that specialises in mobile like Toyota into super-manufacturers example, for submitting alerts and critical which increased IT uptime and has messaging platforms and was their fanatical drive to achieve a ‘zero information to field personnel. already saved US$500,000 in lost staff notification workflow software. breakdown regime’ on production lines. In a real-time business process, man- productivity company-wide. The impact that is far from reliable. Many have central notification system, all alerts are He founded the company in IT systems for controlling production lines made decisions need to be made quickly. of such systems in the manufacturing implemented rudimentary features for handled in a structured way with clear 1999 and holds the position or managing just-in-time processes have Automated communication cannot stop business is usually a lot higher and grows one-way notifications via e-mail or text responsibilities, employing two-way of managing director. He is become an integral part of contemporary at the console screen indicating a problem with the cost of any downtime in a messages, without essential features like communication channels like SMS and responsible for the vision and factories. Accordingly, the struggle for by a blinking symbol. Such scenarios linear manner. The impact of automated delivery tracking, automated processing voice using defined notification and strategic direction of the company 100 per cent uptime now also includes IT too often result in dispatchers manually notification systems is even higher still of replies (such as a ‘busy’ response resolution workflows. systems that have become the mission- dialling phone numbers to find a proper if, in addition to informing the service via SMS), communication escalation Obviously, a suitable notification system critical backbone of many enterprise person for problem resolution. Having technicians responsible for solving the procedures (for example, using voice with must have the mechanisms and connectors processes. an unnecessary manual interaction in problem, the actual workers affected by text-to-speech if the SMS did not trigger to integrate with a variety of information Systems for monitoring, managing an otherwise fully automated chain the unexpected downtime of a business- a response from the notified person) and and event sources in the enterprise, ranging and pre-emptively servicing business and can jeopardise the benefits of process critical system are included in the audit trailing. from manufacturing systems (for example manufacturing systems, assets and IT have automation as unnecessary human notification workflow. Moreover, they lead to a zoo of via OPC), facility and security management been the focus of risk managers, CIOs latencies become the bottleneck in the A second aspect of automated multiple notification systems, which is (via serial bus protocols and so on) and IT and other responsible staff for some time overall process. notification systems is the important difficult to manage and maintain and (preferably via SOAP or through specialised now, and good progress has been made Automated notification workflow role of centralised notification systems creates multiple-notification confusion monitoring product connectors, for instance in developing capabilities for detecting software can provide the required for automated machine-to-person among service workforce members. A for Microsoft Operations Manager). critical events. The next move toward speed and guarantee the highest level communication. Enterprises in all ‘notification zoo’ actually endangers the Boehringer Ingelheim France is operational excellence and zero-downtime of reliability. It leads to the removal of verticals have different monitoring very business continuity it was intended to a prominent and recent example of consists of software and services for human latencies from communication and business process and equipment increase. The ability to react quickly and implementing a centralised hub to automated event notifications, notification chains, directly connecting responsible monitoring systems in place to assess efficiently to critical conditions is heavily consolidate notification systems and workflows and automation of problem decision makers or technicians with the status of various parts of their impacted by the variety of monitoring resolve confusion. With a central hub at infrastructure. Vendors of monitoring and alerting applications that builds up the heart of its monitoring infrastructure, solutions naturally focus on detecting over time with different sources, multiple the company has been able to increase “In a real-time business process, man-made decisions need events, not on communicating them. notification formats, different reply paths, uptime of its IT systems to more than Today, some vendors of data mining, non-homogeneous communication media 99.9 per cent. to be made quickly. Automated communication cannot IT monitoring or manufacturing for alerts and so on. Notification workflow software helps stop at the console screen indicating a problem by a execution systems have added basic With all business, facility, enterprises in their endeavour to achieve blinking symbol” capabilities for notifying people, often manufacturing and IT monitoring and operational excellence and brings them following a ‘send-and-forget’ approach management systems feeding into a another step closer to zero downtime.

18 onwindows.com 19 viewpoint planning and scheduling

scenarios without touching the live it’s all in the plan schedule, to test possible solutions to problems such as changing priority of Manufacturers can reap rewards if they give careful thought orders or adding further capacity. Once to planning and scheduling, says Mike Novels the new schedule has been decided upon, this can be used to synchronise materials delivery so you don’t have unwanted reactor International is an included generating a detailed schedule inventory absorbing capital in the stores. independent company focusing based on the simultaneous consideration It’s not untypical for companies to Pentirely on the creation of innovative of finite constraints and materials reduce inventory and work in progress tools to help organisations plan and availability. Some vendors call it an by 50 per cent. Reducing non-value- schedule their demand against the finite advanced planning system, and most of added activities and bottlenecks has also capacity of plants or businesses. We these do not attempt detailed scheduling produced a 25 per cent improvement asked president and CEO Mike Novels or offer the ability to use multiple in efficiency, increasing throughput about the company and its work in the constraints in their model. using the same resources. And, just as manufacturing industry. important when competition is at its How can you help manufacturing fiercest, on-time delivery performance is Tell us about your area of expertise - is companies to optimise planning and dramatically improved. there a difference between planning and scheduling? Mike Novels is chairman and managing scheduling? Companies need the visibility to manage How do you use Microsoft technologies? director of Preactor International, a Absolutely. Planning systems typically plan resources and orders more efficiently, Preactor has been a Microsoft Gold leading independent planning and in ‘buckets’ of time – such as a shift, day or so they can reduce costs and improve Partner for many years, and Microsoft scheduling company based in the week – and do not consider the sequence customer service levels. The Preactor tools, databases and operating systems UK with offices in Europe, India and of operations on specific resources within family of products is aimed to help run like a thread through our cloth of the USA. Preactor provides software, a time bucket. Real scheduling systems small, medium-sized and multinational products and culture. Our products run support, training and consultancy in take into account the sequence of loading businesses achieve this. They can run on on Windows XP and Vista and have tested scheduling applications to over 2,400 on each resource and retain that sequence a standalone basis, but are more typically well on Windows 7. The database it runs companies throughout the world as part of the schedule. This can be very integrated or linked to other legacy on is SQL Server and the development via a dedicated partner network of important for many if not all companies. software packages such as enterprise tools and languages we use are all over 1,000 accredited professionals For example, a company may want to resource planning (ERP), supply chain Microsoft. And of course, our products in a wide range of industrial and give priority to one order over another management (SCM), manufacturing readily integrate with and add value to commercial sectors. within a time bucket to stop an order being execution systems (MES), accounting Microsoft Dynamics GP, NAV and AX. delivered late. In other applications there and shop floor data collection systems. Many of our partners sell these products, may be sequence-dependent changeover The primary objective of these products and it enables them to differentiate against times, so optimising the sequence of is to provide planners with an interactive other ERP systems that do not have batches on resources can maximise decision support tool to generate feasible state-of-the-art advanced planning and We have a predominantly indirect in 2008. Companies tell us that they don’t efficiency and minimise non-value-added schedules that meet the business goals of scheduling capabilities. model. As you can imagine, it would want to commit at the moment to ‘big bang’ activities. An easy way to distinguish them the company. Unlike spreadsheets, wall We have many installations and be hard for a company of our size to projects. They want smaller projects that is to ask the vendor to give you a work-to boards and other less capable software reference stories to tell when it comes dominate the market and sell into 65 attack specific pain points. Predictions from or dispatch list for each resource after tools, Preactor can model any type of to Microsoft Dynamics ERP systems. countries without help! We have a analysts suggest that shop floor operational running the system. If they can give you process to any level of detail to generate We have standard links to GP, NAV and network of partners around the world software products like ours, which help the start and finish time of each operation achievable schedules. AX. Each of these has a different level of who sell, implement and support companies both to become more agile in on each resource, then you have a detailed We have more than 100 case studies that capability for scheduling but there is a Preactor. These companies range from process execution and to respond effectively scheduling system. demonstrate a very impressive return on place for Preactor in all of them. small consultancies to mid-range ERP to a more unpredictable demand, will have investment. Obviously the benefits vary from companies and their distributors. the highest growth in the next five years. We hear a lot about APS. What are your one company to another, but central to them How do you maximise market presence? We train them and provide technical We grew by 20 per cent last year, and we thoughts? is the visibility that planners have when a We sell mainly into the discrete support where needed. Local support hope to maintain that even during the APS is a much maligned and badly used schedule is generated days or weeks ahead, manufacturing and process sectors can be very important – not only is downturn. We have some exciting new acronym. It should stand for ‘advanced telling them where any problems will be – it’s though there are also ports, airports, telephone support given in the local developments coming through for our next planning and scheduling’, and was like a crystal ball. maintenance operations and other language, but also multinationals can release and we expect to maintain the originally defined by APICS, which The planner then runs ‘what if’ logistics and service companies using roll out a Preactor solution to multiple number of new companies buying Preactor Preactor. More than 2,500 companies plants with local expertise. at 250-300 per year. We continually look for “Companies need the visibility to manage resources and have purchased Preactor since the first new partners to work with to open up new version came out in 1993, and our Are you seeing a slowdown now, and do opportunities and markets, and many of orders more efficiently, so they can reduce costs and installed base is unrivalled in planning you see one coming? them I am sure will come from the Microsoft improve customer service levels” and scheduling business world. Not so far. In fact we had our best ever year ecosystem.

20 onwindows.com 21 viewpoint industrial communication standards

united we save Standardising communications with the OPC Unified Architecture standard can help manufacturers to save money, says Eric Murphy

