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SYSTEMS INTEGRATION MANUFACTURING OPTIMISATION
www.simotechnology.com

“Unlock Your Manufacturing Data to Drive
Manufacturing Optimisation and Results”.
Manufacturing Solutions for the Future Seminar and Exhibition

Presenter: Pat Desmond, Managing Director, SimoTech
Presentation Topics
•
•
•
•
•
•
•

Manufacturing Intelligence Overview
Business Drivers
What Data are we looking for?
Typical Solutions/Vendors
Developing the Business Case
Execution Strategies
Some Challenges
The Case for Change
“If you always do what you have
always done, you will always get
what you have always got”
Henry Ford 1863 – 1947

“If you fail to plan, you
are planning to fail!”

Benjamin Franklin 1706 – 1790

Roy Keane Saipan 2002
Speaker Background
25+ Years in Manufacturing Automation
Wide range of industries including Life Sciences, Food, Waste
Water, Oil & Gas, Chemicals
Primary focus on advancing operations by using the latest
technologies
Primarily working with the end users to realise the results on
the ground
My ‘DATA’ Career Profile
1 MB 8 Inch floppy

128 GB

“I am passionate about using every available piece of data to
maximise processes.
That why I got into the automation business in the first place”
SimoTech Overview
“SimoTech provide Automation and Manufacturing Information Systems
Professional Services and Solutions to Manufacturing Industry”

Particular expertise is in the area of Manufacturing Information Systems for
regulated industries such as Life Sciences and Food & Beverage
Experienced in all levels of hardware and software from field
instrumentation to Manufacturing Execution Systems
SimoTech’s team has worked as End Users, Engineering Consultants, System
Integrators and Project Managers so we are uniquely positioned to
understand the challenges from all aspects

“We provide Global Experience at Local Level”
Manufacturing Intelligence Overview
• Manufacturing Intelligence (MI) refers to an important class of information
technology that enables better decision-making and improved business
performance based on the ready availability of real time status and
performance metrics throughout the organization
• MI typically applies to production, planning and asset management
activities
• Typical objectives of MI are to achieve higher levels of production against
assets, reduce the cost of production and, ultimately, improve the bottom
line
• An MI platform aggregates, relates and presents operational and business
data in real time
• It does so in a manner that is intuitive and useful for every individual who
plays a role in delivering business results
• It can be applied initially to an individual site, and evolved to include all
sites, divisions, regions and the overall enterprise.
Business vs Manufacturing Intelligence
Objectives

Business Intelligence

Timeframe

Historical Data
(Months, Quarters,
Years)

Real-Time Data
(Min, Hrs, Days)

Financials, CRM,
Supply Chain

Manufacturing,
Engineering,
Quality,

People

Corporate

Corporate, Local

Focus

Strategic

Tactical

> 10 % of turnover

> 1 % of turnover

Areas of Interest

Cost Impact on
Organisation
Bottom Line

Manufacturing
Intelligence
Corporate Business Drivers
 Ensure consistent quality and performance across global operations
 Balance manufacturing with demand to optimize material usage and
asset utilization
 Improve and meet regulatory compliance
 Implement more flexible and agile manufacturing operations to
respond to rapidly changing market conditions
 Improve response to events that occur on the plant floor
 Meet demanding requirements and metrics for on-time delivery
through reduced repair time and increased OEE
 Reduce the cost of design, deployment, and support of
manufacturing and IT systems at global manufacturing plants
Industry Metrics

 Successful new product introductions – measured as the average share of NPI’s that hit
quality, time and volume targets
 Overall Equipment Effectiveness (OEE) – composite metric accounting for availability,
performance and product quality
 On Time and Complete Shipments – products delivered on time and complete as
compared to original commitment
 Operating Margin – a ratio of the profitability calculated as net income divided by
revenues or net profits divided by sales
The Challenge facing Manufacturing
Quality
Systems

Automation
Systems

LIMS
Process
Historian

CAPA

Training
Records

I know the
solution is here
somewhere !

