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					Performix Inc: Implementing MES in SAP Landscape
Implementing MES in SAP Landscape

Sham Afzalpurkar
CEO, Performix Inc.

September 26th, 2006
Introduction
  • Sham Afzalpurkar, CEO Performix Inc

  • About Performix
      •   A Manufacturing Execution Systems company
      •   Developing xApps in MES space
      •   Significant Supply Chain, Manufacturing Execution &Track/Trace experience
      •   Focus on Pharmaceuticals, Process Industries and Hi Tech
      •   Offices in Houston, Texas with development teams in India
Agenda

  •   Overview of MES
  •   Justifying MES
  •   Developing MES Strategy
  •   MES Architecture
  •   Integration Strategy
  •   Implementation Plan
  •   Lessons Learned
 Why MES?

• In the last decade, ERP and SCM have NOT delivered the expected
  returns
• Focus on deploying MES solution to give visibility and flexibility and
  effectively manage supply chain
• Competition has forced quality products at lower cost
• Integration of ERP and MES has been a challenge
• Standards such ISA 95 provide the potential to simplify deployment
What is Manufacturing Execution System?

  • Co-ordinate functions on the shop
    floor to optimize the plant activities          ERP
  • Manufacturing Execution System
    provides effective integration between
                                                    MES
    production processes and enterprise
    business systems.
  • Layer of communication between           SHOP FOOR AUTOMATION
    business and control systems
Components of MES
 • Core
    •   Material and Production Tracking
    •   Material Handling and Production Procedures
    •   Resource management and allocation
    •   Production Dispatching
    •   Data Collection
 • Extensions
    •   Compliance
    •   Quality Assurance
    •   Performance Analysis
    •   Detail Scheduling
    •   Document Management
    •   Labor Management
What is ISA 95?

  • Instrumentation, Systems, and Automation Society (ISA) Standard
  • Standard that defines how to link Enterprise and Controls systems using a
    Manufacturing Execution Systems (MES) layer.
    This standard describes:
      • The MES Functionality
      • The Data base schema at the MES Level
      • The Messages between the Enterprise system and MES
    What is B2MML?
•    The World Batch Forum (WBF) has published XML schemas based on the S95 Model -
     B2MML (Business to Manufacturing Markup “Hypertext” Language)

•    B2MML-V0201-Common.xls
•    B2MML-V0201-Personnel.xls
•    B2MML-V0201-Equipment.xls
•    B2MML-V0201-Material.xls
•    B2MML-V0201-Maintenance.xls
•    B2MML-V0201-ProcessSegment.xls
•    B2MML-V0201-ProductionDefinition.xls
•    B2MML-V0201-ProductionCapability.xls
•    B2MML-V0201-ProducitonPerformance.xls
•    B2MML-V0201-ProductionSchedule.xls
MES vendors offer solutions that overlap functionality offered by SAP
Agenda

  •   Overview of MES
  •   Justifying MES
  •   Developing MES Strategy
  •   MES Architecture
  •   Integration Strategy
  •   Implementation Plan
  •   Lessons Learned
Justifying MES – Business Drivers

• Visibility of data globally
• Standard processes
    • Enable benchmarking and best practices
•   Consistent Documentation
•   Resource Utilization
•   Accurate and consistent KPI
•   Seamless Integration
Justifying MES - Benefits

• Increases Operational Excellence

• Lower Operating Costs

• Asset Management

• Reduced Total Cost of Ownership
Agenda

  •   Overview of MES
  •   Justifying MES
  •   Developing MES Strategy
  •   MES Architecture
  •   Integration Strategy
  •   Implementation Plan
  •   Lessons Learned
Manufacturing Assessment & Planning

• What are the business drivers?

• What are the organizational and process related issues?

• What should be done first – aligning manufacturing strategy with
  business strategy
Business Functions (S95)

                           Enterprise Performance Reporting
                                                                                        Level 4
    Demand                                               Cost          Human Resource
    Planning
                      Supply Chain Planning
                                                      Accounting         Management     Business
                                                                                        Planning &
     Sales &         Material        Production      Warehouse          Maintenance
   Distribution    Management         Planning       Management         Management
                                                                                        Logistics


     Detail         Process         Recipe          Performance          Process
   Scheduling     Optimization    Management        Management           Analysis       Level 3
                                                                                        Manufacturing
    Resource        Production       WIP Material       Production        Quality
   Management       Execution        Management           History       Management
                                                                                        Operations



                                 Real-Time                 Real-Time
                                 Execution                   SPC
                                                                                        Level 2
                                                                                        Plant Floor
                                 Real-Time                Real-Time                     Control
                                  Control                 Monitoring
Simple Discrete
                             Enterprise Performance Reporting

         Demand                                            Cost        Human Resource
                         Supply Chain Planning
         Planning                                       Accounting       Management

          Sales &        Material     Production        Warehouse       Maintenance
        Distribution   Management      Planning         Management      Management


          Detail                                         Performance       Process
        Scheduling                                       Management        Analysis

         Resource      Production     WIP Material        Production       Quality
        Management     Execution      Management            History      Management


