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Lean, Six Sigma ation, Quality & IT IT & Quality ation, & MES Dictionary

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Lean, Six Sigma & MES Dictionary ATS White Paper

Having trouble understanding all terms related to Lean, Six Sigma and MES? We have selected the most commonly used words for your reference. This dictionary can be found also on the website www.ats-lean-six.com .

21CFR Part 11 A rule created by the FDA to facilitate introduction of electronic technology in the ation, Quality & IT IT & Quality ation, process of FDA submissions as well as in manufacturing and production. Part 11 was created to provide common sense guidelines on how to implement electronic equivalents of audit trail and signature processes previously ATS manufacturing solutions help since 1986. performed on paper.

Adaptive Manufacturing 5 Whys Adaptive Manufacturing is a product paradigm Methodology used to determine root cause of where a design concept for automation is tied a defect or problem. This methodology uses to a concept 'production to product'. It contains question-asking to explore the cause/effect the integration of all systems of the production relationships underlying a particular problem. and business level, e.g. SCADA, LIMS, Historian, SPC, MES, up to ERP, SCM, or Data Warehouse. Adaptive production is a 5-Why Analysis large-scale integration, an allocation of See 5 Whys. intelligent services: Data and information from production and business systems get merged on a common platform to combine with each 5S other and provide significant KPIs.

Kaizen methodology used for organizing workplaces (e.g. in shop-floors or offices). Affinity diagrams Target of 5S is to improve workplace morale, safety and efficiency. Phases of 5S are: Seiri Business tool for organizing data and ideas. (Sorting), Seiton (Straighten or Set in Order), By Affinity diagrams, you can sort ideas from Seiso (Sweeping or Shining or Cleanliness), Brainstorming into groups for review and Seiketsu (Standardizing) and Shitsuke analysis. (Sustaining the discipline). Agent-based maintenance Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution 7 Lean Wastes An intelligent agent is a software module The 7 Wastes are at the root of all unprofitable capable of flexible autonomous action in a activity within the organization and they are dynamic environment. Agents have sensors to following: 1. Defects, 2. Overproduction, gather information, reasoning to evaluate it 3. Transportation, 4. Waiting, 5. Inventory, and the authority to act. Agents allow service 6. Motion, 7. Processing. engineers to remotely monitor system and

Independent product behavior and to act immediately to prevent critical scenarios. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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AIQ (Average Incoming Quality) management process by which raw materials and production capacity are optimally Average quality level going into the inspection allocated to meet defined demands. point.

AQL (Acceptable Quality Level) Andon The worst tolerable process average in Tool for notification of quality or process percentage or ratio that is still considered problem. It serves to management, acceptable. maintenance and workers.

ation, Quality & IT IT & Quality ation, ATS Inspect AOQ (Average Outgoing A solution for collecting, analyzing and Quality) reporting defect-related data in many various The average quality level leaving the production environments. inspection point after rejection and acceptance of a number of products. Automation Principle of usage of Control Systems with APC (Advanced Process other application of IT to control industrial Control) machinery and processes. Automation is reducing the need for human interventions. Indicates a combination of diverse process

control technologies. ASP is composed of different kinds of process control tools, for Autonomation example, model predictive control (MPC), statistical process control (SPC), Run2Run Also known as Jidoka. This term describes the (R2R), fault detection and classification (FDC), process of prevention against the production sensor control and feedback systems. of defective products, elimination of overproduction and focuses attention on understanding the problem and ensuring that APQP (Advanced Product same problem never recurs. Quality Planning) Framework of procedures and techniques used to develop products in industry. APQP consists of five phases: 1. Plan and Define Program, 2. Product Design and Development Verification, 3. Process Design and Development Verification, 4. Product and Process Validation, 5. Launch, Feedback, Assessment & Corrective Action. Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution

APS (Advanced Planning & Scheduling) Supporting tool within the production management to plan functions based on the

Independent MRP-II method. APS delivers work orders to the plant. It refers to a manufacturing Increase productivity with ATS to grow sharp. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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B2MML (Business to Black Belt Manufacturing Markup Stage of Six Sigma knowledge. Black Belt is Language) team leader responsible for implementing process improvement projects within the A format, a generic object model based on the business to increase customer satisfaction XML standard within ISA-95 defined levels and business productivity. environment. B2MML is an XML implementation of ANSI/ISA-95. It is meant to be a common data format to link ERP and BOM (Bill of Material) supply chain management systems (SCM) Lists materials (components or ingredients) with manufacturing systems such as control ation, Quality & IT IT & Quality ation, and is the single most important deliverable systems or MES. that an engineering team gives a

manufacturing team for the product design. At Balanced Scorecard the simplest conceptual level, the BOM is a list of each part needed to create a finished Tool, which drives performance and product. In real-world usage, however, the accountability throughout the organization. BOM is a complex collection of pieces of information and the relationship between Batch Analysis them. The BOM is also a vendor list that specifies materials planning and IT tools to analyze data related to batch corresponding expenses. production, e.g. batch composition or genealogy. Batch analysis provides a way of analyzing production performances not in Boxplot terms of time but of executed batches. Basic graphing tool that displays centering, spread, and distribution of a continuous data Benchmarking set.

Allows to discover what is the best performance being achieved, whether in your BPM (Business Process company, by a competitor, or by an entirely Management) different industry. Defines, enables and manages the exchange of the enterprise information through the BI (Business Intelligence) semantics of a business process view, which involves employees, customers, partners, Global term used to explain the ability of applications and databases. software to generate user-specific information

(via reports, graphs and charts), e.g. the performance of various aspects of the Brainstorming company and its customer relationships to Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution foster intelligent and fast decision-making. BI A method that generates ideas in a group and may also use 'role-based dashboards' and serves for problem solving. Basic rules: No balanced scorecards. The required data come idea is bad idea, every idea counts. from an integrated Data Warehouse or Data Mart. Buffer

The location between each operation in a

Independent production line that contains in-process parts.

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Typically a conveyor, roller-rack, or CML Cause and Effect Diagram (continuously-moving-line). Also known as Ishikawa diagram or Fishbone Diagram. A visual tool used to logically organize possible causes for a specific problem or effect by graphically displaying them in increasing detail.

cGMP (current Good Manufacturing Practice) ation, Quality & IT IT & Quality ation, Guidelines for the quality assurance of production processes and environments in pharmaceuticals, active ingredients and medical devices as well as foods and animal

ATS offers reliable business IT solutions. feeds.

CAD / CAM (Computer-Aided Chaku-Chaku Design / Manufacturing) Chaku-Chaku is an efficient style of production. All the machines needed to make The combination of computer-aided design a part are situated in the correct sequence and computer-aided manufacturing. CAD very close together. Each machine performs a contains all processes in which computers are different stage of production, such as turning, used for conceptual and detail design, the use drilling, cleaning, testing or sandblasting. The of wide range of computer-based tools that operator simply loads a part and moves on to assist engineers, architects and other design the next operation. professionals in their design activities. It is the

main authoring tool within PLM process and involves both software and special-purpose Champion hardware. Linking it to MES allows for closed- loop integration to e.g. maximize design-to- Stage of Six Sigma knowledge. Champions market. are responsible for holding accountability for the results, driving the vision and mission of Six Sigma into the organization, removing CAPA (Corrective and barriers to successfully implementations and Preventive Action) in resume maintaining the passion and commitments of the business units. Required quality measures that must be maintained as outlined in the 21 CFR 820.100 and 21 CFR 211.180 regulations and in ISO Change Management 8402. The purpose of CAPA is to make sure Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution Management process responsible for that the root cause of any problem is controlling and managing requests to effect addressed in order to alleviate current or changes to the business infrastructure or any future problems. CAPA steps: Identification - aspect of business services to promote Evaluation - Investigation - Analysis - Action business benefit while minimizing the risk of Plan - Implementation - Follow-up. disruption to services.