Document
Mgmt

Machine
Data

Maintenance
Mgmt

MES

Production
Systems

Production
Planning

Inventory
Mgmt

ERP

Energy
Mgmt

Engineering
Systems
The Challenge facing Manufacturing
Quality
Systems

Automation
Systems

LIMS
Process
Historian

CAPA

Training
Records

I know the
solution is here
somewhere !

Document
Mgmt

Machine
Data

Maintenance
Mgmt

MES

Production
Systems

Production
Planning

Inventory
Mgmt

ERP

Energy
Mgnt

Engineering
Systems
CORPORATE
EXPECTATIONS
SHAREHOLDER VALUE
BUSINESS
RULES

ORDERS
SPECIFICATIONS

MATERIAL &
PRODUCT
FLOWS
PRODUCTION MODELS
RECIPES/BOMS
& ROUTES
EQUIPMENT
& ASSET

INSTRUMENT

DEVICE
I/O
TAGS

€€€
Perform
To
Demand

Performance
To schedule
Overall process
performance metrics

Quarters

Months

Weeks

Days

Correlate of work process data,
equipment data and product data

Hours

Operating data transformed into asset
performance KPIs

Hours

Large volumes of extremely detailed production
data from
multiple back-end data sources

Sensors, Actuators, Motors

Min

Sec

Ability of Organisation to respond to change

Increasing Strategic Value to the Enterprise

Manufacturing Intelligence Foundation
Leverage the Power of People
• What if everyone in your organization had an up to the minute view of
performance against individual and group objectives?
• What if everyone was presented with all of the information they need to
make good day-to-day decisions that will drive the individual and the
organization to higher levels of achievement
• What if you took the learning of the ‘Old Timers’ and Subject Matter
Experts and made it freely available to all
• What if you empowered employees, delivering the Right information, to
the Right Individual at the Right Time”

Faster Decision Making, More Informed Decision Making, More
Accurate Decisions, Less Reliance on Scare Senior Resources,
More Satisfied Workforce, Less Risk
Supply Chain Connectivity via ERP
ERP

Business
Unit 1

ERP

ERP

Business
Unit 2

ERP

Goods In

R& D /Pilot Scale

Goods Out

Goods In

R& D /Pilot Scale

Goods Out

Goods In

Bulk Production

Goods Out

Goods In

Bulk Production

Goods Out

Goods In

Finishing

Goods Out

Goods In

Finishing

Goods Out

Goods In

Packaging

Goods Out

Goods In

Packaging

Goods Out

Goods In

Distribution

Goods Out

Goods In

Distribution

Goods Out

Goods In

Retailer

Goods Out

Goods In

Retailer

Goods Out

Goods In

Consumer

Goods In

Consumer
Manufacturing Chain Connectivity
Business
Unit 1
R& D /Pilot Scale

Data

Data

Data

Finishing

Data

Data
Packaging

Bulk Production

Data
Data

Data

Data
Finishing

R& D /Pilot Scale

Data

Data
Bulk Production

Business
Unit 2

Data

Packaging

Business
Unit 3
R& D /Pilot Scale

Data
Bulk Production

Data

Data
Data

Finishing

Data
Packaging

Getting rid of the information silos between plants and between business
units
Production Train Connectivity
Raw Materials
Dispensed to
Manufacturing

Data

Data

Raw Materials
Dispensed to
Manufacturing

Data

Raw Materials
Dispensed to
Manufacturing

Data

Unit Operation 1

Data

Data

Unit Operation 1

Data

Data

Unit Operation 1

Data
Data

Unit Operation 2
Data

Data

Unit Operation 2

Unit Operation 2
Data

Unit Operation 3

Data

Data

Data

Unit Operation 3

Unit Operation 3

Data

Data

Data

Finished Goods Return
to Warehouse

Data

Finished Goods Return
to Warehouse

Data
Data

Finished Goods Return
to Warehouse

Getting rid of the information silos within plants
Reference Plant IS Architecture
Level 5
Level 4

Enterprise Network
Site Business Planning and Logistics Network

E-Mail, Intranet, etc.

