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Manufacturing Product Direction Tools to Streamline Your Manufacturing and Supply Chain Processes Joseph A. Phelan, CPIM Senior Director of Manufacturing R&D QAD, Inc. | Building the Effective Enterprise Tools to Streamline Your Manufacturing and Supply Chain Processes Safe Harbor Statement The following is intended to outline QAD’s general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, functional capabilities, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functional capabilities described for QAD’s products remains at the sole discretion of QAD. | Building the Effective Enterprise 2 Tools to Streamline Your Manufacturing and Supply Chain Processes The Effective Enterprise “An Effective Enterprise is one where every business process is working at peak efficiency and perfectly aligned to the company’s strategic goals. ” | Building the Effective Enterprise 3 Tools to Streamline Your Manufacturing and Supply Chain Processes Topics ■ Building an Effective Enterprise through Connectivity Internationalization MSW/PSW User experience Industry compliance and extensions − − − − Serialization Track / trace extensions Attributes Quality Control ■ Summary ■ Questions | Building the Effective Enterprise 4 Tools to Streamline Your Manufacturing and Supply Chain Processes Connectivity Manufacturing Product Direction | Building the Effective Enterprise 5 Tools to Streamline Your Manufacturing and Supply Chain Processes Connectivity ■ Service interface APIs APIs for internal and external use − Continually extended to more and more functions ■ This is important Performance Integration flexibility Enabler | Building the Effective Enterprise 6 Tools to Streamline Your Manufacturing and Supply Chain Processes Internationalization (I19) Manufacturing Product Direction | Building the Effective Enterprise 7 Tools to Streamline Your Manufacturing and Supply Chain Processes Internationalization (I19) ■ Business Drivers Compliancy requirements − Local legal (country specific) − International (IFRS) Operational practices | Building the Effective Enterprise 8 Tools to Streamline Your Manufacturing and Supply Chain Processes Internationalization ■ IAS-2 inventory valuation (IFRS) “Cost of inventory comprises all costs of purchase, conversion and logistics costs incurred in bringing the inventories to their present location and condition.” | Building the Effective Enterprise 9 Tools to Streamline Your Manufacturing and Supply Chain Processes Internationalization ■ Periodic costing Inventory evaluation capability − Weighted average (WAVG) − First-in/first-out (FIFO) − Last-in/first-out (LIFO) New capabilities − Improved (Advanced) Repetitive Integration − Overhead allocations − Functional/Usability Improvements ■ Important Expands financial compliance coverage Helps establish exceptional operational standards | Building the Effective Enterprise 10 Tools to Streamline Your Manufacturing and Supply Chain Processes Internationalization ■ Logistics accounting Supports Legal Documents and GTM Enhanced tax handling for transactions Additional apportion methods − Weight − Volume − Net price Capture logistics charges by order / supplier − Price list Improved integration to Periodic Costing Usability Improvements | Building the Effective Enterprise 11 Tools to Streamline Your Manufacturing and Supply Chain Processes MSW/PSW Manufacturing Product Direction | Building the Effective Enterprise 12 Tools to Streamline Your Manufacturing and Supply Chain Processes Usability / Functional Enhancements ■ March 2013 release Quick-find Dynamic forecast inclusions/exclusion Alternate BOM/routings defaults Parent order New data drill downs released Routable scheduling Routable sub-assembly order created ■ Future Release Personalization architecture Dynamic item to resource Schedule by week | Building the Effective Enterprise 13 Planning & Scheduling Workbenches Scalability to Increase Visibility Maximum Visibility Minimum Visibility Resource Groups 1 record . G2 . . -Work Order -MRP Inquiry -Inventory Detail -Resource Capacity ……. G1 G4 G2 G1 G3 G4 All Resources G2 G1 G4 G3 Hybrid G5 G1 G2 G8 2012 2013 March G3 G4 G9 2013 Fall Data Retrieval + ++ ++++ CAC Engine + + ++ Client + Other + | Building the Effective Enterprise + -DOI G7 G6 -DOI 2010-11 <2010 G3 All Resources ++ ++ + ++ 14 Tools to Streamline Your Manufacturing and Supply Chain Processes User Experience Manufacturing Product Direction | Building the Effective Enterprise 15 Tools to Streamline Your Manufacturing and Supply Chain Processes