Realizing Operational Benefits with the Planning ... Operational Benefits with the Planning & Scheduling Workbenches Eric Wolfrom, Freudenburg-NOK Brent Shooltz, QAD Inc, MWUG 2013

Realizing Operational Benefits with the

Planning & Scheduling Workbenches

Eric Wolfrom, Freudenburg-NOK

Brent Shooltz, QAD Inc,

MWUG 2013 – Spring Conference

2

“An Effective Enterprise is one where

every business process is working

at peak efficiency and perfectly

aligned to the company’s

strategic goals. ”

Effective Enterprise

Introduction

3

Un-synchronized

COSTS


Introduction

0

20

40

60

80

100

120

25%

50%

75%

90%

95%

98%

Other

Inventory

Carrying $'s

Downtime

(material

shortages)

Overtime

In/out-bound

$ Freight

• COGS Is Typically 50-80% of Revenue - Labor

- Materials - Burden

• Production-Material Planners and Directors have direct impact on COGS Spending

- Millions of $s

Operational Opportunities

Introduction

4

Increase Internal Synchronization

2 –

15%

Un-s

yn

ch

roniz

ed

Co

sts

2-

15%

Eliminate

Un-synchronized

costs

Working with disconnected tools

Why are we not synchronized today?

5

Stage

Capability Tuesday 9am: Updates

today’s production

schedule to accommodate

rush order

Demand/Inventory Reports

Production Schedule

(version C)

GOAL Method

Production Schedule

(version B) Production Schedule

(version A)

Production Schedule

(version A.1 Modified)

MRP Supplier Schedules

Manual Adjustments

Click For Next Point

1

?

Synchronizing

your internal

supply chain

Introduction

6

• Integrated view of key planning and scheduling data elements

• Ability for quick visibility to: - Supply and demand issues

- Machine capacity issues

- Material shortages

1


Planning &

Scheduling WB’s Shortage Monitor /

Purchase Direct Manage Materials

by Resource

Release Production

by Resource

CAC ENGINE

.. leading to a higher rate of schedule achievement

.. improving delivery schedules

.. helping reduce operational costs

http://www.istockphoto.com/stock-photo-10683614-supervisor-at-auto-workshop.php

http://www.istockphoto.com/stock-photo-15000959-warehouse-manager-and-worker.php

http://www.istockphoto.com/stock-photo-14397964-industry-warehouse.php

In Concept– How do the Planning & Scheduling

Workbenches features translate into direct

operational cost – time – efficiency benefits across production, purchasing & materials

management?

In Practice – How do the Planning & Scheduling

Workbenches solution translate into operational

benefits?

How can you move forward with your own project?

Topics

Introduction

7

Materials Management – Master Scheduler

From Plan To Perform


8

Master Scheduler – Day In the Life

Planning

9

Mid-Term Forecasts

are updated per

S&OP process

Visibility in

MSW/PSW

Visual Signals Show Supply – Capacity – Materials

Not Meeting, or In Excess of, Demand

“I need multi-resource

visibility to the changes

occurring across all my

planning horizons to

comprehend the “total

situation.”

Short-Term Demand /

Supply changes

Shifting Resource

Constraints

Days- Weeks- Months-


1 2

Multi-Resource

Visibility to:

- Imbalances to

Supply & Demand

-Capacity

Constraints

- Material

Constraints

Multi-Resource Visibility – “Having the “big-picture” –

Capacity, Supply Shortages -

Material Issues across all my resources in a single view

provides me the ability to

make strategic decisions. “

MSW – Master Scheduling

Master Scheduler – Day In the Life

11

Visibility in

MSW/PSW

Visual Signals Show Demand and Supply Misaligned

“At 1pm, I see that some production orders need to

be expedited within my firm

horizon.”

“Drop-Ins” of New

Orders Within

Firm/Frozen Horizon


1 2

Visual alerts – “Enable me to quickly identify where I have

supply shortages and the

Demand Details panel provides

context to help me determine

the impact to my customers.”


