COMP-3: Business Activity Monitoring Visualizing OpenEdge Sourced Event Patterns Chuck Keberdle VP...

COMP-3: Business Activity Monitoring

Visualizing OpenEdge Sourced Event Patterns

Chuck KeberdleVP Business Development - Manuvis

John TriggPrincipal Product Manager - Apama

© 2007 Progress Software Corporation2 COMP-3: BAM: Visualizing OED Sourced Event Patterns

Agenda

What is Business Activity Monitoring? Apama OpenEdge® Events Thru Apama Monitoring Manuvis – Introducing CEP to Manufacturing


- Bill Gassman, Gartner Research Director

“Provide business users real-time access to, and analysis of, important business indicators”

BAM Definition


Objectives of BAM

BAM gives organizations real-time insight into business information• When running a periodic report just isn’t enough

BAM enables• the shortening of decision loops• the squeezing of latency out of processes• automated decision making

It is about the NOW, not the past• not looking in the rear view mirror


Organizations Wish to Make Decisions Faster

Real-Time ComplianceReal-Time Compliance

Monitor and stop out-of-compliance activity before it happens, impacts

operations, incurs penalties

Monitor and stop out-of-compliance activity before it happens, impacts

operations, incurs penalties

TravelTravel

Monitor airport operations, baggage movement, weather reports to ensure all flights are transitioned in and out

efficiently

Monitor airport operations, baggage movement, weather reports to ensure all flights are transitioned in and out

efficiently


Organizations Wish to Make Decisions Faster

Supply Chain & Retail OptimizationSupply Chain & Retail Optimization

Automated item level inventory tracking from supply chain to retail operations.

Where is this book now?

Automated item level inventory tracking from supply chain to retail operations.

Where is this book now?

ManufacturingManufacturing

Are all lines operating at maximum efficiency? Is a downstream problem in one line going to have an adverse affect in upstream processes? Can I absorb

last minute changes in demand?

Are all lines operating at maximum efficiency? Is a downstream problem in one line going to have an adverse affect in upstream processes? Can I absorb

last minute changes in demand?


Agenda

What is Business Activity Monitoring? Apama OpenEdge Events Thru Apama Monitoring Manuvis – Introducing CEP to Manufacturing


Complex Event Processing: “When 3 tubes report 10% or greater deviance from expected fill within any 30 second

window, log alert. If any 10 tubes subsequently also out of range in the next 60 second, dispatch maintenance.”

Complex Event Processing: “When 3 tubes report 10% or greater deviance from expected fill within any 30 second

window, log alert. If any 10 tubes subsequently also out of range in the next 60 second, dispatch maintenance.”

Complex Event ProcessingFlipping traditional computing on its head

time1 2 3 4 5 6 7 8 9

Static Data Processing: “How many out of spec containers did we fill yesterday? This

week? Last month?

Static Data Processing: “How many out of spec containers did we fill yesterday? This

week? Last month?


ScenarioDefinition Tools

Dashboard Studio

End-userDashboards

User Tools

Apama’s Architecture

EventAnalysis &

StorageEvent Store

EventProcessing

Engine

EnterpriseIntegration

Adapter FrameworkAdapter Framework

Middleware ExternalSources

etc.

Processing and analysis layerData events are analyzed and correlated. Event Store gives access to historical time

series information. High performance, scalable, fault tolerant

Processing and analysis layerData events are analyzed and correlated. Event Store gives access to historical time

series information. High performance, scalable, fault tolerant

Presentation layerGive users visibility of scenarios and

KPIs, allow the adjustment of parameters and drill-down

Presentation layerGive users visibility of scenarios and

KPIs, allow the adjustment of parameters and drill-down

Events collection layer Data events may be sourced from

multiple streams of real-time information as well as databases

and other information systems

Events collection layer Data events may be sourced from

multiple streams of real-time information as well as databases

and other information systems


Example: Truck Logistics

Application• GPS and cellular networks

identify truck locations with exceptions reported to management if journey times differ from historic norms.

• CEP rules defined to detect deviations from schedule

Benefits• Better utilisation of resources• Insight can be given to

customers on expected arrival times

• Automate intelligent predictive behaviour

CEP: The Brains of BAM

“When any truck has perishable cargo that is > 1 hour behind schedule and temp > 30 degrees, alert the operator with a priority 1 exception.”