User Experience “Real time is the period of time that will positively change decision quality.” | Building the Effective Enterprise 16 Tools to Streamline Your Manufacturing and Supply Chain Processes User Experience ■ Solution effectiveness – How quickly a business process or company can detect and respond to a capacity, supply or demand altering event. Measurability should be on how well the solution works as a “team” member with the users. Relative Impact The longer it takes, the greater the impact Delay in response time | Building the Effective Enterprise 17 Tools to Streamline Your Manufacturing and Supply Chain Processes User Experience ■ Role-based centers Master scheduler/Finishing scheduler Material planner (production)/ Production scheduler Material planner – procurement Buyer Shop floor – operator Shop floor – controller Material handler – inbound (receiving) Material handler – outbound (shipping) | Building the Effective Enterprise 18 Material Planner - Procurement Buyer Messages (Alerts) CM-MMMMMMMMMMM EAM-MMMMMMMMMM MFG-MMMMMMMMMM PUR-MMMMMMMMMM QLM-MMMMMMMMMM ENG-MMMMMMMMMM Calendar Prod Mtg at 10:00 AM 4 1 To – Do List 7 Run Production Report Run SOP Production Summary Review Forecast Metrics (scorecard) Inventory Turns Supplier Delivery Performance Supplier Quality Performance Inventory Accuracy Stockouts Expedited Orders Safety Stock Obsolete Inventory Inventory to Obsolete Ratio Scrap Master Data Accuracy 2 5 Inventory Turns Menus Favorites 3 Refresh | Building the Effective Enterprise 6 Material Planner - Procurement Material Planner - Procurement Buyer Messages (Alerts) CM-MMMMMMMMMMM EAM-MMMMMMMMMM MFG-MMMMMMMMMM PUR-MMMMMMMMMM QLM-MMMMMMMMMM ENG-MMMMMMMMMM Calendar Prod Mtg at 10:00 AM To – Do List 4 1 7 Run Production Report Run SOP Production Summary Review Forecast Metrics (scorecard) Inventory Turns Supplier Delivery Performance Supplier Quality Performance Inventory Accuracy Stockouts Expedited Orders Safety Stock Obsolete Inventory Inventory to Obsolete Ratio Scrap Master Data Accuracy 2 5 Tabs indicate method for combining roles Inventory Turns Menus Favorites 3 Refresh | Building the Effective Enterprise 6 Material Planner Procurement Material Planner - Procurement Buyer 7 Messages (Alerts) CM-MMMMMMMMMMM EAM-MMMMMMMMMM MFG-MMMMMMMMMM PUR-MMMMMMMMMM QLM-MMMMMMMMMM ENG-MMMMMMMMMM Calendar Prod Mtg at 10:00 AM To – Do List Run Production Report Run SOP Production Summary Review Forecast 1 4 2 5 Metrics (scorecard) On time & in full delivery performance % delivered on time and in full % delivered on time % delivered in full Quality performance Scrap Returns Inventory turns Material cost (% of COGS) Purchase price variance Item Spend Analysis Supplier Spend Analysis Cash Requirements Forecast Open P O Amount by Month Supply Chain Risk Menus Favorites Refresh 3 | Building the Effective Enterprise 8 6 Buyer (Direct Materials) Tools to Streamline Your Manufacturing and Supply Chain Processes Serialization, Label Printing, Lot Trace Workbench Manufacturing Product Direction | Building the Effective Enterprise 22 Tools to Streamline Your Manufacturing and Supply Chain Processes Serialization, Label Printing, Lot Trace Workbench ■ What is serialization Unique identification number | Building the Effective Enterprise 23 Tools to Streamline Your Manufacturing and Supply Chain Processes Serialization, Label Printing, Lot Trace Workbench ■ What is license plate inventory Packaged inventory using a unique ID | Building the Effective Enterprise 24 Tools to Streamline Your Manufacturing and Supply Chain Processes Serialization, Label Printing, Lot Trace Workbench ■ Business Challenges Brand Management and Control − Counterfeit product − Recall management − Inventory trace and track − Regulatory compliance Operational Efficiency and Accuracy − Warehouse efficiency − Inventory accuracy − Shipment accuracy | Building the Effective Enterprise 25 Tools to Streamline Your Manufacturing and Supply Chain Processes Serialization, Label Printing, Lot Trace Workbench ■ Key Capabilities Packaging Serialized data management Serialized inventory management − Transaction enabled Label printing service Communication and integration Backward / Forward lot track and trace | Building the Effective Enterprise 26 Tools to Streamline Your Manufacturing and Supply Chain Processes Serialization, Label Printing, Lot Trace Workbench ■ Lot trace workbench New capabilities − Tracking and tracing of: item serial numbers and/or license plated packs Backward and forward tracing − Extended list of relevant information − Drill down capabilities − Ability to extract data for further analysis | Building the Effective Enterprise 27 Tools to Streamline Your Manufacturing and Supply Chain Processes Serialization, Label Printing, Lot Trace Workbench ■ Important Supports regulatory compliance Enhanced product safety and integrity Improved business operations | Building the Effective Enterprise 28 Tools to Streamline Your Manufacturing and Supply Chain Processes Attributes, Quality Control Manufacturing Product Direction | Building the Effective Enterprise 29 Tools to Streamline Your Manufacturing and Supply Chain Process Attributes, Quality Control ■ Business challenges Item and Inventory differentiation and selection Meet unique customer product requirements Ensure regulatory compliance Manage recalls | Building the Effective Enterprise 30 Tools to Streamline Your Manufacturing and Supply Chain Process Attributes, Quality Control ■ Key Capabilities Flexible item attribute designation − Descriptive − Product specifications (ranges, tests requirements) Regulatory compliance − Item/supplier certification (control) Establish / retain quality attributes − Manages test specifications for items and attributes − Manages test results for inventory and production operations − Transaction enabled (manage inventory) Capture test results within tolerances − E-signature − Approvals − Certificates of analysis | Building the Effective Enterprise 31 Tools to Streamline Your Manufacturing and Supply Chain Process Attributes, Quality Control ■ Supports customer service, product quality, and regulatory compliance by Reduces manual external processes for managing product attributes, customer requirements, quality, and regulatory compliance Extends the functional reach of quality control and test result reporting to materials management and business operations Improves inventory trace and track Helps manage recall scope | Building the Effective Enterprise 32 Tools to Streamline Your Manufacturing and Supply Chain Processes Summary Manufacturing Product Direction | Building the Effective Enterprise 33 Tools to Streamline Your Manufacturing and Supply Chain Processes Manufacturing Product Direction Serialization, SI APIs, Label Printing Service, Attributes, Quality Control, Lot Trace Workbench Early Adopters SI APIs I19 MSW/PSW Role-Based Centers | Building the Effective Enterprise Future Releases 34 Tools to Streamline Your Manufacturing and Supply Chain Processes Effective Enterprise Summary Automotive Consumer Products Food and Beverage Electronics Industrial Manufacturing Life Sciences SI APIs H H H H H H I19 H H H H H H MSW/PSW H H H H H H UX H H H H H H SAQ LTWB H H+ H+ H H H+ | Building the Effective Enterprise 35 Manufacturing Product Direction Next Steps While at Explore | Building the Effective Enterprise Tools to Streamline Your Manufacturing and Supply Chain Processes Next Steps While at Explore ■ Attend these related sessions (or watch the replay): Conquering Serialized Inventory Management − 1:30 PM to 2:30 PM, Wednesday, 5/8 − Speaker : Guido Van den Broeck Realizing Operational Benefits with QAD Planning and Scheduling Workbenches − 4:15 PM to 5:15 PM, Wednesday, 5/8 − Speaker : Carianne Nieuwstraten − Speaker : Eric Wolfrom (Freudenberg – NOK) | Building the Effective Enterprise 37 Tools to Streamline Your Manufacturing and Supply Chain Processes Next Steps While at Explore ■ Stop by the Solutions Expo Opening reception, Tuesday, 5/7, at 5:30 PM Open Wednesday, 5/8, at 7:30 AM to 8:45 AM Open Wednesday, 5/8, at 12:00 PM to 5:00 PM ■ Stop by the Expo Theatre Serialization − Speaker : Guido Van den Broeck − Tuesday, 5/7, from 3:15 PM to 4:00 PM − Conference Room 5 Attributes / Quality Control − Speaker : Forrest Mori − Wednesday, 5/8, from 4:15 PM to 5:00 PM − Conference Room 5 | Building the Effective Enterprise 38 Tools to Streamline Your Manufacturing and Supply Chain Processes Next Steps While at Explore ■ MSW/PSW Training Sessions Option 1 − Tuesday, 5/7, from 1:30 PM to 5:30 PM − Wednesday, 5/8, from 1:30 PM to 5:30 PM Option 2 − Thursday, 5/9, from 1:30 PM to 6:00 PM − Friday, 5/10, from 8:30 AM to 12:00 PM | Building the Effective Enterprise 39 Tools to Streamline Your Manufacturing and Supply Chain Processes Questions and Answers Joseph A. Phelan, CPIM Senior Director of Manufacturing R&D [email protected] 01 770-903-4790 Ext. 110 | Building the Effective Enterprise 40 Tools to Streamline Your Manufacturing and Supply Chain Processes Manufacturing Product Direction www.qad.com ©QAD Inc. 2013 | Building the Effective Enterprise 41