OCTOBER Digital Supply Networks

Size: px

Start display at page:

Download "OCTOBER Digital Supply Networks"

Lewis Garrison
6 years ago
Views:

1 OCTOBER 2017 Digital Supply Networks

DISRUPTION SPANS ALL INDUSTRIES Exponential Technology Change Disrupting Supply Chains Across All Industries $1,245 per Gbps Cost of Performance $569 per GB $222 per

2 DISRUPTION SPANS ALL INDUSTRIES Exponential Technology Change Disrupting Supply Chains Across All Industries $1,245 per Gbps Cost of Performance $569 per GB $222 per million transistors Computing <$0.06 Bandwidth <$10 Storage <$ Today Source: Deloitte University Press 2 Copyright 2017 Deloitte Development LLC. All rights reserved.

OUR 4TH AND CURRENT INDUSTRIAL REVOLUTION

th century Early 20 th century Electronic

3 OUR 4TH AND CURRENT INDUSTRIAL REVOLUTION Power Generation Industrialization Late 18 th century Early 20 th century Electronic Automation 1970s to 2000s Digital Supply Networks 4 th Industrial Revolution Optimize Traditional Objectives Cost Innovation Service Quality Safety Flexibility 3 Copyright 2017 Deloitte Development LLC. All rights reserved. and New Objectives Revenue By Better Managing Visibility Variability Volume Velocity

4 EVOLVING THE SUPPLY CHAIN TO A DIGITAL SUPPLY NETWORK ( DSN ) TRADITIONAL SUPPLY CHAIN DIGITAL SUPPLY NETWORKS Synchronized Planning Cognitive Planning Quality Sensing Dynamic Fulfillment Connected Customer Develop Plan Source Make Deliver Support DIGITAL CORE 3D Printing Sensor-driven Replenishment Digital Development Smart Factory 4 Copyright 2017 Deloitte Development LLC. All rights reserved. Intelligent Supply

5 DIGITAL SUPPLY NETWORK TECHNOLOGIES Sensors & Wearable Technology Digital Scanning ERP, PLM, & Structured Systems Edge Computing Cellular, Satellite, & Wi-Fi Comms Signal Ingestion & Cloud Blockchain & Cryptography Data Science & Algorithms Machine Learning OT Security Physical Deep Learning & AI Digital IT Security Natural Language Processing Video & Spatial Analytics Machine Controls & APIs Additive Mfg & Advanced Materials Robots & Autonomous Vehicles Augmented / Virtual Reality Robotic & Cognitive Automation Visualization, UX, & Mobile 5 Copyright 2017 Deloitte Development LLC. All rights reserved.

6 The biggest roadblocks organizations face in beginning a digital pilot are Lack of an overall roadmap 45.2% Lack of a priority based on other initiatives 19.4% Lack of a budget 9.7% Lack of a clear use case 9.7% Lack of direction from leadership 6.5% Others 17.7% Source: SCM World Copyright 2017 Deloitte Development LLC. All rights reserved.

THE COMPLEXITY BARRIER Overcome complexity and enabling Next Level of Lean Manufacturing Lean 4.

VSM 1 Complexity Barrier JIT SMED 2 TPM Δ Traditional Lean Optimization Curve Next Level of Lean Optimization Curve Only

Lean optimization methods Next Level of Lean Manufacturing: Use 0 as a suitable "tool" to enrich classic Lean Build up

7 THE COMPLEXITY BARRIER Overcome complexity and enabling Next Level of Lean Manufacturing Lean 4.0 Optimization Curve Complexity Challenges: Higher degree of product individualization Degree of Optimization Poka Yoke VSM 1 Complexity Barrier JIT SMED 2 TPM Δ Traditional Lean Optimization Curve Next Level of Lean Optimization Curve Only the development of an integrated bundle of useful digital options and use cases will release the complete potential of Industry 4.0 Increasing product complexity Greater variety of variants Demand for high flexibility Limited usability of classic Lean optimization methods Next Level of Lean Manufacturing: Use Industry 4.0 as a suitable "tool" to enrich classic Lean Build up integrated optimization solutions Pursue the economic useful instead of technical possible 5S 1) VSM: Value Stream Mapping 2) SMED: Single Minute Exchange of Die Effort of Optimization 7 Copyright 2017 Deloitte Development LLC. All rights reserved.

