Making New Product Launches Successful:

ERP and Supply Chain Strategies

Louis Columbus Cincom Systems

Successful new product introductions generate 70% of a given A&D products’

revenue, yet must integrate from several hundred to over a thousand systems to

achieve this on a consistent basis. Source: AT Kearney

Over 80% of Product Lifecycle Costs Are Locked In During Design

Source: DARPA Rapid Design Exploration and Optimization Project

Source: Failed Product Launches Emphasize Need to Strengthen S&OP Involvement Published: 30 May 2012 Analyst(s): Jan Kohler, Janet Suleski

Integrate Sales & Operations Planning (S&OP) into the New Product

Introduction Process Early

Tact

ical

Data Historians

Manufacturing Data Warehouse (Historian or DB associated with MES, EHS,

etc.)

REAL-TIME (seconds, minutes)

STAGED DATA (shifts, days, weeks, months)

TRANSACTIONAL (minutes, hours, shifts)

TIME FRAME FOR DECISION SUPPORT

Enterprise Data Warehouses (PLM/ERP/SCM/BI)

Operational Technologies (OT)

Operational Data Stores (MES, CMMS, etc.)

DB

DB DB

CO

NTI

NU

UM

OF

RO

LES

SER

VED

Operators, Engineers,

Technicians

Functional/ Task Workers

Site Leadership

Business Leadership

Manufacturing Management

Define An Analytics & Intelligence Strategy

To Measure Demand and Increase Forecast Accuracy

Source: Gartner

Business

Intelligence

and

Enterprise

Performance

Management

Plant

Operations

Customer Relationship

Management (CRM)

Product Life Cycle

Management (PLM)

Supply Chain

Management (SCM)

Enterprise Asset

Management (EAM)

Functional Plant Applications

(for example, MES, CMMS,

QMS, EHS, LIMS, etc.)

SCADA, Control Systems,

Sensors, DCS, and OT

Conditions, Locations,

Events, State, Constraints,

Costs, Exceptions, Actions

Enterprise Resource

Planning (ERP) Manufacturing Visibility

Establish and Maintain Manufacturing Visibility Into New Product

Introduction Plans Across the Enterprise Source: Gartner

Reinforce/Reward Collaboration, Communication with Shared

Performance Drivers Globally

Changing from Functional to Program/Process Management Structure

Streamlines Development

Sources: WSJ, Purchasing.com, AMR Research

The Better the S&OP Planning, The More Accurate Project Execution

Becomes

Obsess, Measure and Report Quality so it becomes part of Your DNA

A Successful Launch Happens When Processes, Systems and People Are Well Coordinated

To A Common Vision and Goal Photo credit: NASA/Sandra Joseph, Kevin O'Connell

Thank You

2012 Cincom Systems, Inc. All Rights Reserved

Developed in the U.S.A.

CINCOM, the Quadrant Logo, and Simplification Through Innovation are registered trademarks of Cincom Systems, Inc.

All other trademarks belong to their respective companies.

For more information visit: http://erp.cincom.com/

lcolumbus@cincom.com