he saying, ‘united we stand; divided The same thinking holds true for we fall’ is as old as Aesop. When standardising data connectivity within Tpeople and systems work together, the enterprise. the results are better. With the state of Manufacturers’ success depends the global economy and particularly the on responding to a wide variety of challenges faced by the manufacturing dynamic product demands in order to industry, everyone is looking for ways achieve on-time delivery and maintain to save time and money. The industrial competitive pricing. Automation communications standard OPC Unified solutions require the integration of Architecture (OPC UA) unites the a number of components: hardware enterprise, from disparate control such as controllers, drives or sensors; systems to business applications running and applications for operator Eric Murphy, BSc, PEng (Alberta), is across the Microsoft network. control, monitoring and process data a chemical engineer with a process Regardless of industry, geography, management. The combination of control specialisation, and an size or market, the key issues of cost devices, applications and business needs OPC expert. Eric has been a part control, productivity, flexibility and from different manufacturers within of the OPC community since its responsiveness are among the ten most a single manufacturing environment early beginnings, and is a member pressing challenges for manufacturers. causes problems. To overcome this, of the OPC Foundation Technical While revenue is falling for many, the companies are pursuing standards like Advisory Council. Eric has acted as costs of doing business are on the rise. OPC for linking plant-floor systems with chief consultant on hundreds of The business changes required to respond enterprise systems. OPC projects. You can follow Eric to market pressures or keep pace with on the OPC Exchange blog: innovations create costs. Competitiveness http://blog.matrikonopc.com and survival depend on driving down “Tightening budgets mean costs, improving operating efficiencies, manufacturers can’t make and a continued focus on delivering a business case to replace higher value products and services to customers. Today, more than ever, the every legacy automation customer rules, and meeting their needs device with state-of-the-art is vital to success. Whether they are automation products. OPC individuals or organisations, customers are demanding innovative products to UA allows interoperability meet new needs and better products to between plant floor and model using object-oriented techniques. Using a standardised communication changing needs is another aspect of fulfil old ones. They expect quality to be enterprise and a link OPC UA scales well from intelligent interface between all manufacturing reducing costs. high, products to be delivered on time, devices, controllers, distributed applications not only reduces OPC-UA provides a uniform, and prices to be low. between generations of control systems and Scada systems up implementation and support effort, but standards-based protocol for It’s an accepted fact that enterprises automation products” to MES and ERP systems. OPC UA also creates the flexible environment transparency, integration and a central can cut costs by standardising on communications also provides a way needed to react to customer or view of all data and functions from the equipment and infrastructure. for manufactures to deal with multiple business demands. For example, plant floor to the enterprise. OPC UA Standardising includes everything from OPC UA specifications standardise generations of automation products. suppose regulatory compliance or provides complete data access and having everyone use the same Windows how data is exchanged in industrial Tightening budgets mean manufacturers other circumstances mandate increased exchange services for such functions as operating system to consolidating automation. The standard unifies all data can’t make a business case to replace security measures. Since all applications configuration, diagnostics and runtime functionality with Microsoft Dynamics collection aspects into one single address every legacy automation device with follow the same communication operational data, enabling greater asset CRM or installing the same type of space capable of dealing with current state-of-the-art automation products. standard, an OPC-enabled security utilisation and performance that impacts wiring everywhere. Standardisation data, alarms and events and the history OPC UA allows manufacturers not only gateway that provides the required the bottom line. As companies look to provides opportunities to save money of current data as well as the event to provide interoperability between plant authentication and encryption could be equipment and application by identifying overlapping functionality, history. A powerful feature of OPC UA floor and enterprise, but also to provide easily integrated into the architecture standardisation for savings opportunities, eliminating redundancies and phasing is the Address Space Model, which can a link between multiple generations of without having to redesign the system. interoperable OPC UA communications out unused or underused systems. expose a rich and extensible information legacy automation products. Having a system that is adaptable to should be part of that thinking.

22 onwindows.com 23 viewpoint migrating legacy systems

tips and tricks for migrating to windows Romke Wijmenga advises on how to migrate legacy systems to a Windows environment

oday, many organisations rely on legacy the migrated application and old system systems to run their critical business carry out the same functions. The mainframe Tapplications, and some are paying the capacity will still have to be used for a while so price for the rigidity of these systems. Many are it can create situations like a database-restore, crying out for a fast and easy way to move to a or work with different types of input files. Windows environment. Asysco’s technology It is also necessary to take a good look at the enables the largely automated migration performance of the new environment. Load of mainframe applications directly to the and performance testing is crucial. You have Windows platform, with its Lion technology to simulate a particular system load, which preserving the business logic that formed part takes time because scripts have to be written of the legacy application. for it. In addition, many applications have But even with an automated migration, security features. For example, it’s not possible Romke Wijmenga is chief companies need to be prepared. Many legacy to use the same records a hundred times in technology officer at Asysco. He applications date from the 1970s or earlier, so succession. Temporary solutions may be is responsible for Asysco’s long- much of the technical and content-oriented required for performance testing. term research strategy and for knowledge has disappeared. People have The end user won’t notice anything about developing the company’s product moved on and the documentation is often the migration if things go well. They may roadmap. Wijmenga joined Asysco substandard, making it difficult to test the see a Windows-type interface rather than a after graduating in information converted code properly. Thus, the testing terminal-type screen, but otherwise the only technology in 1988. His main phase can sometimes take longer than the thing users may notice is the huge investment interest and expertise have always migration itself. Plan this phase carefully, and in time and money in the project. However, it been in the world of mainframes. you can avoid serious delays in future projects. is easy to determine the return on investment Since the mid 1990s, Wijmenga If there is nobody left who knows how an for these projects and investments are usually has managed numerous migration application works, the testing process is going recouped within 12-18 months. projects for customers worldwide to be time-consuming. The application will When modernising legacy applications, who want to move their Unisys first have to be tested in its old environment, to rehearsing the ‘go-live’ moment is extremely mainframe applications to the see what it does and what it is capable of. After important. Not every organisation sees the Windows platform that the migrated application must be tested need for this, but such changes have a major again, to enable a comparison between the old impact on the business. If something goes and the new. Time-consuming? Yes, but it’s wrong, then turnover will suffer or customer the only way of reducing the risk of errors. service will malfunction. Very unexpected The legacy application’s source code is things sometimes go wrong during the also vital. Generally this isn’t something that first rehearsal, and sometimes two or three concerns IT, but with these kinds of projects, rehearsals are needed before the switch goes all sources must be complete or the migration smoothly. And don’t forget to involve all the project cannot begin. In practice, this can be necessary departments in the rehearsal and problematic. Large Cobol systems can consist final switch. They must at least be on standby of a thousand or more sub-programs. A in case something goes wrong. complete overview of where the application Finally, errors in the programming code are gets its functionality must be included in the often discovered in automated migrations. migration. If not, you could find a module They were present before, but for some reason missing, causing extra work and expense. they never caused problems. Now, we Shadow processing is a term less often heard suddenly see them and have to fix them. It’s in the Windows world than among mainframe extremely important that experienced Cobol users, but it is vital. Test procedures should programmers are involved in the migration of include a period of parallel operation, where these kinds of legacy applications.

24 onwindows.com cover story contiinental ag moving forward

When Continental, one of the world’s largest automotive suppliers, embarked on a lean manufacturing initiative, it chose Xterprise to develop a solution that would boost productivity and save money at one of its major plants. Jacqui Griffiths found out more

hen it comes to automotive manufacturing, made. “Lean thinking is not only about manufacturing,” the sheer size of the industry and the number explains Sarpkaya. “It’s about manufacturing logistics. It is Wof parts involved can be quite breathtaking. a supporting function for logistics. At our manufacturing In addition, where cars are involved, both safety and facility in Huntsville, we were more involved in the performance depend on precisely manufactured parts, process side of the inbound raw material than in the use rigorously tested every step of the way. In this business, of it.” companies need to monitor and manage every part of the “Huntsville is an approximately 850,000 square foot manufacturing process, from supply chain to inventory, facility in the south-east US,” explains Sarpkaya. “This to reining in costs. region is the new synergy centre for the automotive Global automotive supplier Continental AG is well industry in the US, and we are located in very close aware of these issues. Continental’s Automotive Group proximity to many major automotive OEMs. Our “RFID provides a way of killing two prides itself on uncompromising attention to quality, facility has 15 assembly lines, supporting five Continental birds with one stone. It enables us specialising in the development of innovative technologies business units which manufacture all kinds of electronic to streamline our receiving processes for vehicle safety applications, enhancing fuel efficiency, parts for major automotive OEMs. That translates into and track our returnable containers reducing vehicle emissions and information management a very complex logistics process. Every day, we receive In fact, Continental has a 137-year history of developing eight to ten truckloads of shipments containing some inventory in real time” and producing a wide variety of components. 5,000 types of electronic and mechanical parts, from Continental strives to live up to its motto, ‘forward approximately 160 suppliers, and all these parts are Gokhan Sarpkaya thinking’, and continues to explore new aspects of followed into our facility through three on-campus third- automotive safety and performance. That’s no mean feat party logistics providers.” in today’s economic climate, but Continental’s project The logistics suppliers repackage the supplies using leader for logistics at its plant in Huntsville, Alabama one or more of Continental’s 80,000 reusable containers in the USA, Gokhan Sarpkaya, is unfazed. “In the US or pallets, which are transported to the Continental especially, the economic downturn has brought upheaval facility. The personnel who receive the shipments have to the automotive industry,” he says. “But these dynamic traditionally used barcode scanners to check the incoming changes are also generating significant cost savings supplies against the shipping orders in the company’s SAP opportunities.” enterprise resource planning system, while forklift drivers Hence, the company instigated a ‘lean thinking’ hunt for available space to randomly store the supplies initiative to identify where those cost savings could be until they are needed. The containers and pallets are

26 onwindows.com 27 cover story contiinental ag

“By adopting the RFID solution, Xterprise based on its track record with RFID, SAP we’ve done more than improve the integration and reusable pallets, as well as its expertise on the Microsoft application platform. receiving-cycle time and cost. We’ve “We were already a Microsoft shop, so the choice also freed personnel to work on other of a Microsoft-based solution was the fastest, easiest parts of our lean thinking initiative, and most cost-effective way to deploy and maintain a multiplying the impact of the solution solution in our environment,” says Sarpkaya. “We have coordinated and managed the project with Xterprise, and on Continental” the implementation took just six months. In fact, it took only a year overall, from generating the whole idea and then moved to another on-campus, third-party firm that putting the project to work. We were expecting it to take processes the empty containers and returns them to the longer because it was a brand new technology. Two more logistics suppliers. Continental plants had implemented it in Europe, but “Our goods received process was manually intensive, because of frequency differences the whole philosophy for and our cycle times were longer than desired,” says our project had to change, from text selection to hardware Sarpkaya. “This was resulting in time-consuming delays selection to system selection. So we were expecting a and sometimes inaccuracies in our inventory. We use over longer implementation time but it took us shorter to 80,000 returnable containers, which is also a significant finish the project.” amount of investment.” Of course, any implementation of this size is not Shrinkage was one result of errors made because the without its challenges, and the solution at Continental’s locations of parts were noted manually. Time-consuming Huntsville plant had to meet several key criteria. In delays occurred if the advance-shipping notice sent by addition to integrating with the SAP system, it must also the logistics suppliers did not match the parts that were be able to transfer data between the Huntsville facility actually received by Continental – or if the advance- and the third-party logistics providers. “We had to work shipping notices failed to arrive on time for the company with three independent on-campus third-party logistics to compare them to the shipments. providers, all with their own systems,” says Sarpkaya. Compounding these issues, it was too easy to damage “Aligning every one of them was a big challenge, and a barcodes on the shipments, which prevented accurate very serious coordination effort was needed. reading by scanners. The manual scanning of barcodes “Then we needed to select between different and manual comparison of shipping notices with the methodologies of SAP integration, which is iDocs orders in Continental’s SAP ERP system were time- versus remote function codes. Again, our SAP team consuming, non-productive and expensive processes did an excellent job to perform the integration part of that were very much at odds with the idea of lean this project. Since we were planning to exchange a huge manufacturing. amount of data which was subject to strict information In support of its lean initiatives, Continental’s security requirements, we had to think seriously about the Huntsville plant identified these areas as an opportunity connectivity protocol for this project. After considering to save costs. “We looked at various different technologies VPN and Soap, we decided on FTP as the optimum and chose radio frequency identification (RFID) because solution for our structure right now. So the network it provided a way of killing two birds with one stone,” says topology for the project was very complex.” Sarpkaya. “It would enable us to streamline our receiving In addition, the company faced some wireless processes and track our returnable containers inventory in communication challenges, which impacted the frequency real time. These are important areas to focus on, and the selection. “We use automated guided vehicles at the savings are significant, especially in the tough economic facility, and those communicate on SHF (microwave) times everyone is experiencing today.” frequency,” explains Sarpkaya. “We’re also very close Once the technology had been decided on, Sarpkaya to Huntsville International Airport and could detect and his team began a meticulous selection process to their air search radar signal. So while we were making find the right partner. “I contacted more than 30 systems the frequency decision, we had to take all of these into integrators,” he says. “The request for proposals was account. That’s why we decided to use UHF tags, but about 100 pages and our criteria were mainly focused on because our containers were electrostatic discharge the system integrator. It was crucial that the vendor was friendly, the tags had to be too. Otherwise the carbon fibre experience with SAP, especially remote function codes. material of the containers would absorb the electronic We also needed ruggedised, reliable hardware conforming energy and we wouldn’t be able to read the tags. However, with EPC global standards and we were looking for some Xterprise and the tag provider did an excellent job of tags that could survive in a harsh environment. After tuning the tags and overcoming that problem.” researching for about six months, we were able to find all The solution has enabled Continental to reengineer those.” and streamline its receiving processes. At Continental, Continental decided to adopt a receiving solution Xterprise Clarity Reusable Transport Items (RTI) software from Xterprise, a Microsoft Gold Certified Partner. automates the workflow associated with incoming The solution is based on the Microsoft BizTalk RFID shipping notification, using Microsoft SQL Server 2005 technology platform, along with Xterprise application as its database. Microsoft BizTalk Server 2006 R2 acts as software and Motorola hardware. Continental chose a bridge between Clarity RTI and the SAP ERP system,