Terminal
Services

Patch
Management

Application
Mirror

Level 3

Level 2
Level 1
Level 0

SCADA
Client

Batch
Control

Engineering
Workstation

Operator
Interface

OEM
Client

Discrete
Control

Sensors

Domain
Controller

Engineering
Workstation

Drive
Control

Drives

AV
Server

Firewall

Web
EMail

Application
Server

Web
Services
Operations

MES

Application
Server

Enterprise
Zone

Continuous
Process
Control

Actuators

Firewall
Site Manufacturing
Operations and
Control

DMZ

Manufacturing
Zone

Area
Supervisory
Control
Operator

Interface
Basic Control
Safety
Control

Robots

Process

Cell/Area
Zone
Typical Software Solutions Providers
 Siemens HQX

 Werum PAS-X

 SAP Mii

 Rockwell FT Vantage Point

 Rockwell FT Production
Suite

 Informetrics InfoBatch

 Camstar Entreprise Platform

 GE Proficy RtOi

 Siemens SIMATIC IT
 Wonderware Archestra

Operational
Intelligence
Solutions

Manufacturing
Execution
Systems

Do you need an Execution System, and Information system, or both?
Implementation Strategy

Take it one step at a time, avoid the big bang
Prove The Theories Before Jumping In
• Build a team that is passionate about the opportunities
(Visionaries and Salesmen)
• Start with a Pilot, take a vertical slice of the plant or
organisation
• Involve Stakeholders from all disciplines
• Encourage participation from global locations
• Secure involvement of technology suppliers
• Don’t assume the ‘market leader’ has the best solutions
(technology is changing everyday)
• Finally develop your detailed requirements
Roll-Out Strategy
Plant Type 1 (Core
Plant Type 1 (Core
+ Site Specific
+ Site Specific
Customisations)
Customisations)

Plant Type N (Core
Plant Type N (Core
+ Site Specific
+ Site Specific
Customisations)
Customisations)

Core Solution
(Common to all
plants
Plant Type 2 (Core
Plant Type 2 (Core
+ Site Specific
+ Site Specific
Customisations)
Customisations)

Plant Type 3 (Core
Plant Type 3 (Core
+ Site Specific
+ Site Specific
Customisations)
Customisations)

Feed from the core and feed back to the core.
Core changes should have a solid governance process
Formulating the Business Case
• Develop a Project Charter
• Identify Stakeholders
• Operations Project NOT an IS Project
• Identify the Success Criteria
• Establish the tangible and non tangible benefits
• Tie the project goals and improvements back to the
business strategy
Typical ROI Strategies
ROI Must be Tangible and Measurable
Cost of Labour






Avoid or reduce head count,
Use less qualified resources, less training
Divert experienced resource to higher value tasks,
Share expertise among plants,
Encourage experience people to stay longer and avoid re-training

Cost of Capital
 Avoid buying additional equipment
 Get the existing equipment to run more efficiently
 Use under resourced equipment in the network

Cost of Lost Opportunities
 Reduce time to market on new products,
 Reduce downtime and supply more of the market
 Reduce manufacture to shipment time
Typical ROI Strategies
Cost of Reputation
 Reduce product recalls,
 Increase quality
 Reduce consumer price

Cost of Raw Materials
 Use less raw materials,
 Ensure the raw materials we are using meet quality requirements

Cost of Overheads
 Reduce energy requirements
 Reduce management supervision
 Reduce transportation and storage
Challenges (The Obvious Ones)
• IT Infrastructure (speed, redundancy, storage capacity,
resilience, connectivity, security)
• Data Quality and Context (Rubbish In, Rubbish Out)
• Data Validation (is the information going to be used for
regulated product release or investigations)
• Business Re-Engineering and Re-Training
• Fear Factor (Is Big Brother watching, do people want to be
held accountable)
• Availability of Key Resources during project execution (Todays
production always has priority)
Challenges (The Obvious Ones)
• Can you really measure ROI (sure would we not would have got
those savings anyway

• Over Expectation (this is not YouTube or Google, it does not
contain all the answers!!!)
• Scope Creep
• Industry Expertise (is the experience out there?)
• The Known Unknowns
Thank You for Your Attention
Pat Desmond
pdesmond@simotechnology.com
086-8504844

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“Unlock Your Manufacturing Data to Drive Manufacturing Optimisation and Results”.

