2. Analytics Driven Manufacturing
Gaining Visibility and Intelligence in the Modern Digital Factory
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Manish Modi, Vice President, Product Development, Oracle
Venkat Visweswaran, Director, Product Management, Oracle
Gregory FABREGUES, Solution Architect, FERRING
Berkay Sit, IT Manager, ROKETSAN
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
Oracle Confidential – Internal/Restricted/Highly Restricted

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4. Moderator Manish Modi Vice President, Applications Development
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5. Program Agenda 1
Why Analytics Driven Manufacturing? Panel Oracle Solution for Analytics Driven Manufacturing EBS Q&A 2
2.1
2.2
2.3 3
Oracle Confidential – Internal/Restricted/Highly Restricted

6. “Manufacturing is at the cusp of a new wave of gains that is being driven by an ‘intelligent economy’ where customers are more informed, talent is at a premium and the time to react to changes is compressed.”
Just wanted to open with an interesting and timely quote from the 2014 IDC Worldwide Manufacturing Industry report that gets to the heart of what manufacturers need to consider in We are indeed at an inflection point in manufacturing where customers have more of a voice than ever in the design and demand of products, where industry and process experts are reaching the retirement age and where the market demands changes to happen instantaneously.
Worldwide Manufacturing Industry Top 10 Predictions
IDC Manufacturing Insights
Source: Worldwide Manufacturing Industry 2014 Top 10 Predictions, IDC Manufacturing Insights
Oracle Open World 2014

7. Modern Manufacturing Value Chain Profitable Operations
Transformative Insight 1 2
Information accessibility can transform factory workers into knowledge workers with actionable insights
Getting the appropriate information, quickly and at the right time enables manufacturers to optimize their operations
Where does that lead us? No longer can organizations afford the obsolete manufacturing processes or silos. They drain too many resources and risk too much. Today, organizations are evolving manufacturing functions into a more modern, connected system. Why? There are certain activities you must coordinate before and after the manufacturing phase to win market share and profit over peers, like selecting the right idea and tracking it through market commercialization. Every year those activities get more complex thanks to all the competitive, technological, environmental, economic, and demographic fluctuations. It’s because of this business reality that Oracle encourages development executives to view Manufacturing in terms of the broader series of activities and data points that influence their products, or in other words, the entire Value Chain, an interconnected, unified series of events that span the extended enterprise, your business partners, and your customers.
With a modern manufacturing function, organizations can strategically grow revenue and improve profitability through profitable growth, transformative insight, ensuring quality and a collaborative network. So how does this happen?
First, Oracle’s Manufacturing solutions enable profitable growth by giving users and executives greater visibility throughout their manufacturing processes, allowing them to make better decisions by receiving the right information at the right time.
Secondly, Oracle Manufacturing solutions can provide transformative insight. It’s powerful analytics give knowledge workers new insight to optimize manufacturing processes.
Third, Oracle Manufacturing solutions enable organizations to focus on quality—to implement an enterprise quality management strategy or to ensure that the same high quality procedures are being replicated across global facilities and the global value chain.
Fourth, greater visibility leads to a better aligned extended network, made up of key suppliers and partners. This enables a rapid response network to ensure on-time delivery across the global supply chain and multiple sales channels.
Let’s take a deeper look at each of these four areas…
Value Chain 4 3
Collaborative Network
Ensure Quality
Capturing, collaborating and executing on innovations—big or small—can create competitive advantage
Leading manufacturers strive to achieve the highest quality and compliance across their extended value chains
Oracle Open World 2014

8. Manufacturers Continue to Face Big Challenges
40%
Lack of information
and material visibility across the extended supply chain
38%
Ask a manufacturer to identify their biggest supply chain challenge and you will more than likely hear the word visibility. But to achieve greater visibility, organizations will need to improve the integration of their supply chain. This graphic from KPMG’s Global Manufacturing Outlook 2014 demonstrates challenges related to visibility have jumped up the agenda for manufacturing leaders. 36% of respondents suggested that their lack of supply chain visibility was a direct result of inadequate IT systems. Those that do have visibility however, can get overwhelmed with the data—few have the right timeliness, precision or accuracy of that data to make actionable decisions.
Supplier performance
in terms of risk, reliability and quality
36%
Inadequate IT systems
for supply chain visibility, planning and execution
29%
Aligning operations
to real-time fluctuations in customer demand
29%
Capacity
ensure sufficient supplier capacity to meet demand
Source: KPMG Global Manufacturing Outlook, 2014
Oracle Open World 2014