28 onwindows.com cover story contiinental ag

and forwards the Clarity RTI information to SAP. When implementing the new system, incoming shipments were Continental workers unload the incoming shipments, received by two workers – one who scanned the barcodes RFID scanners on the forklifts automatically read the and logged shipments into the SAP system, and a forklift tag numbers. Xterprise Clarity Automated Goods driver who looked for, and place the shipment in, a Receipt (AGR) software confirms that the received storage location. Now, automated scanning and logging shipment matches the original request and forwards that of the shipment enables the forklift driver to manage information to the SAP system, which identifies a storage the process without additional effort. Advance-shipping location for the shipment. notices from the logistics partners no longer arrive late, All information now residing in the ERP system is eliminating the need for personnel to manually confirm made available to the finance department to perform that incoming shipments match the goods released by a three-way match of the purchase order, shipping those partners. notice, and received goods. Clarity AGR receives the “By adopting the RFID solution, we’ve done more than storage information from SAP, through BizTalk Server, improve the receiving-cycle time and cost,” says Sarpkaya. and transmits it to a screen on the forklift – then the “We’ve also freed personnel to work on other parts of driver moves the shipment to the identified location. our lean thinking initiative, multiplying the impact of the Empty pallets and containers are sent to the third-party solution on Continental.” processing company, tracked by another RFID scanner, The receiving cycle is not only faster and more cost- and forwarded to the logistics partners to be used again. effective; it’s also more accurate and efficient. Errors due The solution’s foundation of Xterprise, Motorola to manual data entry have been eliminated, boosting the and Microsoft technologies has delivered immediate accuracy of a variety of processes, from inventory control reductions in time and costs, as well as increased to accounts payable. “We now have greater visibility productivity and more accurate performance due to the into our inventory and flow of materials,” says Sarpkaya. new receiving-cycle solution. “The receiving-cycle time “That gives us the potential to reduce on-hand inventory has been cut in half, saving 20 minutes per incoming and the costs associated with it. We envision inventory shipment,” says Sarpkaya. “The costs associated with that costs coming down significantly. We’re already seeing process have been slashed by 30 per cent.” reductions in shrinkage, which means reductions in cost.” Given those reductions, Sarpkaya anticipates an annual Management of the company’s 80,000 reusable return on investment of about 100 per cent. Some of those containers and pallets is also improved. For the first time, savings come from increased labour productivity. Before Continental now knows where its containers and pallets are at all times. In addition to the continuing savings resulting from more efficient operations, Continental saw immediate purchasing savings by choosing the Xterprise and Microsoft solution instead of a proprietary, UNIX- based solution. Sarpkaya estimates the one-time savings at about 50 per cent. “Because this solution is based on the Microsoft application platform, especially BizTalk Server, it was faster and less costly to deploy than any other RFID solution we considered,” says Sarpkaya. “We used BizTalk Server to speed the integration of the solution with our SAP system, which could have been a fare more costly and time-consuming process otherwise.” Continental’s employees were quick and enthusiastic in their acceptance of the solution, and have been quick to suggest additional ways that the RFID technology could be deployed – and Sarpkaya says that the use of the Microsoft application platform makes those extensions easy to contemplate. For example, the solution could be extended to track the company’s finished goods shipments to its customers, the major automotive manufacturers. The same solution infrastructure could be deployed on the shop floor to track components and monitor the manufacturing process. Sarpkaya also envisions enhancements to the already successful receiving application. “In this tough economy, we are moving with care, Sarpkaya concludes. “However, we’ve decided to analyse, explore and implement all feasible opportunities regarding the deployment of RFID technology. Otherwise we won’t be able to maintain our competitive advantage.”

30 onwindows.com feature sustainable manufacturing operations waste not want not Monitoring and reducing waste is essential to creating leaner, more profitable manufacturing operations. Lindsay James investigates

ustainability has long been a buzzword in will only work with suppliers who maintain our standards manufacturing but, in recent times, many organisations throughout our relationship, so certification and compliance Shave put it on the back burner in order to focus on will be part of our supplier agreements. We will favour – other more seemingly pressing issues. But sustainability is and in some cases even pay more – for suppliers that meet something that manufacturers can ill afford to ignore – it has our standards and share our commitment to quality and become critical to success. sustainability. Paying more in the short term for quality will “Recently, there has been a massive paradigm shift when mean paying less in the long term as a company.’ With this it comes to manufacturers looking at their business from in mind, it is apparent that sustainable manufacturing must the perspective of sustainability,” says Chris Caren, general deliver a new level of quality product – one that is compliant manager, product management and marketing, Microsoft with dynamic emerging environmental, regulatory, social, Dynamics. “Environmental actions that were once dismissed and market place requirements.” as soft benefits, meaning they were relegated to the realm Sustainable manufacturing covers a range of concepts of ‘tree-huggers’ or organisations that were not focused on that help manufacturers monitor and cut waste in a way that shareholder value, are now rightly identified as constituting promotes efficient, economic and green practices. Creating sound business acumen.” a business that embodies these principles should not be a The pressure to meet new, increasingly complex fad, but a foundation for reaping long-term benefits. “There regulations is just one incentive for manufacturers to look at is no need to implement a strategy all in one go,” says Ari sustainability solutions. “Recent environmental regulatory Pihlajavesi, president and CEO at Predisys. “Tackling it piece legislation such as RoHS, WEEE, and Registration Evaluation by piece will be hugely beneficial. Once the foundation is laid Authorisation and Restriction of Chemicals (REACH) have for measuring the success of the improved manufacturing had a major impact on the way manufacturers design and process , you can continue to implement the major changes.” build products,” says John Fox, director of product and “Achieving sustainable manufacturing is a process that market strategy at PTC. “Manufacturers now need to track itself must be nurtured and sustained,” says Gorbach. the substances used in their products. This can be a daunting “Short-term and medium-term goals must be identified, task, but with the right data and the right tools it can be a and programmes must be resourced, instrumented, and “Manufacturers can realise many straightforward process.” managed. Although certain priorities such as energy benefits from a sustainable operation. “Manufacturers will also feel the pressure to meet new consumption will merit immediate attention, over time, They can reduce costs by efficiently environmental and social requirements directly as a result of every system and asset throughout the enterprise may be market place demand,” says Greg Gorbach, vice president of involved in some changes to enhance sustainability.” using new raw materials for production, collaborative manufacturing at ARC Advisory Group. “For Smart sustainability initiatives start with measurement. conserving energy and water, and example, in 2008 former Wal-Mart president and CEO Lee Every organisation is different, but measuring sustainability eliminating all forms of waste” Scott stated in the company’s Global Sustainability Newsletter: and monitoring for improvements are the first steps toward ‘We will require all suppliers who work with us through being sustainable. “In the current economic climate, global procurement, who are domestic or importers, or who when everything on a company’s balance sheet is under Steve Sacco, vice president, manufacture Sam’s Club or Wal-Mart private brands, to the microscope, businesses’ overhead accounts, where all environmental affairs and sustainability at Invensys demonstrate that their factories meet specific environmental, energy and operations costs come from, are ripe for an social and quality standards. We have already started doing overhaul – the hardest part can be where to start,” says Caren. this, and we hope to extend the requirements to all of the “Companies need ways to get that information in order above-mentioned suppliers within three to five years. We to make smart decisions about where they can reasonably