Respond to customer

expedites and

perform: -Demand / Supply Imbalance visualization - Capacity Simulation

- Dynamic Component Availability Check - Dynamic BOM Drill Down

for sub-assembly shortage

analysis

Click “here” to zoom in / out


1 2

MSW – Master Scheduling*

MSW – “Enables me to quickly analyze the relationship of

capacity, schedule and the

supply/demand drivers –

resulting in decisions I can make

with confidence.

Respond to customer

expedites and

perform: -Demand / Supply Imbalance visualization

- Capacity Simulation



analysis



1 2


Dynamic Component Checking

- Before I commit to an expedite, I can determine material

availability - in the case of

shortages, I can see the next

receipt (date/qty/source).

Respond to customer

expedites and




analysis



1 2

Click on screen to launch

video


BOM View – “Enables me to make multi-level scheduling

decisions at a much

greater degree of

accuracy and speed.”

Respond to customer

expedites and


- Dynamic Component Availability Check - Dynamic BOM Drill

Down for sub-assembly

shortage analysis

Click on the video screen to pause video

Materials Management – Production Scheduler



20

Solution Components

Period - > Month - > Week - > Day - > Shift - > Interval - > hour

• Forecasts – sales demand – inventory planning

• Initial plan is created by MRP

Demand Received

• Balance demand / supply /resources to ensure a feasible and level production plan.

Production Planned • Sequence

production orders by item attributes and resource allocations to Optimize shop floor

Production Scheduled

• Verify materials available

• Release orders

• Print work orders and schedules

Production Dispatched • Monitor Production

& Manage Production Order

Production Reported

Production Planned

Production Scheduled

Production Dispatched

Production Reported Demand received

MRP MSW PSW Base Base

CAC


Production Scheduler

Material Planner – Day In the Life

Scheduling

22

MSW/PSW

“After prioritizing my

production orders for the

floor, I have remaining

capacity. I’m interested in

orders with similar attributes

and available materials to

pull into today’s schedule.”

Production

Scheduling

Simulation

Item and Order Attributes Enable Grouping to Optimize Scheduling

Component Checking Assures Schedule Execution


1 2

Click on the video screen to pause video

Click on screen to launch

video

PSW – Production Scheduling

PSW– “Enables me to create an executable production

schedule leveraging all

system support data critical

to making detailed

scheduling decisions.”

Create an executable

production schedule: - Sequence production orders by key attributes to achieve operational efficiency

- Check material availability to confirm ability to execute schedule & release


1 2

Create an executable

production schedule: - Sequence production orders by key attributes to achieve operational efficiency

- Check material availability to confirm ability to execute schedule & release


Dynamic Component

Status & Drill Down –

“Enables me to create a production schedule I can

be highly confident in to

execute – knowing the

materials will be there.”


1 2

Establish schedule

meeting both

maintenance and

scheduling needs: - Review planned maintenance orders for responsible resources

and start dialogue


EAM Integration – “Enables me to see maintenance

planning around my

resources - to start a

dialogue - and monitor

progress of when the work

will be complete.”

Materials Management – Material Planner

Presented By Nicole



26

Real-Time Synchronization QAD Solution Overview

27

• Visualized with in WB’s & Role Based Collections

• Enabled through the CAC Component Check

Availability Engine (MRE) not (MRP)

1


Planning &

Scheduling WB’s Shortage Monitor /

Purchase Direct Manage Materials

by Resource

Release Production

by Resource

CAC ENGINE

http://www.istockphoto.com/stock-photo-10683614-supervisor-at-auto-workshop.php

http://www.istockphoto.com/stock-photo-15000959-warehouse-manager-and-worker.php

http://www.istockphoto.com/stock-photo-14397964-industry-warehouse.php

Material Planner – Day In the Life


28

Material

Shortages

Monitor

Material

Shortages

Internal Supply Chain Synchronization

“I need to check the

shortages for the parts I

manage to determine the

optimal action”

Material Delays –

expiring inventory

Shifting demand

priorities


1 2

Material Planner – Day In the Life Order Component Status (Shortage)

Both the Scheduler and the Buyer

has visibility of the material shortage

and the impact to the production

schedule


1 2

Key Point: Armed with key information to make informed decisions

Modify due date

of PO to arrive

earlier?