9. VISIBILITY.

10. 2 HRS/DAY Searching for Information
Oracle Confidential – Internal/Restricted/Highly Restricted

11. Do Customers have an information problem?
TIME SPENT
2 Hours
Managers searching for information
USE OF WRONG INFORMATION
42%
At least once a week
QUALITY OF RESULTS
<50%
Useful information found
FINDING RELEVANT INFORMATION
25%
Time spent searching
Managers Say the Majority of Information Obtained for Their Work Is Useless, Accenture Survey Finds
Related Assets
NEW YORK and LONDON – Jan. 4, 2007 – Middle managers spend more than a quarter of their time searching for information necessary to their jobs, and when they do find it, it is often wrong, according to results of an Accenture (NYSE: ACN) survey released today.
The purpose of the online survey of more than 1,000 middle managers of large companies in the United States and United Kingdom was to uncover wide-ranging insights about the way they gather, use and analyze information.
Among the key findings: Managers spend up to two hours a day searching for information, and more than 50 percent of the information they obtain has no value to them.  In addition, only half of all managers believe their companies do a good job in governing information distribution or have established adequate processes to determine what data each part of an organization needs.
Nearly three out of five respondents (59 percent) said that as a consequence of poor information distribution, they miss information that might be valuable to their jobs almost every day because it exists somewhere else in the company and they just can not find it.  In addition, 42 percent of respondents said they accidentally use the wrong information at least once a week, and 53 percent said that less than half of the information they receive is valuable.
In addition, 45 percent of respondents said gathering information about what other parts of their company are doing is a big challenge, whereas only 31 percent said that competitor information is hard to get.
More than half (57 percent) of respondents said that having to go to numerous sources to compile information is a difficult aspect of managing information for their jobs.  In order to get information about competitors, customers, project responsibility or another department, respondents said they have to go to three different information sources, on average.  In addition, 40 percent of respondents said that other parts of the company are not willing to share information, and 36 percent said there is so much information available that it takes a long time to actually find the right piece of data.
Oracle Confidential – Internal/Restricted/Highly Restricted

12. Visibility Challenges and Improvement Priorities
Large Volume of Data
High Velocity of Data flow
Huge Variety of sources
Veracity of data
Access Anywhere
Actionable
Data acquisition and consolidation
Contextualization, Collaboration and Security
Need for quick analysis, insight & actionable metrics
Near real time visibility to production performance in single/multiple sites
Access to information through mobile devices
Automated correlation of manufacturing data to process specifications and testing data
Asset performance and reliability centered maintenance
CHALLENGES
PRIORITIES

13. Panel Venkat Visweswaran, Director, Product Management
This slide can also be used as a Q and A slide
Gregory Fabregues, Solution Architect Senior Manager
Berkay Sit, IT Manager
Oracle Confidential – Internal/Restricted/Highly Restricted

14. Oracle’s Solution for Analytics Driven Manufacturing
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Venkat Visweswaran
Director, Product Management, EBS Application Development
Manufacturing, Supplier Management, Product Information Management Domain Expert
Oracle EBS Product Hub, Supplier Lifecycle Management, Supplier Hub, EBS Agile Integration, EBS Manufacturing Endeca & Mobile Smartphone Apps Innovator
23 Years Industry, 15+ Oracle
Oracle Confidential – Internal/Restricted/Highly Restricted

15. Transformative Insight With Targeted Apps
Turn factory workers into knowledge workers, providing access to information & insights
Mobility
Real Time Data Discovery
Real Time Shopfloor Intelligence
Let’s now look at how Collecting and Acting Upon Transformative Insight can result in a way to continuously improve your business and the next generation of innovating, developing, manufacturing and commercializing new products. Empower your knowledge workers to make better and faster decisions.
Empower your employees at every level, from end user to executive with actionable data from live performance analytics. Offer insightful dashboards to steer business investments and other manufacturing decisions.
The deep insight is a prioritizing tool, with a view of the most pressing issues, allowing you to optimize resource utilization and control costs. Gain visibility into the most urgent needs and handle them quickly to move forward.
And ensure that your manufacturing and entire value chain is improved continuously. Drive excellence and growth with the latest tools to monitor, measure, and improve decision-making and performance management.
Smartphone Manufacturing Apps
Endeca Manufacturing Extensions
MOC
Manufacturing Operation Center
Manufacturing Analytics
MES Manufacturing Execution System

