© COPYRIGHT 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL.
Environment Compliance & Cross-Industry PLM Best Practices
Lester LiaoGeneral Manager / Greater China
Agile Software Corporation
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 2
Agenda
Environmental Compliance Best Practices
PLM Cross-Industry Best Practices
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 3
New Global Regulatory Initiatives
WEEE Waste of Electrical and Electronic Equipment
New EC directive for Recycling, effective in August 2005
RoHS EC Directive on the Restriction of Certain Hazardous Substances
in Electrical and Electronic Equipment
Prohibits new equipment from having more than agreed levels of lead, cadmium, mercury, hexavalent chromium, polybrominated biphenyl (PBB) and polybrominated diphenyl ether (PBDE) flame retardants after July 2006
Similar initiatives in China, Taiwan, Japan & the U.S. Taiwan has revamped its recycling law to require fees on
packaging & take-back for appliances & electronics, plus new restrictions on plastics disposables, including a controversial ban on plastic bags
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 4
Are you Ready?
Surveys show heightened interest, but few with budgets
Lot of work to do: Do you know the impact on design, manufacturing,
sourcing, spare parts, …? Do you have systems in place to manage new parts,
collect parts data, ID compliant/non-compliant parts? Can you support the new component system of record:
detailed material data, effectivity dates, cross-referencing?
Can you manage Green BOMs? Do you have a risk management strategy?
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 5
1 2 3 4 5 6 7
7 Point Plan to Environmental Compliance
7 Point Plan to Environmental Compliance
So, how do I become compliant?
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 6
7 Point Plan to Environmental Compliance
Step 1Determine
products and components impacted
1
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 7
7 Point Plan to Environmental Compliance
Step 2 Prioritize
(could be customer driven, could be product driven)
1 2
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 8
7 Point Plan to Environmental Compliance
Step 3Determine
operations and processes impacted
1 2 3
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 9
7 Point Plan to Environmental Compliance
Step 4Define the
“to-be” compliant state
1 2 3 4
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 10
7 Point Plan to Environmental Compliance
Step 5Budget Appropriately
1 2 3 4 5
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 11
7 Point Plan to Environmental Compliance
Step 6 Plan against
regulatory timeline
1 2 3 4 5 6
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 12
“ Within manufacturing and operations, we are
continuously looking for ways to improve our bottom line
AND improve the environment. Resource conservation and waste reduction make good
business sense.”
- Dick Hunter, V.P., Dell Manufacturing and Operations
7 Point Plan to Environmental Compliance
Step 7Name an
executive sponsor & create a cross functional team
1 2 3 4 5 6 7
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 13
Customer Benefits: Decreases Compliance CostsDecreases Compliance Costs Reduces Business RiskReduces Business Risk Compliance with Environmental Compliance with Environmental
& Regulatory Requirements & Regulatory Requirements (WEEE, RoHS, ELV)(WEEE, RoHS, ELV)
Product Governance & Compliance
Agile Environmental Compliance enables: Collaborate with suppliers to collect
material data for supplier material declarations
Generate an environmental view of the product record to analyze for compliance with (WEEE, RoHS, ELV) reuse, recycling, and restriction targets
Manage regulatory documentation and specifications
Track recovery manifests and disposal certificates of destruction
Manage compliance of outsourced recovery partners through proactive audit and closed loop corrective action
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 14
Environmental Compliance Processes
Collect
Analyze
Treatment
Reporting/Analysis
Disposal
Certificate
Inspection
Destruction
Certificate
Take-back, Disposal, & ComplianceTrack
DisposalOperations
Material
Manifest
Exemptions
ComplianceStatus
Treatment
Recovery
AuditSubstance
Data
Design for
Environment
DFE
BOM
Act
Regulations
Ship-to restrictions
MaterialDeclarations
RFIProcess
MCO
ECO
ChangeProcess
CAR
Issue
Cost
CorrectiveAction
Process
EnergyConsumption
Recyclability
DesignProcess
Materials
Parts
ProcessingInstructions
RecyclingProcess Product
CAR
Issue
Part Compliance BOMCompliance
Product Instance Compliance
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 15
Customer #1 Case Study:Budgeting for Green
$500M annual revenue technology company Started a green project 8 months ago
Going from “brown” to “green” for all products and manufacturing processes
Cross functional team from materials management, engineering, soldering assemblers, and senior management
Estimated 18 months and 40 employees to complete the project
Involve tens of thousands of P/Ns and reengineering of many business processes
Estimated costs: 1-2% of revenue Up to $10M for an “unbudgeted and unplanned expense”
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 16
Customer #1 Case Study: Role of Agile
Two key processes: Collect and manage compliance data on parts and
components (and clean up parts list) Manage transition process for all products
Implemented Agile 9 and Agile PG&C Configured and implemented simultaneously
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 17
Agenda
Environmental Compliance Best Practices PLM Cross-Industry Best Practices
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 18
ConceptDesign
& DevelopPrototype
& PilotLaunch& Ramp
Service & Support
Phase-out& DisposalProduction
What is Product Lifecycle Management (PLM)?
