PLM and Configuration standards, enabling the supply chain

European Center of Supply chain Information Architecture, ECSCIA

Configuration standards and PLM, supply chain enablers

Operating a system landscape for a supply chain

without a PLM baseis like cooking in a kitchen without a fridge, there really isn´t any good

place to start fromEuropean Center of Supply chain Information Architecture, ECSCIA

Think of all information objects as products. All information objects are produced in process steps that are smilar to the life cycle

steps of a PLM process.

Think of PLM as way of managing the life cycle of objects.

Think of the PLM system as a repository to store objects.

That repository is an excellent

single point of reference for data fueling applications in the supply chain.



Fulfill

Plan

PDM/PLM Integrate


Plan

Source Make Deliver

Return

Information

PLCOR

DCOR


Supply chain Information

Information used in supply chain planning and execution is built on data. Turning data into fuel for supply chain s requires rules that allows that data to be interpreted , states

that allows that data to be put into context and structures that allows for understanding relations between that data.

To me, that is ”CM standards” and ”PLM”

Data

Rules

States

Structures


Configuration standards provides rules

RulesConfiguration standards


Product Lifecycle Managment provides actual states

StatesPLM


Product Lifecycle Managment provides actual structures

StructuresPLM

No matter what processes and tools that are used to execute the product life cycle, in order to achieve and

utilize supply chain scale and digital omnichannel speed and coordination, it is very healthy to have

Configuration standards working cross the whole company and all systems.

It kind of helps when things need to speed up....



To orchestrate a supply chain, basic facts, like product number formats, life cycle stages,

partner definitions or value ranges need to be

governed as company assets. Fundamental structures need to be agreed and governed in order to enable cross system and

cross exteneded enterprise collaboration & reuse.

The configuration standard gives the whole company and extended entreprise partners a shared reference on how objects are

defined.

Those objects might be stored in different ways in different systems but as they all relate to the same CM standard, they can

be communicated cross systems, cross processes and across extended supply chain networks.


ECSCIA, European Centre of Supply Chain Information Architecture

idea project design product


idea project design product

Plan

Source

Make

Deliver

ConceptSales item

Part External part

Alternative part

PartExternal part

Sales itemFictive part


Product dimension basics

The Concept object allows for describing the future product as a set of

features and targets. Those targets can be expressed as

segmentsThe concept provides a structured refernce cross process and organisation in phases before detail has been settled. The concept object lest stakeholders in the supply chain share a structured fact base upon which plans, forecast and reservations can be created and communicated.

Finance Sales

R&D Operations

Concept


One planStrategic perspective

Tactical perspective

Operational perspective

Shareholders objectives

Finance Sales

R&D Operations


All stakeholders and all processes benefit from ONE view of objects definitions and one view of their state


Concept objects lets the

whole team see the same future

even though the

details of that future have

not been set yet


Hey!How about letting the

configuration standard govern the segmentation models used in product and demand

planning? Then segments could be trusted to carry informationbetween systems & link

to actual products


CM standards and PLM can ensure that the intersection between segment identifiers for

a future (potential product), can be firm enough to let systems use it to hold a time

series of demand & availability cross processes


•Formalized & governed segmentation models •Single repository for segmentation models •Cross organizational & cross process segmentation models•Cross organizational agreement on the intersections between segments

CM standards and PLM can provide……


A strong configuration standard and PLM governance function for

the concept object lets the whole organization and partners in the extended supply chain interact on a shared fact

base early in the product life cycle. This allows for early evaluation and build of supply chain resources (“strategic

supply chain planning”). It allows for fast and early

fact based joint decision on what to invest in and what not to invest in, even though everyone is still working on

& from assumption….

The Sales item is the sellable item, the item the customer buys one or more of.