16. Optimize Manufacturing Operations
Oracle Manufacturing Execution Systems (MES) for Discrete & Process Mfg
MES for Discrete Mfg
MES for Process Mfg
ERP
Operator
Work from dispatch list
Record transactions, quality info, work completion, and time
View work instructions and component info
Report production exceptions
Skills certification
Process Engineer
Manage recipes & advanced process instructions
Production Supervisor
Create & manage batch status
Log non-conformances
Dispensing / Prod Operator
Touch Screen User Interface
Pre-weigh designated ingredients
Process batch operations
Operator Certification
Corp Mgmt
MES
Production Mgmt
Shop Floor Control
Supervisor
Review & resolve exceptions
Monitor shop floor progress
One stop shop for “Manufacturing Operations Management” - ERP, Quality, Scheduling, Maintenance and MES
Leverage “Best in class” integration infrastructure in Fusion Middleware to connect to other plant floor systems
System Automation & Control
Deliver Real-Time Shop Floor Visibility to Multiple Layers of Management
Reduced TCO / Complexity via Integrated Mfg Mgmt & Production Execution

17. Mobile Discrete Production Supervisor
New
In a manufacturing environment, work orders may be delayed due to reasons such as material and resource constraints, or unexpected equipment downtime etc. Mfg supervisors need to see and act on such delayed orders and exceptions as they walk around.
The Mfg Supervisor smartphone provides easy visibility to such delays and to act on the delays and exceptions. Supervisors after reviewing manufacturing execution exceptions can contact planner/schedulers in context to request adjustments to work order schedules. So they can then prioritize specific work orders by expediting it over other work orders. They can also cancel or place on hold other work orders to allow them to focus on the expedited orders. They can quickly record generic execution notes at the work order level or at the specific exception level as they move around the shopfloor to keep valuable build information history.
Easily view work orders and operation progress
Search work orders or barcode scan
Collaborate in context to resolve exception
Quickly act on the work order

18. Mobile Process Production Supervisor
New
Easily view batches progress and exceptions
Search or barcode scan batches
Check the batch details, including current step
Quickly take action on the batch

19. E-Business Suite Smartphone Apps
Be Informed and Take Action on the Go
Smartphone Apps
Delivery Strategy
Horizontal Apps – for most employees
Approvals
Expenses
Line of Business Apps
Sales Orders
Inventory
Product Information
Procurement
Project Manager
iOS and Android
EBS and and above
No additional costs for licensed users of base products
Timecards
iProcurement
Discrete Production Supervisor
Process Production Supervisor
Project Manufacturing
Maintenance
Field Service
For app availability, check MOS Doc or search ‘Oracle EBS America’ on app store.

20. Endeca’s Unique User Experience
Interactive Data Exploration and Analysis + +
Advanced Search
Search across all data
Dynamic typeahead
Automatic spell correction
Unlocks unstructured data
Contextual Navigation
Data-Driven. Freely browse data without predefined paths or writing queries
Interactive. Shows only valid next steps
Easy to Use. Familiar online experience
Visual Analysis
Charts, crosstabs, key metrics
Geospatial visualization
Tag clouds

21. Discrete Manufacturing Extensions for Endeca1 2
Information Discovery…
Discrete Work Order
Assembly
Sales Order
Customer
Routing Operations
BOM Components
Operation Resources
MES Exceptions
Move Transactions
OSP Supplier
Requisition
Purchase Order
Cost Variance
Manufacturing Exceptions
Management
Work In Process
Progress Insights
Oracle Discrete Manufacturing Extensions
for Oracle Endeca
Main
Point 3 4
Outside Manufacturing
Operations Insights
Work In Process Quality & Cost Variance Insights

