Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers

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1 WHITE PAPER Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers Increasing Product Complexity Tests the Limits of Legacy Systems

2 2 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers Product complexity has skyrocketed over the last ten years and it continues to rise as electronics and software dominate and IOT becomes a reality. According to Gartner, the shift in product complexity has resulted in more than 8.4B connected things signing online in 2017 with 20.4B online by To conquer product complexity, manufacturers are undergoing a digital transformation to develop and market connected products and remain competitive. As companies undergo digital transformation, they are realizing that their tools and processes were designed for a simpler, more mechanically focused era and are unable to accommodate the demands of modern product development especially as more of product design is outsourced to external suppliers and partners. This white paper will explore how to improve collaboration between suppliers, partners, and manufacturers via Product Innovation Platforms.

3 3 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers THE GROWTH OF OUTSOURCING In the last couple of decades, two major trends have played out in manufacturing companies across all discrete manufacturing industries e.g. automotive, aerospace, industrial, and electronics increasing product complexity and the growing role of the supply chain in design and manufacturing. The convergence of these trends has created a significant challenge that impacts productivity and operational excellence every day design collaboration with outsourced manufacturing partners. In the last decade, many products have evolved into software-driven systems, driven by the availability of ubiquitous networking, ultra-fast, low cost processors, cloud processing, and storage. At the same time, new materials such as composites, and manufacturing techniques such as additive, are changing the way the products are designed, manufactured, and serviced. Many observers view the trends as being interrelated the increase in product complexity has been enabled and accelerated by the deep expertise within the supply base. However, OEMs retain responsibility for the overall product requirements, high-level design, quality, safety, compliance, customer experience, etc. This mandates that they must be closely involved in every aspect of the product design either undertaking design themselves or collaborating with suppliers to vet their designs. According to a recent report published by Supply Chain Management Review, companies that outsource manufacturing have realized valuable improvements (see figure): For nearly half (44 percent) of respondents, operating margins have grown Nearly a third (32 percent) are seeing earlier new product introductions However, the same report also notes that one continuing challenge is increased lead times but adds that improved collaboration could help companies manage to this constraint.

4 4 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers CLOSING THE DISCONNECT BETWEEN SUPPLIERS AND PARTNERS The report s findings come as no surprise. While great benefits have accrued from outsourcing, suppliers and partners have struggled with data sharing, communication, and alignment for decades. Legacy systems put into place failed to establish secure, efficient workflows and, in their absence, home grown tools and workarounds became the standard way of working. Today, most design data, drawings, CAD files, etc. are shared via manual approaches involving , FTP, and file sharing services. These approaches may have been adequate before, but as product complexity has risen, more of product design has been outsourced; therefore, the amount of data shared between suppliers, partners, and manufacturers has increased exponentially. Using these manual approaches has resulted in: Increased product development costs due to product quality issues, increased cycle times, and more scrap parts Rework on the manufacturing floor due to data that is out of date, or from sourcing sending the wrong version Risk to intellectual property and sensitive data To close the disconnect and resolve these costly issues, manufacturers need to connect disparate systems internally and develop a secure approach to sharing data that adheres to security standards.

5 5 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers Step 1: Rethink tools, data, and processes across disciplines Before data can be shared externally, it s critical to ensure that the organization has internally developed the tools and processes that ensure data is stored effectively. For example, this means storing data with appropriate context and having effective change management protocols to ensure accuracy. Organizations with disparate systems and multiple instances of PLM should rethink their strategy and implement an enterprisewide foundation to connect all producers and consumers of product lifecycle information. Product Innovation Platforms provide a unified environment that allows all users of product information to collaborate around a single set of processes and data. Once this type of environment is established, it becomes possible to break down the disconnect between suppliers, partners, and manufacturers. Step 2: Connect suppliers and partners via a secure, efficient portal Once a single environment for data has been achieved, the next step is to configure a secure means of sharing the information that is easy to access for partners and suppliers. Best practice dictates that all data and files are accessed and created as normal PLM items, in conjunction with access restrictions needed to keep sensitive data and company intellectual property (IP) secure. With this approach, partners and suppliers can access data directly from within PLM, ensuring that they are receiving up-to-date information. Manufacturers can also implement their specific processes and data structures, without imposing artificial restrictions in the way data is exchanged.

