Automation meets IT Automation meets IT Automation meets

Automation meets IT

Automation meets IT

Automation meets IT

Today’s Discussion: q The latest trends in manufacturing enterprise automation q What is an Integrated Manufacturing Enterprise? q The different levels of the manufacturing enterprise and why they haven’t been traditionally integrated q What are the challenges of integrating the different operational levels? q Developing an enterprise integration strategy q Open Discussion Automation meets IT

Trends and history Manufacturing strategies driven by… 80’s 90’s 00’s Unit optimization Plant / Process optimization Company optimization Enterprise optimization Automation meets IT

Trends and history Enterprise Optimization Examples: Ø Reduced inventories – raw materials & finished goods Ø Reduced downtime Ø Increased On-time deliveries Ø Decreased scrap Ø Improved lead-times Ø Improved labor-cost accounting Automation meets IT

The evolution of the Integrated Manufacturing Enterprise What is it? Why is it happening? Automation meets IT

The evolution of the Integrated Manufacturing Enterprise What is it? ØThe Integrated Manufacturing Enterprise is a manufacturing system where all aspects of supply, inventory, production and delivery have the ability to exchange information in real time Why? ØImprove profits ØImprove customer satisfaction Automation meets IT

The evolution of the Integrated Manufacturing Enterprise Why? ? What has changed? ? Ø "Today, competition is vicious, unrelenting, and unforgiving --you either do things right or you do something else. We required a complete change in management philosophy. Enterprise Excellence helped us take a quantum leap forward. " W. R. Rinehart, Vice President, Manufacturing Data Documents, Inc. Automation meets IT

The evolution of the Integrated Manufacturing Enterprise Examples: Ø Customers submit orders via the internet or EDI Ø Customers can view current status of orders throughout the production and shipping process (ex: automotive) Ø Raw materials and sub-assemblies are ordered automatically via internet or EDI based on minimum order quantities Ø Management can view operational conditions at any plant via a web-browser Ø Production schedules are created automatically based on available resources and urgency of order Automation meets IT

Optimize the Supply Chain Shareholder Consumer Competitor Shareholder Consumer OEM Consumer Distribution Channel Competitor Supplier OEM Enterprise Optimization Supplier Distribution Channel Supplier OEM Shareholder Consumer Competitor OEM Supplier extends outside the traditional company boundaries Distribution Channel The Internet makes this a reality! Automation meets IT Distribution Channel

Today’s manufacturers Where do we stand? Automation meets IT

Manufacturing Strategy and inventory tracking and lack of information integration Unnecessary material waste Manufacturing Quality Unidentified bottlenecks to production Supply Chain Alignment Less-than-optimal equipment utilization Data Collection Performance Management IT and Automation people speak different languages Manufacturing Infrastructure Source: MESA International (May 2000) Automation meets IT Emerging Best Practice Effective Basic Poor Today’s manufacturers cover the basics… Lack of real-time order

Today’s manufacturers Why is this? Ø Different cultures in business and manufacturing departments Ø Different technologies at organization levels Ø Proprietary communication technologies at mfg. level Automation meets IT

Today’s manufacturers - Are making changes… Automation meets IT

Organizational Levels of an Enterprise Operational level architectures Automation meets IT

The Enterprise level Automation meets IT

ERP - Enterprise Resource Planning Definition Software solution that addresses the enterprise needs taking the process view of an organization to meet the organizational goals tightly integrating all functions of an enterprise ERP supports Ø core business ü order management = enter orders, ordering, bookkeeping ü sales management = offers for sale, sale conversations, stock overview, supply customer with information Ø add-on applications for: ü accounting, controlling and payroll ü sales and distribution ü HR (human resources) ü project management Automation meets IT

ERP - Enterprise Resource Planning What’s missing? Ø Although ERP Systems have allowed a connection from customers to manufacturers to suppliers, many ERP systems still are not connected to the actual manufacturing process! Ø ERP is blind to the process between the scheduling process and when it gets entered into the system as finished goods Automation meets IT

What will fill this gap? Ø Manufacturing Execution Systems Automation meets IT

The Manufacturing Execution Level Automation meets IT

MES – Manufacturing Execution Systems Definition by MESA: Ø Manufacturing Execution Systems deliver information enabling the optimization of production activities from order launch to finished goods. Ø Using current and accurate data, MES guides, initiates, responds to, and reports on plant activities as they occur. The resulting rapid response to changing conditions, coupled with a focus on reducing non-value-added activities, drives effective plant operations and processes. Automation meets IT

MES – Manufacturing Execution Systems Definition: Ø MES improves the return on operational assets as well as on-time delivery, inventory turns, gross margin, and cash flow performance. Ø MES provides mission-critical information about production activities across the enterprise and supply chain via bi-directional communications. " Automation meets IT

MES – Manufacturing Execution Systems “MES applications address key operational issues” Ø resource allocation and status Ø dispatching production units Ø quality management Ø maintenance management Ø performance analysis Ø operations/detail scheduling Ø document control Ø labor management Ø process management Ø product tracking and genealogy Ø data collection / acquisition Automation meets IT Source: MESA International

What is MES? Automation meets IT

MES - addressing internal drivers Manufacturing Execution Systems help to achieve. . . Ø a reduction in manufacturing cycle-time Ø improvements in product quality Ø a reduction in Work In Process (WIP) Ø a reduction or an elimination in paperwork between shifts Ø increased equipment availability Ø increased throughput Ø reduced material waste Ø reduced customer lead time Ø improved inventory management . . . in both discrete and process industries Automation meets IT e Automotive ctorr ucto Semicondu Electronics Food & beverage ticals ls utica Pharmaceu e Aerospace Medical devices Textiles. . .

