IT Strategic Plan: 3rd Generation Application Roadmap Upgrade & Consolidation

Manufacturing CompanyBrian P. Bauer

Mission and GoalsMission:“Provide innovative IT solutions which cost effectively enable business units to meet and exceed their objectives”

Goals:– Partner with business units to align IT initiatives with business requirements– Focus on operational excellence and deliver application functionality on

schedule and within budget– Apply best practices in technology, applications and processes for better

service levels and lower maintenance costs• Identify an architectural paradigm to enable migration to a more adaptable

application environment– Introduce IT Innovation where Company’s competitive advantage

can be gained– Address lack of investment over the last 7 years in the most cost effective

manner: schedule, cost, function

33rdrd Generation Generation

Requirements: 3rd Generation Business Applications Architecture

• Establish as top 3 in market• Establish Global Footprint

• Vertical Integration• Leverage Global Footprint

• Centralized and Strong Horizontal Functions

• Decentralized Market focus• Supply Chain Control• Massive growth, faster

• PCBA• Box building

• Design services• Turnkey supply chain

• Market tailored solutions• Manufacturing

(not design or network services)

• Basic ERP capabilities• Manman, Dataworks

• Operational Efficiencies• Best of breed selection• Bleeding edge tendancy• Baan, BI, XML, EDI

• Limitless Scale• Repeatable Execution• Support Segment Operations• Scale Horizontal Functions

1st Generation 2nd Generation

Most Existing Business Applications:Most Existing Business Applications:1. Cannot Scale Data of $60B Company2. Do Not Scale Central Horizontals3. Do Not Support Market Segment Needs

Business StrategyBusiness Strategy

Products & ServicesProducts & Services

IT StrategyIT Strategy

$2B Revenue, ~100K parts $20B Revenue, 1.3M parts $60B Revenue, 5.8M parts

Today,

Through 1997 1997-2007 2008+

Horizon Application Development Model

As Is IT Action plansH1

Future RequirementsH2 Initiatives

IT Business plans

To BeH3IT Strategic objectives

Greenfield

Critical Issues

Def

end

Exte

ndIn

nova

te

Design >>> Build >>> Ship >>> Service

Strategic Assessment of Applications State

QuantifiableMust Address

Hard to QuantifyShould Address

Hard to QuantifyReview Later

Professional Services

Easy to Implement

Hard to Implement

Manufacturing

MRP/Core ERP

Human Resources

Finance Operations

Warehouse Management

Integrated Supply Chain

Procurement/Materials

Customer Support

MES

PLM

H1: Application Environment - As Is - “Current State”

SAPM-OneBaaNAgile

eDesignDFM Report GeneratorFabMasterValorProEAutoCadMentorCoCreateCDBCaddieAgileBaaNSAPInfimacsAutoCADSolidworksSolidDesignerCadenceIcePAKFlothermAbaqusHypermeshIBM ClearCaseWitnessMinitabNational InstrumentsaPrioriFlexNet

KinaxisI2BaaNSAPFKSPressMapicsManugistProfitKey

BaaNSAPBaaN IVBaaN VOracleFS 6.1FS 7.2InfimacsMXPMapicsBossProfitKey

AtlasSAPBaaNInfimacsMapicsMASKardexMitrakC’WareCustomMXPOracleVisualVar. 3PL

SAPArzoonSolectrackNewsBaaNProdserialSAPMXPVisualWinpedWIPTrackExcel

OutlooksoftPaybaseGetPaidSabrixOracleESSBASEHyperionKhalixEmagiaSAPPegasusInfimacsSAPMapicsInfiniumVisual

QuotewinTradecEstimaExcelCustomSageQuoteIT

WMethodsABPExtricityEDI

FSPWebProi2OMATKinaxisEDI

SFDCSDSSSAPPivotalAMFSageGoldmine

IBMAribaCustomNPPOMXPOracleBaaNInfimacsVisual

CRM Quote b2b

CustomerSupport

b2b Supp PDM Prof

Svcs APS ERP WHM MES Qual Log Fin HR MRO CompTrace

Preferred SolutionTo be replaced

CognosBO

Reporting

FlexHR ESNOracle HREslabonPeopleSoftHRISANVIZCityRayDoubleGreeneTimeFaHR80FlexiansconnectFlexsoftFlexTalentFlyadFOCUSFolkloreFPWFPWGlobease Hargal/LaviHelios IQHRMASHRSmartHuldt & LillevikInLookJetHRJobStreetKayangLNhrsvMicrosigaNavisionNEC GRANBIZNexon HRand many more…