Sales item

Source Make Deliver

Return

SellPrice

Develop



A strong configuration standard and governance function for the

Sales item object puts the customer in focus

No matter if configured early or late, the sales items lets all

stakeholders in the supply chain see, agree and focus on one thing :

What the customer wants and will receive


If is not a sales item, then it is a part of some type..... Parts can be made of other partsExternal parts are each individual suppliers representation of the part.Alternative parts are used in cases were more than one part can be used in a manner that does not trigger ”form, fit & function” rules to generate a new higher level part/sales item.Fictive parts allows for representing BOM levels that exist locally/temporarilly in some process.Clear CM definitions for part objects allows for efficiencies in design and procurement processes

Part External part

Alternative part

PartExternal part

Fictive part

Sales item

Number (ID)

Description

Life cycle stage

Type

The sales item object is associated with a number of attributes. The most central from a system landscape perspective is the unique identifier, which allows for

identification and the lifecycle stage that allows for rule based processing (automation). Those two attributes provides the ”what”& ”when” that supply chain master processes need.

Weight

Length


.............

Part Number (ID)Description

Life cycle stage

Type

External part

External Number (ID)Description

Life cycle stage

Type

Supplier

Just as the sales item, the part and external part (as well as all other objects) are associated with a number of attributes.



A strong configuration standard and governance function for the

Part object allows for efficient procurement, supply chain risk management and efficient

design, promoting component reuse and variant reduction

No matter if knowledge of parts is used to drive savings, eliminate risk or compete through innovation; knowing all there

is to know about parts in a structured manner allows the supply chain to reach the aspired objective.


Procurement part data


Same part duplicated with different IDs?

Different parts with similar features and

usage?

Single supplier for critical part?

If any of that Is the case, then a configuration standard and PLM support for parts, BOMS and supply chain partners can definitely help you perform some

basic procurement voodoo.(Like extracting a correct & timely spend report)

To many suppliers for a part?


Supply chains are

designed objects and

consist of designed objects

Customer Manufacturing site

Number (ID)Description

Life cycle stage

Type

Number (ID)Description

Life cycle stage

Type

Supplier Number (ID)Description

Life cycle stage

Type

The configuration standard is not limited to the product dimension. Supply chain processes can benefit greatly if the cm standard is extended to also govern supply chain objects. Typical objects would be the ” Customer”, the ”Supplier”, the ”Manufacturing site”, the ”Production line” and the resources within the production line

Production line Number (ID)Description

Life cycle stage

Type


IDEATE INITIATE DEVELOP IMPLEMENT FOLLOW THROUGH

Part

Part

Concept

GPU

GPU Part

Part

Part

Part

Sales item (prel)

Part

Part

Part

Part

Sales item (act)

Part

Part

Part

Variant

Variant

A configuration standard & PLM ensures the supply chain is able to execute on a consistent and connected set of objects and structures cross the whole project and product lifecycle , no matter the local representation of an object within a specific system or a process,


PLM supporting ”Ideate phase”CM standards give the ”Idea”, the concept , a systematic structure that can be shared and used as master data in dependent processes

Concept

Meets requirements

Has features Is targeted for…

Consists of

Requirements objects

Feature objects

Geopolitical objects

Segmentation objects

Segmentation objects

Part objects

GFU Generic functional unit (”What to create”, the need)

GPU Generic product unit (What it is created from, what it consist of)

Goals and objectives


PLM supporting ”Ideate phase”The CM standard and PLM process can be used to give ”the project” formal, a systematic structure linked to the product hierarchy it will later add objects to

Concept

Realises/defines/implements

Executed by

Project

People

As the configuration standard formalises the link between concepts and actual implementation projects, the accuracy/quality of the business cases can improve, supply chain can prepare better and the organisation learn (better understand) more from past experience. Capacity and material assumptions made for the concept can be systematically visualised when planning/executing the project.


PLM supporting ”Initiate” phaseDefine initial BOM structures. Potentially reusing existing structures by looking at parts that have previously been used to realise the functionality specified through the GPU/Variant

Concept GPU

GPU

GPU

GPU

Sales item

Part

Part

Part

Part

Part

Has previously been used for

this GPU

Initial structure, might not have the top node, might miss other nodes

Variant

VariantHas previously

been used for this variant



Identifying similarities on GPU and variant level early, lets product development, procurement and supply chain planningwork together to increase reuse, before a specific part and supplier has been designed into the product.

If used right, this will help consolidate volumes to fewer parts and fewer suppliers increase buying power, reduce supply chain planning and execution challenges.

It will also reduce complexity in the repair and service network.