CEP: The Brains of BAM

“When any truck has perishable cargo that is > 1 hour behind schedule and temp > 30 degrees, alert the operator with a priority 1 exception.”


Example: Fraud Detection

Application• Monitor trading activity in

the capital markets• Watch for common illegal

trading patterns• One example: wash

trading, where 2 traders execute trades that cancel each other out in order to artificially raise volume and prices

Benefits• Monitor for and stop illegal

trading activity before it moves the marketCEP: The Brains of BAM

“When two trades occur within any 50 millisecond window by two banks with volumes and price within 2% of washing each other out, raise abuse signal.”

CEP: The Brains of BAM“When two trades occur within any 50 millisecond window by two banks with volumes and price within 2% of washing each other out, raise abuse signal.”


Other Ideas

Loan Processing – monitoring each application thru approval processes

Healthcare – monitoring all patient devices to ensure status of patient

E-commerce – are all web site visits tracked? What are patterns of usage that result in dropped baskets? Missed opportunities for promotion?


Agenda



Supply Chain Manager

Messaging Infrastructure

llllllllllllllllll

llllllllllllllllllllllllllllllllllll

Bar Code/PLC

DataWarehouse Reader: cases scanned

Dock Reader: truck arrived

Forklift Reader: pallet unloaded

…10 minutes …first pallet unloaded?

…broken down?…15 minutes

…send event to Receiving App

ApamaComplex Event

Processing

ReferenceData

Apama: OED – Inbound Event Monitoring

Alerts

ReceivingApplication

Data

Business Events

Monitoring in Real Time with Apama


Messaging Infrastructure

Maintenance report

Machine out of spec

Order 1111 priority raised

…5 minutes …request maintenance

…adjust schedule?…10 minutes

…setup new line

ApamaComplex Event

Processing

Apama: OpenEdge – Application Event Monitoring

Alerts

Maintenance Monitoring Existing Applications in Real Time with Apama

Plant FloorERP

…10 minutes


Agenda



Manuvis: Incomparable Manufacturing Visibility---See it, Control it, and Increase Profitability

Manuvis is a leader in delivering innovative, real-time enterprise manufacturing intelligence and performance management software solutions that help companies lower operating costs, improve customer service, and increase profitability.

Primary Market = High-Volume Manufacturers


To gain competitive advantage, a company must perform value-creation functions either:

At a Lower Cost than its rivals

or Provide Superior Services that support their

premium prices

A Manufacturer’s Key Business Challenge:

Creating Greater Competitive Advantage


Old Model of Pricing:Product Cost + Profit = Selling Price

Today’s Pricing Model:Market’s Price – Operating Cost = Profit



“The only knowledge that can hurt you is the knowledge you don't have.”

-unknown

Knowledge you don’t have = Variation


M Manufacturing

Man Operator

Machine Container Filler

Method Filling 12 oz Containers

Material Shampoo

Measurement Fill Weight

Mother Nature Humidity

Variation exists everywhere!Variation exists everywhere!

Manuvis: Incomparable Manufacturing Visibility---See it, Control it, and Increase ProfitabilityVariation is present in all processes.It can typically be classified into any one of the 6 M’s.Variation is additive--variation in the process inputs

will generate more variation in the process output.

Goal to Reducing Variation:

Control process inputs and control the outputs

FactoryMRI’s real-time visibility provides predictive feedback loops for manufacturing• Makes sources of variation faster to remedy

• As variation decreases, profitability increases



R&AR&ARejectsRejects

Engineering change Engineering change ordersordersLong cycle timesLong cycle times

Time value of moneyTime value of money

More Set-upsMore Set-ups

Expediting costsExpediting costs

Working Capital allocationsWorking Capital allocations

InspectioInspectionn ScraScra

pp

ReworkRework

Lost salesLost sales

Late deliveryLate delivery

Excess inventoryExcess inventory

Excessive Mat’l Excessive Mat’l Orders/PlanningOrders/PlanningLost Customer LoyaltyLost Customer Loyalty

5-5-88%%

(less obvious)(less obvious)

Lost Lost

OpportunityOpportunity

““Tip of Tip of the the

Iceberg”Iceberg”