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CM (Collaborative Control Software Manufacturing) Software which is being used in various Strategy by which all appropriate individuals industrial automation applications. and organizations work together. Control System CMM (Coordinate-Measuring A device or set of devices to manage, Machine) command, direct or regulate the behavior of other devices or systems. A device for measuring the physical ation, Quality & IT IT & Quality ation, geometrical characteristics of an object. Controls Architecture CNC (Computer Numerical A method that is used to design control Control) infrastructure and processes.

Automation system. A computer controller that reads instructions and drives a machine tool. COQ (Cost of Quality) Cost of quality is the amount of money that Coding company loses because its product or service was not done right in the first place. Coding means implementing rules that are used to map elements, usually on one-to-one basis. Corrective Action The response to an occuring problem (product Communication Architecture or customer complaint).

A method that is used to design communication infrastructure and processes. CPM (Collaborative Production Management) Continuous Flow System that, based on integrated software applications, enables resource planning, A manufacturing strategy that produces a part monitoring of production processes, and re- via a Just-In-Time and Kanban production confirming real-time data to the ERP through approach. The goal is an optimally balanced plant data collection. production line with little waste, the lowest possible cost, on-time and defect-free production. CRM (Customer Relationship Management) Continuous Improvement

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution A strategy that puts the customer at the Also known as Kaizen. A methodology that design point. CRM is designed to understand adopts new activities and eliminates those, and anticipate the needs of current and which are found to add little or no value, to potential customers. increase effectiveness by reducing inefficiencies, frustrations, and waste. Cycle Time

The total time from the beginning to the end of

Independent your process, as defined by you and your customer. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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Cycle Time Variation DCS (Distributed Control A proven metric and philosophy for continuous Systems) improvement with the aim of driving down the Distributed Control Systems are an element of deviations in the time it takes to produce a manufacturing system. They are used in successive units on a production line. industrial and civil engineering applications to monitor and control distributed equipment with remote human intervention. A DCS is generally digital and consists of field instruments. These instruments are analogically or digitally connected to computer ation, Quality & IT IT & Quality ation, buses or electrical buses via muItiplexers/demuItiplexers. A connection from distributed or central controllers to the HMI or control consoles is being implemented by buses.

ATS can help you to optimize your processes. Defect Data Acquisition Any type of undesired result. A failure to meet one of the acceptance criteria of your The process of sampling of real world physical customers. A defect is a failure to conform to conditions and conversion of the resulting requirements. One of 7 Lean Wastes. samples into digital numeric values that can be manipulated by a computer. Defects Inspection Data Collection Process of searching for defects during various phases of development or production. A term used to describe a process of preparing and collecting data. The purpose of data collection is to obtain information to keep Demand-driven Manufacturing on record, to make decisions about important Manufacturing plans and operations triggered issues. by customer demand signals, ensuring shorter production, purchasing and supply chain Data Entry paths.

See Data Acquisition. Design-to-Manufacture Data Mining Concept based on a strong integration between product engineering/development

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution Integrated process for detecting patterns and the manufacturing process. within a database or data sets through various methods such as the extraction of potentially useful information. Deterioration The process of growing worse, or the state of having grown worse.

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Deterioration Prevention check-out, storage and retrieval of electronic documents. A method of prevention against worsening the processes or conditions. DNC (Distributed Numerical Digital Manufacturing Control) Common manufacturing term for networking Digital Manufacturing is an integral component CNC (computerized numerical control) of a full broad-based PLM strategy. It creates machine tools. On some CNC machine solutions that effectively support collaborative controllers, the available memory is too small manufacturing process planning among

ation, Quality & IT IT & Quality ation, to contain the machining program (for engineering disciplines, such as design and example machining complex surfaces), so in manufacturing - based on best practices and a this case the program is stored in a separate full digital product definition. computer and sent directly to the machine,

one block at a time. If the computer is Discrete Manufacturing connected to a number of machines, it can distribute programs to different machines as Discrete manufacturing varies from process required. DNC networking or DNC manufacturing. In discrete manufacturing, the communication is always required when CAM manufacturing floor processes orders to build programs are to run on some CNC machine for example toys, medical equipment, controls. computers and cars. Discrete manufacturing is mainly characterized by individual or separate unit production. Document Control

A computer system used to track and store Dispatching Production Units electronic documents and/or images of paper documents. A procedure for assigning employees (workers) or machines to products. DPMO (Defects Per Million DMAIC (Define, Measure, Opportunities) Analyze, Improve, Control) Also known as PPM. The average number of defects per unit observed during an average A process improvement using Six Sigma production run divided by the number of methodology. DMAIC is an acronym for five opportunities to make a defect on the product phases: 1. Define, 2. Measure, 3. Analyze, 4. under study during that run normalized to one Improve, 5. Control. million.

DMS (Document Management DPO (Defects Per Opportunity)

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution System) Represents total defects divided by total Software applications designed to manage all opportunities. types of documents, including scanned, electronic and paper documents. All documents are stored in a single repository DPU (Defects Per Unit) that facilitates all actions that need to take Represents the number of defects divided by place from search and retrieval to email and the number of products. Independent printing. They commonly provide check-in, The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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DSS (Decision Support System) EAI (Enterprise Application Automated system that supports the process Integration) of decision-making. It enables an employee, Concept for the company-wide integration of typically a manager, to make better and faster business functions along the Value Chain. decisions based on the analysis of collected There are different methods such as Data data. Integration Enterprise Bus, Application Integration Message Broker, and Process DTM (Downtime Management) Integration Process Management Tools.

Strategy used by manufacturers for plant ation, Quality & IT IT & Quality ation, optimization, monitoring and ultimately EBR (Electronic Batch Record) minimizing downtimes of equipment tool due Batch recording through a computerized to failure (both plant and HW/SW) or system that specifies and controls scheduled maintenance, with the scope of manufacturing operations and documents all reducing loss in effectiveness. processes and quality information, providing instant visibility and facilitating retrospective DW (Data Warehouse) analysis of batch manufacture.

Data warehouse is not an operational system but the main repository of an organization's EDI (Electronic Data historical data: its corporate and Interchange) manufacturing memory. It contains the raw material for management decision support Method for exchanging data between systems systems. Users can perform complex queries based on a set of standardized specifications and analyses by accessing such a data using networks such as VANs or the Internet. warehouse responsible for the data mining. It As more and more companies are connected is crucial to access the information without to the Internet, EDI is becoming increasingly slowing down the operational systems. The important as an easy mechanism for data warehouse is optimized for reporting and companies to buy, sell and trade information. analysis. ANSI has approved a set of EDI standards known as the X12 standards.

Efficiency A term indicating the optimization of productivity. It means enhancing productivity, i.e. less rework, less errors and optimal use of resources.

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution EMI (Enterprise Manufacturing Intelligence) Also known as Manufacturing Intelligence. A solution used to bring a corporation's manufacturing-related data together from many sources for the purposes of reporting, analysis, visual summaries, and passing data Independent between enterprise-level and plant-floor Your data reliably stored on safe servers from ATS. systems. As data is combined from multiple The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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sources, it can be given a new structure or defects by preventing, correcting, or drawing context that will help users find what they attention to human errors as they occur. need regardless of where it came from. The primary goal is to turn large amounts of manufacturing data into real knowledge and FDA (The US Food and Drug drive business results based on that Administration) knowledge. Agency of the United States Department of

Health and Human Services responsible and Enterprise Gateway setting the most important regulations and guidelines for food (human and animal), A solution used to bring a corporation's

ation, Quality & IT IT & Quality ation, dietary supplements, drugs (human and manufacturing-related data together from animal), cosmetics, medical devices (human many sources for the purposes of reporting, and animal) and radiation emitting devices analysis, visual summaries, and passing data (including non-medical devices), biologics, between enterprise-level and plant-floor and blood products in the United States. systems. As data is combined from multiple sources, it can be given a new structure or context that will help users find what they FIFO (First In, First Out) need regardless of where it came from. The A way of organizing and manipulation of primary goal is to turn large amounts of inventory relative to time and prioritization. manufacturing data into real knowledge and FIFO ensures that the oldest inventory (first in) drive business results based on that is used first (first out). knowledge.