22. E-Business Suite Manufacturing Extensions for Endeca
Discrete, Project Mfg and Process Execution
Discrete and Process Cost Management
Improve manufacturing operations productivity
Optimize your period close process
Discrete, Project Mfg and Process Execution: Improve manufacturing operations productivity
Quickly identify and manage component shortages and resource bottlenecks
Find and resolve shop floor exceptions and quality non-conformances as they arise
Discrete and Process Cost Management: Optimize your period close process
Identify and correct uncosted WIP and backlog transactions
Discrete and Process Quality Management
View and act on non-conformances, quality results and laboratory workload to reduce cost of quality
Outsource Manufacturing: Increased visibility to manufacturing partner status
Identify subcontract order delays early and adjust production schedules to meet on-time customer delivery
Discrete and Process Quality Management
Outsourced Manufacturing
Increased visibility to manufacturing partner status
Reduce Cost of Quality
Oracle Confidential – Internal/Restricted/Highly Restricted

23. E-Business Suite Extensions for Endeca Manufacturing Focus
Outsourced Manufacturing*
Discrete Manufacturing
Process Manufacturing
Inventory
Cost Management
Quality Management
New Features including Project Manufacturing
New Features including Process Quality
New Core Inventory Features
Support for Process Manufacturing
Product Updates
New Product
New EBS Endeca Extension
EBS Endeca Extensions Latest Release V5 (12.2 /12.1.3)
* Separate E-Business Suite Product containing Pre-built Endeca content and not an E-Business Suite Extension for Endeca Product

24. Oracle Manufacturing Operations Center
Real-Time Intelligence for Plant Operations
Unified Plant Data Repository
Integration to shop floor systems and equipment
Event Management Framework
The Foundation for Continuous Process Improvement

25. Oracle Manufacturing Operations Center (MOC)
ERP Systems
Production Schedules
Quality
Cost Mgmt
Users
Production
Manager
Plant
Corporate BI
Cross-Plant KPIs
Plant-Specific KPIs
OEE by department,
Production Performance
Metrics by equipment
Yearly improvement goals and trends
By department, plant
Schedules
Master/Reference Data
Production Actuals
EAM Maintenance Work Requests
Role-Based
Dashboards
Contextualization
Engine
Manufacturing Operations & Sustainability Data Model
ERP Agnostic
Manual Data
MES/Data
Historians
Shop Floor
Communication Drivers
Automation & Process Control Systems
Advanced
Process
Control
CNC Machines
SCADA Systems
PLC

26. 360ο View of Equipment Performance
Maximize Performance of Your Manufacturing Assets
Availability
Production Output
Equipment downtime
Mean time to failure
Effective run-time
Quantity produced
By hour, shift, week
Process Parameters
Production Quality
Pressure
Temperature
Humidity
Quantity rejected
Quantity scrapped
Defects by reason code
Events
Events for exceptions
Production Supervisor
Line Manager
Maintenance Supervisor
For
Get a 360 degree view of the equipment performance

27. Production Supervisor Dashboard
Real Time Shop Floor Monitoring View
Alert for High Scrap
Equipment Status
Equipment Production Performance
Equipment Status Analysis
Equipment Status Trend
Equipment Output Trend

28. Manufacturing Analytics
Prepackaged Manufacturing Analytics
Plan to Produce
Manufacturing Execution
Process Manufacturing
Manufacturing Quality
Production Costing
Inventory
Sample Reports
Plan to Produce
Production Attainment
Past Due Work Orders
Planned Production
Manufacturing Execution
Work Order Detail
Open Work Orders
WIP Operation Analysis
Scrap Summary
Rework and First Pass Yield
Process Manufacturing
Formulation Yields
Adjusted Formulation Variance
Scaled Formulation Variance
Manufacturing Quality
Quality Summary
Quality Results
Non Conformance
Production Costing
Cost Metrics KPI
Manufacturing Cost Summary
Manufacturing Cost Variance Summary
Cost Trend
Inventory
Inventory Expirations
Excess and Obsolete Inventory
Inventory Aging