32 onwindows.com 33 feature sustainable manufacturing operations

cut back, and that’s why Microsoft believes strongly in the that would not stand up to any substantial scrutiny or “The value of the collected data comes not simply from business including leaner processes, more attractive working mantra ‘if you can measure it, you can manage it’. Measuring audit. Inaccurate or absent sustainability performance numbers, but also from how an organisation chooses to act conditions, and considerable cost savings. “There is money your true impact allows you to mitigate the outcome.” measurement results in decisions based on hunches or on the information,” says Caren. “Because Dynamics AX to be saved here,” says Pihlajavesi. “A customer of ours “Ultimately manufacturers must focus on the impact abstract calculations rather than real, subjective data. This integrates Environmental Sustainability Dashboard data abolished paper-based records, optimised manufacturing their operations and products have in the usage of natural uncertainty has served to relegate sustainability issues to the with business data, manufacturers can make decisions that processes, reduced scrap and has saved over US$8 million a resources, the emissions of pollutants, and the contribution fringe of the organisation and, in absence of conclusive data, consider their environmental impacts. When manufacturers year, while at the same time offering better customer service.” of equivalent CO2 into the atmosphere,” says Jonathan prevents decision makers from confronting issues. understand the resource consumption of their operations, “Manufacturers can realise many benefits of a sustainable Dutton, head of automotive strategy at Dassault Systèmes. “Many manufacturers use a variety of different tools and managers can make fiscally sound decisions about the way operation,” says Sacco. “They can reduce costs by efficiently “So the first actions are to measure, track and set targets to methods to measure sustainability,” says Dutton. “This is their companies are run.” using new raw materials for production, conserving reduce the impacts. Having accessible tools to do this is key.” because of the disjointed systems used by key players in the Further technology such as product lifecycle management energy and water, and eliminating all forms of waste. They supply chain. For example, a manufacturer may source its (PLM) solutions from companies such as PTC and Preactor can minimise risks by staying compliant with laws and Unique challenges raw materials from Africa, design its components in India can help manufacturers to collate data on all of the materials regulations, maintaining positive relationships with local Given the benefits of measuring sustainability you might and the US, manufacture in France and Poland, and recycle that make up a product, enabling them to run complex communities, understanding the business performance of wonder why more organisations are not already well on precious metals in Germany. The key is to monitor and track product analytics to make sure a product is compliant their critical suppliers and avoiding negative press coverage. their way. But sustainability is often broader and more the measurements and enable all actors worldwide to input to every regulation. “PLM solutions can tie together data Finally, companies can create business value through complex than anything organisations have reported on in and access their part of the information easily in one system.” from engineering, manufacturing, and suppliers to bring improving their image and reputation with stakeholders, the past. Measuring it involves a web of interrelated data that The challenge for organisations is clear – to measure unprecedented benefits,” says Fox. satisfying customer expectations, opening up new markets cascades from the very top of the organisation to the very sustainability accurately and drive real, lasting change. “The “There are thousands of hazardous substances that are and introducing new and efficient products.” bottom, affecting every office, factory, data centre, building right technology can help them achieve this goal,” says Caren. targeted by product regulations – no manufacturer can Agility can also be achieved through sustainability, as and employee – often permeating boundaries that connect “Earlier this year Microsoft Dynamics launched a free tool keep track of these without the right technology. The recent Graham Hackwell, technical director at Preactor explains: “A suppliers and customers. called the Environmental Sustainability Dashboard. This problems Mattel has faced, when it had to recall 800,000 sustainable business will be leaner and more efficient, “When planning and implementing a sustainability dashboard integrates with the Microsoft Dynamics AX toys worldwide because of excessive amounts of lead paint, allowing products to be manufactured to order in smaller strategy, many companies take a generic approach and try to enterprise resource planning solution and helps businesses to highlight the devastating consequences of not adequately batches. Using a good planning and scheduling system can follow in the footsteps of their competition, or best-in-class capture data based on key indicators of energy consumption measuring and managing the chemical makeup of a product.” really help here – allowing manufacturers to cut waste, create companies,” says Steve Sacco, vice president, environmental and greenhouse gas emissions, helping them cut their energy A sustainable operation can bring with it significant more productive sequences of work and create an extremely affairs and sustainability at Invensys. consumption and costs.” benefits, not only for the environment, but also across the agile business that can thrive in any market condition.” This leads them to fail in customising their strategy for The data from the dashboard can help manufacturers their specific business. They also fail to engage leaders and become aware, often for the first time, of their impact on employees from all aspects of the business in developing the environment so that they can choose to implement their strategy. If a business doesn’t engage all employees to environmentally sustainable business policies and practices. participate and communicate their vision it is very difficult to After these are in place, businesses can use the Environmental get traction and support.” Sustainability Dashboard to track and display their effects. Today, measurement and reporting of sustainability often comprises manual processes without the controls needed to consistently measure performance across the organisation customer soluton

customer solution Seventh Generation Seventh Generation is the leading distributor Encore Automation of home cleaning, personal care, and baby products made from natural, recycled or Encore Automation required a more efficient renewable materials. The company constantly solution for building robotic work cells to seeks to minimise its environmental impact. customers’ individual requirements. The Seventh Generation sought an ERP solution ADVERT company developed a standard robot cell design to support its supply chain more efficiently, called EncorFlex – an entire pre-engineered and including monitoring the environmental impacts pre-packaged single robot system based on a of its suppliers and individual products. With standard platform which allows for installation help from Microsoft Gold Certified Partner SCS, within an hour on the customer floor and the Seventh Generation implemented Microsoft ability to run parts the same day. To achieve this Dynamics NAV with added functionality to level of flexibility, Encore relies upon Dassault track carbon footprint, safety of ingredients, Systèmes’ Delmia Robotics simulation solution and efficiency of packaging and transportation for modelling and off-line programming of the throughout its supply chain. With Microsoft complex workcells. This eliminates trouble- Dynamics NAV, the company automated shooting on the plant floor, saving time and business processes and streamlined supply- money as well as minimising the need for paper chain management while pursuing its mission of documents to gain customer confidence. corporate responsibility.

34 onwindows.com feature customer insight and engagement shelter from the storm

At a time when the manufacturing industry is at its most competitive, businesses cannot afford to let relationships with their customers slip. Lindsay James takes a look at the CRM technology that is enabling manufacturers to better connect with existing customers, and weather the current economic storm

ustomer-centricity is something that many markets which have much lower costs, they need to move businesses work towards, especially in the up the value chain by adding value to the manufacturing Cretail and hospitality industries. However, process. This requires an in-depth understanding of manufacturing has traditionally been a different story. For customers and their needs and desires.” years manufacturers have been product-focused, relying For these reasons, manufacturers are fast accepting the on their goods to sell themselves. fact that in order to boost sales and increase profits they But, as competition reaches an all-time high, need to pay more attention to their customers. Customer manufacturers can no longer sell on products alone. While Relationship Management (CRM) is the technology the latest Confederation of British Industry (CBI) survey that manufacturers are choosing as they are finding that found that the outlook for the manufacturing industry consumers require more and more attention. has improved, with many firms in the sector expecting “Manufacturers need to make customers the pivotal the pace of decline to slow in the next three months, a fall point in the business processes,” says Maria Jesús is still expected, albeit at a much slower rate. Across the Llorente, director of Qurius Advanced Solutions, Spain. world, the story is much the same. “Our economy has switched from being a seller-driven “At the moment manufacturers are focusing on economy to be a predominately buyer-driven economy. activities that have an immediate, measurable impact such By leveraging the voice of the customer, manufacturers get as workforce productivity rather than spending on IT a competitive advantage in redefining all customer-facing where the benefits tend to be realised over a longer time operations. period,” says Marina Stedman, vice president of marketing “That is where CRM takes centre stage, by being at SalesCentric. “However, for manufacturers in developed the vehicle to implement and execute strategies where economies to compete effectively with those in emerging knowing customers and manage the relationship with

36 onwindows.com 37 feature customer insight and engagement

them is a priority. However, we should not forget that a commonly-used tool like Microsoft Office Outlook CRM is not only a technology, but a strategy. The strategy messaging and collaboration client, Microsoft Dynamics needs the technology and vice versa.” CRM helps them get up to speed quickly and complete Modern manufacturing theory refers to the idea of tasks with minimal hassle,” says Khatwani. “For example, integrating the customer into all aspects of the supplier’s with just a click, users can promote existing Office business and vice versa, as Haresh Khatwani, worldwide Outlook contacts to Microsoft Dynamics CRM. E-mail director for EPG at Microsoft explains: “Customers’ messages and calendars are automatically synchronised needs generally extend to issues far beyond the suppliers’ with Office Outlook, which alleviates tracking information proposition, and will often include the buying-selling in multiple sources.” process, the way that communications are handled, and the “With the Microsoft offering, users will want to use nature of the customer-supplier relationship. This implies CRM, not have to use CRM,” says Llorente. “It is fully a relationship that is deeper and wider than the traditional integrated with Microsoft Outlook, with the entire ‘arms-length’ supplier-customer relationship. The modern Office platform in fact, and uses SharePoint as the main approach to CRM technology is based on satisfying all of collaboration and information worker solutions.” the needs of the customer’s people, systems and processes.” Furthermore, when compared to setting up a new manufacturing plant, hiring a cadre of new sales and An enabler for success customer service representatives, or raising capital to CRM is a technology that allows manufacturers to track acquire other companies, CRM is a technology that can and leverage every customer interaction to maximise be implemented rapidly with relatively limited costs. In revenue opportunities and improve customer loyalty. fact, once implemented, Microsoft Dynamics CRM can ADVERT But CRM does much more than just track customer help to reduce costs dramatically. It makes it easier for interactions. It also helps organisations optimise their organisations to deliver cost-effective customer service, operations by automating routine tasks and standardising and it enables organisations to minimise IT costs through best practices. Ultimately, CRM allows organisations to system consolidation. better acquire, manage, serve, and extract value from their customers while improving operational efficiency A better understanding -something that is critical in today’s economy. In an era when customers are disloyal, manufacturers need In fact, customer relationship management was a CRM system that allows them to truly understand the noted as a leading priority of business executives by needs and wants of their customers, and one that enables AMR Research in 2008 (Fletcher 2008). This trend has them to offer impeccable customer service. “Customers continued, with Forrester Research showing that more want a high degree of account management,” says John than a third of enterprises plan for CRM upgrades in 2009 Pearson, sales director at ConsultCRM. “They want to be (Marston 2009). And Nucleus Research goes on to state: understood, and ideally be ‘intelligently anticipated’ with “If there is one technology area where you should increase timely communications and offerings. This only happens your investment today, it’s CRM.” through deep client insight and regular contact.” With many traditional CRM solutions, users are often “Customers are expecting more value, lower prices, forced to make significant behavioural changes to use the global capability, agility, high quality and a better service system. However, Microsoft has taken a different tact. experience,” says Jukka Valkonen, director of marketing “By providing users with a familiar look and feel through and communications at Tieto. “In order to live up to these expectations, manufacturers need tools that automate business processes, are available around the clock globally, customer soluton and are mobile and intuitive for the users. Last but not least, the same systems should serve all the parties: manufacturers, partners, suppliers, distributors and Scania GB customers. All of this can be achieved through Microsoft’s strong portfolio of CRM solutions.” Truck manufacturer Scania GB has In order to further examine customer expectations, implemented Microsoft CRM from analytics solutions, such as Microsoft’s PerformancePoint ConsultCRM, integrating it into its existing Services, can be implemented to gain a better understanding dealer management system. This provides of the customer. “One of the more difficult, yet more not only vehicle centric information but precise, types of measurement is the ability to understand also customer centric data and helps the actual intentions of customers in their own words,” says after-sales by automatically creating Khatwani “What services did the customers actually need? warranty renewal alerts for the sales staff. Did they ask for something completely different from what PerformancePoint Server has also been they needed? Was the manufacturer able to discern the added to provide business intelligence actual need and convert the interaction into a sale?” reporting. In fact, while many manufacturers think they have a healthy customer service operation, this type of analysis can prompt them to think again. “There is often a gap