ERP (Enterprise Resource Fishbone Diagram Planning) Also known as Ishikawa diagram or Cause and Effect Diagram. A visual tool used to A system that is used to manage and logically organize possible causes for a coordinate all the resources, information, and specific problem or effect by graphically functions of a business. displaying them in increasing detail.

FMEA (Failure Mode and Effects Analysis) An approach used to identify possible failures of a product or service and then determine the frequency and impact of the failure.

FPY (First Pass Yield) Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution The number of units coming out of a process ATS solutions reduce paperwork & failures. divided by the number of units going into that

process over a specified period of time. Fail-Safing Also known as Mistake-Proofing or Poka- FTY (First Time Yield) Yoke. A mechanism in manufacturing process The number of good units produced divided by Independent that helps an equipment operator avoids the number of total units going into the mistakes. Its purpose is to eliminate product process. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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GMPlGxP (Good Manufacturing Practice) Set of regulations, codes and guidelines for the manufacture of drugs (known as medicinal products in Europe), medical devices, diagnostic products, food products and Active Pharmaceutical Ingredients (APIs). The term 'current' Good Manufacturing Practices or 'cGMPs' refers to the way, the pharmaceutical product regulations are called in the USA in ation, Quality & IT IT & Quality ation, order to emphasize that the expectations are dynamic.

Green Belt Stage of Six Sigma knowledge. Green Belt is ATS Consultancy for manufacturing & business. future Six Sigma project leader. Green belt carries out Six Sigma projects of relatively low Gantt Chart complexity, carefully defined, without a full- time involvement of a Black Belt. A reporting tool used to illustrate a project

schedule. This chart demonstrates the work breakdown, total duration needed to complete GUI (Graphical User Interface) tasks, as well as percentage of completion. A connection between the computer and the user employing a mouse and icons to allow Gemba the user to make selections by pointing at icons and buttons and clicking the mouse to The place where value is created. In execute actions: drag-and-drop actions are manufacturing, the gemba is the factory floor. also supported. Computer interfaces are The idea of gemba is that the problems are normally associated with operating systems visible and the best improvement ideas will like Windows and Macintosh where a mouse come from 'going to the gemba'. can be used to navigate the screen. A GUI

allows the use of graphics such as icons and Genchi Genbutsu buttons to execute actions and also uses drag-and-drop to perform actions. Means 'go and see for yourself'. It refers to the fact that any information about a process will be simplified and abstracted from its context when reported.

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution Genealogy Genealogy allows the user to track backwards thru the manufacturing history of a product batch to the original materials used to manufacture the batch and thus rebuilds the manufacturing history of a product. Independent Minimize potential hazards with ATS supervision. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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HACCP (Hazard Analysis and analysis functions such as Statistical Process Control (SPC). Critical Control Point) Systematic approach to food safety that addresses physical, chemical and biological HMI (Human Machine Interface) hazards as a means of prevention rather than Human Machine Interface (HMI) is an operator finished product inspection. HACCP is used in control and monitoring system that interfaces the food industry to identify potential food between machine operator and machine. It safety hazards. The system is used at all works with a dedicated electronic operator stages of the food production and preparation panel and computer based visualizations. As processes. timely access to accurate information is critical ation, Quality & IT IT & Quality ation, in making the right decisions, the importance of a technology called human machine Hanedashi interface has been increased. Auto-eject devices that unload the part from the machine once the cycle is complete. Horizontal Integration of the Manufacturing layer Heijunka Concept of Horizontal Integration that Also known as Production leveling. A describes the combination of companies of the technique that allows to produce intermediate same production stages to with an integrative goods at a constant rate, to allow further management. This enables a common supply processing to be carried out at a constant and of raw material and thus a common strategy to predictable rate. the market all the way to the finished products.

Histogram Hybrid Industry A basic graphing tool that displays the relative Manufacturing processes in the Process frequency or occurrence of continuous data Industry are often 'hybrid'. They are values showing which values occur most and characterized by primary process activities least frequently. such as reacting, mixing or separating and are combined with discrete applications of Historian secondary processes, inbound or outbound. Hybrid industries are also characterized by A group of IT components for managing mixed automation technologies. process data and plant information across the enterprise for time-oriented KPI calculation, quality assurance, reporting, certification, statistical analysis and performance monitoring. Historian is the management

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution system for process and production data (PIMS). Historian covers the three main activities related to plant information management: Production Data Collection, Production Performance Analysis and Production Tracking and exploits the general concept of Plant Intelligence. Main features ATS offers reliable services for any kind of industry. are the collection of all process and production Independent data, calculation of Key Performance Indicators (KPI), reporting and advanced The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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IEC 61131 collecting, analyze and report defect-related data in applications where part and assembly A standard for Programmable logic controllers defect information is critical to the production (PLCs). of quality parts.

Implementation Leader Interoperability A manager responsible for implementation of The ability of a system or a product to work processes or changes. with other systems or products without special integration efforts on the part of the customer. This generally requires the compliance with ation, Quality & IT IT & Quality ation, Industrial Computer common standards. The collaborating systems A computer specifically designed to reliably or products become compatible. operate in harsh usage environments and conditions, such as strong vibrations, extreme temperatures and wet or dusty conditions. Inventory Goods and materials held available in stock by Industrial Engineering a business. One of 7 Lean Wastes.

A branch of engineering that concerns with the development, improvement, implementation Inventory Reduction and evaluation of integrated systems of Part of JIT (Just-In-Time) philosophy. JIT people, money, knowledge, information, considers inventory as a waste, which has to e equipment, energy, material and processes. reduced. By inventory reduction cost are reduced significantly. Industrial PC A computer specifically designed to reliably ISA-88 operate in harsh usage environments and ISA-88 is the international standard for conditions, such as strong vibrations, extreme production flexibility that defines terminology temperatures and wet or dusty conditions. specific to batch control systems. The standard provides models and terminology Inspection that support the structuring of production processes and the development of control for An organized examination or formal evaluation equipment. exercise. Inspection can be done by using measurements, tests, and gauges applied to certain characteristics concerning an object or ISA-95 activity. The results are usually compared to ISA-95 is an international industry standard specified requirements and standards for that was defined by the Instrument Society of

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution determining whether the item or activity is in America (ISA, founded in 1945 in the USA) to line with these targets. set standards for automation. ISA-95 defines the terminology between an ERP system and Inspection Software a MES framework down to the Control level. This standard has been developed for global Attribute data collection software, which is manufacturers to be applied in all industries designed to reduce the costs associated with and in all sorts of processes (batch,

Independent scrap, rework, warranty claims and production continuous, discrete). Part of that framework bottlenecks in many different fields of relies heavily on the World Batch Forum manufacturing. Inspection software allows (WBF) standard, called the BZMML, which The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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provides the appropriate context around the attention on understanding the problem and data. As long as the ERP system and the ensuring that same problem never recurs. MES system both comply with these standards, they speak the same language. This standard helps address questions such JIS (Just-in-Sequence) as which tasks can be executed by which Scheduling technique that delivers to the function and what information must been manufacturing lines the needed parts used for exchanged between the applications. production not only just when they are needed (Just-In-Time) but also in the correct sequence Ishikawa diagram required by the production orders. ation, Quality & IT IT & Quality ation, Also known as Cause and Effect Diagram or Fishbone Diagram. A visual tool used to JIT (Just-In-Time) logically organize possible causes for a A planning system for manufacturing specific problem or effect by graphically processes that optimizes availability of displaying them in increasing detail. material inventories at the manufacturing site to only what, when & how much is necessary. ISO International Organization for Standardization. ISO is also the beginning of the codes of single international standards.

