Manufacturing Execution Systems

Manufacturing Execution Systems Optimal Design, Planning, and Deployment Heiko Meyer Editor Franz Fuchs Klaus Thiel Contributing Author Contributing Author Mc Graw Hill New York Chicago San Francisco Lisbon London Madrid Mexico City Milan New Delhi San Juan Seoul Singapore Sydney Toronto

Foreword Acronyms xv xvii 1 Introduction 1 1.1 Motivation 1 1.2 Aim of This Book 2 1.3 Structure of This Book 3 2 Factory of the Future 5 2.1 Historical Development of Manufacturing Execution Systems 5 2.1.1 Development of Business Data Processing 5 2.1.2 The Integration Concept: From CIM to the Digital Factory 6 2.2 Definitions of Terms 8 2.2.1 Classification of Terms 8 2.2.2 Company Management Level 8 2.2.3 Production Management Level 10 2.2.4 Control/Automation Level 13 2.3 Shortfalls of Existing Architectures and Solutions 13 2.3.1 Patchwork 13 2.3.2 No Common Database 14 2.3.3 Excessive Response Times 14 2.3.4 High Operating and Management Outlay 15 2.4 Demands of Future Production Management Systems 16 2.4.1 Target Management 16 2.4.2 Integration of Applications and Data... 18 2.4.3 Real-Time Data Management 21 2.4.4 Information Management 24 2.4.5 Compliance Management 25 2.4.6 Lean Sigma and MES 27 2.5 Summary 30 3 Concepts and Technologies 31 3.1 Commonalities between Existing Approaches and MES 31 vii

viii Contents 3.2 Norms and Guidelines 31 3.2.1 ISA 31 3.2.2 IEC 35 3.2.3 VDI 36 3.2.4 FDA 36 3.2.5 NAMUR 37 3.3 Recommendations 38 3.3.1 MESA 38 3.3.2 VDA 39 3.3.3 VDMA 40 3.3.4 ZVEI 40 3.4 Adjacent Areas 41 3.4.1 Historical Development of ERP/PPS Systems 41 3.4.2 ERP/PPS Systems 41 3.4.3 Process Management Systems 42 3.4.4 SCADASystems 45 3.4.5 Simulation Systems 45 3.5 Product Lifecycle Management 46 3.5.1 Historical Development 46 3.5.2 Product Model 47 3.5.3 Process Model 48 3.5.4 Implementation Strategies 48 3.5.5 Points of Contact with MES 49 3.6 Summary 50 4 Core Function Production Flow-Oriented Design 53 4.1 Cross-System Cohesiveness 53 4.1.1 Classification in the Overall System... 53 4.1.2 General and Complete Data Model... 54 4.1.3 Origins of Master Data 56 4.2 Data Model for Product Definition 57 4.2.1 Relevant Concepts 57 4.2.2 The Operation 59 4.2.3 The Work Plan 63 4.2.4 The Parts List 66 4.2.5 Change Management and Product History 66 4.3 Data Model for Resource Management 66 4.3.1 Description of Production Environment 66 4.3.2 Production Personnel 71 4.3.3 Operating Resources 72 4.3.4 Materials and Preliminary Products... 73 4.3.5 Information and Documents 74

ix 4.4 System and Auxiliary Data 77 4.5 Order Fulfillment Data 79 4.5.1 Orders 79 4.5.2 Production Data, Operating Data, and Machine Data 79 4.5.3 Derived Performance Data and Figures 81 4.6 Summary 81 5 Core Function Production Flow-Oriented Planning 83 5.1 Integration within the Overall Process 83 5.2 Order Data Management 83 5.3 Supply Management within the MES 85 5.3.1 Demand Planning 85 5.3.2 Material Requirement Calculation... 86 5.3.3 Material Disposition in the MES or ERP System 86 5.3.4 Incoming Goods 87 5.3.5 Interaction between the ERP System and the MES 87 5.3.6 Material Warehousing Costs 88 5.4 The Planning Process 88 5.4.1 Planning Objectives 88 5.4.2 The "Updated" Work Plan: Condition for Optimized Planning 89 5.4.3 Work Scheduling 89 5.4.4 Strategies for Sequence Planning and Planning Algorithms 91 5.4.5 Forward Planning/Reverse Planning/ Bottleneck Planning 92 5.4.6 Collision-Free Planning of a Time Container 93 5.4.7 Setup Optimization and Warehousing Costs 94 5.5 The Importance of the Control Station 94 5.5.1 Core Elements 94 5.5.2 User Interface 95 5.6 Personnel Planning and Release of Orders... 96 5.7 Summary 97 6 Core Function Order Processing 99 6.1 General Information on Order Processing... 99 6.1.1 Classification within the Overall System 99