PLM enables companies to maximize product profitabilitymaximize product profitability through the management, coordination and optimization
of the informationinformation, processesprocesses and decisions about decisions about productsproducts, throughout the product lifecycle & across the
extended enterprise
PORTFOLIO Resource & Product Portfolio Management
MARGIN Cost & Risk Lifecycle Management
INNOVATECustomer Need to Release
LAUNCH & PRODUCTION Commitment to Fulfillment
SERVICE Customer Shipment to Obsolescence
COMPLIANCE Regulatory & Standards Management
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 19
PLM Enables Cross-Functional Coordination Across the Product Lifecycle
PLM Enables Cross-Functional Coordination Across the Product Lifecycle
Customers, Partners & SuppliersCustomers, Partners & Suppliers
Engineering & DevelopmentEngineering & Development
Purchasing & FinancePurchasing & Finance
Operations & Supply ChainOperations & Supply Chain
Sales & MarketingSales & Marketing
Service & SupportService & Support
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 20
Industry Focus
MedicalDeviceMedicalDevice
IndustrialEquipmentIndustrialEquipment
Electronics &High Tech
Electronics &High Tech
ConsumerPackaged
Goods
ConsumerPackaged
Goods
Aerospace& DefenseAerospace& Defense
AutomotiveAutomotivePharmaceuticalsPharmaceuticals
Pharmaceutical CPG
Semiconductor Software
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 21
Pharmaceutical Business Challenges
Business Environment Lack of solid drug pipeline
Long development cycles, with huge investments and risks for new products
Cost & distraction of acquisitions
Increasing regulatory scrutiny
Business Challenges Increase flow of new products to market
Reduce time of product development
Remove high cost paper intensive processes
Improve product portfolio performance
Integrate marketing, R&D, and manufacturing
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 22
Pharmaceuticals PLM Best Practices
Reduce time, cost & regulatory compliance liability of labeling & packaging management Central enterprise repository for label, artwork & pack information Role-based change control & approvals Workflow-based processes for executing controlled change management
Increase speed and profitability of New Product Development & Introduction Stage-gate based project management Resource management and allocation Management level oversight
Compliance with FDA regulations
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 23
CPG Business Challenges
Business Environment 30-60% sales from products launched <3 years
<30% of new product launches succeed
Accelerating private label brands
Mature products/brands facing price erosion
Consumer safety & tastes driving
product proliferation
Business Challenges Data accuracy, consistency, timeliness
Fast product introductions causing product data complexities
Co-packing, outsourced design, artwork, & filling stressing CPG companies
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 24
CPG PLM Best Practices
Consistent & efficient management of the global product record Specifications, packaging, labeling,
documentation, certifications
Rapid introductions of new products & brand extensions Repeatable & predictable stage-gate NPD&I
processes
Packaging & labeling collaboration
Improved product revenue opportunities Prioritize across a portfolio of
enterprise wide products
Improved product quality & compliance Closed loop quality and corrective actions
Compliance with FDA regulations
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 25
Packaging and LabelingA Complex Information and Process Issue
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 26
Packaging and LabelingPackaging and LabelingA Complex Information and Process IssueA Complex Information and Process Issue
Packaging and LabelingPackaging and LabelingA Complex Information and Process IssueA Complex Information and Process Issue
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 27
PLM in Semiconductor
Semiconductor Foundries Semiconductor Foundries PLMPLM
Fabless Semiconductor Fabless Semiconductor PLMPLM
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 28
BOMBOM
BoardBoard
Equip.Equip.