6 6 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers THE ARAS PLM PLATFORM WITH SECURE EXTERNAL ACCESS Aras offers a flexible approach for connecting partners, suppliers, and manufacturers to the heart of product information: the Product Innovation Platform. Secure External Access (SEA) with the Aras PLM Platform connects external partners to PLM data, while providing highly secure access controls for IP. Conceptually, SEA provides direct data access, with no artificial data packaging, allowing natural access to data and processes. To the external user, it appears just as simple as this: After appropriate access is granted by the main company s IT administration, external users are able to access items and files, update items and files, and participate in processes such as workflow and collaboration.

7 7 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers THREE DIMENSIONS OF FLEXIBILITY To achieve this deceptively simple data access, Aras offers three dimensions of data control that support a variety of possible portal architectures, all of which will satisfy modern IT requirements. These three dimensions are Data Access, Data Location, and Client Access. Each of these represents a specific capability of the Aras PLM Platform. Experience has shown that leveraging the advanced capabilities of at least two of these dimensions simultaneously provides a satisfactory level of access control. Think of this as the belt and suspenders approach to controlling IP access from outside your four walls. Dimension 1 - Data Access The Data Access dimension involves the access granted to a user, based on the user s authentication and on controls defined on the data itself. There are three types of access control supported by the Aras PLM Platform, which in order of increasing sophistication are: Standard permissions, Mandatory Access Control (MAC Policy), and Domain Access Control (DAC). Standard Permissions: The Aras standard permission model is a form of Role Based Access Control and sets permissions based on the user s defined identities. These permissions are additive based on the full set of identities (role, groups, etc.) that apply to the user, and specify whether actions like Get, Update, and Delete can be performed by members of specific identities for a certain state on a certain type of item (object). While this is perfectly suitable for most access control within an organization, it is generally regarded as insufficient to serve as the basis of external access control.

8 8 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers Mandatory Access Control: The next level up is known as Mandatory Access Control or MAC Policy. It is a form of Attribute Based Access Control, and is commonly used by government organizations such as the military. The basic premise of MAC Policy is that the clearance level of the subject (the user) must meet or exceed the classification level of the item (object) being accessed. Of course, this means that items have to be identified with their classification level and rules have to be established. Aras provides the capabilities to do so. Users are granted access to items only if both the MAC Policy rules and standard permissions permit. MAC Policy is one viable option to support external access control. Domain Access Control: The most sophisticated level of access control is known as Domain Access Control or DAC. It is a form of Relationship Based Access Control, whereby security can be inferred based on the relationships of items to other items, rather than being specified directly as in MAC Policy. DAC involves the establishment of domains or Compartments which are described using derived relationship families. The derived relationship families are defined using Aras Query Definitions a powerful technology for defining all kinds of relationships between items. This approach is well suited to projectbased work and so is typically best suited to be used for external access control.

