Collaborate 2012, Berlin
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1 Collaborate 2012, Berlin Project Driven Supply Chain (PDSC) Solution A joint Solution from Infosys and Oracle 09 May,
2 Agenda 1. Introduction 2. Industry Challenges around Project driven supply chain(pdsc) 3. Project and Supply Chain Collaboration 4. Solution to address PDSC challenges 5. Solution demonstration on PDSC scenarios 6. Q&A
3 Agenda 1. Introduction 2. Industry Challenges around Project driven supply chain(pdsc) 3. Project and Supply Chain Collaboration 4. Solution to address PDSC challenges 5. Solution demonstration on PDSC scenarios 6. Q&A
4 Vineet Bhardwaj, Oracle PPM Center of Excellence Lead A highly experienced IT professional with over 13 years of IT and business consulting experience. Core expertise is in the areas of project portfolio management (PPM), project management office (PMO) operations, IT service management, business consulting, enterprise project/program planning and delivery. Have extensively managed ERP programs which included process and capability improvements, and Projects and Portfolio transformation programs. Have extensively managed and implemented PPM applications for various customers in Industrial manufacturing, Engineering and Utilities verticals. An expert in developing an enterprise project portfolio and project financial roadmap especially around supply chain business scenarios. Manage the Oracle Primavera and Projects center of excellence at Infosys. Education/Certifications Bachelor of Engineering MBA Project management Professional(PMP) Oracle Implementation Champion
5 Infosys Partnership with Oracle Infosys is one among the first 2 partners of Oracle to achieve the Diamond Partnership Status Diamond Partnership Requirements 30 Specializations 5 Advanced Specializations License Sales (combined co-sell & resell) Published customer references/year Excellent score in Oracle s Global Relationship Survey 15 Diamond Level Qualified Solution Offerings
6 Agenda 1. Introduction 2. Industry Challenges around Project driven supply chain(pdsc) 3. Project and Supply Chain Collaboration 4. Solution to address PDSC challenges 5. Solution demonstration on PDSC scenarios 6. Q&A
7 Industry Challenges around Project Driven Supply Chain(PDSC) 1 2 Constant change of engineering specifications affecting ability to deliver products On time Change in engineering specs Change in BOM, Planning BOM vs. Project BOM Keeping track of part numbers Keeping delivery in Sync with project plan 3 4 Lack of integration between order lines and installation service Project plan and supply plan is out of sync Change in plan not reflected in other plan Project critical path not adequately communicated to supply planning High inventory cost to meet service levels Inventory build up to meet high degree of service levels High inventory build up cost to meet service levels Reduced operational efficiency due to high inventory Lack of process alignment and system design Process & systems are in silo s Process & systems are sub optimal Lack of trust between functions Lack of visibility 7
8 Changed Plan Original Plan Industry Challenges contd.. Change in engineering specs.. Original Spec SEQ PART NUMBER 0 PBA PBA PBA PBA PBA PBA PBA PBA Shipping date of part number is aligned with project plan Keeping track of BOM change is a major concern Change in spec results in change in dates Changed Spec New part number due to change in specs SEQ PART NUMBER 0 PBA PBA PBA PBA PBA PBA PBA PBA PBA Delay in shipment due to change in specs 8
9 Original Plan Industry Challenges contd.. High inventory cost to meet desired service levels.. Project Management Supply Planning On time delivery Hold high inventory Results in.. Improved Service Levels High Customer Satisfaction Increased inventory cost 9