RecipeRecipe
DataData
C of AC of A
DatasheetDatasheet
DatasheetDatasheet
C of AC of A
MSDSMSDS
TypeType
Materia lMateria l
PackagePackage
FoundryFabless ATO Board
Product
EquipEquip
DataData
ProcessProcess
SpecsSpecs
Equip.Equip.
RecipeRecipe
DataData
SpecsSpecs
TestTest
Instruc.
Equip.
Materia ls
Instruc.Instruc.
Equip.Equip.
Materia lsMateria ls
MasksMasks
RecipeRecipe
TestTest
RecipeRecipe
SupplierSupplier
EquipEquip
LineLine
ProcessProcess
Materia lMateria l
SupplierSupplier
MSDSMSDSDrawingsDrawings
Instruc.Instruc.
Materia lsMateria ls
DrawingsDrawings
BOMBOM
TypeType
Materia lMateria l
SpecsSpecs
ATOATO
BoardBoard
DataData
SuppliersSuppliers
SupplierSupplier
SupplierSupplier
RecipeRecipe
FabFab ATOATO
MasksMasks
MRDMRD
IC DesignIC Design
Materia lMateria l
SpecsSpecs
TypeType
SpecsSpecs
FabFab
ProcessProcess
FoundryFoundry
PackagePackage
TestTest
Semiconductor Product RecordSemiconductor Product Record
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 29
Product Development Process (PDP)
ProductionDevelopmentDefinition
Define product for the market and evaluate feasibility
Define the specifications for the product
Involve production and R&D team early in life cycle
Define product for the market and evaluate feasibility
Define the specifications for the product
Involve production and R&D team early in life cycle
Develop detailed designs for the product
Verify and drive DFM Evaluate prototypes
and samples for functional and characterization
Manage changes and quality
Develop detailed designs for the product
Verify and drive DFM Evaluate prototypes
and samples for functional and characterization
Manage changes and quality
Manage changes to design in early ramp
Transfer process fine-tune knowledge to production
Volume production through and increased yields
Closed loop feedback to design
Manage changes to design in early ramp
Transfer process fine-tune knowledge to production
Volume production through and increased yields
Closed loop feedback to design
Lead:Marketing
Lead: Engineering
Lead:Fab
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 31
PDP - Development
Prelim Design Mfg. Review Design Pre
Tape-Out Fabrication Character-ization Samples Reliability
Develop test structure documents
Develop test structure documents
Assure production meets targets
Assure production meets targets
Develop manufacturing plans
Develop manufacturing plans
Verify functional behavior
Characterize device
Verify functional behavior
Characterize device
Overall architectural design
Overall architectural design
Verify that parts meet specifications
Verify that parts meet specifications
Simulation models and results
Simulation models and results
Identify yields and manufacturing issues
Identify yields and manufacturing issues
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 33
Single View of the Single View of the ProductProduct and and ProgramProgram Across the Enterprise and Across the Enterprise and
Supply NetworkSupply Network
Phase 1Phase 1 Phase 2Phase 2 Phase 3Phase 3 Phase 4Phase 4
Product Portfolio Management Removing Process Inefficiencies in Semi
TaskTask
TaskTask
TaskTask
TaskTask
TaskTask
DeliverableDeliverable
DeliverableDeliverable
Phase 1Phase 1
TaskTask
TaskTask
TaskTask
Program Status Instantaneously Updated Program Status Instantaneously Updated When Deliverable is CompleteWhen Deliverable is Complete
Deliverables Uniquely Connect Program Deliverables Uniquely Connect Program with Underlying Product Recordwith Underlying Product Record
TaskTask
TaskTask
DeliverableDeliverable
DeliverableDeliverable
Phase 2Phase 2 Gate
Closed
Gate
Closed
Gate
Closed
Gate
Open
TaskTask
TaskTask
DeliverableDeliverable
TaskTask
DeliverableDeliverable
e.g. Review masks
e.g. Approve mask
Phased, Stage-Gate Processes of the R&D to Mfg – (design to tape-out)
Gate
Open
R&D Info Management
NPI Management
Product Transfer
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 34
Semiconductor PLM Best Practices:Agile @ Qualcomm
