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1 Pradeep K Nair
2 Click to edit Master text styles Second level Third level Fourth level» Fifth level
3 Agenda Why Business Intelligence? IBM Vision for BI The Corporate Information Factory (CIF) Architecture Principles Various dimensions of BI in Manufacturing/Auto Detailed discussion on SCOR An example of IBM s solution IBM s Solution Stack (Small-to-Big)
4 Some of Our clients
5 Why BI Initiatives Top Reasons Business Reasons Competitive Advantage (avoid Me-Too ) Business Innovation Business Optimization (Strategy & Process) Ability to respond to market opportunities / situations Identify Trends & New Markets Identify New Segments / Applications IT Reasons CIO/CTO as Innovation Enabler Focus on Aligning Business Strategy with IT Strategy (instead of feeding reports) Core Applications like ERP / SCM / CRM are not designed for ACTIONABLE INSIGHT To meet Service Levels of functions
6 DW/BI Basic Principles Dr. William Inmon TM
7 Decision Making Pyramid Architecture Considerations Strategic Planning 9-36 Months DW/EW Tactical Decision KPI s 3-6 Months DW/DM Operational Decision KPI s 1-3 Months ODS
8 Total Performance Management Visibility HIGHER PERFORMANCE How are we doing? Why? What should we be doing? GLOBAL VIEW OF PERFORMANCE Scorecarding & Dashboarding Reporting & Analysis TYPICAL INFORMATION SOURCES Planning, Budgeting & Forecasting ERP CRM AP&S SCM PLM 3PL MES
9 Broad Classification of BI Performance Management (MBO, MBE, Strategic Management, Executive Scorecards) Functional Analytics Business Optimization Strategic & Predictive Analysis (Scenarios, What- IF, Decision Trees, Crystal Gazing) Customer Knowledge Management
10 Scope of BI for Manufacturing Cos Sales & Marketing Primary / Direct Sales Analysis Secondary / Distributor Sales Analysis Tertiary / Retail Sales Analysis Analytical CRM (Segmentation, Targeted Campaigns, Customer Loyalty) Demand & Supply Chain Forecasting & Planning SCOR Metrics, S & OP, Colloborative Demand & Supply Planning Supplier/Partner Performance Logistics & Transport Optimisation (Cost & Route) Strategic Initiatives LEAN, 5S, JIT Six Sigma Production/Manufacturing Work-in-Process Tracking Plant Performance ( Yield, Safety, Correlation with Demand Plan, Production Scheduling etc) Workforce Management Financial Management Financial Planning & Consolidation, Budgeting Balance Sheet, P & L Ratios Revenue, COGS, Inventory, Plan vs. Actuals
11 Functional Scope of BI in Manufacturing Procurement / Materials Management Inventory Analysis Cost & Price Management Supplier Performance Work-in-Process Tracking Stock Out Prediction and Management Quality Predictive Failure / Failure Analysis Wastage Analysis Six Sigma Customer Service/After Market Parts Availability / Replenishment Stock Demand & Norms Warranty Analysis (Profit, Customer Satisfaction)
12 Supply Chain Visibility Procure Produce Distribute Fulfill Sell SUPPLIER MANUFACTURER DISTRIBUTION CENTER RETAILER Materials Materials Materials Information & Funds Information & Funds Daily, weekly, and Real Time dashboards Information & Funds
13 Manufacturing Performance Management Framework SCOR Metrics S&OP Executive Review Integrated Financial Plan Operational Planning & Execution Demand Operations Data ERP Inventory Supply Chain Logistics / 3PL Customer Syndicated Data POS Data Trade Promotion Results Business Results Go! Mobile Scorecards Reports & Analysis Financial Supply Dashboards Event Notification
14 S&OP Process Enabled by Cognos
15 Performance Blueprints Industry S&OP S&OP Executive Review Trade Promotion Management Upstream Oil and Gas Department or Function Workforce Planning Workforce Resource Management Sales Compensation Planning Sales Planning and Forecasting Enterprise Planning Allocations Planning Capital Project Planning Discretionary Capital Expenditure Planning Expense Planning & Control Initiative Planning Risk Analysis Strategic Finance Strategic Long Range Planning Financial Management & Control Close, Consolidate, and Report Group Consolidation & Corp Reporting Management & Financial Reporting
16 IBM Vision - Information On Demand Unlocking the Business Value of Information for Competitive Advantage Customer & Product Profitability Financial Risk Insight Workforce Optimization Dynamic Supply Chain Business Optimization Multi-channel Marketing Better Business Outcomes Optimization Better understand & optimize business performance Create a single version of the truth, managed over time Automation Flexible Architecture for Leveraging Existing Investments Other Information & Application Sources Establish & manage data and content over its lifecycle
17 IBM DW/BI Solution Stack Reporting & Analysis Cause-Effect Analysis Dimensional Datamarts (OLAP) (IBM Information Server) Metadata & Quality Management (IBM Ascential Tools) Datawarehouse + Exploration Warehouse (Information Server) Portal Based Delivery Cognos TM1 Cognos 8 BI Cognos 8 BI Planning & Budgeting Performance Management Strategic Applications Extract/Transform/Load (IBM Ascential Range) Balanced Scorecard / Executive Scorecards / Dasboards
18 Why IBM? Deep functional & technology experience in the Manufacturing/Industrial domain Clear Differentiator! Thought Leader in Business Intelligence & DW (started first project in 1962) Can you believe that? Several clients who have seen both Business & IT benefits Detailed solution stack which enables all functional and technical areas that may be implemented Clear approach to Risk Management Committed Implementation partners with deep functional, technical and project management skills
19
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