38 onwindows.com feature customer insight and engagement

between the service customers expect and the actual customer soluton understanding of where the data is and what it means. “Jet customer soluton service experience,” continues Khatwani. “Pinpointing Reports can pull from multiple companies and databases this gap is key to improving service. Furthermore, to consolidate information into one report or one cell,” manufacturers should align the expectations that Arch Chemicals says Phil Bride, president of the company. “The result is Tower Semiconductor marketing and sales set with customers in terms of a combination of data that offers much more accurate customer service. This can be done by isolating both Arch Chemicals is a global biocides reporting of the manufacturing business. Data from a Tower Semiconductor employees held customer intentions and expectations when they contact company with manufacturing and legacy system need not be migrated, as Jet Reports allows customer and sales information in customer service, then comparing delivery against those customer support facilities worldwide. Due the legacy data to be consolidated with new system data. disparate systems, making it difficult to expectations to find what’s clogging the system.” to its diverse portfolio of businesses, the monitor projects and measure market Microsoft’s PerformancePoint Services is just one of company needed a better way to manage A customer-focused future demand. Working with Microsoft Gold many solutions that can add value to Microsoft’s CRM and analyze its sales force and customer It seems clear that manufacturers of the future will have Certified Partner Advantech, the company solution. The Microsoft Partner network is allowing service. Through the flexibility and CRM technology at the forefront of their business. “A deployed Microsoft Dynamics CRM 4.0. manufacturers to choose from a wide range of tools simple integration of Microsoft Dynamics CRM system will become a self-evident must for every This integrates with existing systems, and that enable them to tailor CRM to their own needs, and CRM business software with its existing manufacturing organisation, equal to ERP or office offers clear, accurate data to help users that can provide competitive differentiation. One such systems, Arch Chemicals is increasing tools,” says Jukka Valkonen, director of marketing and manage project life cycles, make smart solution comes from Sales Centric, as Stedman explains: sales productivity and customer service communications at Tieto. “A customer master data business decisions, and enhance customer “SalesCentric’s Graphical Relationship Charts uses the performance while gaining valuable base together with all the knowledge and transactions support. As a result the manufacturer has information already in Microsoft Dynamics CRM to insight into its business data. associated with customers will be seen as the crown strengthened customer relationships and facilitate easy account mapping, opportunity qualification jewel asset of a competitive business. More and more saved US$30,000 a year. and cross-selling working the way that sales people manufacturing companies will see that their sustainable work and helping them to be more successful – while competitive edge is not in the costs or its products but in at the same time providing the forecast information shorten sales cycles and close deals faster.” its customer intimacy.” needed across the entire supply chain. Understanding Microsoft Gold Partner Jet Reports offers another “The future of CRM is bright indeed,” concludes overcome. Much will change in the years ahead, but one relationships with and between clients and seeing them solution – a reporting system that draws information from Llorente. “CRM will become deeply ingrained as a thing is certain: CRM is a journey, not a destination, and in a user-friendly, visual format makes it easy to devise Microsoft Dynamics CRM straight into Excel, allowing business strategy for most companies. Technology will customers have their hand on the roadmap and the plans of action for improving and strengthening them to manufacturers to explore tables and fields for a better evolve while technical and organisational challenges are steering wheel. The rest is up to us.”

ADVERT forum forum automotive high tech

E-learning and the motor industry A combined solution for As the recession continues to bite, automotive manufacturers are turning to e-learning to invest in staff while controlling costs, says Mark Rewhorn high tech manufacturers High tech manufacturers face an increasingly complex product development process, but there are ways to optimise the process while reducing cost and risk, says Tom Shoemaker, vice president of product marketing at PTC s the recession continues to bite, it is of time they are able to learn new skills. The benefits to manufacturing companies fair to say that the motor industry is at E-learning is really training on demand. Staff far outweigh the costs of setting this learning Apresent bearing the brunt of it in the can access courses at any time, and in bite- up. Better quality components and sub- manufacturing sector. But while the industry sized chunks that are possibly more easily assemblies mean fewer reworks in the hen did making products get so (ECAD) data, embedded software, technical This notion of a combined solution where is faced with laying off staff, firms still have to remembered than traditional classes. Should assembly halls, and fewer warranty claims to be complex? Perhaps the real question documentation, illustrations and engineering all the applications have been built and tested to find ways of meeting customers’ ever rising an emergency arise, they can stop the course administered. Overall, it makes for happier and Wis: was it ever easy? It seems with calculations. This enables manufacturers to work together to completely support the needs expectations – if they fail, there are plenty of and return to it later. more satisfied customers. each passing day comes another hurdle thrown access relevant, real-time data from multiple of product developers is called PTC’s Product hungry competitors waiting in the wings. E-learning eliminates the need for the Improving troubleshooting methods in the mix to test the mettle of the product sources, a high priority among manufacturers Development System (PDS). Companies that Companies know that investing in training physical proximity of teacher and students. ensures that suppliers are able to act quickly development professional. In particular, the facing increasingly complex supply chains. A standardise on this system can differentiate is essential to survival, as it is likely to leave Contact might be maintained simply by and decisively if a problem occurs, again consumer electronics and high tech markets seamless connection to desktop applications themselves from their competitors by being them best poised to prosper as the recession e-mail, and trainees can log on virtually shielding the manufacturer from unwanted are rife with evolving challenges. Demands for and enterprise resource planning (ERP) able to: ends. But the industry can no longer afford wherever they are. Usual course expenses, and preventable costs. By showing suppliers shortened development cycles, ever-increasing systems is also achievable when running • Manage multiple design variants in a single expensive off-site conferences or half-filled such as travel and meals, can be minimised how to improve efficiencies, manufacturing electronics technology, smaller, more complex Windchill on SQL Server, as well as seamless unified bill of material (BOM) courses. Companies need to utilise what they if not eradicated altogether. Because of the companies are assisting themselves with form factors, and more comprehensive operation with PTC’s Pro/Engineer mechanical • Reduce time-to-production ramp-up by have to the maximum. method of delivery (usually the Internet) it is reduced parts cost. environmental regulations are a few of the CAD and other Windchill solutions for deploying one change management process Ever a leader in innovation, the motor easy to share the training material with others. While e-learning has plenty of benefits, more pressing issues faced by this market. But distributed, cross-enterprise collaboration on across distributed engineering disciplines industry has never been shy at taking on board E-learning can also be used both upstream and there are a few pitfalls to consider. This type it’s not all doom and gloom. Those companies data acquisition and product information. • Link engineering and manufacturing BOMs and investing in the latest technologies – just downstream in the supply chain. of training is not suited to everyone. People that are positioning to deliver killer products, Manufacturers can present product content to rapidly identify and resolve conflicts and look at how it pushed forward the use of Ford Motor Company has rolled out an have different styles of learning and those especially during depressed economic cycles, such as task assignments within a familiar changes computer aided drafting and manufacturing e-learning programme to its dealerships, that are more tactile in their preferences stand to make considerable gains when market SharePoint environment. • Make better decisions at the beginning of the (CAD/CAM). Now, it is turning to e-learning targeting approximately 225,000 people. might not adjust to e-learning. In addition, spending rebounds. A system such as this offers key benefits to design process by leveraging content in other to help improve skills and abilities. The programme ensures that all visitors are e-learning material isn’t quick or cheap to Having worked in partnership to jointly manufacturers. By controlling and automating systems like ERP. E-learning uses the whole suite of treated to the same experience no matter develop. The cost benefits are only realised bring valuable, compatible technologies to product change management processes, the technological equipment the motor industry which dealership they visit, with the objective as the programme is rolled out through the market for 15 years, Microsoft and PTC offer risk of design errors is significantly reduced, has at its disposal. For example, what of improving customer satisfaction and company, the cost per user dropping as user a successful set of solutions for manufacturers while a single, secure repository for all product proportion of the corporate IT network or experience in new and used vehicle sales, numbers grow. Further, because e-learning is of high tech goods. Windchill, for example, data will eliminate mistakes associated computer stations are fully employed during service, and finance and insurance. self-study, students follow their own schedule is PTC’s content and process management with duplicate, incomplete or manual data. Case in point: Humax the working day? And how many staff are It’s not just soft skills that can be passed and aren’t held accountable by an instructor. software and a production-proven cornerstone Indeed, automatically sharing product data actively employed all day, every day? E-learning on via e-learning. Most motor companies Unless learners are enthused in the topic, solution for effective product development. It downstream with manufacturing systems Humax is a leading developer of digital consumer can help take up the slack periods and increase offer training to their approved suppliers. they may not complete the training, and an is deployed in high tech companies of all sizes, and engineers will go a long way in helping electronics products and a top manufacturer of digital utilisation rates, so companies can maximise Typically this will involve quality standards and estimated 50-90 per cent of Web-based courses around the world as a means to choreograph to reduce scrap and rework, and efficiency is TV set-top boxes in Korea. With exports to more than the return on their assets. expectations; troubleshooting methodologies; started are not completed. the activities and to manage the valuable increased as engineers can quickly find and 90 countries, the company has grown into a global When staff aren’t required for a period and methods of improving efficiencies. E-learning is definitely a product of our intellectual property generated by globally manage multiple forms of digital product brand powerhouse that must consistently deliver time, and it is likely to grow over the coming dispersed product teams. With an ability to content. state-of-the-art products and services to strengthen its years, not least because newer entrants to be deployed on a SQL Server database and to The combined expertise of PTC and leadership position. Humax required a single system the workforce are more comfortable with have key product lifecycle management (PLM) Microsoft in providing solutions for the high that could manage all its design information from computers than their predecessors. The motor information presented within SharePoint tech manufacturing sector is built on years of mechanical, electrical and software engineers and the industry has always taken the brightest and sites, Windchill offers manufacturers the joint experience. In fact, the combined PTC- interdependencies between these disciplines. It chose best that the education system has to offer; rich and powerful solution they need, in a Microsoft offerings began with the support Windchill because its secure, Web-based architecture assuming it continues to do this, e-learning will flexible, familiar low total cost of ownership of Pro/Engineer on Windows NT in 1995, would enable all of its design teams to collaborate grow by default. environment they want. and evolved to 64-bit support while staying and identify cross-discipline issues and capture However, there will always be a High tech manufacturers need a number in lockstep on desktop operating system dependencies that enable design validation early in the requirement for hands-on training. of capabilities from their content and process versions. Additionally, ProductView, PTC’s design phase. This solution, deployed by PTC Global Traditional courses are likely, in the short management software. For example, a Web- solution for visual collaboration, is offered on Services on Microsoft SQL Server, is enabling more than term, to continue to fill this need. But one based product data management repository Microsoft technologies, providing high tech 500 users to manage MCAD (Pro/Engineer) and ECAD wonders just how far away a hybrid of such as Windchill, running on Microsoft SQL manufacturers with unique industry standards- data (Cadence) while optimising key business processes e-learning and traditional methods is. Some Server, will enable global access to current, based MCAD-ECAD collaboration capabilities including change and configuration management and say this ‘blended’ learning is the future – and if accurate data from multiple, diverse sources built to handle the intricacies of sharing design variant design and generation. that’s the case, you can bet that the motor including mechanical computer aided design information and resolving design problems industry will be among the first to adopt it. (MCAD) data, electrical computer aided design across the electrical and mechanical domains.