  • 1. SYSTEMS INTEGRATION MANUFACTURING OPTIMISATION www.simotechnology.com “Unlock Your Manufacturing Data to Drive Manufacturing Optimisation and Results”. Manufacturing Solutions for the Future Seminar and Exhibition Presenter: Pat Desmond, Managing Director, SimoTech
  • 2. Presentation Topics • • • • • • • Manufacturing Intelligence Overview Business Drivers What Data are we looking for? Typical Solutions/Vendors Developing the Business Case Execution Strategies Some Challenges
  • 3. The Case for Change “If you always do what you have always done, you will always get what you have always got” Henry Ford 1863 – 1947 “If you fail to plan, you are planning to fail!” Benjamin Franklin 1706 – 1790 Roy Keane Saipan 2002
  • 4. Speaker Background 25+ Years in Manufacturing Automation Wide range of industries including Life Sciences, Food, Waste Water, Oil & Gas, Chemicals Primary focus on advancing operations by using the latest technologies Primarily working with the end users to realise the results on the ground
  • 5. My ‘DATA’ Career Profile 1 MB 8 Inch floppy 128 GB “I am passionate about using every available piece of data to maximise processes. That why I got into the automation business in the first place”
  • 6. SimoTech Overview “SimoTech provide Automation and Manufacturing Information Systems Professional Services and Solutions to Manufacturing Industry” Particular expertise is in the area of Manufacturing Information Systems for regulated industries such as Life Sciences and Food & Beverage Experienced in all levels of hardware and software from field instrumentation to Manufacturing Execution Systems SimoTech’s team has worked as End Users, Engineering Consultants, System Integrators and Project Managers so we are uniquely positioned to understand the challenges from all aspects “We provide Global Experience at Local Level”
  • 7. Manufacturing Intelligence Overview • Manufacturing Intelligence (MI) refers to an important class of information technology that enables better decision-making and improved business performance based on the ready availability of real time status and performance metrics throughout the organization • MI typically applies to production, planning and asset management activities • Typical objectives of MI are to achieve higher levels of production against assets, reduce the cost of production and, ultimately, improve the bottom line • An MI platform aggregates, relates and presents operational and business data in real time • It does so in a manner that is intuitive and useful for every individual who plays a role in delivering business results • It can be applied initially to an individual site, and evolved to include all sites, divisions, regions and the overall enterprise.
  • 8. Business vs Manufacturing Intelligence Objectives Business Intelligence Timeframe Historical Data (Months, Quarters, Years) Real-Time Data (Min, Hrs, Days) Financials, CRM, Supply Chain Manufacturing, Engineering, Quality, People Corporate Corporate, Local Focus Strategic Tactical > 10 % of turnover > 1 % of turnover Areas of Interest Cost Impact on Organisation Bottom Line Manufacturing Intelligence
  • 9. Corporate Business Drivers  Ensure consistent quality and performance across global operations  Balance manufacturing with demand to optimize material usage and asset utilization  Improve and meet regulatory compliance  Implement more flexible and agile manufacturing operations to respond to rapidly changing market conditions  Improve response to events that occur on the plant floor  Meet demanding requirements and metrics for on-time delivery through reduced repair time and increased OEE  Reduce the cost of design, deployment, and support of manufacturing and IT systems at global manufacturing plants
  • 10. Industry Metrics  Successful new product introductions – measured as the average share of NPI’s that hit quality, time and volume targets  Overall Equipment Effectiveness (OEE) – composite metric accounting for availability, performance and product quality  On Time and Complete Shipments – products delivered on time and complete as compared to original commitment  Operating Margin – a ratio of the profitability calculated as net income divided by revenues or net profits divided by sales