Key drivers for Agile implementation IP protection Release cycle time reduction Self-service and process automation
Implementation scope and timeline Product Collaboration module First BU live in 2001; Company wide in
2003 5800 named users and growing 1 centralized instance accessed
globally Benefits Realized
More secure management of IP Single, secure repository for product
data Faster turnaround of higher volume with
fewer people Increased design collaboration internally
and externally
Source: Norm Fjeldheim, Qualcomm SVP & CIO, Agility Orlando 2004
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 35
Qualcomm Application Architecture
Oracle
Agile
QCT QIS QWBS QGov Corp
Billing Systems
Sales Force
Customer Care
Manufacturing
Distribution
Acct/Finance
Engineering
Arbor
N/A
N/A N/A
N/A
Custom
Agile is the foundation application at QualcommAgile has the largest user base and highest usage rates
All other applications integrate to Agile for key product data
SiebelSiebel
Peoplesoft
Source: Norm Fjeldheim, Qualcomm SVP & CIO, Agility Orlando 2004
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 36
Software Business Challenges
PeopleSoft Business Challenges Slow growth and price pressure: ERP is becoming a
commodity Integration with JD Edwards Have not started yet the outsourcing journey
PeopleSoft Strategy Reduce development cost for new release Better manage projects and market requirements
Veritas Business Challenges Overall PD inefficiencies: no common processes/systems Very competitive market (big SW & small start ups) Too many fronts: very large and complex footprint
Veritas Strategy Better manage portfolio of products: where should I
spend my development $? Improve development efficiency with common
processes and systems
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 37
Software PLM Best Practices: Customers
Release
Product
Business Req.
Functional DD
ConsolidationAnalysis on the
Requirement Content Change
Change Implementation &
release of software (SP or
new release)
Close Issue
Feedback to Customer
Issues or enhancement
requests
Close loop on the Enhancement Requests and on Issues
With Agile PLM
Technical DDIssue or Enhancement Request at the content level
Content change management
(versioning, process,..)
Feature
Test Case
Release
Req. 1Req. 2
Req. 3Detai led
market req.
Functional description
Release
Req. 1Req. 2
Req. 3Functional description
Release
Req. 1Req. 2
Req. 3
Technical specs
Release
Req. 1Req. 2
Req. 3Technical
specs
Release
Req. 1Req. 2
Req. 3
Release lifecycle iterations
Glossary:• Release =
BOM, Project, product
• Requirement: sub-assembly or Component
Agile Corporate Overview COPYRIGHT © 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL Slide 38
RC5200 Series
Define Scope
Define Resources
Define Revenue
Program Phase
Concept Phase
Development
Dev Plan
Test Plan
Implementation
Release Review
Program NavigationDescription File Name Version
I nitial MRD RC-MRD.doc 7 D5200 RC Copier D
Test Plan RC-Test.xls 3 D5250 RC Copier D
I nitial UI Spec RC-UI .doc 2 L4020 LS Copier A
Program Scope Scope.ppt 5 L4020 LS Copier A
RC 5200 SeriesJohn Bowles
Cross-program Cross-program portfolio portfolio
management & management & resource resource
utilizationutilization
Executive, team, & Executive, team, & individual visibility individual visibility
to product to product development development
program status & program status & deliverablesdeliverables
Future uses of Agile Future uses of Agile solutions include solutions include software quality software quality
management with management with CRM integration, CRM integration, software (CASE) software (CASE) integration, & integration, & requirements requirements managementmanagement
Product record Product record deliverables deliverables
managed in Agile managed in Agile seamlessly linked seamlessly linked with the program with the program
recordrecord
Software PLM Best Practices: AgileSoftware PLM Best Practices: Agile
© COPYRIGHT 2005 AGILE SOFTWARE CORPORATION. COMPANY CONFIDENTIAL.
Thank You
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