10 Current Plan Baseline Plan Industry Challenges contd. Lack of integration between order line & installation services.. Line # Item Description Qty Customer Required Date Staggered CRD in Project Plan 010 ETO Item /06/ ETO Item /06/2012 CRD Out of Sync with project plan Compare Planned (Y) Vs. Actual (B) Line # Item Description Qty Customer Required Date 010 ETO Item /06/2012 Progress Date Delay 020 ETO Item /06/2012 Change in project plan not in sync with CRD 10
11 Industry Challenges contd.. Lack of process alignment and system design.. Supply plan not accounting customer critical install date. Lack of visibility on project plan Add padding to equipment delivery date to mitigate the risk of delayed delivery. Updates to billing milestones not communicated. Lack of accuracy in revenue projection. Supply Operations Installation Services Finance Management & Control 1. Planning supply 2. Procurement 3. Optimize sourcing 4. On time delivery of products 1. Planning equipment delivery 2. Planning installation 3. Planning resources 4. Planning project closure 1. Planning billing milestones 2. Plan revenue projection 3. Optimize revenue across qtrs. 11
12 Agenda 1. Introduction 2. Industry Challenges around Project driven supply chain(pdsc) 3. Project and Supply Chain Collaboration 4. Solution to address PDSC challenges 5. Solution demonstration on PDSC scenarios 6. Q&A
13 Project and Supply Chain Collaboration Real Time Project Plan Updates on BOM Change Low level of Inventory Build up Project Plan and Supply Plan in Synch Delivery alignment with Project plan
14 Agenda 1. Introduction 2. Industry Challenges around Project driven supply chain(pdsc) 3. Project and Supply Chain Collaboration 4. Solution to address PDSC challenges 5. Solution demonstration on PDSC scenarios 6. Q&A
15 Agenda 1. Introduction 2. Industry Challenges around Project driven supply chain(pdsc) 3. Project and Supply Chain Collaboration 4. Solution to address PDSC challenges 5. Solution demonstration on PDSC scenarios 6. Q&A
16 PDSC Demo with 2 business scenarios.. Create Project Demonstrate PDSC configuration Create project plan & identify critical path Sync project plan with supply plan Create project baseline Project Event Customer initiated change (Advance installation date by a month) Analyze impact of change in project plan (What if) Sync project plan changes with supply plan On time delivery dashboards 19
17 PDSC Business Scenarios 1.0 Project to Supply Chain Planning Cycle 1.1 Create project using template 1.2 Review future Projects Associate & identify Sales Revenue Order to Shortfall project 1.3 Associate equipment ship dates to SO lines 1.4 Identify key Engg. submittals Planner Project Manager Project Manager Engg. Manager 1.5 Identify critical path and key equipment deliveries 1.6 Send Required Date from P6 to VCP 1.7 Run Supply Plan 1.8 Review Supply Plan Details Project Manager Project Manager Supply Planner Supply Planner 1.9 Project Plan baseline created Project Manager 20
18 1.1 Create Project Using Template Project Templates Standard WBS Standard Milestones 21
19 1.2 Associate Sales Order to Project Project Sales Order Linked to the Project 22
20 1.3 Associate Equipment Ship Dates to SO Lines Shipment activities in Primavera P6 are mapped to Sales Order lines These ship date task enable On time delivery metrics Activity Type Code 23
21 1.4 Identify Key Engineering Submittals Key Engineering Submittals Identified These submittals enable On time delivery metrics in dashboards 24
22 1.5 Critical Path & Key Equipment Deliveries Total float shown as zero for Critical Path activities Schedule the Project Critical Path Activities shown in Red Manufactured BOM Items are on Critical Path 25
23 1.6 Sync Required Dates from P6 to VCP Equipment dates synced up with VCP 26
24 1.7 Run Supply Planning Base Plan Supplies and Demand Details 27
25 1.8 Supply Plan Details Pegging Information.. Pegging Details for the Sales Order Line 28
26 1.8 Supply Plan Details Contd.. Item, Bill of Material, Supply Chain Bill End Item Details Bill Of Materials Details Supply Chain Bill Details for End Item 29
27 1.8 Supply Plan Details Contd.. Routing & Resource Information Routing used for the Resource Resources used to manufacture Item Resource Availability Information 30