  • 11. The Challenge facing Manufacturing Quality Systems Automation Systems LIMS Process Historian CAPA Training Records I know the solution is here somewhere ! Document Mgmt Machine Data Maintenance Mgmt MES Production Systems Production Planning Inventory Mgmt ERP Energy Mgmt Engineering Systems
  • 12. The Challenge facing Manufacturing Quality Systems Automation Systems LIMS Process Historian CAPA Training Records I know the solution is here somewhere ! Document Mgmt Machine Data Maintenance Mgmt MES Production Systems Production Planning Inventory Mgmt ERP Energy Mgnt Engineering Systems
  • 13. CORPORATE EXPECTATIONS SHAREHOLDER VALUE BUSINESS RULES ORDERS SPECIFICATIONS MATERIAL & PRODUCT FLOWS PRODUCTION MODELS RECIPES/BOMS & ROUTES EQUIPMENT & ASSET INSTRUMENT DEVICE I/O TAGS €€€ Perform To Demand Performance To schedule Overall process performance metrics Quarters Months Weeks Days Correlate of work process data, equipment data and product data Hours Operating data transformed into asset performance KPIs Hours Large volumes of extremely detailed production data from multiple back-end data sources Sensors, Actuators, Motors Min Sec Ability of Organisation to respond to change Increasing Strategic Value to the Enterprise Manufacturing Intelligence Foundation
  • 14. Leverage the Power of People • What if everyone in your organization had an up to the minute view of performance against individual and group objectives? • What if everyone was presented with all of the information they need to make good day-to-day decisions that will drive the individual and the organization to higher levels of achievement • What if you took the learning of the ‘Old Timers’ and Subject Matter Experts and made it freely available to all • What if you empowered employees, delivering the Right information, to the Right Individual at the Right Time” Faster Decision Making, More Informed Decision Making, More Accurate Decisions, Less Reliance on Scare Senior Resources, More Satisfied Workforce, Less Risk
  • 15. Supply Chain Connectivity via ERP ERP Business Unit 1 ERP ERP Business Unit 2 ERP Goods In R& D /Pilot Scale Goods Out Goods In R& D /Pilot Scale Goods Out Goods In Bulk Production Goods Out Goods In Bulk Production Goods Out Goods In Finishing Goods Out Goods In Finishing Goods Out Goods In Packaging Goods Out Goods In Packaging Goods Out Goods In Distribution Goods Out Goods In Distribution Goods Out Goods In Retailer Goods Out Goods In Retailer Goods Out Goods In Consumer Goods In Consumer
  • 16. Manufacturing Chain Connectivity Business Unit 1 R& D /Pilot Scale Data Data Data Finishing Data Data Packaging Bulk Production Data Data Data Data Finishing R& D /Pilot Scale Data Data Bulk Production Business Unit 2 Data Packaging Business Unit 3 R& D /Pilot Scale Data Bulk Production Data Data Data Finishing Data Packaging Getting rid of the information silos between plants and between business units
  • 17. Production Train Connectivity Raw Materials Dispensed to Manufacturing Data Data Raw Materials Dispensed to Manufacturing Data Raw Materials Dispensed to Manufacturing Data Unit Operation 1 Data Data Unit Operation 1 Data Data Unit Operation 1 Data Data Unit Operation 2 Data Data Unit Operation 2 Unit Operation 2 Data Unit Operation 3 Data Data Data Unit Operation 3 Unit Operation 3 Data Data Data Finished Goods Return to Warehouse Data Finished Goods Return to Warehouse Data Data Finished Goods Return to Warehouse Getting rid of the information silos within plants
