HOW TO REDUCE COST HOW TO REDUCE COST & SECURITY RISK WHILE & SECURITY RISK WHILE GROWING YOUR GROWING YOUR SUPPLY CHAINSUPPLY CHAIN

AGENDA

Craig Livingston CEO, Arena Solutions

Ranjan Prasad VP Operations & Supply Chain: SunLink Corporation

Bradley Persson Senior Document Control Manager, Switch Lighting

Steve Chalgren VP Product Management & Strategy, Arena Solutions

IW Moderator Q&A MC with speakers

Ranjan Prasad Ranjan Prasad VP Operations & Supply ChainVP Operations & Supply Chain

SunLink is an integrated balance of system provider.

About SunLink

Our Experience: Typical startup challenges

• Weak intellectual property controls Proprietary drawings floating around on personal

computers Poor change management

• Collaboration was difficult

• Limited resources

• Need for velocity

Our Experience: Typical startup challenges

• Cost, quality and delivery issues

• Material supply shortages

• Logistics disruptions

• Supplier failures

• Legal issues

SunLink’s Supply Chain Excellence

Doc Mgt System Supplier Portal

Suppliers

Transportation Mgt System

• Advance Ship Notice• Shipping Doc• Packing Slip• Invoice

• Sales Order• Project Info• Need by Date• Engineering Info

• Purchase Order• Bill of Material• Logistics Info• Accounting

• Project Layout• Engineering Info

• Part Drawings• Bill of Material• Eng. Change Order

• Purchase Order• Shipping Doc• Packing Label• Invoice

CRM ERP CAD

Lessons Learned

Prioritize process before tools

Take security off the table

Appreciate the power of postponement

Collaborate, collaborate, collaborate

Establish an enterprise-like supply chain

Dedicate resources to innovation

Eliminate opportunities for errors

Emphasize reliability and repeatability

Bradley PerssonBradley PerssonSenior Document Control Manager Senior Document Control Manager

Switch Lighting

• LED Lighting Switch40We, Swithch60we,

Switch75we, Switch100Weo Commercial & Residentialo 3-Way Bulbo Japan Bulb

Product 2 o Designed for retail stores

Distributed Need for Product Data

• Collaborative access to product data

• Across extended teams all over the world Switch has a distributed PLM user base

o Internal Switch Userso Supplier Userso Contract Manufacturing / Production Users

Security Needs Change with Product Cycle

• Challenges for securing product data Switch product data security evolved as we evolved

o Early on in R & D mode- Partner Relationships

- Approval & User Access Requirements

o NPI Mode- Multiple Suppliers

- More Users / More Approval Requirements

o Production Mode- Multiple Product lines

- Multiple Lifecycles

- Supplier Relationships / Access & Switch IP

Decided on PLM: Cloud or On Premise?

• Cloud vs. on premises PLM systems IT hassles and considerations for on Prem PLM

o Firewallo Dealing with ITo VPNo Configurationo Verification

Decided on PLM: Cloud or On Premise?

• Cloud vs. on premises PLM systems Advantages & considerations for Cloud PLM

o Simplicityo Configuration by PLM Administration vs. ITo On-Boarding and Accessing Suppliers &

Distributed Userso Pay as you go modelo Fast and secure User management

Benefits from PLM

• PLM has many benefits For Hi-Tech Hardware company's like ours

o Early stage benefits include:- Managing development and prototypes

stages- Item numbering & BOM management- Material cost & quote management- AVL development- Document vaulting / depository

o NPI & Production stage benefits include:- Document control & Change

management- Capturing product review & decision

history- Document release & approved supplier

list control- Single source of the truth

Steve ChalgrenSteve ChalgrenVP Product Management & StrategyVP Product Management & Strategy

Requirements for Manufacturing Supply Chain Excellence

• Deliver products High quality On-time delivery The right quantities At the lowest possible cost

• Supply chain of excellence Requires product lifecycle management Collaborative access 24/7 anywhere in the world Secure Needs vary at different product lifecycles

• Need a system that will scale with you (up or down)

How do you Securely Grow your Supply Chain?

• Look at your collaboration processes

• Look at the logistics of product data movements

• Map out your security

• Find the weak spots

• Shoot for quick wins

• Remember we live in a real world

Three Goals of Implementing Product Lifecycle Management for your Supply Chain

• Solve Problems with your entire supply chain

• Electronic approvals

• Easy Access

• Solve Problems with your entire supply chain

• Electronic approvals

• Easy Access

• Protect your IP!

• Users should only see what they need to see

• Easy to manage

• Protect your IP!

• Users should only see what they need to see

• Easy to manage

• 24/7 availability

• Fast access to data: single click approvals

• Easy to learn and use

• 24/7 availability

• Fast access to data: single click approvals

• Easy to learn and use

Collaboration Security Speed

Typical Problems You May Find

• Email or regular phone calls

• Problems partners discover are not always communicated

• Product changes are sent inconsistently

• Forward visibility into product changes is inconsistent

• Supplier Access to Product Data is via email/FTP package a Document Control Manager builds manually

• Lots of ad-hoc processes

• Quality issues pile up

• Email or regular phone calls

• Problems partners discover are not always communicated

• Product changes are sent inconsistently

• Forward visibility into product changes is inconsistent

• Supplier Access to Product Data is via email/FTP package a Document Control Manager builds manually

• Lots of ad-hoc processes

• Quality issues pile up

• Email

• FTP

• VPN access for suppliers

• Limited / difficult access audit trail

• Difficult to manage over time enables suppliers to have access to designs and plans unrelated to their parts

• Disconnected data

• Product data easily stolen

• Email

• FTP

• VPN access for suppliers

• Limited / difficult access audit trail

• Difficult to manage over time enables suppliers to have access to designs and plans unrelated to their parts

• Disconnected data

• Product data easily stolen

• Email build and change packages take time to create.

