Automating the Bill of Material (BOM) Setup/Allocation Process with Winshuttle Haris Chowdhry Research in Motion (RIM) Inc.

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1 October 16-17

2 Automating the Bill of Material (BOM) Setup/Allocation Process with Winshuttle Haris Chowdhry Research in Motion (RIM) Inc. October 16, 2012

3 Agenda Summary of Job Function Typical BOM Structure Process prior to Winshuttle Adoption Process Improvement with Winshuttle Time Savings Conclusion 2

4 Job Function - What we do? Configuration Management Interface between RIM and our Contract Manufacturing sites We communicate to the sites: Hierarchical Bill of Material (BOM) (Each Complete Handheld Assembly has ~500 parts) Engineering Drawings/Specifications for every part in the BOM Engineering Changes 3

5 Job Function - What we do? Engineering Changes Pre-released Production Changes Released Production Changes ECN Engineering Change Notification TDN Temporary Deviation Notification Avg. 100 Changes Per Day 4

6 RIM Outsourced Manufacturing Sites 16 Sites across the Globe 5

7 Typical BOM Structure BOM for a typical cell phone Engineering Drawing 500 parts on average in a BOM 6

8 Original BOM Allocation Process Manual Process: Segregate similar part types manually Manually setup parts/boms in each applicable SAP plant. One SAP transaction per material setup (500 SAP transactions per BOM setup per site!) Manually segregate Manually setup parts in SAP 7

9 Process Improvement Goals Problem With new Outsourcing site additions every year, our team experienced a significant increase in the time taken to create and maintain Bill Of Materials (BOMs) in SAP. Goal/KPIs 1. Reduce the level of manual effort in the creation and maintenance of BOMs. 2. Reduce the turnaround time for the creation and maintenance of BOMs. This is due to the significant level of manual effort required in managing BOMs and has caused a reduction in team efficiency and increased the risk of errors and rework. Justification The volume of BOM changes was expected to increase significantly with the addition of each new site. Metrics 1. Number of process steps required to create and maintain BOMs. 2. Average time to completely create and maintain BOMs. 8

10 Process Improvement with Automated Process: Winshuttle Segregate similar part types using a main program Feeding parts to the applicable Winshuttle scripts for SAP transactions MM01 and CS07. Part setups in each applicable SAP plants. WS SAP Feeding Parts without segregation Automatic setup in SAP through Winshuttle 9

11 Process Improvement with Winshuttle 10

12 BOM Allocation Process Overview Manually Triggered OS Plant 1 Matrix BOM Push Plant 2000 OS Plant 2... OS Plant n Manual creation of MRP views for each material within the BOM (MM01) in each plant and manual allocation of BOMs (CS07) in each plant 11

13 Improved Process Workflow 12

14 Time Required for BOM Setup Setup Time vs Number of Parts Time required for manual parts setup is directly proportional to the number of parts, i.e. it increases with the increasing number of parts. With Winshuttle scripts on the other hand, the initial script data file setup is time-consuming. With each additional part of same type, the script takes minimal time to setup Manual Setups Setups w/ Winshuttle Number of Parts 13

15 Time Savings in BOM setups in EMS through Winshuttle Scripts Using Data from Past Year (Nov 15, 2010 Nov 14, 2011) 50 minutes per setup w/o Winshuttle scripts on avg. 7 minutes per setup w/ Winshuttle scripts on avg. Average time savings of 43 minutes per BOM Around new BOMs extended to outsourcing sites during Nov 15, 2010 Nov 14, 2011 Workload reduction of 2 resources! 14

16 Conclusion Unparalleled Reliability As long as the script input excel file is verified, the setups are 100% accurate! Unimaginable time savings What took us 50 minutes to setup before, now only requires 7 minutes of work on average! And all this while staying within the same access level within SAP and with minimal programming 15

17 Thank you! Any Questions? 16

18 Part Extension Requests from MS and GMS (through PER) Automatic Matrix Part Revision Notifications BOM Allocation Improved Process Overview Ability to Import Data into MR Connecting Access Database to MR Master Repository (MR) (Programmed in Excel VBA) Ability to Import Data into MR Winshuttle Script to extract part revision notifications from SAP directly Main Plant (P2000) Setups No Is Top Level? Yes Product Identification Region Identification Applicable Plants Identification (SAP, MR and PRD Matrix) Plant 2000 BOM Extraction using Winshuttle {If it exists} Winshuttle Script parameter setting & execution Error log generation, Review and Rectification Material Provision Indicator Setup {for PCC Sites Only} Implementing Associated Change Numbers Notifying Applicable teams (Costing / Finance / MFG IT) 17

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