  • 18. Reference Plant IS Architecture Level 5 Level 4 Enterprise Network Site Business Planning and Logistics Network E-Mail, Intranet, etc. Terminal Services Patch Management Application Mirror Level 3 Level 2 Level 1 Level 0 SCADA Client Batch Control Engineering Workstation Operator Interface OEM Client Discrete Control Sensors Domain Controller Engineering Workstation Drive Control Drives AV Server Firewall Web EMail Application Server Web Services Operations MES Application Server Enterprise Zone Continuous Process Control Actuators Firewall Site Manufacturing Operations and Control DMZ Manufacturing Zone Area Supervisory Control Operator Interface Basic Control Safety Control Robots Process Cell/Area Zone
  • 19. Typical Software Solutions Providers  Siemens HQX  Werum PAS-X  SAP Mii  Rockwell FT Vantage Point  Rockwell FT Production Suite  Informetrics InfoBatch  Camstar Entreprise Platform  GE Proficy RtOi  Siemens SIMATIC IT  Wonderware Archestra Operational Intelligence Solutions Manufacturing Execution Systems Do you need an Execution System, and Information system, or both?
  • 20. Implementation Strategy Take it one step at a time, avoid the big bang
  • 21. Prove The Theories Before Jumping In • Build a team that is passionate about the opportunities (Visionaries and Salesmen) • Start with a Pilot, take a vertical slice of the plant or organisation • Involve Stakeholders from all disciplines • Encourage participation from global locations • Secure involvement of technology suppliers • Don’t assume the ‘market leader’ has the best solutions (technology is changing everyday) • Finally develop your detailed requirements
  • 22. Roll-Out Strategy Plant Type 1 (Core Plant Type 1 (Core + Site Specific + Site Specific Customisations) Customisations) Plant Type N (Core Plant Type N (Core + Site Specific + Site Specific Customisations) Customisations) Core Solution (Common to all plants Plant Type 2 (Core Plant Type 2 (Core + Site Specific + Site Specific Customisations) Customisations) Plant Type 3 (Core Plant Type 3 (Core + Site Specific + Site Specific Customisations) Customisations) Feed from the core and feed back to the core. Core changes should have a solid governance process
  • 23. Formulating the Business Case • Develop a Project Charter • Identify Stakeholders • Operations Project NOT an IS Project • Identify the Success Criteria • Establish the tangible and non tangible benefits • Tie the project goals and improvements back to the business strategy
  • 24. Typical ROI Strategies ROI Must be Tangible and Measurable Cost of Labour      Avoid or reduce head count, Use less qualified resources, less training Divert experienced resource to higher value tasks, Share expertise among plants, Encourage experience people to stay longer and avoid re-training Cost of Capital  Avoid buying additional equipment  Get the existing equipment to run more efficiently  Use under resourced equipment in the network Cost of Lost Opportunities  Reduce time to market on new products,  Reduce downtime and supply more of the market  Reduce manufacture to shipment time
  • 25. Typical ROI Strategies Cost of Reputation  Reduce product recalls,  Increase quality  Reduce consumer price Cost of Raw Materials  Use less raw materials,  Ensure the raw materials we are using meet quality requirements Cost of Overheads  Reduce energy requirements  Reduce management supervision  Reduce transportation and storage
  • 26. Challenges (The Obvious Ones) • IT Infrastructure (speed, redundancy, storage capacity, resilience, connectivity, security) • Data Quality and Context (Rubbish In, Rubbish Out) • Data Validation (is the information going to be used for regulated product release or investigations) • Business Re-Engineering and Re-Training • Fear Factor (Is Big Brother watching, do people want to be held accountable) • Availability of Key Resources during project execution (Todays production always has priority)
  • 27. Challenges (The Obvious Ones) • Can you really measure ROI (sure would we not would have got those savings anyway • Over Expectation (this is not YouTube or Google, it does not contain all the answers!!!) • Scope Creep • Industry Expertise (is the experience out there?) • The Known Unknowns
  • 28. Thank You for Your Attention Pat Desmond pdesmond@simotechnology.com 086-8504844