ISO 9000 Series Series of standards established in the 1980s by countries of Western Europe as a basis for judging the adequacy of the quality control

systems of companies. ATS helps to improve business results.

Kaikaku A rapid change event as opposed to Kaizen, which is smaller incremental changes. Kaikaku is revolutionary while Kaizen is evolutionary.

Kaizen A philosophy or practices focusing on continuous improvement in manufacturing Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution Save your resources, increase profit with ATS. activities, business activities in general, and even life in general, depending on Jidoka interpretation and usage.

Also known as autonomation. This term describes the process of prevention against Kanban the production of defective products, A manufacturing environment, where nothing Independent elimination of overproduction and focuses is produced unless there is signal to produce. It provides an order and efficient flow of The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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materials throughout the entire manufacturing Labour Management process with low inventory and work in process. A strategic approach for employing people, developing their resources, utilizing, maintaining and compensating their services Kano Model in tune with the job and organizational requirement. A theory of product development and

customer satisfaction, which classifies customer preferences into five categories: 1. LCA (Low Cost Automation) Attractive, 2. One-Dimensional, 3. Must-Be, 4. Indifferent, 5. Reverse. An approach which promotes cost effective ation, Quality & IT IT & Quality ation, reference architectures and development approaches for production and transportation Knowledge Management that properly integrates human skill and technical solutions, includes shop floor A range of practices used in an organization to production support and decentralized process identify, create, represent, distribute and control strategies, addresses automation enable adoption of knowledge and integrated with information processing as well experience. as automation of non-sophisticated and easily

handled operations for productive KPI (Key Performance Indicator) maintenance.

Indicators with which the progress of objectives and/or critical success factors within Lead Time a company can be detected to support The amount of time, defined by the supplier important and fast decision-making. While the that is required to meet a customer request or vast majority of companies rely on ERP and demand. database management capabilities to

accomplish manufacturing enterprise tasks today, emerging technologies, such as next Leadership generation MES, manufacturing intelligence and business analytics are playing an The process of social influence in which one increasing role to realize mature real-time person can enlist the aid and support of others manufacturing KPI solutions for continuous in the accomplishment of a common task. improvement programs. For instance, OEE checks as one possible KPI the real machine Lean efficiency compared to the theoretical one. Such KPIs can also be standardized across Also known as Lean Manufacturing. different locations thru Manufacturing Philosophy of elimination of waste in every Enterprise level initiatives to create area of production including customer operational benchmark levels. relations, product design, supplier networks and factory management. Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution

Lean Logistics Initiative focused on eliminating all waste in logistic processes.

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Lean Manufacturing Maintenance Management Generic process management based on A strategic approach for maintenance of reduction of process variation to improve resources, according to requirements of an overall customer value. The Lean organization. Manufacturing concept tends to reduce the number of operations that do not add value to the final product, such as 'inefficient transport Management Software system' or 'repeated manual operations'. Often A software solution that helps management to the number of non-adding value operations use the company resources more effectively still exceeds 50% of the entire operations for and brings significant savings. ation, Quality & IT IT & Quality ation, manufacturing a product today.

Manufacturing Enterprise Lean Warehousing Manufacturing Enterprise systems give Initiative focused on eliminating all waste in manufacturing organizations a tool on hand to warehouses. respond to today's increasing market pressure for shorter product life cycles, higher legal and LIMS (Laboratory Information regulatory requirements, faster time-to-market, Just-In-Time (JIT) or Make-to-Order Management System) requirements and many other issues. The Software-based system that automates the manufacturer can then consider plant work processes and long-winded operations (where the products are physically administrative functions of a laboratory in R&D manufactured) as an integral part of the and manufacturing. A LIMS manages above supply chain and, more generally, as an all in process industries the complete test integral part of the corporate business routine including sample log-in, testing, re- processes. This system supports the testing and final reports. It also covers manufacturer to be more flexible and agile and functions such as stability studies, sample to orchestrate all the individual elements that management, inspection plan and test cooperate and collaborate to achieve the equipment calibration. An enterprise LIMS manufacturing targets. This way the extends this functionality thru the integration to manufacturing cycle becomes this way fully company-wide resource planning systems integrated with the corporate enterprise. including lab management, work scheduling and product release as well as trending and Manufacturing Intelligence analytics. This way, a LIMS is capable of managing the workflow in laboratories, Also known as EMI (Enterprise manufacturing optimizing the collection, analyzing and intelligence). A solution used to bring a reporting on all quality data in the laboratory, corporation's manufacturing-related data and managing and communicates the quality together from many sources for the purposes data to all involved stakeholders. of reporting, analysis, visual summaries, and Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution passing data between enterprise-level and plant-floor systems. As data is combined from multiple sources, it can be given a new structure or context that will help users find what they need regardless of where it came from. The primary goal is to turn large amounts of manufacturing data into real Independent knowledge and drive business results based Experts from ATS will help you directly on your site. on that knowledge. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

Lean, Six Sigma & MES Dictionary ATS White Paper

Material Flow specifications, equipment and facilities, processes and procedures and quality tests, The transportation of raw materials, pre- as well as personnel resources. However, fabricates, parts, components, integrated current IT infrastructures are typically not objects and finally products as a flow of ready to effectively accommodate these levels entities. of integration. There is an information and functionality gap between the production level MES (Manufacturing Execution (where products are made) and enterprise level business systems (where high-level Systems) decisions on production are made). An integrated hardware and software solution ation, Quality & IT IT & Quality ation, designed to measure and control critical Mistake-Proofing activities in the production environment. A MES is a dynamic information system that Also known as Fail-Safing or Poka-Yoke. A drives effective execution of manufacturing mechanism in manufacturing process that operations. Using current and accurate data, helps an equipment operator avoids mistakes. MES guides, triggers and reports on plant Its purpose is to eliminate product defects by activities as events occur. MES is a set of preventing, correcting, or drawing attention to functions that manages production operations human errors as they occur. from the point of order release into manufacturing to the point of product delivery of finished goods. State-of-the-art MES Motion provide and work with mission-critical Any physical movement or change in position information before, during and after production or place. One of 7 Lean Wastes. activities and also connect to other systems across the organization and supply chain via bi-directional communication. The ISA MPS (Master Production organization has defined standards regarding Schedule) the scope and character of MES and its integration into a larger company-wide IT A time-phased plan of the items and the architecture independent of a particular quantity of each that the organization intends solution vendor. to build. The main purpose is to meet marketing requirements and to use production capacity. MESA (Manufacturing Enterprise Solutions MRO (Maintenance, Repair and Association) Operations) An association of end users, vendors and Ideal method for the effective planning of all manufacturing professionals, promoting resources of a manufacturing company thru innovation and best practices sharing, with a simulation capabilities to determine material, Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution goal of delivering valuable knowledge around labor and machine requirements. operations-centric enterprise solutions.

MRP (Material Requirements MIS (Management Information Planning) Systems) Increases manufacturing efficiency by Integrated IT infrastructure that helps

Independent managing the production schedule, reducing coordinate production on a global scale and, if inventory, increasing cash flow, and delivering necessary, in real-time. Examples include products in a timely manner. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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MRP 2 – (Manufacturing with other equipment items). The OEE calculation is based on the ratio of the three Resource Planning 2) key production parameters: availability, MRP 2 is the consolidation of MRP (Materials performance, and quality with time (e.g. Requirement Planning), capacity requirements planned shift time/s). It can be viewed as the planning (CRP) and master production percentage of time that equipment would need scheduling (MPS). MRP was originally to run at its maximum speed in order to attain designed for materials planning only. When the actual output of the tool or machines. OEE labor and machine (resources) planning were acts as a measure for the control and incorporated, it became known as MRPII. management of the life cycle of manufacturing Today the definition of MRPII is generally plants. ation, Quality & IT IT & Quality ation, associated with MRP systems. OEE Software Muda Software for data collection and calculation of Japanese term for waste. Muda is an activity Overall Equipment Effectiveness. that is wasteful and does not add value or is unproductive, or un-useful. OEM (Original Equipment

Manufacturer) Mura Manufacturer that manufactures products or Japanese term for waste. Mura means components which are purchased by a unevenness, inconsistency in physical matter purchasing company and retailed under the or human spiritual condition. purchasing company's brand name.

