1. Visit our Focus Rooms Evaluation of Implementation Proposals by Dynamics AX R&D Solution Architecture & Industry Experts Gain further insights on Dynamics AX Industry Solution Offerings Resolution Guidance on Solution Roadblocks Networking Focus Topic Highlight Business Intelligence Tuesday 2.15pm – 5.45pm Risso 6C Risso 8A Risso 7B Risso 7A Risso 6C Risso 6A/B

2. DISCLAIMER ©2011 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. Other names and brands may be claimed as the property of others. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. All pre-release product release dates and features specified are preliminary based on current expectations, and are subject to change without notice. Microsoft may make changes to specifications and product descriptions at any time, without notice. Sample code included in this presentation is made available AS IS. THE ENTIRE RISK OF THE USE OR THE RESULTS FROM THE USE OF THIS CODE REMAINS WITH THE USER. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION. NO LICENSE, EXPRESS OR IMPLIED, BY ESTOPPEL OR OTHERWISE, TO ANY INTELLECTUAL PROPERTY RIGHTS IS GRANTED BY THIS PRESENTATION. Microsoft products are not intended for use in medical, life saving, or life sustaining applications.

3. NICE,FRANCE LEARN | INSPIRE | INNOVATE TECHNICAL CONFERENCE 2011

4. LEAN MANUFACTURING 1-BASICS (PULL) SESSION CODE : BRK250 CONRAD VOLKMANN SENIOR PROGRAM MANAGER MICROSOFT CORPORATION

5. Today we will show you…

6. The five lean principles Customer Value Identify the Value Stream Flow – Session BRK250 Pull – Session BRK251 (this session) Perfection

7. Pains and challenges Eduardo – Production planner Needs full integration of Lean Manufacturing in master scheduling Needs a central unique instrument for all replenishment strategies Ahmed – Waterspider Important manufacturing role needs specific support Lars – Shop/Work Cell Supervisor Needs one common user interface for all replenishment strategies Needs full integration to tracebility, batch and serial numbers Shannon – Machine Operator Needs a common user interface for all replenishment strategies Needs Barcode support integration in the main user interface, not separate forms

8. Components in action today

9. Lean Manufacturing - functions and features

10. AX 2012 - Unified Kanban architecture

18. Customer OEM Contoso CEU Contoso Plastics Contoso Chemicals Mixed mode manufacturing

19. Product demos #TitleKey Features 1.Order taking for Lean Manufacturing Scheduled Kanbans Sales Event Kanbans Pegging Tree Form 2.Scheduling Kanbans Kanban Scheduling Board Kanban Quantity Overview 3.Lean Manufacturing Kanban Board for Process Jobs Kanban Quantity Overview Empty Handling Units 4.Configuration Kanban Rules Production Flow – Activities

20. Demo – Example

21. Demo 1: Sales order taking Sales Event Kanbans – Automatic creation of Event Kanbans – Manual creation of Event Kanbans – Pegging Tree Visibility Scheduled Kanbans – Explosion/Master scheduling/CTP

22. Demo 1: Sales order taking PersonaPain Points and ChallengesFeatures CoveredResults and Benefits Sales order processor Support build to orderSales Event Kanbans Scheduled Kanbans CTP Rule based automatic integration on create, change, delete order lines Sales order processor Planning and production status visibility for orders based on Kanbans Pegging Tree Form Kanbans in the explosion form Drill through on Kanban status Full visibility of Kanban situation in explosion Sales Event Kanbans – Automatic creation of Event Kanbans – Manual creation of Event Kanbans – Pegging Tree Visibility Scheduled Kanbans – Explosion/Master scheduling/CTP

23. Demo 2: Planning Kanbans Automatic planning Manual planning: Kanban Scheduling Board

24. Demo 2: Planning Kanbans Automatic planning Manual planning: Kanban Scheduling Board PersonaPain Points and ChallengesFeatures CoveredResults and Benefits Production plannerVisibility of the Kanban schedule Kanban schedule by periods Unplanned jobs Kanban quantity overview Simple overview of available capacity Actual production status, backlog Production plannerSimplicity and user experience Drag and drop planning Batch updates Scheduling groups and colors Simple, intuitive planning interaction

25. Demo 3: Lean Manufacturing Kanban board for process jobs Execute for different replenishment strategies

26. Demo 3: Lean Manufacturing Kanban Board for Process Jobs Execute for different replenishment strategies PersonaPain Points and ChallengesFeatures CoveredResults and Benefits WaterspiderNo specific supportPrepare jobs Empty kanbans Role shaped UI in a single form Barcode support Machine operatorDifferent UI for different replenishment strategies Start jobs Complete jobs Complete with details Role shaped UI in a single form Barcode support Preselected number of visible Jobs

27. Demo 4: Configuration Kanban Rules Replenishment Strategies – Fixed quantity – Scheduled – Event

28. Demo 4: Configuration

29. Kanban Rules Replenishment Strategies – Fixed quantity – Scheduled – Event PersonaPain Points and ChallengesFeatures CoveredResults and Benefits Value stream manager Production Strategies and Demand Changes Kanban Rules Production Flows Date Effective Rules Replacement Rules

30. Concepts & definitions Kanban – A signal for demand/replenishment Job – An activity instance triggered by a demand signal (Kanban or Production Order) Material Handling Unit – Physical handling unit identified by the Kanban Card Work Cell – A resource group dedicated to Lean Manufacturing Kanban Rule – A material supply policy for Lean Manufacturing

31. Top 10 tips from the session Implement lean thinking in the organisation before implementing lean software tools Reduce lead times before moving from production orders to kanban Reduce product quantities in kanbans and material handling units Use kanbans to replenish supermarkets or supply customer demand Manage work cells with the kanban boards Select out of 3 replenishment strategies for kanbans: Fixed, Scheduled and Event Use sales event kanbans to create kanbans for individual demand (assemble to order) Use scheduled kanbans for unstable demand Use fixed quantity kanbans for continuous demand Use event kanbans to address exceptional demand

32. What we showed you today… Lean Manufactring supports all replenishment strategies – Fixed quantity – Scheduled – Event Lean Manufacturing is fully integrated in ERP Lean Manufacturing is role-based Lean Manufacturing is visual

33. Related sessions BRK233 : Unifying the previously disparate concepts of Lean, MRP, Discrete and Process Manufacturing BRK235 : Materials Planning & Resource Scheduling - a New Approach BRK234: The New Way of Configuring Products - The Constraint-Based Approach CHK220 : Lean Manufacturing for Dynamics AX 2012 Architecture CHK219 : Product Configuration - Deep Dive from a developer view point BRK251 : ​Introduction to advanced scenarios of Lean Manufacturing for Dynamics AX 2012: Production flows and activities BRK236 : Manufacturing Execution and Time & Attendance BRK244 : Investments in Process Manufacturing

34. Visit our Focus Rooms Evaluation of Implementation Proposals by Dynamics AX R&D Solution Architecture & Industry Experts Gain further insights on Dynamics AX Industry Solution Offerings Resolution Guidance on Solution Roadblocks Networking Focus Topic Highlight Business Intelligence Tuesday 2.15pm – 5.45pm Risso 6C Risso 8A Risso 7B Risso 7A Risso 6C Risso 6A/B

35. © 2011 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows 7 and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.