8 DIGITAL SUPPLY NETWORK CAPABILITIES Digital Development Synchronized Planning Intelligent Supply Smart Factory Dynamic Fulfillment Connected Customer Optimize product lifecycle management with advanced digital tactics Provide significant efficiencies through synchronization Reduce costs through new advanced technologies, models, and capabilities Unlock new efficiencies by a more connected, agile, and proactive factory Boost customer service through new levels of speed and agility Create seamless customer engagement from inspiration to service Design Simulation Design for Cust. Exp. Control Tower (End-to-End Visibility) Demand & Supply Sensing & Synchronization Smart Connected Products / Real-Time Product Intelligence Robotic & Cognitive Automation Additive Manufacturing Real-Time Collaboration & Integration (Partners & Products) Quality Sensing & Prediction Dynamic Network Load Balancing & Synchronization Environmental & Social Impact Predictive / Sensor-Driven Replenishment Model-Based Design & Manufacturing / Design for Manufacturing Innovation Material / Asset / Product Tracking & Visibility Autonomous Transportation Cognitive Source-to-Contract Autonomous & Augmented Factory Automation Pro-Active & Collaborative Supplier Management Predictive Maintenance Automated Purchase-to-Pay Advanced Worker Solutions Intelligent Procurement Operation Management Autonomous & Augmented Warehouse Operations Should-Cost Modeling Personalized Fulfillment Cog. Spend Analytics Adv. Plan & Sch. Optim. Store Operations 8 Copyright 2017 Deloitte Development LLC. All rights reserved. Efficient Return Management

9 DIGITAL PD CAPABILITIES, TRANSFORMED BY DIGITAL ENABLERS, HELP UNLOCK AMPLIFIED BENEFITS TO ORGANIZATIONS Digital PD Capabilities 7 6 Design for Mfg. Innovation Real-Time Product Intelligence Digital Enablers 9 Copyright 2017 Deloitte Development LLC. All rights reserved. 8 Connected Customer Experience Smart Real-Time Data Advanced Technologies Model-Based Manufacturing 5 Model-Based Product Definition Agile Innovations 1 Design for Customer Experience 4 Real-Time Collaboration Rapid- Design Optimization 2 3 Potential Business Impacts Potential PD Enhancements Speed up Time-to-Market by 50% Concurrent engineering / Real-time Collaboration Rapid prototyping and virtual design simulation Improved R&D / engineering organizational Efficiency Reduce Cost by 20-50% Product portfolio rationalization Reduced material and labor spend through manufacturing innovation Less inventory Increase Market Share by 20% - 30% Improved customer experience with individualized design Integration of IoT, sensors / data-driven design enhancements Open innovation / customer co-creation Improve Design Quality Early identification of requirements issues Enhanced system design integrity Fewer errors during integration and testing Consistency in design approach across programs Increase Productivity Improved impact analysis of requirements changes Improved interaction across a multi discipline team Reuse of existing models to support design and technology evolution Auto-generation of design documentation Enhance Communication and Visibility Reduced communication barriers across regional and functional barriers Real-time collaboration with a digitized footprint as single source of truth Early, and on-going, requirements validation and design verification

11 FOCUS DRIVING FORWARD Workforce Skills & Capabilities Develop Ecosystem of Supply Chain & Technology Partners Identify Data Analytics Opportunities Enable Agile Systems Development & Deployment Manage Cyber Security Risk Identify capability gaps Establish new recruiting techniques Refresh retention and development tactics Lean on your partners for insights and recommendations Share risk and be open to co-development Facilitate open communication across all functions & areas Link insight strategy to business strategy Prioritize pilots with short time to value Apply innovative science to the old problems Apply agile tools (e.g. cloud) and approaches at every turn Remember that speed matters Don t be afraid to fail fast and fail forward to grow Embed security as a central theme Remember importance of OT security Develop emergency mitigation plan 11 Copyright 2017 Deloitte Development LLC. All rights reserved.

N O V E M B E R 1 4 TH, Digitizing the Core: Innovating from the Inside Out

N O V E M B E R 1 4 TH, Digitizing the Core: Innovating from the Inside Out N O V E M B E R 1 4 TH, 2017 2 P M E S T Digitizing the Core: Innovating from the Inside Out Meet the presenters Nidal Haddad David Carney Stephen Laaper Girija Krishnamurthy Principal Principal Principal