29. Analytics Driven Manufacturing
When the whole is greater than sum of parts, you have an effective, high visibility system
Let’s now look at how Collecting and Acting Upon Transformative Insight can result in a way to continuously improve your business and the next generation of innovating, developing, manufacturing and commercializing new products. Empower your knowledge workers to make better and faster decisions.
Empower your employees at every level, from end user to executive with actionable data from live performance analytics. Offer insightful dashboards to steer business investments and other manufacturing decisions.
The deep insight is a prioritizing tool, with a view of the most pressing issues, allowing you to optimize resource utilization and control costs. Gain visibility into the most urgent needs and handle them quickly to move forward.
And ensure that your manufacturing and entire value chain is improved continuously. Drive excellence and growth with the latest tools to monitor, measure, and improve decision-making and performance management.
Smartphone Manufacturing Apps
Endeca Manufacturing Extensions
MOC
Manufacturing Operation Center
Manufacturing Analytics
MES Manufacturing Execution System

30. Oracle, in the business to help you gain VISIBILITY

31. Gregory FABREGUES
Solution Architect Senior Manager
Oracle EBS financials, controlling and reporting

32. Ferring Pharmaceuticals at a glance
Ferring Pharmaceuticals is a research-driven, biopharmaceutical company devoted to identifying, developing and marketing innovative products in the fields of reproductive health, urology, gastroenterology, endocrinology and orthopaedics.

33. Oracle ERP Competences Center Organisation – EBS Location
FDE
(FGmBH, Kiel)
FCH
(FICSA, St-Prex)
FCZ
(FLAS, Jesenice)
FIL
(BTG, Beer Tuvia)
FCN (Zhongshan)
FUS
(US120, Parsippany)

34. Accounting to Reporting (A2R) Quality Assurance (QA)
Oracle EBS – EBS Modules – Endeca Extension at Ferring
Accounting to Reporting (A2R)
Procure to Pay (P2P)
Order to Cash (O2C)
Manufacturing (MFG)
Supply Chain Planning (SCP)
Quality Assurance (QA)
Global Process Owners / Delegates
General Ledger
Cost management
Fixed Asset,
Ebusiness Tax
Order management
Shipping execution
Advanced Pricing
Accounts Receivable
Cash Management
iReceivable
OPM Product Development
OPM Process Execution
Enterprise asset mgmt
WMS & MSCA
Inventory
OPM product Development
Quality (on going project)
ASCP
Oracle EBS Modules
Oracle Endeca
Purchasing
Accounts Payable
Internet Expenses
iProcurement
Not use yet

35. Ferring - Endeca Endeca at Ferring.
Today we have customizations requested by the business to improve data discovery: Report, KPI, Sql extract…Endeca will give users access to this information thru standard screens.
Endeca Extension which will have been implemented at Ferring phase 1:
Oracle Inventory Management (Focus on item search)
Oracle Order Management (Focus on Sales orders)
Oracle Process Manufacturing (Focus on batches)
Oracle Enterprise Asset Management
Oracle Warehouse Management
Oracle Receivables
Oracle Payables (not used yet)
Ferring strategy :
Deploy Endeca “out of the box”.
No customization.
After 6 months of usage, gather feedbacks from power user and study improvements.

36. Ferring – Endeca Process Manufacturing Extension
Really focused on batch management.
Easy to identify the batches having issues.
Easy filter with all the filters available.
Useful for people working on production

37. Ferring – Endeca Inventory Extension
Really focused on item management.
Used by our Master Data Management team
The main feature used is to compare item attributes
across inventory organizations
Within the same organizations (same type of items)

38. Ferring – Endeca Warehouse Management Extension
Used by our Production team
The main features used are :
Space utilization
Labor utilization

39. MES Implementation in Roketsan
Lead the development team
Design and manage customized solutions
Architecture, database design, development, workflow...
Berkay Sit
MES IT Development Leader
Unit Head
MIS – Application Development Dept.
Hello, welcome to you all. My name is Berkay Sit. Today, I will make a brief presentation about our MES Project in Roketsan, one of the biggest Defense Industry Companies in Turkey.