ix 4.4 System and Auxiliary Data 77 4.5 Order Fulfillment Data 79 4.5.1 Orders 79 4.5.2 Production Data, Operating Data, and Machine Data 79 4.5.3 Derived Performance Data and Figures 81 4.6 Summary 81 5 Core Function Production Flow-Oriented Planning 83 5.1 Integration within the Overall Process 83 5.2 Order Data Management 83 5.3 Supply Management within the MES 85 5.3.1 Demand Planning 85 5.3.2 Material Requirement Calculation... 86 5.3.3 Material Disposition in the MES or ERP System 86 5.3.4 Incoming Goods 87 5.3.5 Interaction between the ERP System and the MES 87 5.3.6 Material Warehousing Costs 88 5.4 The Planning Process 88 5.4.1 Planning Objectives 88 5.4.2 The "Updated" Work Plan: Condition for Optimized Planning 89 5.4.3 Work Scheduling 89 5.4.4 Strategies for Sequence Planning and Planning Algorithms 91 5.4.5 Forward Planning/Reverse Planning/ Bottleneck Planning 92 5.4.6 Collision-Free Planning of a Time Container 93 5.4.7 Setup Optimization and Warehousing Costs 94 5.5 The Importance of the Control Station 94 5.5.1 Core Elements 94 5.5.2 User Interface 95 5.6 Personnel Planning and Release of Orders... 96 5.7 Summary 97 6 Core Function Order Processing 99 6.1 General Information on Order Processing... 99 6.1.1 Classification within the Overall System 99

tents 6.1.2 Functions of Order Fulfillment 99 6.1.3 The MES Terminal 100 6.2 Order Preparation and Setup 103 6.2.1 Changing Tools 103 6.2.2 Machine Settings 104 6.2.3 Material Provision 105 6.2.4 Test Run 105 6.3 Order Control 106 6.3.1 Information Management 106 6.3.2 Control and Tracing of Production Units 106 6.3.3 Managing the Production Bin 106 6.3.4 Material Flow Control 106 6.3.5 Order Processing and Operating Data Recording 109 6.3.6 Process and Quality Assurance 110 6.4 Performance Data 112 6.4.1 Involved Departments 112 6.4.2 Key Figures and Performance Record 116 6.4.3 Ongoing Analysis and Evaluations... 116 6.4.4 More Long-Term Analyses and Evaluations 117 6.5 Maintenance Management 118 6.5.1 Tasks 118 6.5.2 Preventive Maintenance and Repair... 118 6.5.3 Alarm Management 119 6.6 Summary 119 Technical Aspects 121 7.1 Software Architecture 121 7.1.1 Fundamental Variants 121 7.1.2 Overview of Central Components... 122 7.1.3 Platform Independence 124 7.1.4 Scalability 125 7.1.5 Flexible Adjustment versus Suitability for Updates 127 7.1.6 MES and Service-Oriented Architecture (SOA) 129 7.2 Database 130 7.2.1 Introduction 130 7.2.2 Resource Monitoring 130 7.2.3 Scaling the Database System 132 7.2.4 Data Management and Archiving... 133 7.2.5 Running Maintenance 134