What information is needed at this level? EAM Automation meets IT PIM App X Scheduler Temp. Hours of operation Motor Stat 215. 45ºF 980 ON Std layer MD 20 MW 26 I 0. 0 F 8: 00 N 7: 0 I: 000/00 HEX 4357 7333 % 11010100 00000011 % 1 HEX XXXX DEC 00000011 11010100 BIN 1

Information Flow in an organization Vendor Recommended Maintenance Interval Motor hours of operation Computer Suggested Maintenance Time Interval Actual Motor Time Planned Shutdowns No Predictive Maintenance Ø Ø Ø Ø Ø Motor Failure Unplanned Shutdown (t=0) Call Maintenance Verify Need New Motor Check Inventory No Motor Order Motor / Confirm Delivery Install New Motor Back in Production (t=X) Cost is x time downtime Automation meets IT Computerized Maintenance Ø PLC logs motor hours of operation Ø Information available to HMI/MES Ø Vendor recommended maintenance time is in database Ø Compare PLC vs. Vendor time Ø Define approaching alarm time Ø Check planned shutdown Ø Perform maintenance at next planned shutdown before alarm time Ø No unscheduled downtime = Increased efficiency, no unexpected costs, improved delivery dates

MES - Horizontal integration Requirements ERP PIM Scheduler App X EAM AUTOMATION Automation meets IT Trace Ø Ø Ø Link islands of systems Enable common data access Enables best-of-bread selection Plug & Play configuration Business modeling tool

Data stored and supplied by databases Maintenance Performance Analysis Inventory Data Collection Acquisition … Automation meets IT

Source: MESA International Performance to Goal Operational Return on Investment MES applications MES Over Time MESImplementation Incremental Investment Over Time “The investment in plant floor integration with advanced planning and scheduling systems may yield returns between 10 and 20 times the user’s investment in automation systems. ” Source: ARC 11/2000 Automation meets IT

MES – Manufacturing Execution Systems Benefits: Ø "I wouldn't have believed it myself two years ago. Our implementation of MES technology really became an integral part of our philosophy of continuous improvement. As a result, we were able to improve inventory turns from four to 36 in raw brass, our major inventory investment. And, on-time delivery ratings and business volume increased at the same time. " Ø Bill Kress Manufacturing Manager Ø R. B. Royal Industries, Inc. Automation meets IT

MES – Manufacturing Execution Systems Benefits: Ø "MES technology has provided us with the framework necessary for the design and implementation of controls with have indeed yielded dramatic improvements in product quality, cycle time, performance to mix, and cost. These results may be achievable to some degree without an integrated MES, but I believe it is fair to say the benefits would be realized in a less than timely manner and the cost of implementation would be significantly higher. " Ø Jim Macek Manager, Corporate CAM Systems Ø Advanced Micro Devices, Inc. Automation meets IT

MES – Manufacturing Execution Systems Benefits: Ø "Before implementing MES technology, we were two or three days behind in getting updated information. Now, we schedule and dispatch work in real time, and the system sends electronic messages to our foremen when a work center falls below a specified percent of the plant's standards. As a result, we've been able to cut our lead times from 12 to five weeks, boosted on-time deliveries significantly, and business is up nearly 50 percent. " Ø Brian Klaas Materials Manager Ø Pfauter-Maag Cutting Tools Automation meets IT

Automation level Automation meets IT

Automation level Costly engineering due to the integration of different Enterprise technologies that typically reside in individual boxes Proprietary systems are difficult Production to integrate Communication Bottleneck Automation Communication across proprietary interfaces Logic Control Machine Level HMI Automation meets IT Networking I/O Intelligent Slaves Vision Motion

Heterogeneous Landscape Automation meets IT

Reason for Heterogeneous Landscape Ø Proprietary communication Ø Proprietary data storage Ø Different field busses Ø Different I/O Points Ø Different cell communication Ø PLCs from different vendors Ø Incompatibility of PLCs from one vendor Ø HMIs Ø IPCs Ø Numeric Control Ø Intelligent drives Automation meets IT

Automation level What can we do about this? Ø Develop an Integration Strategy that takes advantage of the latest networking, database and connectivity technologies so that information from your production area can be easily exchanged with other systems Ø In the production area ØThroughout the Enterprise ØThroughout the Supply Chain Automation meets IT

Automation Level Common networking architecture Automation meets IT

Connect the machines and production processes! Automation meets IT

Integration Platform HMI / SCADA Web Enabled Communications OPC n Native Drivers n 3 rd Party n Redundancy PLCs n. Networks n. Client/Serve r n Automation meets IT Web Navigator n Web Browser n Client/Server Technologies Multi-Server n. Client/Serve r Basics n Multimedia E-Mail n Video n Graphics n Alarming n Trending n Reporting n Security n Multi-Language n Recipe Management n