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Supply Chain Pioneer Presentation Supporting Innovation In ...
Transcript of Supply Chain Pioneer Presentation Supporting Innovation In ...
“Learn From The Best”
Supply Chain Pioneer Presentation
Supporting Innovation In The Supply Chain
Larry Golen
Vice President & General Manager
North America 1
Lennox International OVERVIEW (2013)
Refrigeration Heating & Cooling
Residential
Products Split Systems
Indoor Air Quality Rooftop Package
Split Systems
Rooftop Package Chillers / Terminal
Split Systems
Food Preservation
Industry Cooling
Geography US / Canada US / Canada Europe MEA Global
2013 Revenue US $ million
$ 1583 $ 844 $ 772
$3.2B in revenue
Source: Lennox International 2013 results 2
Commercial
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Heatcraft Worldwide Refrigeration GLOBAL PRODUCT BRANDS
Americas Europe Asia Pacific / Australia
Global Operations NORTH AMERICA
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Heatcraft North America – Commercial Refrigeration Stone Mountain, Georgia, USA
Brands Bohn Larkin Climate Control Chandler
Manufacturing Locations Stone Mountain, GA Tifton, GA
Region North America
Global Operations NORTH AMERICA
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Heatcraft North America – Supermarket Stone Mountain, Georgia, USA
Brands Kysor/Warren case Kysor/Warren systems
Manufacturing Locations Columbus, Georgia (2) Mexico City, Mexico
Region North America
Global Operations MEXICO (JOINT VENTURE)
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Bohn de Mexico Mexico City, Mexico
Brands Bohn FB (coils, doors, transport)
Manufacturing Locations Queretaro, Mexico Merida, Mexico (systems) Monterrey, Mexico
Region Mexico
• Restaurant • Convenience • Institutional
• Grocery • Hypermarket • Drug / Dollar
• Processing • Storage • Distribution
• Process Cooling • Data Center • Energy
Global End Markets GLOBAL CUSTOMERS
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Food Service Supermarket Cold Storage Industry Cooling
Company names are trademarks or registered trademarks of their respective companies
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Strategic Supply Chain Approach
Supply Alignment (SA) Value Analysis & Engineering (VAVE)
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3 4
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6 Value
Engineering
Design
For X
Collaborative
Product
Development
Supply Chain
Reconfiguration
Value
Stream
Analytics
Taxonomy
Strategy
• Strategic suppliers strategy
• Make versus buy strategy
• Supplier ops improvement
• Integrated supply chain
• Supply market analysis
• Cost driver analysis
• Should-cost analytics
• Joint cost improvement
• Common characteristic
part families
• Enterprise volume pooling
• Supply base segmentation
• Voice of customer
• Complexity reduction
• Alternative design
• System optimization
• Product platforming
• Materials substitution
• Specification
rationalization
• Manufacturability
• Quality and Warranty
• Supplier engagement in
early PD process
• Design optimization with
suppliers
Innovating
with the
Supply Chain
Innovation Process DEVELOPMENT STRATEGY
Development Process:
High-level Planning Process:
Vision
Discovery
Objective:
Objective:
3 Year Product Plan
Build Business Case
Execute external search
Expand set of external options
Evaluate options
Identify best option
Identify integration needs
Identify near-term shopping list
Strategy
Scoping
Broaden option set:
Expand definition of need
ID “ideal solution”
Explore internal sources
Identify potential external options
Prioritize need for external search
Identify long-term wish list
Product Roadmap
Development
Conduct due diligence
Structure/negotiate the deal
Integrate
Expand near-term shopping list as
required
Value Analysis and Value Engineering PROCESS OVERVIEW
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Taxonomy
AQFD Supplier
Workshops
Design for X
Value Stream
Analytics & Cost
Modeling
Modularity
Breakdown
into Sub-
systems
Prioritized
Sub-systems
Prioritized
Characteristics
Supply Chain
Re-
configuration
Complexity
Reduction
Supplier
Collaboration
& Pricing Idea collection &
Implementation
SCM Strategy,
Total Cost of
Ownership
Structure Product
Breakdown for
Analysis
Create Options
& Prioritize
Evaluate Options Costing Of
Priorities/ Targets
Implementation
Component-
level Teardown Idea
Generation
Open Innovation COMMERCIALIZATION SUCCESSES
Composite Machine Enclosures
Innovative solution for large refrigeration rack systems
Approximate 40% reduction in cabinet structure weight
Robust structural design using stress skin composite panels
High resistance to chemical / environmental conditions
Sustainable design: no VOCs used
Fewer structural seams reduce opportunity for water leaks
SunSource for Refrigeration
Enables grid-free operation during times of peak energy usage
Pairs a Heatcraft microchannel condenser with the Lennox SunSource solar energy system
Cuts energy bills, lowers emissions and reduces refrigerant charge
Supplies excess electricity to the building or power grid
70% reduction in refrigerant charge with microchannel heat exchanger
EC Motors from Treadmills
Energy efficient motors from outside our traditional supply chain
Up to 75% efficient
Most energy efficient motor available for evaporators
Drop-in replacement for existing shaded pole and PSC motors
Typical payback on motor replacement 18-24 months
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Thank you for your attention!
Questions?
Heatcraft Worldwide Refrigeration OVERVIEW