9 9 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers Dimension 2 - Data Location The Data Location dimension of SEA describes where the data that the external user accesses is physically located, either inside or outside your company s firewall. The choice for this dimension tends to be strongly dictated by corporate policy, and necessarily drives decisions about the other two dimensions. Inside the Firewall - Single Database: Data is contained in a single database inside of the firewall, meaning that external users are directly accessing your internal Aras PLM database. This approach can be very powerful, but the most advanced options of the other two dimensions should be used to ensure adequate protection. Outside the Firewall - Multi-Database: This approach involves setting up a separate Aras server and database instance in a location outside the firewall, either in the DMZ (an isolated network positioned between the Internet and the private network) or in the cloud. Data required for the external users is physically copied to the Aras server via the Aras Data Synchronization Service. This platform service provides administrator functions to identify, submit, and monitor the data being synchronized. Note that this is not a complete database replication, but rather a selected data synch based on identification of the necessary data. As with DAC, the Aras Query Definition capability is employed here to specify complex, relationship-based definitions of the sets of data to be shared. Both uni-directional and bi-directional synch are possible. Uni-directional (from internal to external server) is perfectly adequate for read-only portals and is easier to set up, while bi-directional supports data updates by partners, as well as process integration using workflow and collaboration (including Aras Visual Collaboration view and markup). Many architecture options are possible with Data Synchronization Service, depending on the need to separate partners from each other, rather than from the internal server. For example, you can have one Aras server and one database, one server and multiple databases (one for each partner), or multiple servers each with multiple databases.

10 10 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers Dimension 3 - Client Access The Client Access dimension of SEA defines the type of client front-end that the external user uses to gain access to the system. Two fundamental types of clients are predominantly used, although other types are possible, including mobile clients and authoring tool connectors such as CAD Connectors. The types described here are intended for general-purpose access to PLM data. Standard Aras Web Client: Using the standard HTML client, suppliers and partners can make use of full functionality within Aras, including access to all Aras item types (including those with complex editors such as Tech Docs and Quality Planning) and web-based file viewing, markup, and collaboration provided by Visual Collaboration. This approach is simplest to implement, however due to the inherent openness of AML communication (Aras XML syntax), this option is not recommended for use if the Single Database approach for Data Location is chosen that is if external users are coming in through your firewall. Web Services Portal Client: This alternative provides partners access for simple browsing, searching, and downloading/uploading of files. By using a web service for communication across the firewall instead of AML, additional filtering is provided such that no unintended data can be accessed. Overall, this results in a more secure option for client access, with another benefit being the ability to provide a simpler user experience for those cases where the full Aras web client is not necessary. By combining these three dimensions, a wide variety of architectures can be supported for Extended Enterprise Access. Aras can work with your organization to find the best fit for you. Below are some specific examples already in place at a few of Aras leading customers.

11 11 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers PRACTICAL CONFIGURATIONS USING SECURE EXTERNAL ACCESS An American multinational technology company leverages the Aras PLM Platform with Secure External Access to share data with suppliers and partners. They configured their solution using: Data Access: Domain Access Control (DAC) Data Location: Single Database Client Access: Web Services Portal Client A multinational corporation in Japan, manufacturing heavy equipment and aerospace and defense equipment, configured Secure External Access to work with partners with: Data Access: Domain Access Control (DAC) Data Location: Synchronized Multi-Database Client Access: Standard Aras Web Client The external server configuration is one server with multiple databases. Synchronization is initially unidirectional but moving to bi-directional in the Phase 2 implementation.

12 12 Making the Connection: The How-To s of Connecting Suppliers, Partners, and Manufacturers A BETTER WAY TO PARTNER The Aras PLM Platform provides a unified environment that allows all users of product information to collaborate around a single set of processes and data. With a Platform approach, manufacturers can trust that data is up-to-date and maintained in context, ensuring partners and suppliers receive accurate data. With Secure External Access using the Aras PLM Platform, manufacturers can create a secure means of transferring this data while adhering to their unique IT requirements. For more information, we encourage you to contact us at

13 Aras enables the world s leading manufacturers of complex, connected products to transform their product lifecycle processes and gain a competitive edge. Aras open, flexible, scalable, and upgradeable PLM platform and applications connect users in all disciplines and functions to critical product information and processes across the extended enterprise. Aras customers include Airbus, BAE Systems, GE, GM, Hitachi, Honda, Kawasaki Heavy Industries, and Microsoft. Download Aras Innovator today. Aras Corporation 100 Brickstone Square Andover, MA USA info@aras.com Aras. All rights reserved. This document is for informational purposes only. Aras and Aras Innovator are either registered trademarks or trademarks of Aras Corporation in the United States and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners. REQ