7.3 Interfaces with Other IT Systems 134 7.3.1 Overview 134 7.3.2 Interface with Production 134 7.3.3 Interface with an ERP System 140 7.3.4 Interface with the IT Infrastructure... 143 7.3.5 Interface with Communication Systems 144 7.3.6 Other Interfaces 144 7.4 User Interfaces 144 7.4.1 Usage and Visualization 144 7.4.2 Reporting 148 7.4.3 Automated Information Distribution... 150 7.5 Summary 151 Evaluation of the Cost-Effectiveness of MES... 153 8.1 General Information on Cost-Effectiveness... 153 8.1.1 Calculation of Cost-Effectiveness... 153 8.1.2 Comparative Cost Method 154 8.1.3 Value-Benefit Analysis 154 8.1.4 Performance Measurement 155 8.1.5 Total Cost of Ownership 155 8.2 General Information on Evaluation 156 8.2.1 Assessing Cost-Effectiveness in Practice 156 8.2.2 Rationalization Measures in Production 157 8.2.3 MES for Reducing Sources of Loss... 160 8.3 The Benefits of an MES 161 8.3.1 Integrated Data Transparency 161 8.3.2 Reducing Time Usage 162 8.3.3 Reducing Administration Expenses... 165 8.3.4 Improved Customer Service 166 8.3.5 Improved Quality 166 8.3.6 Early Warning System, Real-Time Cost Control 167 8.3.7 Increasing Employee Productivity... 167 8.3.8 Compliance with Directives 168 8.4 The Costs of an MES 168 8.5 Summary 169 Implementing an MES in Production 171 9.1 Implementing IT Systems in General 171 9.1.1 Selection of Components 171 9.1.2 Implementation Strategies 173 9.1.3 Problems during Implementation... 174

ents 9.2 Preparation of the Implementation Project... 176 9.2.1 Establishing the Core Team 176 9.2.2 The Fundamental Decision: MES: Yes or No 177 9.2.3 Establishing the Project Team 177 9.3 Analysis of the Actual Situation 178 9.3.1 Introduction 178 9.3.2 Existing Infrastructure 179 9.3.3 Existing Processes and Required Functions 180 9.3.4 Key Figures as the Basis for Monitoring Success 181 9.3.5 Suitable Key Figures for Success Monitoring 182 9.3.6 Other Factors for Success 184 9.4 Creation of a Project Plan 185 9.5 Contract Specifications 186 9.6 Selection of a Suitable System 187 9.6.1 Market Situation 187 9.6.2 Short-Listing and Limiting to Two or Three Applicants 187 9.6.3 Detailed Analysis of the Favorites and Decision 189 9.7 Implementation Process 191 9.7.1 Project Management 191 9.7.2 Training Management 192 9.7.3 Operating Concept 193 9.8 Summary [ 195 Examples for Application 197 10.1 Mixed Processes 197 10.2 Sensient Technologies: Emulsions 198 10.2.1 Information on Sensient Technologies Corporation 198 10.2.2 Description of the Production Process 198 10.2.3 Basic Quantity Units and Production Units 200 10.2.4 Production Process Plan 200 10.2.5 Challenges for the MES 200 10.2.6 Realization and Implementation... 204 10.3 Acker: Synthetic Fiber Fabrics 204 10.3.1 Information on the Company 204 10.3.2 Description of the Production Process 204

10.3.3 Basic Quantity Units and Production Units 209 10.3.4 Production Flow Plan 210 10.3.5 Tasks of the MES 210 10.3.6 Challenges 212 10.3.7 Realization and Implementation... 213 10.4 Summary 214 11 Visions 215 11.1 Merging the Systems 215 11.2 The MES as a Medium of Product-Development Management 217 11.2.1 Phases of Product Development... 217 11.2.2 Request Handling 217 11.2.3 Concept Documentation and Designing Requirements 218 11.2.4 Construction of the Product 219 11.2.5 Computer-Aided Flow Planning... 220 11.2.6 Production Management 221 11.3 Standardization of Function Modules 221 11.4 Merging Consultancy Activities and IT Systems 221 11.5 Summary 222 12 Summary of the Book 223 References 227 Glossary 229 Index 245