PLM supporting ”Initiate” phaseEnforce component Reuse and focus attention to reduce supply chain risk

Sales item

Part

Part

Part

Part

Part

Key component (part) list

Critical component (part) list

The Key component list supports portfoliowide monitoring of those components where the supply chain wants to enforce reuse. The list is a reference for joint design reviews between supply chain and product design, aiming at reducing number of variants/increase reuse.The Critical component list focuses the supply chain on those components where actions are needed to avoid future constraints (for instance by ensuring build up of capacity/material at the right time in the project lifecycle )Having these lists integrated in the PLM process and following the CM standard allows for direct interaction between supply chain and product design


PLM supporting ”Initiate” phaseTake Make/buy decions : (Initially) Identify potential supply chain and devlopment partners (Sourcing as well as manufacturing)

Sales item

Part

Manufacturer (Interna/external)

Supplier

Supplier

External Part

External Part

Part External Part


PLM supporting ”Initiate” phaseCM standards and PLM processes gives the launch plan a formal systematic structure

Sales item Customer/ Customer Group

When

The launch plan is central to forecast, demand planning and production planning processes as it answers the fundamental question : ”What product will be available for whom when”.(It interacts with the ”Manufacturing completion plan” which is the production side response)



The Launch plan, is a supply chain orchestration tool.

Tight control of what product that will be available where, when

and for who is key for the supply chain team to achieve speed to market.

Controlling the launch plan through the PLM process and defining it using objects defined in the CM standard allows forSystem to system population of product data in tools used for

supply chain planning and execution.

PLM supporting ”Develop” phaseConfiguration standards provides the rules. And PLM provides the process for definition of BOM structures.

Sales item

Part

Part

PartPart

PartPart

PartPart

The configuration standard ensures that BOM structures are defined in a consistent manner cross systems and partners.


PLM supporting ”Develop” phase CM standards and PLM process provides test ing and approvals a formal systematic structure and links it to the product lifecycle state

Sales item CustomerCustomer approval

Technical approval

Sales item

The configuration standard ensures that approvals are goverened in a structured and consistent manner. ”What approvals are needed for this sales item, part, substance in that market, for that customer? Has this object received/passed those approvals?”

Legal approvalPart

Substance


PLM supporting ”Develop” phase A configuration standard and a PLM process improves ability to validate & declare substances

Part Substance

Contains

Substance

IKnowing and declaring what substances a part contains is key to be able to meet a growing number of legal and consumer requirements. CM standards and PLM gives the supply chain the facts needed to meet those requirements


PLM supporting ”Develop” phaseCM standards and PLM processes gives the sales item /manufacturing completion (”Readiness to launch”) plan a formal systematic structure

Sales item Manufacturing site When

Status

Manufacturing completion plans synchronizes the whole supply chain network on when a object is to be in what status at what manufacturing site (and provides visibility on when there are issues). The manufacturing completion plan interacts with the launch plan.



The answer to many of the questions a supply chain in

digital omnichannel must respond to fast originate from

the processes and data the

Launch plan and the

Manufacturing completion plan support & provide.

PLM supporting ”Implement” phaseCM standards and PLM processes allows for formal communication of BOM structure to manufacturing

Sales item Structure

Manufacturing site

Part structure

Part

Part

Part

Part

Product ownerECI (Change implementation)

Confirmation

Controlling the change implementation process from the PLM process and following the CM standard when doing so allows for stricter central control of what is actually being built where, using what and how. It also allows for automation of tasks that are central to ensure masterdata in supply chain processes.


PLM supporting ”Implement” phaseAs production lines are design objects, matching their capabilities through the same GPU and variant as used in the design process, will provides a ”good enough” level to match product features to production resource features

Sales item Structure

Manufacturing site

PartPart

GPU

Variant

Resource

GPU

Variant

This structure allows for asking questions like: ”What production (& logistics) ressource can support production of sales items that has this/these features?” For instance : What production lines are availabel that can install GPU = ”Wheel”, Variant = ”Large”? Using this, supply chain can respond to capacity inquires without exploding the complexity of part detail and before part detail is known



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PLM and Configuration standards, enabling the supply chain