Muri One Piece Flow Japanese term for waste. Muri means The concept of moving one workpiece at a overburden, unreasonableness or absurdity. time between operations within a workcell.

OPC (Openness, Productivity, Collaboration) System used to automatically control a process thru network connections, sensors, controllers, operator terminals and actuators. It forms a part of the Shop Floor Automation System level (PLC, SCADA, HMI, DCS...).

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution ATS knows how to measure equipment efficiency. Operation Scheduling

The purpose of scheduling is to minimize the OEE (Overall Equipment production time and costs, by telling a Effectiveness) production facility what to make, when, with which staff, and on which equipment. Calculation method that focuses on individual Production scheduling aims to maximize the items of process or manufacturing equipment efficiency of the operation and reduce costs. Independent at a finite level and allows their ’effectiveness' to be measured individually or in groups (i.e. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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Operations Intelligence Pareto Principle Critical element in production and Principle, which states that 80% of the impact manufacturing technology and an important of the problem will show up in 20% of the prerequisite for the continuous optimization causes. process in production. Via static methods (for instance SPC), stability and scalability of a process or a process step can be measured. PDefM (Product Definition Manager) Operator Interface Component that handles the creation of the Product Production Rules (PPR) that make up ation, Quality & IT IT & Quality ation, Means by which operators interact with the the group of tasks necessary to produce a system (a particular machine, device, certain product (in ERP terminology the PPR computer program or other complex tool). is also called routing). With each of these so- called product segments (PS) a rule in the Overproduction Production Modeler (PM) is associated. One or more rules of the PM correspond to each Supply over demand of products being offered PS. to the market. This leads to lower prices and/or unsold goods. One of 7 Lean Wastes. PDM (Product Data Management) Component that handles short term scheduling of work orders downloaded from ERP or APS. It schedules orders at the level of a plant or of an area and provides the tools to manually interact for the definition of the schedule, in particular thru a Gantt chart that is able to handle different scheduling scenarios.

Save money with ATS - reduce paper&doublework. PDS-I (Predictive Detailed Paperwork Scheduler The detailed scheduling is a function typical of An activity that maps the process and helps to scheduling at the plant or area level. It save data in written form. provides the functionality to support the user

(a human scheduler) for defining a feasible Pareto Chart plan of production orders. The orders are downloaded from the business level (ERP Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution A type of chart, used in statistical quality and/or APS) and have to be properly assurance, which contains both bars and a scheduled in a detailed way into a feasible line graph. The bars display the values in plan. PDS-I provides several tools for descending order, and the line graph shows supporting users in performing these actions the cumulative totals of each category, left to including project specific automatic algorithms, right. scheduling measures for comparing different scheduling scenarios, concurrent editing of

Independent different scheduling scenarios and many

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other. It is a unique proposition in the detailed PLC (Programmable Logic scheduling word. Controller) A digital computer that usually uses Performance Management microprocessors to realize the automation of Performance management includes activities industrial processes, such as the control of to ensure that goals are consistently being machinery on factory assembly lines. PLCs met in an effective and efficient manner. can also control complex sequencing. The Performance management can focus on program is stored in battery-backed memories performance of the organization, a and/or Electrically Erasable Programmable department, processes to build a product or Read-Only Memories (EEPROMs). Unlike ation, Quality & IT IT & Quality ation, service, employees, etc. general-purpose computers, PLCs are packaged and designed for extended temperature ranges, dirty or dusty conditions, Performance Monitoring immunity to electrical noise, and are Activity, which ensures that goals are mechanically more rugged and resistant to consistently being met in an effective and vibration and impact. efficient manner. Performance Monitoring can be focused on performance of the PLM (Product Lifecycle organization, a department, processes to build a product or service, employees, etc. Management) Solutions to collaborately manage all related PIMS (Plant Information activities along the entire lifecycle of a product from its conception, thru design and Management System) manufacture to service and disposal. PLM is a PIM systems collect and integrate information set of capabilities that enables an enterprise to from production processes via different effectively and efficiently innovate and sources company-wide. In the Plant manage products and related services Information Management data must be throughout the entire business life-cycle. It collected, grouped, aggregated, validated and addresses product, design-related and manipulated. It provides functions that process aspects. PLM generally covers sometimes overlap or are integrated with Program and Portfolio Management, typical SCADA functions, in particular for Requirement Management, Design and detailed data collection and presentation. Validation, BOM, Closed Loop Quality, Document Management, Design to Source, Target Cost Management, MRO and Plant Intelligence Compliance.

Overall visibility of the manufacturing process and all the relevant information, actions, PM (Production Modeler) responses, statistics and performances. It can Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution be considered as the meeting point between Graphical object-oriented tool allowing the high-end HMI, SCADA and low-end MES user to follow the entire lifecycle of a MES functionality (Data Collection and Performance project from the design to the commissioning Analysis, according to ISA-95) up to the phase. PM offers a modeling environment in Manufacturing Enterprise including its which the various functions provided by MES evolution towards Operations Intelligence. components are graphically combined to define the execution logics of a physical plant. This logic shows all operating procedures in a Independent user-friendly way.

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Poka-Yoke Problem Solving Also known as Fail-Safing or Mistake- Activity when an organism or an artificial Proofing. A mechanism in manufacturing intelligence system needs to move from a process that helps an equipment operator given state to a desired goal state. avoids mistakes. Its purpose is to eliminate product defects by preventing, correcting, or drawing attention to human errors as they Process Engineering occur. A methodology that focuses on the design, operation and maintenance of chemical and other process manufacturing activities.

ation, Quality & IT IT & Quality ation, PPAP (Production Part Approval

Process) Process Industry Process, which outlines the methods used for approval of production to ensure that suppliers The Process Industry covers industries like of components comply with the design Food & Beverages, Pharmaceuticals or Oil & specification and can run consistently without Gas. It is characterized by batch/semibatch affecting the customer line. processes and continuous/discontinuous processes, for the manufacturing of products. Many production steps demand inputs such as PPM (Parts Per Million) time, pressure or heat. Also known as DPMO. The average number of defects per unit observed during an Process Management average production run divided by the number of opportunities to make a defect on the A management approach focused on aligning product under study during that run all aspects of an organization with the wants normalized to one million. and needs of clients.

Process Mapping A hierarchical method for displaying processes that illustrates how a product or transaction is processed.

Processing The act of taking something through an established and usually routine set of procedures to convert it from one form to another. One of 7 Lean Wastes. Increase manufacturing productivity with ATS.

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Preventive Action Product Engineering The process of designing and developing a The process of detecting, meeting and device, assembly, or system such that it is eliminating potential problems or errors. produced as an item for sale through some

production manufacturing process.

Independent

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Product Genealogy Production Quality See Product Tracking. The average level of production quality as an output from quality tracking software.

Product Tracking Project Charter An observation of a product during the whole manufacturing a distribution process. By Also known as Project Definition or the Terms product tracking manufacturer is allowed to of Reference. A statement of the scope, track defective products or product series. objectives and participants in a project. It provides a preliminary delineation of roles and ation, Quality & IT IT & Quality ation, responsibilities, outlines the project objectives, Production Leveling identifies the main stakeholders, and defines Also known as Heijunka. A technique that the authority of the project manager. It serves allows to produce intermediate goods at a as a reference of authority for the future of the constant rate, to allow further processing to be project. carried out at a constant and predictable rate. Project Definition Production Modeling Also known as Project Charter or the Terms of Modeling a Production Operation means to Reference. A statement of the scope, sequence functionality exposed by different objectives and participants in a project. It Components according to the defined provides a preliminary delineation of roles and manufacturing target. responsibilities, outlines the project objectives, identifies the main stakeholders, and defines the authority of the project manager. It serves Production Operations as a reference of authority for the future of the project. Executable workflows of business and

production logic to precisely specify all the MES activities related to production Pull System (production definition management, dispatching, execution, tracking, etc.). The flow of resources in a production process by replacing only what has been consumed.