42 onwindows.com 43 forum oil and gas

Taking advantage of turbulent times Dr Albrecht Ferling, managing director for worldwide oil and gas industries and Michael Sternesky, oil and gas industry development manager at Microsoft, discuss how the oil and gas industry can beat the financial crisis

ollowing the collapse of the global enterprise, which can save millions of dollars, and working capital in both inventory and financial markets, oil and gas markets is an additional agility requirement in these receivables by increasing inventory turnover Fhave suffered a huge setback since July troubled times. and reducing days sales outstanding. 2008. Energy demand is falling across the Today, technology can enable the faster global economy, due to falling economic integration of an acquired company’s assets The drive for productivity enhancements activity. Lack of credit availability and with overlapping assets within the enterprise. Over the years, geology and geophysics, sup- the seizing of credit markets have had an Using Web-based systems and Microsoft’s ply chain management, manufacturing execu- immediate impact on economic activity in all software plus services approach, a virtual tion systems, enterprise resource planning and sectors, at all levels, signalling the beginning consolidation of the underlying enterprise sys- point of service systems have either evolved of a deeper and longer recession than we have tems can be quickly achieved at the presenta- from legacy systems or through packaged seen in the last 30 years. tion layer, pulling data from the different leg- application deployments, or some combina- These turbulent times require fast and acy systems in one unifying view. This virtual tion of the two. Due to increasing demand for ADVERT immediate reaction. Agility is required not consolidation enables the quick integration of flexibility and agility enforced by the current just to survive and thrive in the new economic overlapping assets with consistent work proc- business environment, oil and gas industry environment of industry consolidation, pric- esses, resulting in faster realisation of econo- workers need information across these silos, ing pressures and cost containment. mies of scale and elimination of redundancies, processes need to be automated for efficiency and gives the acquisition integration teams and performance, and people who are not Industry consolidation more time to thoughtfully achieve harmonisa- trained experts in the use of line-of-business Extraordinary times can create major business tion of the legacy business systems. This agility systems need role-based access to data and opportunities. Many energy companies used results in a higher return on investment and information across these systems. Role-based the last four years of rising commodity prices improved operating performance. productivity solutions address the need to as an opportunity to reduce debt and bolster fundamentally change the way people work. their balance sheets. Now, as energy company Pricing pressures and cost containment Knowledge capture and best practice dis- stock prices drop, we expect to see an uptick Downward pricing pressures will require semination also pose a major challenge to in mergers and acquisitions of companies renewed attention to costs. This price/cost the entire industry with the impending loss with strong and proven reserve positions in push dynamic will require new levels of of a significant share of the most experienced politically stable host countries. The ability innovation to stay competitive. New, more people. According to the Society of Petroleum to quickly integrate an acquisition into the effective technologies will deliver the business Engineers, 50 per cent of its existing global outcomes desired, with more efficiency and membership of some 67,000 professionals will accuracy. New systems and capabilities are retire in the next ten years. required to track innovative ideas through a The need to capture the institutional robust vetting process, ensuring that the most knowledge of this retiring generation remains promising and profitable come to market. a high priority for most large companies. This Ideation is a competitive advantage to those imperative will require the implementation of who can develop it as an enterprise capability. an IT platform to capture knowledge, publish Increasing the focus on working capital best practices and transform these into flexible management, credit and collection is also workflows to guide the next generation of oil required in today’s fragile financial environ- and gas professionals. This capability will not ment. Credit, even for good customers, may only enable knowledge to be transferred, but be suddenly cut off because their underlying will also make it widely available in expert sys- financial institutions are troubled, creat- tems that can support consistent high-quality ing an unexpected liquidity crisis. Today’s decision making. customer relationship management systems To sum up, there is increasing pressure on can help improve intelligence gathering on a oil and gas companies to achieve more with customer’s financial condition and provide a less. Greater business agility is required to platform for improving order execution and cope with the fast changing volatility of the service delivery. Additionally, robust reference new business environment. Speed and faster architectures for integration of work order reaction times are needed, supported by busi- management (including field data capture) ness systems that are flexible and adaptable to with revenue billing systems reduce cost any business conditions.

44 onwindows.com forum utilities

Breaking through the paper barrier Efficient document management is essential to best practices for a multitude of companies working across the utilities sector, explains DocuWare president Jürgen Biffar

he utilities industry has undergone rapid to the one they worked in a decade or two ago. requirements and make the best use of change over recent years. Following the The issues go far beyond simply providing information to support decision-making, while Tdecision by many countries to abandon a supply to customers – the utilities industry reducing the amount spent on storage and state ownership of public utilities in favour of involves a wide variety of companies such filing management. private ownership with state regulation, a more as suppliers and equipment providers, and For example, customers from around the open market has emerged, bringing with it an each of these has to deal with a vast array world depend on the modern plastic piping increasingly intense competitive environment of management issues, from property and systems generated by Georg Fischer Deka, for utilities organisations across all sectors – planning to pipes and valves. DocuWare has known for its custom manufacturing to meet from gas and electricity to water and sewerage. a long history of working with companies the special needs of different industries. For Even as they work to differentiate within the utilities sector, and our experience many years, the company has been archiving themselves in this evolving market place, has shown us that throughout this industry, extensive production data with a DMS from utilities firms face the challenge of global like many others, document management is DocuWare, implemented on Microsoft ADVERT environmental concerns and high profile increasingly important. technology. The technology has answered two stories about monopoly abuse and corporate A case in point: when the Mougins and key issues facing the utilities industry among governance, which have resulted in tightening Montargis Regional Centers of Lyonnaise des others: it has helped to free up warehouse regulations and a need for companies to prove Eaux needed to archive its landed property storage space and therefore reduce costs; and their green credentials. On top of all this, the plans and deeds, it implemented a document the company’s customer service and inner- global economic downturn is now putting management system from DocuWare. The office communication were significantly even more pressure on budgets and increasing result was a lot less frustration and increased improved. the need for competitive differentiation. productivity. Whereas previously document A further example is German-based Today’s utilities companies are looking searches would often end in frustration, manufacturer Samson, which specialises in for new ways to create value while addressing now a few clicks are all that’s needed now to heating, air conditioning and ventilation issues of management and service quality. In access all available data. Instant access to plans systems for industries that require the flawless an industry that has been evolving for as long has reduced the cost of construction works, measurement and control of vapours, gases or as there has been a need for processing or and the area needed to store documents has chemical substances. The company supplies a transporting products such as water, oil, gas or decreased by 95 per cent. wide range of instrumentation, controls and electricity, it is not surprising that the sector is At the heart of any utilities business lies a integrated automation systems – from simple both complex and diverse. Now, in a depressed complex system of instruments, from pipes valves to steam pressure-reducing stations – to global economy and amid increasing demands to computerised control systems. In power power stations and recycling plants across for accountability, better performance and stations and recycling plants, for example, a the world. Information management is vital regulatory compliance, many different bewildering array of pipes, valves, converters, to Samson’s business, and the company companies in the utilities sector have to deal heaters and coolers are brought into play, to relies on DocuWare, implemented, on a with a radically different business environment ensure safe and efficient production, metering Windows Server, to automatically archive and supply. Much of the work involved in the around 150,000 documents a month. As a processing and supply of utilities is arguably result, service both to customers and to other the work of harnessing potentially dangerous employees has been significantly improved. forces – water, oil, gas and electricity are all “There are very few things that pay for lethal if treated without respect, so there is no themselves so quickly while at the same time room for error. Every element of the process, being accepted so readily by members of our from the pipes and valves to the product itself, staff,” says Uwe Löffler, IT specialist at Samson. must be transported, monitored and well In these uncertain economic times, one documented. thing is clear: the utilities industry is not going Efficient document management can to stand still. As it continues to evolve not only help to address many of these issues, as part the volume of documentation, but also the of a broader best practice approach. As the number of different types of documents that following examples illustrate, an integrated need managing will grow with it. As these document management system (DMS) can act examples show, an efficient, integrated DMS as an additional safety valve, ensuring not only can play a key role in enabling companies to that processes are followed, but also that the spend less time wading through files, and more company can respond quickly to customers’ time creating business value.

46 onwindows.com forum forum pharmaceutical consumer goods

Clinical collaboration Manufacturing competitive advantage Microsoft is a growing presence in the pharmaceutical and life sciences arena, In the time-sensitive consumer goods sector, manufacturers are leveraging IT to ensure efficient materials, process and where it is working to foster collaboration and security quality management, says Yves Dufort, director for the food and beverage and CPG sectors with Wonderware