40. Manufacturing Execution System Project

41. Products
About Roketsan

42. General Information Founded in 1988
About Roketsan
Founded in 1988
One of the Leading Defense Industry Firms in Turkey
Specialized in Designing and Producing Rockets and Missiles
1850 Employees including 950 Engineers
Two facilities:
5,700,000 m2 Open Area
80,000 m2 Closed Area

43. Oracle Footprint at Roketsan
General Info
Oracle Footprint at Roketsan
Oracle is being used now
In 2014 (projection),
7200 Job Orders
430,000 Move Transactions
600,000 Material Transactions
1,500,000 Clock In

44. Oracle Footprint at Roketsan
Modules
Oracle Footprint at Roketsan
Discrete Manufacturing
Human Resources
Quality
Enterprise Asset Man.
ASCP
Project Management
Financials
Primavera
Purchasing
Hyperion
Engineering
MES

45. Purpose and Scope of the Project
Purpose of the Project
Purpose and Scope of the Project
Redesigning all Production Processes
Adaptation of all Production Processes to ERP
Monitoring Production Instantaneously
Collection of Manufacturing and Quality Data
Using Statistical Process Control Methods
Standardization of Reports
Minimizing Human Faults

46. Purpose and Scope of the Project
All (58) Shop Floors in Roketsan
All (1442) Stakeholders in Production System
All Projects Carried Out in Roketsan
All Production Documents and Processes
Configuration and Change Management

47. Challenges In Implementation
First Implementation in Turkey
25 years corporate culture
Process Variety
Product and Project Variety
Project Scope
Size of the Project Team
Energetic Area

48. Developed Applications
20 new screens and extensions
Using Oracle Forms, OAF, ADF, WCC and Workflow
Personalizations & Extensions
Routings
ECO
Collection Plans
MES Operator
MES Supervisor
...
New Screens
Technician’s Cockpit
Document Management
Conformity Assesment
MES Live Broadcast
XML Reports with QR Code
...

49. Change Management for Routings
Personalizations & Extensions
Integration of Routings with WCC for document attachment

50. Personalized MES Operator Screen
Personalizations & Extensions
Fields hidden, reordered and added

51. Extended Backflush Components Screen
Personalizations & Extensions
Various validations added into buttons

52. Technician’s Cockpit
New Screens

53. MES Live Broadcast - MESSI
New Applications 1

54. Project Facts 20 new screens and extensions 9 new XML Reports
70 Project Members
1450 Project Stakeholders
37 Training Sessions
20,000 man-hour direct labor (Roketsan)
101 day consultancy

55. MES Workstation

56. Achievements Biggest IT Project in Roketsan
ERP usage capability for technicians
Additional 1.8 million ERP transactions/year
7/24 Serving IT Infrastructure
Multiple Database and Cloud System

57. Achievements Redesign and Simplification of Production Processes
Instantaneous Traceability
Easily Accessible and Analyzable Data
Standart Reports for Various Level of Management
%2.8 Decrease in Production Labor Cost

58. Future Projects MES & PLM (Product Lifecycle Management) Integration
ASCP (Advanced Supply Chain Planning)
BI APPS (Business Intelligence Applications)
MSCA (Mobile Supply Chain Applications)
Shop Floor Simulation

59. Analytics Driven Manufacturing Gaining Visibility with Advanced Intelligence
BENEFITS
Enable Board Room to Shop Floor Visibility
Ensure Process Repeatability
Accelerate Continuous Improvement initiatives
Become Lean - Eliminate massive amounts of paper and manual interventions
Monitor manufacturing performance to Goals
Lower cost of Compliance
Enable actionable real time intelligence
Reduce overall costs of manufacturing operations
ROI
Best-in-Class Examples
Ingersol Rand - reduced inventory by 23%; increased mfg productivity by 33%
Sony - improved manufacturing productivity by 15%
IMT - reduced manufacturing cycle time by 58%
LG Phillips - decreased manufacturing costs by 15%
Intersil - improved WIP, BOM and routing accuracy to 99.5%
Panasonic - reduced inventory cost by $26M
Colorcon -Cut production lead times in half
Posco -improved inventory turnover by 38%
Kolon - Improved production accuracy by 18.6%
Board Room to Shop Floor Visibility
Process Repeatability
Enforce Best Practice SOPs
Reduce Labor - Remove a Level of Approvals
Eliminate Massive Amounts of Paper
Advanced Search Capability
Eliminate Errors
Lower Training Costs
Lower Cost of Compliance
58% reduction in manufacturing cycle time
15% decrease in manufacturing costs
50% decrease in production times
19% improvement in line accuracy
99% improvement in WIP accuracy
33% in shop productivity

60. Questions & Answers
Oracle Confidential

61. Oracle Confidential – Internal/Restricted/Highly Restricted