Production Order Production orders are part of the Production Planning. They are used to plan and control the manufacturing activities of a company. Production Planning includes bills of material, routings, work centres, sales and operations

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution planning, master production scheduling, material requirements planning, shop floor control, product costing and Production Orders. Other names are work order,

manufacturing order, or production order. In ATS supports you to reach outstanding quality. manufacturing, it consists of providing specifications and quantities for the required products, usually including material lists and Independent routing paths.

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QA (Quality Assurance) Quality Planning Activity of providing the needed evidence to A process or tool that ensures a requested establish confidence that quality-related quality level. activities in manufacturing are performed effectively. These actions may be systematic or specifically required to meet defined processes and given requirements.

QFD (Quality Function ation, Quality & IT IT & Quality ation, Deployment) A structured approach to defining customer needs or requirements and translating them into specific plans to produce products to meet those needs. Getting bizzare reports? ATS will help you.

QS-9000 Reporting Solution International quality system standard that Standardized process that ensures a focuses on helping automotive suppliers distribution of important information to ensure that they are meeting/exceeding requested employees. automotive customer requirements.

Resource Allocation Quality Is used to assign the available resources in an Quality means conformance to requirements, economic way. or exceeding the requirements.

Rework Quality Control Work done to correct defects. A process for maintaining proper standards in manufacturing. RFID (Radio Frequency Identification) Quality Management Refers to the technology that uses devices Structure of defined and scheduled operations attached to objects transmitting data to an to ensure the highest possible quality of RFID receiver. These devices can be large products. The QM method is widely used in pieces of hardware the size of a small book, manufacturing to develop and implement like those attached to sea freight containers, Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution products that match the highest effectiveness or very small devices inserted into a label on a and efficiency level with respect to the system package. RFID has advantages over barcodes and its performance. such as the ability to hold more data, change the stored data as processing occurs, no line- Quality Monitoring of-sight requirement to transfer data and high efficiency in harsh environments where A systematic set of activities to ensure that barcode labels will not work.

Independent processes create products with maximum 'Quality' at minimum 'Cost of Quality'. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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ROA (Return on Assets) SCADA (Supervisory Control The Return on Assets provides a percentage And Data Acquisition) measurement of the profitability of a plant by System that refers to the combination of effectively calculating the revenue of its assets telemetry and data acquisition whereby such as of total assets (fixed and current), computers are used to automatically or via long-term assets, and operating profit. operator commands collect real-time data from plant machinery to provide central monitoring, Robust Process control and process visualization of the plant and its facilities. Plant instrumentation Process is which is operating at six sigma and (sensors, switches, motors, pumps, valves ation, Quality & IT IT & Quality ation, is therefore resistant to defects. etc.) is connected to the PLC, which in turn is connected to the PC running the SCADA ROI (Return on Investment) software. SCADA comprises of collecting information, transferring it back to a central Calculation of the net income to be saved or site, carrying out analysis and control, and earned as the result of an investment. The displaying these data on various operator earnings stay in relation to the size of the total screens. amount invested, expressed as a percentage. For this calculation, investments of both time and capital are factored in. Scatterplot A graph of the points representing a collection Root Cause of data is one of the most useful techniques for gaining insight into the relationship An identified reason for the presence of a between two variables. defect or problem.

SCM (Supply Chain Root Cause Analysis Management) Class of problem solving methods aimed at Process of planning, implementing and identifying root causes of problems and events controlling the operations of the supply chain by deductive reasoning down to the physical with the purpose of satisfying customer and human root, also using inductive requirements as efficiently as possible. Supply reasoning to identify a broader, latent, or chain management spans all movements and organizational root. storage of raw materials, work-in-process inventory and finished goods from point of origin to point of consumption. It thereby encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution management activities. It therefore supports the coordination and collaboration with third parties contributing to the Manufacturer's supply chain.

Scorecard

Independent Smart ATS solutions for data control & acquisition. A scorecard is an evaluation device, usually in the form of a questionnaire, that specifies the criteria your customers will use to rate your The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

Lean, Six Sigma & MES Dictionary ATS White Paper

business's performance in satisfying their Six Sigma requirements. Systematic methodology for quality management trying to eliminate errors on Scrap products and services. Six Sigma refers to the ability of highly capable processes to produce Discarded material, semi-product or product, output within specification. It utilizes allocated for reprocessing or liquidation. information and statistical methods for

measuring a plant's performance, focused on Seiketsu improving business processes. In particular, processes that operate with Six Sigma quality Phase 4 from 5S methodology. It means ation, Quality & IT IT & Quality ation, produce defect levels below 3.4 defects per Standardizing. (one) million opportunities (DPMO).

Seiri SMART Objectives Phase 1 from 5S methodology. It means Or SMARTER. The criteria for project Sorting. objective setting stage. Common also in Performance Management where it serves for Seiso setting correct criteria of goals and targets. SMART/ER mnemonic means: S - Specific, M Phase 3 from 5S methodology. It means - Measurable, A - Attainable, R - Relevant, T - Sweeping, or Shining, or Cleanliness. Time-bound, E - Evaluate, R – Reevaluate.

Seiton SMED (Single Minute Exchange Phase 2 from 5S methodology. It means of Die) Straighten, or Set in Order. One of Lean tools that reduce the changeover

time. It has a set of procedures to be followed Shitsuke for a successful implementation.

Phase 5 from 5S methodology. It means Sustaining the discipline. SOA (Service Oriented Architecture) Shop Floor Automation and SOA is primarily a management concept that Control aims at an infrastructure aligning business processes while at the same time considering Automation of the dynamic, flexible and the fast changing requirements of a business resource-friendly assignment of production. environment. SOA is an architectural style This means a to-the-minute timing of all usually based on Web services standards

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution production processes, permanent (e.g. using SOAP) combined with business transparency in manufacturing as well as ideal logic. These standards provide greater capacity efficiency. interoperability thru the aggregation of Web services into the services of the business SIPOC layer. SOA can be implemented using any service-based technology. The acronym SIPOC means Supplier-Input-

Independent Process-Output-Customer. It is the method that helps you not to forget something when mapping processes. The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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SOAP (Simple Object Access Standardization Protocol) The process of developing and agreeing upon Remote procedure call mechanism that technical standards. A standard is a document transfers data in XML format through that establishes uniform engineering or communication channels such as HTTP. It technical specifications, criteria, methods, defines the supported methods with its processes, or practices. arguments and data types as they are transferred in XML form. The SOAP server’s Sticky Lean capabilities are described in a WSDL (Web Service Definition Language) document. Sticky Lean is an advanced version of the ation, Quality & IT IT & Quality ation, original Lean philosophy. The idea of Sticky Lean is to keep all the Lean processes alive SOP (Standard Operating and sustains them running unchanged after Procedures) the implementation. Sticky Lean permanently prevents unwanted procedural changes to A set of instructions directs and covers keep everything working effectively by features of operations that refer to a definite or integrating Lean philosophy into the IT and standardized procedure and thus increases Automation systems embedding Lean effectiveness. permanently. Sticky Lean ensures a Lean Implementation never degrades over time. SPC (Statistical Process Control) SWOT Analysis A set of statistical methods for installing A strategic planning method used to evaluate quality control in manufacturing processes. It the Strengths, Weaknesses, Opportunities, is covered by the identification and control of and Threats involved in a project or in a causes of variations in a process and its business venture. separation from common cause variations.