• Need to decide where to send it – sits on desk

• Email build and change packages take time to unpack and understand

• Changes require the above loop to repeat

• Frequent ad hoc requests for information go unanswered until the office opens the next day

• Exporting the latest BOM requires engineering assistance

• Long delays due documentation

• Email build and change packages take time to create.

• Need to decide where to send it – sits on desk

• Email build and change packages take time to unpack and understand

• Changes require the above loop to repeat

• Frequent ad hoc requests for information go unanswered until the office opens the next day

• Exporting the latest BOM requires engineering assistance

• Long delays due documentation

Collaboration Security Speed

Typical Problems You May Find

• Email or regular phone calls• Problems partners discover

are not always communicated• Product changes are sent

inconsistently• Forward visibility into product

changes is inconsistent• Supplier Access to Product

Data is via email/FTP package a Document Control Manager builds manually

• Lots of ad-hoc processes• Quality issues pile up

• Email or regular phone calls• Problems partners discover

are not always communicated• Product changes are sent

inconsistently• Forward visibility into product

changes is inconsistent• Supplier Access to Product

Data is via email/FTP package a Document Control Manager builds manually

• Lots of ad-hoc processes• Quality issues pile up

• Email• FTP• VPN access for suppliers• Limited / difficult access audit

trail• Difficult to manage over time

enables suppliers to have access to designs and plans unrelated to their parts

• Disconnected data• Product data easily stolen

• Email• FTP• VPN access for suppliers• Limited / difficult access audit

trail• Difficult to manage over time

enables suppliers to have access to designs and plans unrelated to their parts

• Disconnected data• Product data easily stolen

• Email build and change packages take time to create.

• Need to decide where to send it – sits on desk

• Email build and change packages take time to unpack and understand

• Changes require the above loop to repeat

• Frequent ad hoc requests for information go unanswered until the office opens the next day

• Exporting the latest BOM requires engineering assistance

• Long delays due documentation

• Email build and change packages take time to create.

• Need to decide where to send it – sits on desk

• Email build and change packages take time to unpack and understand

• Changes require the above loop to repeat

• Frequent ad hoc requests for information go unanswered until the office opens the next day

• Exporting the latest BOM requires engineering assistance

• Long delays due documentation

Collaboration Security Speed

Typical Supply Chain Improvements with ProductLifecycle Management

• Supply Chain are members of the change control (ECO Approval) board

• Partners can initiate the change process (ECR / quality issues)

• Product changes are sent in a consistent, easy to read format

• Forward visibility in to product changes is routine

• Supplier Access to Product Data is the PLM system 24/7

• Partners' manufacturing knowledge is leveraged

• Supply Chain are members of the change control (ECO Approval) board

• Partners can initiate the change process (ECR / quality issues)

• Product changes are sent in a consistent, easy to read format

• Forward visibility in to product changes is routine

• Supplier Access to Product Data is the PLM system 24/7

• Partners' manufacturing knowledge is leveraged

• Intellectual Property is controlled through PLM system

• Suppliers and employees can only access designs and change orders they need to see

• Access is controlled via easy to use Admin console

• No firewall issues

• Intellectual Property is controlled through PLM system

• Suppliers and employees can only access designs and change orders they need to see

• Access is controlled via easy to use Admin console

• No firewall issues

• Self service

• 24/7 access to data

• Ad hoc requests for information are served seamlessly

• Build and change packages are easy to build and read

• Approvals are online

• ECO – engineering change order releases are instantly available

• Self service

• 24/7 access to data

• Ad hoc requests for information are served seamlessly

• Build and change packages are easy to build and read

• Approvals are online

• ECO – engineering change order releases are instantly available

Collaboration Security Speed

Typical Supply Chain Improvements with Product Lifecycle Management

• Supply Chain are members of the change control (ECO Approval) board

• Partners can initiate the change process (ECR / quality issues)

• Product changes are sent in a consistent, easy to read format

• Forward visibility in to product changes is routine

• Supplier Access to Product Data is the PLM system 24/7

• Partners' manufacturing knowledge is leveraged

• Supply Chain are members of the change control (ECO Approval) board

• Partners can initiate the change process (ECR / quality issues)

• Product changes are sent in a consistent, easy to read format

• Forward visibility in to product changes is routine

• Supplier Access to Product Data is the PLM system 24/7

• Partners' manufacturing knowledge is leveraged

• Intellectual Property is controlled through PLM system

• Suppliers and employees can only access designs and change orders they need to see

• Access is controlled via easy to use Admin console

• No firewall issues

• Intellectual Property is controlled through PLM system

• Suppliers and employees can only access designs and change orders they need to see

• Access is controlled via easy to use Admin console

• No firewall issues

• Self service

• 24/7 access to data

• Ad hoc requests for information are served seamlessly

• Build and change packages are easy to build and read

• Approvals are online

• ECO – engineering change order releases are instantly available

• Self service

• 24/7 access to data

• Ad hoc requests for information are served seamlessly

• Build and change packages are easy to build and read

• Approvals are online

• ECO – engineering change order releases are instantly available

Collaboration Security Speed

Typical Supply Chain Benefits with Product Lifecycle Management

• Faster to market

• Faster cost reductions = higher profit margins

• Faster & lower cost product change order implementations

• Less scrap and rework

www.arenasolutions.com

866.937.1438

Questions?