Demand Component Supply


Realizing Operational Benefits with the


Conclusion

31

Key benefits or features

• Integrated planning and scheduling tool set

• Simulate changes in real-time

• Reduce planning and scheduling time and

complexity

• Compress manufacturing response

• Provide ability to create effective plans and

schedules

• Enable to be proactive

• Constraint-based master scheduler function

complements MRP calculation

Improved automation in master scheduling activities & improved

visibility of demand, supply, and capacity allows master and

production schedulers to focus more on exceptions and make

better informed decisions faster

Freudenburg-NOK 2012 Implementation

In Practice – How does the Planning &

Scheduling Workbenches solution translate

into operational benefits?

Eric Woldfrom

32

The Freudenberg Group

• Products: • Radial Shaft Seals

• O-Rings

• Gaskets

• Specialty Sealing Products

• Vibration Control Devices

• Health & Medical Products

• Diaphragms

• Oil & Gas

• Electronics

• Lubricants

• Specialty Textiles

• Household Products

• Accumulators

• Brake Components

Who We Are

•Freudenberg Seals and Vibration Control Technology Europe

Organization

Parent Company Freudenberg & Co.

Seals and Vibration Control

Technology Business Area

Business Group

Nonwovens

Business Area

Freudenberg Politex

Nonwovens

Household Products

Business Area

Freudenberg

Household Products

Specialties and Others

Business Area

Freudenberg Chemical Specialities

Business Group Business Group

Freudenberg-NOK Sealing

Technologies

NOK-Freudenberg Group

China

Dichtomatik

Vibracoustic (Europe)

Freudenberg Filtration

Technologies

Freudenberg

Nonwovens

Business Group

Freudenberg IT

Freudenberg NOK Mechatronics

Freudenberg Real Estate Management

Freudenberg New Technologies

Freudenberg Service Support

Business Group EagleBurgmann

14 Business Groups

Who We Are

Locations in 59 Countries

Production

Sales

Production and Sales

Who We Are

- Non-existent capacity visibility

- Supply chain had limited forward planning visibility for material replenishment

- Scheduling tools outside MRP connections

- Missing dynamic visibility to changing demand

- WIP inventory of components and finished goods required “walking the floor”

- Validate production smoothed plan within a horizon

- Pertinent information for decision making was held in multiple silos

Challenges

QAD Planning and Scheduling Workbenches

36

37

Decision making was void of dynamic MRP


• Obtain all aspects from the Challenges/Pain

Points slide

• ROI (tangible and intangible)

- Improved customer service

- Improved component material purchasing and forecasting

- Increased Scheduler confidence

- Greatly improved capacity visibility

- Machines grouped by capabilities

Benefits


38

• Technical Aspects

- 2010 SE

- Installed workbenches, v3.2.1.2 in training environment

• 170 total programs (.p’s) involved

- .Net UI Client (v2.9.1 ->v2.9.4)

- Conference Room Pilots (CRP)

- Moved to production and activated for each

site when appropriate in Site Maintenance

(1.1.13)

Implementation To Date QAD Planning and Scheduling Workbenches

39

• Business Aspects - Demos with divisional executives

- Demos with recommended facilities • Tillsonburg, ONT selected as site 1

• Santa Ana, CA selected as site 2

- Engaged QAD Services for site 1 • Training event, 9/12

- MRP data audit and correction – IMPORTANT !!!!!

• Workshop 1 event, 10/12

- Pilot workbenches in test environment

• Workshop 2 event GO LIVE, 10/12

- FNST ERP Consultants conducted the events for site 2 • Started 11/12 and GO LIVE 12/12

Implementation To Date


40

Production Line Setup (work center level)