SQC (Statistical Quality Control) Methodology of analyzing quality test result and testing performance in order to determine how to improve product quality.

SQL (Structured Query ATS knows best that your time is your money. Language) The most popular computer language used to Tact Time

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution create, modify, retrieve and manipulate data The maximum time per unit allowed to from relational database management produce a product in order to meet demand. systems. The language has evolved beyond its original purpose to support object-relational database management systems. It is an TCO (Total Cost of Ownership) ANSI/ISO standard. Financial calculation designed to help

investors of e. g. manufacturing projects to

Independent assess direct and indirect costs related to the

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(but not limited to) computer software or satisfaction at continuously lower real costs. hardware. A TCO assessment ideally offers a TQM has been widely used in manufacturing. final statement reflecting not only the cost of purchase but also all aspects in the further use and maintenance of the equipment, Tracking & Tracing device, or system under consideration. Tracking & Tracing for MES is the concept of locating material and resources (from raw Teamwork material to finished goods) that are being forwarded from origin to a specific destination A joint action by two or more people, in which - thus providing the complete manufacturing each person contributes with different skills history of a product and storing performance ation, Quality & IT IT & Quality ation, and express his or her individual interests and analyses, including for regulatory purposes. opinions to the unity and efficiency of the group in order to achieve common goals. Transportation Terms of Reference The movement of people and goods from one location to another. Transport is performed by Also known as Project Definition or Project modes, such as air, rail, road, water, cable, Charter. A statement of the scope, objectives pipeline and space. One of 7 Lean Wastes. and participants in a project. It provides a preliminary delineation of roles and responsibilities, outlines the project objectives, Tree Diagram identifies the main stakeholders, and defines Decomposes ideas in greater detail. Tree the authority of the project manager. It serves diagram is dividing a big idea or problem into as a reference of authority for the future of the its smaller components. It makes the idea project. easier to understand or the problem easier to solve. TPM (Total Productive Maintenance) TS 16949 An equipment-maintenance program for International quality system standard that business theory that closely resembles the focuses on helping automotive suppliers Total Quality Management (TQM) program ensure that they are meeting/exceeding and lean manufacturing. automotive customer requirements.

TQC (Total Quality Control) The most necessary inspection control of all in cases where, despite statistical quality control techniques or quality improvements Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution implemented, sales decrease.

TQM (Total Quality ATS establishes strong partnership with you. Management) Management strategy aimed at embedding Value Chain awareness of quality in all organizational

Independent Value Chains consist of a set of activities that processes, with the scope to create customer are supposed to maximize value creation The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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while minimizing costs. MES's responsibility is or more effective by deliberate use of visual to support enterprise and manufacturing signals. Examples: signs, information displays, environments along the value chain to layouts, handling tools and material storage, optimize any critical activity. color-coding and color-clothing.

Value-Added Visual Inspection The difference between cost of materials and A common method of quality control, data labor to produce a product, and the sale price acquisition, and data analysis. of a product. ation, Quality & IT IT & Quality ation, Visual Management Value-based Project Analysis In some companies, Visual Management is a and Management mixture of Corporate Identity and Visual Concept of generating higher customers Controls. confidence during project execution, based on analysis, project methodologies and its Visual Quality tangible results that enable an efficient balance of compliance, cost, resource A visual conformance of a product, part or utilization and transfer of knowledge. Value- semi-finished material with required based project management applies to the specification. values and leverages of both the user and the project owner. This helps each individual to Visualization commit oneself to and perform his/her respective duties and targets, and to Also known as Visual Controls. A technique contribute to the growth of asset and value for control of an activity or process made development. easier or more effective by deliberate use of visual signals. Examples: signs, information displays, layouts, handling tools and material Variability Reduction storage, color-coding and color-clothing. Methodology for problem solving and problem avoidance. Part of Root Cause Analysis. VOC (Voice Of the Customer)

A market research technique that produces a Vertical Integration of the detailed set of customer wants and needs, Manufacturing layer organized into a hierarchical structure, and then prioritized in terms of relative importance Vertical Integration means the transparent and satisfaction with current alternatives. data communication from the process level to

the corporate management level. Vertical Integration enables production flexibility and

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution VSM (Value Stream Mapping) adaptation through modularization and standardization of the entire and seamlessly A paper and pencil tool that helps you to see integrated sub-processes. Results are lower and understand the flow of material and investments and increased productivity. information as a product or service makes its way through the value stream.

Visual Controls Independent Also known as Visualization. A technique for control of an activity or process made easier The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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Work Standardization The process of developing and agreeing upon technical standards. A standard is a document that establishes uniform engineering or technical specifications, criteria, methods, processes, or practices.

Don’t wait. Get rich experience with ATS Trainings. Workcell Waiting An arrangement of resources in a ation, Quality & IT IT & Quality ation, manufacturing environment to improve the The act of staying or remaining in expectation. quality, speed and cost of the process. One of 7 Lean Wastes.

Warranty Claim Action between customer and reseller/supplier to resolve the situation when product or service does not meet expected criteria.

Waste

An activity that does not result in moving the ATS will help you to find the right way. process closer to the final output or adding value to the final output. XML (eXtensibIe Markup

Language) WMS (Warehouse Management World Wide Web Consortium (W3C) System) recommended general-purpose Internet Key part of the supply chain that integrates protocol that transmits data between activities performed mechanically and by applications and companies over the Internet, individuals with an information system to capable of describing many different kinds of effectively manage warehouse business data. XML is a format that includes both data processes and direct warehouse activities in and rules for how the data is to be described. the plant environment. Such a XML file can contain the data in a database. XML is used to format batch recipes or production orders. The exchange of such Work in Progress XML-documents between involved systems Status monitoring of goods manufacturing in such as the ERP is thereby standardized.

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution various stages of completion throughout the plant, including all material from raw material Yellow Belt that has been released for initial processing thru to completely processed material awaiting Stage of Six Sigma knowledge. Yellow Belt is final inspection and acceptance as finished employee that understands the basics and goods inventory. metrics of Six Sigma. Zero Defects Independent A practice that aims to reduce defects as a way to directly increase profits.