MESProprietarySPEARSWonderwareSTARSSFDMASICSite QMESAIFICSRPMCATSPDMIKSOEELimsysFFDSIMS

BabtecSTATITQofAmericaCAPAMiniTabInfinitySASQCQAMSMapicsBaaNQSPClearquestBartrackMXPLivelinkIntralinkSAP

MESFlexTraceValorOptelTraceXpertMexterCIMCISBartector

Utilize an SOA Strategy for Architecture Migration

1. Adaptability to business changes / Agility• By modularizing application interfaces into modular services and business units of work, service orientation

models Enterprise business processes. Therefore, when processes change, these loosely coupled models can be changed to adapt more easily

2. Speed of execution / faster customer on-boarding time• Since business processes are built as modular business units of work, they can be more easily packaged to

connect to new internal applications or on-board new customers or partners

3. Governance provides Increased Control• An inherent part of SOA is the governance model which allows the infrastructure to dynamically manage

service flows and provide the process designer (or user) with flexible and dynamic access to this data

4. Cost Savings / Lower TCO• Since most of the processes are modeled in fine-grain services using open standards, implementing SOA

and underlying principles throughout the Enterprise Landscape allows better re-use and helps save costs on on-going support and deployment

• Differentiated Services model and better centralized governance ensures data quality (further lowering TCO)

SOA building blocks

SOA and SOA Governance

H3 – Application 3rd Generation & Consolidation – To Be “Future State”

CRM Quote

b2b/A2aCustSupp

PLM ProfSvcs APS Matls

Proc ERP WHM MES Qual Log Fin HR MRO CompTrace

SalesForce.com

Deploy FSP, ICH

• Develop PLM Strategy• “CIM” Projects•Deploy PLM

Planning System

SAP Deployment

Transportation Mgmt Solution:SAP

• MES Upgrade• OEE•Services Capable

QMS development

Upgrade BI-SAP to v5.1 & then to v7.x

Reporting

• SAP BI Strategy

• Project Mgmt Solution• Document/Design Data Management• eFlexDesign• SAP

Non-Production Procurement

solution

• SAP• Start in US/Canada

Warehouse MgmtUpgradeDirect Procurement

Need ASAP

• SAP EP

Logistics Services – Warehouse Mgmt ProjectCritical MilestonesCurrent Status

SAP WMS• First projects selected: 1) low complexity, low risk

standard logistics, 2) high complexity SPL program , 3) SMI progam

• Kick off for first implementation wk May 5• Also kicking off start of Data Handbook which will

define standards and defaults for the setups. • Currently sizing development of an SPL solution.ATLAS (Logistics) High Priority Projects• New HKG DC continues with the first parts of

managing by cage ID in UAT. Additional enquiry reqmts have also been spec’ed and are in process.

• Memphis Paperless Pick development is in process and targeted for an early July go-live. This is an extension of the Customer paperless process in place to cover the OLS and Loose Pick

• E-license specs are being driven by the site and will utilize Kiev development resources to provide link directly to Customs

Business Owner: Solution Owner:

Planned Activities• Establish WMS base templates• SPL review with SAP • WMS Hardware implementation SAC DC• Continuing Atlas development• Support Parts Distributor Implementation

Issues & Mitigation• Balance between available resources and all

WMS projects – priorities being reviewed monthly

• HW PO not placed yet awaiting final requotes – may need to host environment during initial phase of Distributor implementation

• E-License requirements from the site are quite delayed which may impact go-live

Milestone Original Current Owner Status NotesExecutive Approval 28-Feb 17-Mar Wrenn CompleteLogitech Deployment 8-Sep GreenHP Louisville 8-Dec GreenMemphis Paperless Pick 2-Jul GreenE-Licenses 1-Jul Green

Backup Slides

ET - Engineering Tools

MDM - Material Data Management (PCN, AML, Parts, RoHS) - SAP

EDM - Engineering Data Management (BOM, CAD, CIM) Mentor DMS

BDM – Build Data Management

H2: Solution Landscape with Applications and Databases

CADObj

CIMObj

Parts

Design >>> Build >>> Ship >>> Service

ERP - SAP

FlexFlow /QIS

PPM - Product Lifecycle Management - PTC PDMLink/ProjectLink or SAP

AML

EMAS – Engineering-Materials Application Suite

eFD BAC Validation M/C Shape/Code

DDM - Design Data Management Mentor DMS/PDMLink

BOM

BOM

DesData

Salesforce*

HR