28 1.9 Review Supply and Project Date Exceptions Integrated Sales & Ops Planning Report (ISOP) Sales order information from VP Task dates from Primavera P6 Report combines site activity plan from P6 with equipment delivery schedule from VCP 31
29 PDSC Scenario s 2.0 Supply Chain change scenario 2.1 Customer initiated change (advance CCD date) 2.2 Review future Create What If Projects & identify project and analyze Revenue Shortfall impact 2.3 Make Changes to the ship dates in What If project 2.4 Send NEW Required Date from P6 to VCP Project Manager Planner / PM Sourcing / PM Project Manager 2.5 Run Supply Planning Engine to check feasibility of new dates Supply Planner 2.6 Send feasible ship dates back to P6 Supply Planner 2.7 Analyze Engg. submittal dashboards Engg. Manager 2.8 Analyze procurement shipment dashboards Project Manager / Supply Planner 2.9 Analyze CCD dashboards Project Manager 32
30 2.1 Customer Initiated Change Advance CCD Date to expedite faster delivery Customer Initiated Change Current CCD is 18 th Jan. However, Customer has requested for an advanced CCD of 21 st Dec. 33
31 2.2 Create What if Project To analyze the impact of changed CCD date.. What If Project Created Negative float indicates that Critical Path needs to be crashed to meet the new CCD date 34
32 2.3 Change Ship Dates in What if project To accommodate advanced CCD date.. Start Date of 16 th July to be changed to Late Start date of 18 June to accommodate new CCD date Late Start date indicates new ship dates to met to accommodate new CCD dates Negative float eliminated by changing ship dates to late start date 35
33 2.4 Send new Required dates from P6 to VCP New Ship Dates Trigger the interface 36
34 2.3 Change Ship Dates in What if project Contd.. Before and After Shipment dates before CCD date pull in Shipment dates after CCD date pull in 37
35 2.4 Send new Required dates from P6 to VCP Running Pre- Processor Program 38
36 2.5 Run Supply Planning Engine To check feasibility of new dates - Launching a Simulation Plan.. Launching the RP Plan 39
37 2.5 Run Supply Planning Engine Contd.. To check feasibility of new dates - Launching a Simulation Plan Rapid Planning Plan shows the updated Request Date 40
38 2.5 Run Supply Planning Engine Contd.. To check feasibility of new dates Change Assigned Units Changing Max Assigned Unit as 2 41
39 2.5 Run Supply Planning Engine Contd.. To check feasibility of new dates After Changes Days Late have gone down from 7 to 0 days after Simulation 42
40 2.5 Run Supply Planning Engine Contd.. To check feasibility of new dates New Requested dates from Primavera Final Dates send by RP to Primavera. 43
41 2.6 Send Feasible Ship Dates Back to P6 Running Post - Processor Program 44
42 2.6 Send Feasible Ship Dates Back to P6 Before and after.. Shipment dates sent to VCP (Rapid Planning) New Shipment dates sent from VCP (Rapid Planning) 45
43 2.7 Analyze Engineering Submittal Dashboard Percent of Engg. submittals Percent of Engg. Submittals in Red, Yellow and Green 46
44 2.8 Analyze Procurement Shipment Dashboard Percent of procurement shipment Percent of procurement shipment in Red, Yellow & Green 47
45 2.8 Analyze Procurement Shipment Dashboard Contd.. OTD status by SO, shipment type, item description and SO line Tracking shipments and status 48
46 2.9 Analyze CCD & Other Dashboards 49
47 THANK YOU The contents of this document are proprietary and confidential to Infosys Limited and may not be disclosed in whole or in part at any time, to any third party without the prior written consent of Infosys Limited Infosys Limited. All rights reserved. Copyright in the whole and any part of this document belongs to Infosys Limited. This work may not be used, sold, transferred, adapted, abridged, copied or reproduced in whole or in part, in any manner or form, or in any media, without the prior written consent of Infosys Limited.
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