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Index

− 21CFR Part 11 2 − Cycle Time 6 − Historian 12 − 5 Whys 2 − Cycle Time Variation 7 − HMI (Human Machine Interface) 12 − 5-Why Analysis 2 − Data Acquisition 7 − Horizontal Integration of the − 5S 2 − Data Collection 7 Manufacturing layer 12 − 7 Lean Wastes 2 − Data Entry 7 − Hybrid Industry 12 − Adaptive Manufacturing 2 − Data Mining 7 − IEC 61131 13 − Affinity diagrams 2 − DCS (Distributed Control Systems) 7 − Implementation Leader 13 − Agent-based maintenance 2 − Defect 7 − Industrial Computer 13 − AIQ (Average Incoming Quality) 3 − Defects Inspection 7 − Industrial Engineering 13 − Andon 3 − Demand-driven Manufacturing 7 − Industrial PC 13 − AOQ (Average Outgoing Quality) 3 − Design-to-Manufacture 7 − Inspection 13 − APC (Advanced Process Control) 3 − Deterioration 7 − Inspection Software 13 ation, Quality & IT IT & Quality ation, − APQP (Advanced Product Quality − Deterioration Prevention 8 − Interoperability 13 Planning) 3 − Digital Manufacturing 8 − Inventory 13 − APS − Discrete Manufacturing 8 − Inventory Reduction 13 (Advanced Planning & Scheduling) 3 − Dispatching Production Units 8 − ISA-88 13 − AQL (Acceptable Quality Level) 3 − DMAIC (Define, Measure, Analyze, − ISA-95 13 − ATS Inspect 3 Improve, Control) 8 − Ishikawa diagram 14 − Automation 3 − DMS − ISO 14 − Autonomation 3 (Document Management System) 8 − ISO 9000 Series 14 − B2MML (Business to Manufacturing − DNC (Distributed Numerical Control) 8 − Jidoka 14 Markup Language) 4 − Document Control 8 − JIS (Just-in-Sequence) 14 − Balanced Scorecard 4 − DPMO (Defects Per Million − JIT (Just-In-Time) 14 − Batch Analysis 4 Opportunities) 8 − Kaikaku 14 − Benchmarking 4 − DPO (Defects Per Opportunity) 8 − Kaizen 14 − BI (Business Intelligence) 4 − DPU (Defects Per Unit) 8 − Kanban 14 − Black Belt 4 − DSS (Decision Support System) 9 − Kano Model 15 − BOM (Bill of Material) 4 − DTM (Downtime Management) 9 − Knowledge Management 15 − Boxplot 4 − DW (Data Warehouse) 9 − KPI (Key Performance Indicator) 15 − BPM − EAI − Labour Management 15 (Business Process Management) 4 (Enterprise Application Integration) 9 − LCA (Low Cost Automation) 15 − Brainstorming 4 − EBR (Electronic Batch Record) 9 − Lead Time 15 − Buffer 4 − EDI (Electronic Data Interchange) 9 − Leadership 15 − CAD / CAM (Computer-Aided Design / − Efficiency 9 − Lean 15 Manufacturing) 5 − EMI (Enterprise Manufacturing − Lean Logistics 15 − CAPA Intelligence) 9 − Lean Manufacturing 16 (Corrective and Preventive Action) 5 − Enterprise Gateway 10 − Lean Warehousing 16 − Cause and Effect Diagram 5 − ERP (Enterprise Resource Planning) 10 − LIMS (Laboratory Information − cGMP (current Good Manufacturing − Fail-Safing 10 Management System) 16 Practice) 5 − FDA (The US Food and Drug − Maintenance Management 16 − Chaku-Chaku 5 Administration) 10 − Management Software 16 − Champion 5 − FIFO (First In, First Out) 10 − Manufacturing Enterprise 16 − Change Management 5 − Fishbone Diagram 10 − Manufacturing Intelligence 16 − CM (Collaborative Manufacturing) 6 − FMEA (Failure Mode and Effects − Material Flow 17 − CMM Analysis) 10 − MES (Coordinate-Measuring Machine) 6 − FPY (First Pass Yield) 10 (Manufacturing Execution Systems) 17 − CNC (Computer Numerical Control) 6 − FTY (First Time Yield) 10 − MESA (Manufacturing Enterprise − Coding 6 − Gantt Chart 11 Solutions Association) 17 − Communication Architecture 6 − Gemba 11 − MIS − Continuous Flow 6 − Genchi Genbutsu 11 (Management Information Systems) 17 Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution − Continuous Improvement 6 − Genealogy 11 − Mistake-Proofing 17 − Control Software 6 − GMPlGxP (Good Manufacturing − Motion 17 − Control System 6 Practice) 11 − MPS (Master Production Schedule) 17 − Controls Architecture 6 − Green Belt 11 − MRO (Maintenance, Repair and − COQ (Cost of Quality) 6 − GUI (Graphical User Interface) 11 Operations) 17 − Corrective Action 6 − HACCP (Hazard Analysis and Critical − MRP − CPM (Collaborative Production Control Point) 12 (Material Requirements Planning) 17 Management) 6 − Hanedashi 12 − MRP 2 (Manufacturing Resource − CRM (Customer Relationship − Heijunka 12 Planning 2) 18

Independent Management) 6 − Histogram 12 − Muda 18 The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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− Mura 18 − Production Modeling 22 − SOP − Muri 18 − Production Operations 22 (Standard Operating Procedures) 26 − OEE − Production Order 22 − SPC (Statistical Process Control) 26 (Overall Equipment Effectiveness) 18 − Production Quality 22 − SQC (Statistical Quality Control) 26 − OEE Software 18 − Project Charter 22 − SQL (Structured Query Language) 26 − OEM − Project Definition 22 − Standardization 26 (Original Equipment Manufacturer) 18 − Pull System 22 − SWOT Analysis 26 − One Piece Flow 18 − QA (Quality Assurance) 23 − Tact Time 26 − OPC (Openness, Productivity, − QFD (Quality Function Deployment) 23 − TCO (Total Cost of Ownership) 26 Collaboration) 18 − QS-9000 23 − Teamwork 27 − Operation Scheduling 18 − Quality 23 − Terms of Reference 27 − Operations Intelligence 19 − Quality Control 23 − TPM (Total Productive Maintenance) 27 − Operator Interface 19 − Quality Management 23 − TQC (Total Quality Control) 27 ation, Quality & IT IT & Quality ation, − Overproduction 19 − Quality Monitoring 23 − TQM (Total Quality Management) 27 − Paperwork 19 − Quality Planning 23 − Tracking & Tracing 27 − Pareto Chart 19 − Reporting Solution 23 − Transportation 27 − Pareto Principle 19 − Resource Allocation 23 − Tree Diagram 27 − PDefM (Product Definition Manager) 19 − Rework 23 − TS 16949 27 − PDM (Product Data Management) 19 − RFID − Value Chain 27 − PDS-I (Radio Frequency Identification) 23 − Value-Added 28 (Predictive Detailed Scheduler 19 − ROA (Return on Assets) 24 − Value-based Project Analysis and − Performance Management 20 − Robust Process 24 Management 28 − Performance Monitoring 20 − ROI (Return on Investment) 24 − Variability Reduction 28 − PIMS (Plant Information Management − Root Cause 24 − Vertical Integration of the Manufacturing System) 20 − Root Cause Analysis 24 layer 28 − Plant Intelligence 20 − SCADA (Supervisory Control And Data − Visual Controls 28 − PLC Acquisition) 24 − Visual Inspection 28 (Programmable Logic Controller) 20 − Scatterplot 24 − Visual Management 28 − PLM − SCM (Supply Chain Management) 24 − Visual Quality 28 (Product Lifecycle Management) 20 − Scorecard 24 − Visualization 28 − PM (Production Modeler) 20 − Scrap 25 − VOC (Voice Of the Customer) 28 − Poka-Yoke 21 − Seiketsu 25 − VSM (Value Stream Mapping) 28 − PPAP (Production Part Approval − Seiri 25 − Waiting 29 Process) 21 − Seiso 25 − Warranty Claim 29 − PPM (Parts Per Million) 21 − Seiton 25 − Waste 29 − Preventive Action 21 − Shitsuke 25 − WMS − Problem Solving 21 − Shop Floor Automation and Control 25 (Warehouse Management System) 29 − Process Engineering 21 − SIPOC 25 − Work in Progress 29 − Process Industry 21 − Six Sigma 25 − Work Standardization 29 − Process Management 21 − SMART Objectives 25 − Workcell 29 − Process Mapping 21 − SMED − XML (eXtensibIe Markup Language) 29 − Processing 21 (Single Minute Exchange of Die) 25 − Yellow Belt 29 − Product Engineering 21 − SOA (Service Oriented Architecture) 25 − Zero Defects 29 − Product Genealogy 22 − SOAP − About ATS 32 − Product Tracking 22 (Simple Object Access Protocol) 26 − Production Leveling 22

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution Independent The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.

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ation, Quality & IT IT & Quality ation,

Solution Provider for Industrial and Process Autom Process and Industrial for Provider Solution About ATS

ATS is an Independent Solution Provider , with over 20 years experience and a wealth of experience undertaking Continuous Improvement initiatives and Manufacturing IT solution design, deployments and 24/7 support assignments. Independent The The www.ats-global.com ATS International B.V. © 2010 The information in this document is the property of ATS International B.V. and may not be copied, or communicated to a third party, or used, for any purpose other than that for which it is supplied without the express written consent of ATS International B.V.