MSW Setup PSW Setup

41

• .Net browse

utilization

• Project schedule

projection on 46’

monitors in WCs

- 30 second refresh

Advancements

42


• Both facilities adding more items and work

centers on a regular basis

• Next plants

- Findlay, OH

- Cleveland, GA

• Six additional sites have also volunteered

• Implemented release v3.2.2.1

Moving Forward


43

• Thoroughly test workbench program

changes

• MRP data integrity is paramount

• Power of .Net and browses

• Training and workshops worked out well

• Workbench items Purchase/Manufacture

value

• Larger LCD screens for schedulers

Lessons Learned

44


• Understand variant level of effort required

for MRP data integrity cleanup

• Start with small data set (items/PL’s)

• Auto firm planned orders (yes/no)

• Executive support

• Culture change for scheduling and using

factual parameters instead of tribal

knowledge

Implementation Considerations

QAD’s Planning and Scheduling Workbenches

45

Brent Shooltz

Product Manager, QAD. Inc

[email protected]

Eric Wolfrom

ERP Consultant, Freudenberg-NOK

[email protected]

For More Information


46

Q&A

1. Go to QAD E-Learning - http://www.qad.com/erp/Education/ - Log into ElLearning

2. Introduction / Training to Planning & Scheduling Workbenches (MSW/PSW) • Click on the Catalog tab and in the Search Box type: workbenches functional

- Planning and Scheduling Workbenches: 1. Webinar - 2011 Functional (THIS IS AN OVERVIEW - START HERE)

- Planning and Scheduling Workbenches: 2. Changes in Paradigm - 2011 Functional

3. Learn more about Component Available Check (CAC)

• Click on the Catalog tab and in the Search Box type: Synchronizing - Component Available Check (CAC): Synchronizing Your Internal Supply Chain Part 1 (concept level) - Component Available Check (CAC): Synchronizing Your Internal Supply Chain Part 2 (solution level)

3. Detail Training of Planning & Scheduling Workbenches (MSW/PSW) • Click on the Catalog tab and in the Search Box type: workbenches functional

- Planning and Scheduling Workbenches: 3. Creation of a Master Schedule - 2011 Functional - Planning and Scheduling Workbenches: 4. Creation of a Production Schedule - 2011 Functional - Planning and Scheduling Workbenches: 6. Performance Monitoring - 2011 Functional - Planning and Scheduling Workbenches: 6. Performance Monitoring - 2011 Functional

5. Learn about what’s new for (MSW/PSW)

• Click on the Catalog tab and in the Search Box type: Workbenches - Planning and Scheduling Workbenches Enhancements - 2012 Functional

Note: All training and information applies to SE as of eB2.1 SP4 through current release & EE all versions

Other Resource Links

Find out more

47

http://www.qad.com/erp/Education/

https://gm1.geolearning.com/geonext/qad/coursesummary.CourseCatalog.geo?id=22505882462


































• Riccardo Boido, Eaton APAC IT Manager

- “MSW/PSW finally brings QAD’s planning/scheduling

capabilities from the stone age to the computer age!”

• Ed Kennedy, CoorsTek Plant Manager

- “MSW/PSW graphical interface saves us 1 to 2 hrs a day

master scheduling as you have the information in front of

you without having to launch numerous browses or inquiries

to seek decision-making information. Not having to

manage all those browses and inquiries are significant

time-savings.”

- “ The PSW will quickly communicate to all sub and ancillary

operations changes to the master schedule so that the whole plant is on the same page. State of the art kinda

stuff!”

What Other Customers Are Saying

48


• Chris Loerch, Cascade Engineering Sr Mgr Plant Supply Chain

- “MSW/PSW has saved us time printing/reviewing reports

and keying, has improved visibility around capacity and component availability, provided us opportunity to

standardize scheduling process across plants, has greatly

reduced frustration and overtime and led to fewer

scheduling errors and fewer late shipments.”

• Ben Crawford, Superior Essex Production and Inventory Control

Manager

- “MSW/PSW has enabled us to improve our customer service, improve our component material purchasing and

forecasting, has increased our scheduler confidence, and

has greatly improved capacity visibility.”

What Other Customers Are Saying

49


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May 6-9, 2013

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Realizing Operational Benefits with the Planning ... Operational Benefits with the Planning & Scheduling Workbenches Eric Wolfrom, Freudenburg-NOK Brent Shooltz, QAD Inc, MWUG 2013