15-20%15-20%AdditionaAdditional Costsl Costs

Source: Six Sigma AcademySource: Six Sigma Academy

Overtime ExpenseOvertime Expense

The Cost of Poor

Quality is also

known as “The Hidden Factory”


Manuvis: Incomparable Manufacturing Visibility---See it, Control it, and Increase ProfitabilityKey business “pains” Manuvis addresses: Real-time visibility of enterprise resource

performance to become more proactive Delayed and inaccurate ERP data Machine down time Machine utilization and efficiency Asset preventative maintenance Lot tracing history Supplement EPA and other regulatory reporting


Manuvis: Incomparable Manufacturing Visibility---See it, Control it, and Increase Profitability Customer Results:

Premier Manufacturing Corporation annual benefits from Manuvis since 2004:

Estimated $ 675,000 annual productivity savings Estimated $ 150,000 annual data collection costs Estimated $ 130,000 annual setup cost reductions Estimated $ 60,000 annual reduction in overtime

expense No additional IT resources at either of their 2 plants Intangible improvements:

• Improved manufacturing flexibility and capacity• Increased insight and knowledge about processes



What Does CEP Offer Manuvis and Our Customers? Improved core business processes means greater profitability

• Sources of waste quickly identified and removed to increase profitability

– Time and resource savings

• Key performance indicators (KPIs) maintained without re-entering data

• Six Sigma and Lean Manufacturing require timely and accurate data

– Manual data collection costs and data “scrubbing” are eliminated

Accelerated decision-making and enable proactive behaviors• Event notifications help coordinate resources and trigger out-of-

tolerance warnings

• Dynamic, real-time dashboards provide complete visibility

Manuvis remains in place if other business systems change



Manufacturing Data

Amount and source of data being accessed by

FactoryMRI over time

Time

Enterprise Data

Enterprise Data

Enterprise Data

Progress Software enables

Manuvis to be a “Universal

Connector” for information

systems within an enterprise


Manuvis: Incomparable Manufacturing Visibility---See it, Control it, and Increase ProfitabilityHow FactoryMRI with Apama provide value…

Time (hours)

0 1 2 3 4 5 6 7 8

FactoryMRI and Apama “Trapping” and Analyzing Transactions in Real-Time

ERP

Indirect Labor

Machine Data

Direct Labor

Data Stream Source

Lab Info Sys CAD


Time (seconds)10 20 30 40 50 60 70 80 90

Static Data Processing

“How many containers were produced last week?”

Static Data Processing

“How many containers were produced last week?”

Progress Apama’s Event Stream Processing is Time-Based:

Example:

“If any 2 consecutive container’s fill weight varies from its standard by <.02 oz (Underfilled) OR any 3 containers >.01 oz (Overfilled) in any 30-

second window, sound an alarm, and page a process engineer.”

Progress Apama’s Event Stream Processing is Time-Based:

Example:

“If any 2 consecutive container’s fill weight varies from its standard by <.02 oz (Underfilled) OR any 3 containers >.01 oz (Overfilled) in any 30-

second window, sound an alarm, and page a process engineer.”

ALL of Manuvis’ competitors can only operate with static data, making root cause detection difficult in many instances!

OverUnder


12 oz High Speed Container Filling Line

FactoryMRI with Apama analyze process outputs and trigger proactive actions based

upon user-defined criteria

OverfillOverfill

Overfill

OverfillOverfill

Overfill



Demo of Manuvis’ Apama ESP


Summary

Businesses are increasingly requiring real-time visibility of important business information

BAM powered by CEP allows the analysis and presentation of real-time information

BAM + CEP are deployed - today:• in manufacturing - production monitoring, optimize

based on latest feedback from all systems• in retail – RFID powered supply chains• in logistics – visibility of inventory in motion,

manage impacts of delays, routes• in general operations – monitor & guide business

actions and decision making


Relevant Exchange Sessions

COMP-12 : Building Apama Applications – Picking the Right Tools• Wednesday June 13, 10am


For More Information, go to…

www.progress.com/apama• www.progress.com/apama/news/webinars for archived

webinars on CEP and BAM CEP Blog : apama.typepad.com Contact

• John Trigg, Principal Product Manager, Apama– [email protected]

Chuck Keberdle, CPIM - Vice President, Business DevelopmentManuvis CorporationNorth Olmsted, OH 44070Office: [email protected]


Questions?


Thank you foryour time

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