o improve the efficiency of clinical trials, information is fractured and hard to access. address the challenges posed by disparate he consumer packaged goods sector market changes and eroding brand recogni- as well as where, helps to ensure compliance life sciences companies need secure Productivity slows, increasing the cost of data formats and standards, helping to is unique within the manufacturing tion, high performance organisations need to in an industry that is subject to increasing Ttechnology solutions that help them bringing new drugs to market. deliver key information in an accessible, Tindustry; and yet the huge variety become both lean and agile. and changing regulations. manage the flow of information at investigator Life sciences companies need secure user-friendly way, building on familiar within it – from home furnishings to mobile Indeed, over the last decade the consumer A case in point is Beam Global Wine & sites around the world, many of which use intuitive technologies that seamlessly aggregate Microsoft Office applications to enhance phones to cleaning products, and a whole products industry has experienced a shift in Spirits, which prides itself on the consistent such disparate data systems as EDC, IVR, Labs data from many sources into a common, collaboration. For example, one of the spectrum of products in between – defies any power from manufacturers to retailers, with high quality of its Jim Beam bourbon. The and eDiaries. accessible format. These solutions should company’s partners automates clinical trial strict definition. For example, how can you the effect that manufacturers are now striv- company’s use of Wonderware technology These solutions must foster collaboration get the right information to the right people protocol documentation, reducing the time compare the lifecycle of a mobile phone with ing even harder to protect their margins by has been a major factor in achieving greater among remote clinical researchers and ease – exactly when they need it. They should be and resources needed to maintain regulatory that of a T-shirt or a duvet? And how does a accelerating the supply chain. Shorter replen- control of its production processes as it the exchange of data across technological flexible, familiar, and easy to use, so clinical compliance. Global teams update documents bar of chocolate fit into this scheme? ishment time and the need to control costs, strives to maintain consistency while effi- boundaries. To manage these important and collaborators anywhere in the world can using a shared workspace that fosters real-time Consumers might have a different attitude combined with the increasingly global nature ciently meeting increasing demand. complex relationships, life sciences firms need manage and share information in real time – collaboration. to any one of these items. Some will treat a of compliance requirements, have cascaded For instance, the company’s engineers use solutions that are flexible yet secure, so that whenever they need to, wherever they are. Based on these technologies, vendors are fashion item as disposable, whereas others into an increasing importance given to man- Wonderware’s InTouch Human Machine intellectual property is available to just the Microsoft is a growing presence in the life creating products that can track all clinical trial might want to cherish a favourite garment ufacturing operations management. Interface software to view an intuitive right people. sciences industry, partnering with industry- activity, giving a complete up-to-the-moment for many years. Thus, it is perhaps more In particular, when it comes to manufac- graphical interface showing plant opera- Unfortunately, existing technologies use leading solution providers to enable life scorecard on the early data collected in a trial – meaningful to describe the consumer pack- turing consumer goods, reducing the make tions in real time. They can easily start and widely divergent data standards, hampering sciences firms to collect, manage, and share and providing the ability to drill down into the aged goods industry in terms of a set of con- cycle by increasing material velocity and stop any process, reset faults and monitor integration and putting crucial information the right information with the right people. details of any trial. Study managers can access sumer behaviours, rather than tying it down inventory turns can pay dividends, but it is productivity from a central console. Then, beyond easy reach. Clinical site managers The latest example of this is the company’s the right information to help them make the to a list of products. Where some manufac- also essential to maintain the quality of the before the bourbon is distilled and bottled, waste valuable time converting critical data recent agreement with Merck & Co to acquire best decisions. turers might build products for durability goods produced. Implementing the right Wonderware InBatch software enforces files into usable formats – a cumbersome step assets of Rosetta Biosoftware, a business unit Microsoft technology helps make it easy for – for example automobiles or houses – the software system, which can cope with the recipe procedures and verifies that operators that opens the door to human error. Real- of Merck subsidiary Rosetta Inpharmatics. global clinical collaborators to find, aggregate, key behaviour that best describes the market unique and changing needs of consumers execute activities in the proper sequence, time collaboration among global partners is The move will enable Microsoft to incorporate and share the right information – precisely is that of replenishment on a regular or fre- goods manufacturers, can go a long way such as sending the correct measures of impossible. genetic, genomic, metabolomic and when they need it. These solutions facilitate quent basis. toward ensuring competitive advantage. grains to specific silos, adding water to form Because information from investigative proteomics data management software into the seamless transfer of information from a What does this mean in terms of technol- Our experience of working with consumer a mash and introducing yeast. It also con- sites is poorly aggregated, study managers its recently launched Amalga Life Sciences variety of formats to one that is familiar and ogy? First of all, the needs of consumer goods goods companies at Wonderware has shown trols cooking and fermenting. For analysis can’t get a complete, up-to-date report on platform for enhanced translational research easy-to-understand. Clinical site managers manufacturers, like those of consumers, vary us the importance to manufacturers of scala- and reporting, Wonderware ActiveFactory an entire trial. This means managers lack the capabilities. In addition, Microsoft will are freed from burdensome data-crunching greatly. But key to those needs are inven- ble, configurable software solutions for man- software is integral to the system, enabling information they need to make their best establish a strategic relationship with Merck chores, reducing the cost of data entry and the tory and process management. However ufacturing execution systems that feature a trouble-shooting and rapid identification decisions about whether to continue or halt a to enhance the Amalga Life Sciences platform risk of human error. quickly the consumer replaces them, con- complete set of functional capabilities for of plant inefficiencies as trends are identi- trial or possibly modify its protocol. Without to meet emerging pharmaceutical research This blend of familiar and efficient sumer goods are subject to rapid depletion. consistent and effective execution of opera- fied quickly and reports are prepared and a standard technology platform, clinical trial needs. technologies enables clinical researchers Whether it is a perishable snack food or a tional activities. Leveraging the ArchestrA exported to Microsoft Excel. “This agreement establishes a stable to foster secure, real-time communication high fashion item, entire warehouses can software architecture, Wonderware manu- Nathan Crosley, operations manager for and sustainable platform for the Rosetta among global investigators, providing them quickly be emptied of their stock, and no facturing execution systems are completely bottling at Beam Global, sums up the impor- Biosoftware technology,” comments Rupert with a shared workspace where they can safely manufacturer wants to be left unable to scalable and configurable, enabling a unique, tance of this integrated approach: “In regards Vessey, vice president of Merck Research exchange information. It gives study managers fulfil customer demands, or expectations of incremental approach to operational to metrics, what we’re seeing is a consist- Laboratories. “In addition, we look forward to all the information they need to make their quality. improvements where low-risk deployment ency in throughput,” he says. “Through the collaborating with Microsoft to develop new best decisions about continuing or halting High performance organisations such as of increased application functionality can be trending information, we’re able to tell when bioinformatic solutions to enable and expedite a clinical trial, or possibly adding a protocol consumer goods manufacturers are now realised one step at a time. problematic areas arise. And by having that drug discovery and development.” amendment for a specific trial. leveraging their IT capabilities to selectively For consumer goods manufacturers, information readily available and having it “The newly combined offering resulting Leveraging technology in this way, to integrate important operational aspects of Wonderware Factelligence technology can automated, we’re able to take preventative from this collaboration will enable customers reduce the risk of error and enhance their organisations; to extend their enterprise deliver the tighter production scheduling and action and maintain a consistent operation.” to improve the management and analysis of collaborative research, can help to prevent to suppliers, vendors and customers; and dispatching capabilities that enable consumer In an industry as diverse and fast moving genomic, biological and research data, helping costly mistakes such as continuing with a to create execution speed, agility, maintain goods manufactures to optimise queue as consumer goods manufacturing, competi- to bring life-saving drugs and therapies to clinical trial that is not delivering the desired quality and measure actual performance. management. Manufacturers can set per- tive differentiation results from a combina- market faster and accelerate the realisation of results when resources could be diverted to In these organisations core processes product parameters for equipment set-up, tion of speed, quality and consistency. personalised medicine,” adds Peter Neupert, focus on a more fruitful investigation. Life- include three main activities: generating and carry out in-line quality measurement, Leveraging IT to ensure efficient manage- corporate vice president of the Health saving drugs can be brought to market quickly demand, supplying demand, and planning maintaining control and specification limits ment of materials and processes can help to Solutions group at Microsoft. and safely, with the confidence that all and managing the enterprise. In an industry by product. In addition, real-time material generate demand, ensure customer satisfac- Systems built on the Microsoft platform compliance obligations have been met. characterised by low margins, continuous tracking, reporting consumption as it occurs tion and deliver competitive advantage.

48 onwindows.com 49 in practice in practice apparel: brown shoe automotive: john deere forestry

Walking the walk John Deere Forestry streamlines info

PTC’s FlexPLM solution was key to improving collaboration and visibility John Deere Forestry streamlined production of technical documents with CCC Group’s within product development for footwear firm Brown Shoe MultiMaker publication platform

rown Shoe is a US$2.3 billion footwear and reduce development times. ohn Deere Forestry is one of the world’s leading company with global operations. Its retail Brown Shoe uses FlexPLM to connect the manufacturers of forestry equipment. In 2005, as Bdivision operates the 1,100-store Famous development of its line calendar, the structure Jthe company was engineering its innovative E-series Footwear chain, as well as over 300 speciality retail of line planning/sample planning, and the forestry machines, it realised that the tools it used to stores in the US and Shoes.com, its e-commerce management of product specifications in one produce technical documentation were outdated. subsidiary. Through its wholesale divisions, Brown system that is accessible to everyone involved As they were already busy with daily support work, it Shoe owns and markets leading footwear brands in the process. It offers the company critical was difficult for the support team find time to help the including Naturalizer, LifeStride and Via Spiga; visibility for planning and budgeting, and documentation group keep all the manuals updated it also markets licensed brands including Franco enables product developers to focus on creating and provide information for the company’s dealers and Sarto, Dr Scholl’s, and Barbie, Fisher-Price and great footwear for consumers. customers. In addition, rather than creating new and Nickelodeon character footwear for children. “Ultimately, we expect FlexPLM to enable valuable information, the documentation group spent a As the first step in implementing its enterprise- Brown Shoe to be an even better partner lot of its time doing administrative work required by the wide information technology initiatives, Brown to retailers, factories and suppliers, while company’s old-fashioned authoring tools. A simple change Shoe wanted to improve collaboration and enhance introducing trend-right footwear into the in the content could mean hours of work with manuals for visibility within its global product development marketplace,” says Dan Friedman, the different models and different language versions. process, from concept through to commercialisation. company’s senior vice president for product John Deere Forestry wanted a comprehensive Harvesters have been equipped with Windows The company’s product development team across and sourcing. “This solution is designed to documentation process to save time and money in PCs for years, and increasingly, forwarders also the US and China began an analysis of its systems create a more cohesive product development managing, publishing and applying the documents for have onboard computers.” and how its global supply chain could become process, which is important to managing our different purposes. It chose CCC Group’s MultiMaker Because MultiMaker publishes the material even more streamlined, efficient and disciplined business well. It is still up to our teams to put publication platform as the solution. in HTML format, users don’t need special while cutting costs. The company sought a product in the work, but we expect FlexPLM to make With CCC’s MultiMaker software, the company can software to view it. Using MultiMaker, John lifecycle management (PLM) solution that was it easier for product teams to speed up the use the same process to produce a limitless number of Deere Forestry has improved the production of created specifically to serve the needs of the footwear development process, obtain visibility at every different documents from the same material. Updates to its information and training materials. There is industry. step and streamline one system for planning.” the source material have to be made only once and the new better management of different language versions, Following an extensive review, Brown Shoe “PLM is one of the fastest-growing areas of information is then made available to all user and service and because the information is always up to selected and implemented FlexPLM, from technology investment in the footwear and manuals, training materials and onboard help systems. date, quality has also improved. In addition, the manufacturing software and services solutions apparel industry because of its ability to deliver The material is available faster, and information is always company enjoys shorter documentation cycles provider and Microsoft Gold Certified Partner product development efficiencies,” said up-to-date and available in one location in a high-quality, and cost savings. The documentation process is PTC, because it supports footwear industry best Kathleen Mitford, vice president of vertical standardised format. The same information can be used more straightforward, with fewer errors, and the practices, offers global access to a centralised library market strategy at PTC. “Brown Shoe for different needs quickly, easily and flexibly. materials are available quicker. with version control, provides the ability to manage, understands the value of PLM because it offers “In the past, our training materials were PowerPoint “Our cooperation with CCC has moved our streamline and reduce product development cycles process standardisation that can maximise presentations available typically only in English,” says documentation to a totally new level,” concludes and enables Brown Shoe to easily connect and collaboration across the business. We are happy Sami Törmä, technical information manager for product Törmä. “With CCC’s expertise we are now able communicate with its global suppliers and factory to work with Brown Shoe and offer our support at John Deere Forestry. “Technical training for to produce material efficiently to several partners. expertise to help it achieve its strategic dealers was based purely on instructor-led classroom different interest groups with the same Based on PTC’s Windchill technology, objectives.” sessions, often involving translation to the audience. Now, documentation process.” FlexPLM is an intuitive, Web-based solution that HTML courses created with MultiMaker are offered on streamlines communication, tracks milestones, the Internet through our global training portal, John Deere pre-empts performance bottlenecks and provides Brown Shoe University. We can also create the test part of the online John Deere Forestry instant visibility throughout the product www.brownshoe.com training module directly with MultiMaker, enabling a lot www.deere.com development value chain. Highly scalable and of different question types.” Industry: Automotive fully configurable, it enables global product Industry: Apparel Automation support materials, which were Country: US, global Country: Finland teams to work more efficiently and productively. previously available only in PDF format, can now be Solution: Product lifecycle management Solution: Documentation authoring software The solution delivers a single product lifecycle effectively viewed on the onboard PC display. “We Partner: PTC Partner: CCC Group management (PLM) platform to Brown Shoe, and Technology: FlexPLM, PTC Windchill have built integration between our TimberMatic Technology: MultiMaker publication platform, Microsoft Windows is expected to enable the company to gain early automation systems and the support information,” visibility into its product development processes, explains Törmä. “Our cut-to-length machines improve collaboration, effectively manage costs include a lot of highly advanced technology.

50 onwindows.com 51 in practice automotive: kleyn international trucks

Driving efficiency

When Kleyn International Trucks needed to make better use of its information, Jet Reports provided the solution

leyn International Trucks is one of the world’s and easily. “Some years ago we noticed that largest trading companies in used commercial our organisation needed more information, Kvehicles, with 100 staff and an annual such as trend analysis,” says van Drenth. turnover of f165 million. The organisation sells “During our investigations into suitable tools, 8,000 vehicles on a yearly basis. we came across many solutions that were too Kleyn wants to be the world’s leading distribution expensive, and difficult to work with. Through network for used commercial vehicles. Its head our partner Watermark, now Qurius, we were office is located in Vuren, the Netherlands, where all directed to Jet Reports.” vehicles are examined for a test report. Kleyn is thus According to van Drenth, it is imperative the only supplier of used commercial vehicles that for the organisation to know the actual status provides complete information about the technical of purchases, sales and delivered vehicles at state of its goods. any time. “As a capital-intensive company it Kleyn is a progressive company where logistics is important to keep the considerable tension and communication are playing a major role in its within these three groups extremely well- business growth. “Kleyn is an international player balanced and under control,” he says. that grew dramatically in the early 1990s,” explains The Jet Reports solution enabled the Reinier van Drenth, the firm’s ICT manager. “We company to generate and use information in do business with 110 countries and are one of the a more relevant way to support its business biggest dealer-independent trading companies for goals. “Jet Reports works independently from used commercial vehicles in Europe.” underlying software programs,” explains Unsurprisingly, Kleyn Trucks relies heavily on van Drenth. “With the Jet Reports for Open being able to access and act on information quickly Database, we can generate reports from several technologies, including Microsoft CRM. In the future, this will keep us flexible in the front and back office; even if we decide to work with another enterprise resource planning system. As a matter of fact, Jet Reports supports our goal to increase efficient financial management. The CFO is fully focused on the management information he obtains from Jet Reports.” Van Drenth continues: “Jet Reports led assignably to savings. That is the first thing we see back in the financial policy. There we are able to obtain more information from our system using less manpower. Another nice matter is the low purchase price.”

Kleyn International Trucks www.kleyn.com

Industry: Automotive distribution Country: The Netherlands Solution: Reporting and information management Partner: Jet Reports Technology: Jet Reports for Open Database, Microsoft CRM

52 onwindows.com in practice in practice high tech: metabo thunder bay

Globally networked Information flows for water plant

Metabo is connecting its head office ERP environment to its worldwide When the City of Thunder Bay built a lake-to-lake water treatment plant, Wonderware subsidiaries with Microsoft Dynamics NAV provided the technology to ensure its efficient management

ower tool manufacturer Metabo has over 25 processes are mapped within this, enabling he City of Thunder Bay is a growing sales subsidiaries worldwide. The company’s the group to offer the same high standard community on the shores of Lake Superior Phead office in Germany uses an SAP solution of customer service at every office. “The Tin Ontario, Canada. In order to provide for corporate controls, but this ERP system is too baseline system provides the processes as a safe drinking water and protect the environment, large for its subsidiary sales offices. Following an template, giving us a very good resource for Thunder Bay decided to implement ‘lake-to- investigation of options that would integrate easily implementing our work processes according lake’ water management – taking water from with the SAP technology while delivering a global to a uniform standard globally,” explains Lake Superior through the treatment process to support network with the flexibility and scalability Alexander Lutz, ERP subsidiaries team leader the distribution system, and then back through needed to map current and future corporate at Metabo. “This is one of the central added the pollution control plant before returning it to processes, Microsoft Dynamics NAV emerged as values of our homogenous ERP structure.” the environment. It built the Bare Point Water the most suitable solution. Metabo chose Dynamics As strategic core partner, KUMAvision Treatment Plant using an advanced ultra-filtration NAV specialist KUMAvision as its implementation also supports Metabo with CRM. “It is very system to purify the city’s water while expanding partner. important to us that the CRM functions are daily capacity from 14 million gallons to 25 million Metabo is applying uniform global processes accepted and supported by the employees”, gallons (53-95 million litres). across the group using a hub-and-spoke mix of says Lutz. The great advantage of Dynamics Finding a supervisory control and data acquisition centre can see real-time representations SAP solutions at its head office and Dynamics NAV NAV is that the CRM module constitutes a (SCADA) system, that could meet the current of the water moving through the facility. in the subsidiaries. The system enables automated functional extension within the existing ERP and future needs of the new facility, was crucial. Scada terminals enable access to the workflows through an electronic data interface. environment. This integration provides the Bare Point required accurate, real-time data system throughout the plant. Wonderware Information such as product data is stored and flexibility needed to tackle an efficient global gathering regardless of location; data recording SCADAlarm notifies employees – both on the updated centrally and electronically replicated to rollout before the end of this year. and logging; alarms for threshold conditions; and SCADAlarm screen and a plant-wide alarm the subsidiaries without manual intervention. Sales “CRM must not be an end in itself – its secure information storage in an easy-to-use system system – if a reading is out of a predetermined offices create orders electronically using NAV, and tangible role is to support our sales objectives,” that could provide comprehensive reports. After range. Redundant servers securely store plant the head office system automatically retrieves the explains Lutz. That’s why care is also taken evaluating the options, Thunder Bay chose a solution data for retrieval in the event of a failure, while relevant data and posts the process as a sales order. at Metabo, using the business intelligence from Wonderware. Wonderware Historian’s reporting capabilities The systems automatically exchange the necessary features of Dynamics NAV, to ensure that an The Bare Point plant is controlled by a Microsoft enable management to maximise plant documents, such as delivery note and invoice, via expedient sales measure can be derived from Windows-based system utilising Wonderware efficiency and accelerate expansion plans. electronic data transfer. each function. As a result, an intelligent mix of Terminal Services software located in the operations Return on investment has come in record Concealed behind this smooth workflow is contact management, visit preparation and visit centre of the main plant. Wonderware InTouch time. Real-time reporting has enabled more a group-wide uniform baseline system, which reports has emerged. “This process also results Human Machine Interface software forms the core of effective regular maintenance for reduced KUMAvision developed based on the Microsoft in a communication improvement between the solution, while Wonderware Historian provides a downtime, and historical trending reports have Dynamics NAV standard. Metabo’s individual office and field staff,” says Lutz. high-performance, real-time and historical database led to greater visibility and increased KUMAvision has worked with Metabo for to integrate the operations centre with the plant operational efficiencies. The biggest ROI is seven years. “Since the beginning of our floor. As an extension of Microsoft SQL Server, anticipated as remote stations are added. collaboration we have benefited from ever- it collects comprehensive operating statistics and Automation Now expects development time competent and consistently flexible integrates these with event, summary, production for these to be halved, realising efficiencies and consulting,” concludes Lutz. and configuration data. For desktop-based analysis cost savings during expansion. and reporting, Wonderware ActiveFactory software – part of the Wonderware ArchestrA architecture – was Metabo designed into the system. Process engineers can spot City of Thunder Bay www.metabo.com trends in real time and prepare historical reports, www.thunderbay.ca which can be exported to Microsoft Excel. Industry: Water supply Industry: Power tool manufacture The solution’s intuitive interfaces enabled Country: Germany/worldwide Country: Canada rapid design, installation and testing. Canadian Solution: Hub-and-spoke ERP system Solution: Supervisory control and data acquisition system system integrator Automation Now, supported by Partner: KUMAvision Partner: Wonderware, Automation Now Technology: Microsoft Dynamics NAV Wonderware Canada East, ensured that Bare Point Technology: Microsoft Windows, Wonderware Terminal Services, was operational within one year. InTouch Human Machine Interface, Historian, ActiveFactory, SCADAlarm Today, engineers enjoy end-to-end control of plant processes, while employees in the operating

54 onwindows.com 55 interview john dyck

Plant floor takes centre stage John Dyck, chairman of the Manufacturing Execution System Association (MESA) explains the coming importance of the manufacturing shopfloor and its relation to enterprise work processes

landscape need to work together to better understand the complexities of the workflows on the shop floor “Perhaps the economic and how technology must be applied to identify challenges we’re facing will constraints, provide meaningful and standardised metrics, and dramatically cut costs. The best practices of prompt us to think differently, the enterprise players need to marry with the wealth of and to shine the spotlight on value uncovered and harnessed by the plant players for so many years, and we’re proposing that 2009 be the year some of the less glamorous but when the plant floor finally arrives at centre stage. The high-value solutions that can brightest minds of industry (yes, from operations and consistently and dramatically IT) and academia must join to focus their attention and budgets on this great challenge. cut costs, reduce waste and Perhaps the economic challenges we’re facing will reshape our work processes to prompt us to think differently, and to shine the spotlight on some of the less glamorous but high-value solutions be more effective” that can consistently and dramatically cut costs, reduce waste and reshape our work processes to be more effective. MESA is the largest body of production and operations management thinkers and doers in the ould 2009 be a transformative year for world, and there’s no organisation better suited to manufacturing? At MESA International, we say: facilitate this crucial dialogue. Our board of directors has CYes! We suggest that it’s time for the shopfloor challenged our leadership teams to meet the challenges – and its ability to make enterprise work processes of 2009 with programmes, materials and tools to show more responsive and reliable – to get the attention it’s our membership ways to dramatically cut costs while been lacking for so long. After all, that’s where most of improving productivity in manufacturing. We ask the value creation actually happens. Sound like a pipe manufacturers to engage with us, and to engage their dream? Let’s look a little deeper... peers and leadership teams with us in our efforts to work Large-scale enterprise IT rollouts became possible together toward these vital objectives. largely because of IT’s long-term view of standards and We look forward to working with Prime over the their focus on implementation process rigour. Along coming months to achieve these goals. the way, they learned how to create, justify, procure, implement and sustain large-scale projects. The shop floor, on the other hand, has been characterised About MESA by a tendency to ‘build it’ and ‘fix it’ at the lowest possible cost and with speed as the imperative, making standardisation an elusive goal and process rigour a MESA’s mission is to provide industry professionals luxury few could afford. with innovative thinking and leadership to drive These dynamics have influenced the evolution of two operations excellence. Through member-driven unique systems integration (SI) ecosystems – one that working groups, industry events and educational serves operations (plant-centric) and one that serves IT forums, MESA enables members to connect, (business-centric). They operate in different realms, at contribute, cultivate understanding, and exchange very different price points. There’s another small group strategies to facilitate operations excellence. of SIs focused on the operations management space between the shop floor and the enterprise, but few have From these events, MESA generates white papers, been able to scale due to the differing dynamics of the podcasts, guidebooks, research studies, Web casts two worlds they bring together, leaving us with too small and other resources that accelerate learning and a community of these valuable partners. knowledge transfer. MESA also provides best We at MESA contend that for manufacturing to take practices guidance to drive greater operations a significant step forward in terms of productivity and performance and profitability. cost competitiveness – in spite of, or perhaps because of difficult economic times – all of the constituents in this

56 onwindows.com