      ERP

                                                     Real-Time         Real-Time
                                                     Execution           SPC
      Some PLCs
      Machines & Work Centers                        Real-Time         Real-Time
                                                      Control          Monitoring
      Fixed Routes, No Lot Splitting
      Only Ingredients Changes
Aerospace and Automotive

       Complex Discrete
                             Enterprise Performance Reporting

        Demand                                           Cost         Human Resource
                        Supply Chain Planning
        Planning                                      Accounting        Management

         Sales &        Material      Production      Warehouse        Maintenance
       Distribution   Management       Planning       Management       Management

         Detail                                                         Process
       Scheduling                                                       Analysis

      ERP

        Resource       Production      WIP Material      Production      Quality
       Management      Execution       Management          History     Management

      MES Thousands of parts, complex procedures, many products

                                             Real-Time                  Real-Time
                                             Execution                    SPC
      Some PLCs
      Machines & Work Centers                Real-Time                 Real-Time
                                              Control                  Monitoring
      Production Lines
Semiconductor
                             Enterprise Performance Reporting

      Demand                                              Cost        Human Resource
                        Supply Chain Planning
      Planning                                         Accounting       Management

       Sales &         Material       Production      Warehouse        Maintenance
     Distribution    Management        Planning       Management       Management

    ERP
       Detail         Process        Recipe          Performance        Process
     Scheduling     Optimization   Management        Management         Analysis

      Resource        Production      WIP Material       Production      Quality
     Management       Execution       Management           History     Management


        many shared resources, complex routing, many products
    MES thousands of parts, complex procedures

                                             Real-Time                  Real-Time
                                             Execution                    SPC
    Some PLCs
    Machines & Work Centers                  Real-Time                 Real-Time
                                              Control                  Monitoring
    Production Lines
Pharmaceuticals & Specialty Chemicals

                                 Enterprise Performance Reporting

          Demand                                              Cost        Human Resource
                            Supply Chain Planning
          Planning                                         Accounting       Management

           Sales &         Material       Production      Warehouse         Maintenance
         Distribution    Management        Planning       Management        Management

       ERP
          Detail          Process        Recipe          Performance         Process
        Scheduling      Optimization   Management        Management          Analysis

          Resource        Production      WIP Material       Production       Quality
         Management       Execution       Management           History      Management

           many shared resources, large recipes, many products
       MES compliance, complex procedures

                                              Real-Time                   Real-Time
       SCADA / PCS                            Execution                     SPC

       Equipment Trains                       Real-Time                   Real-Time
       Flexible Connections                    Control                    Monitoring
Oil & Gas and Bulk Chemicals

                             Enterprise Performance Reporting

         Demand                                            Cost      Human Resource
                         Supply Chain Planning
         Planning                                       Accounting     Management

          Sales &        Material     Production        Warehouse     Maintenance
        Distribution   Management      Planning         Management    Management

      ERP

                                      Process       Performance         Process
                                    Optimization    Management          Analysis

                                                    Production          Quality
                                                      History         Management


                                            Real-Time                Real-Time
      SCADA / PCS                           Execution                  SPC
      Equipment Trains
                                            Real-Time                Real-Time
      Fixed Connections                      Control                 Monitoring


      Large number of control variables, real-time optimization
MES Functionality

•   Dispatching and Production
•   Resource Allocation
•   Quality Management
•   Data Collection
•   Process Management
•   Production Tracking and Genealogy
•   Document Control
•   Performance Analysis
•   Operational Detail Scheduling
Dispatching Production

•   Manages the flow of production in the form of jobs, orders, batches, lots
    and work orders by dispatching production to specific equipment and
    personnel. Includes information that is presented in the sequence in which
    the work needs to be done.

                   Criteria                             Positioning
     Simple Recipe & Tracking               SAP / PP or PPPI and APO

     Complex Recipes                        MES

     Complex Lot Management                 Consider xApp
Resource Allocation & Status

•   Manage the resources directly associated with control and manufacturing.




               Criteria                           Positioning

     Manual & Simple Procedure     SAP PP or PI

     Manual & Automated            MES
Data Collection & Acquisition

  Obtains operational production and parametric data associated with production
  equipment and processes. Provides real-time statuses of production
  equipment and processes.


              Criteria                            Positioning

    Discrete &/or low data volume SAP / PP or PP PI

    High speed real time data      MES
    collection or very high volume
Quality Management

•   Provides real-time measurements collected form manufacturing to assure proper product
    quality control and to identify problems requiring attention. Includes SPC / SQC tracking and
    management of offline inspection operations

.
                    Criteria                                      Positioning

      Manual data collection                   SAP QM
      Real time measurements with MES / SAP xMII
      simple statistics
      Real time measurements with MES / SAP xMII
      multi-variable analysis
Process Management

•   Monitors production and either automatically corrects or provides decision
    support to operators for correcting and improving in-process functions. It may
    include alarm management to handle process deviations.



                    Criteria                               Positioning
         Manual                            SAP / PP or PPPI

         Automated Systems                 MES

         Complex Recipes                   MES
Production Tracking & Genealogy

•   Provides status of production and disposition of work. Status information
    may include personnel, materials used, current production conditions.
    Includes recording of production information to allow forward and backward
    traceability.

              Criteria                           Positioning

    Simple Recipe & Tracking       SAP

    Compliance/Traceability        MES or xApp
Performance Analysis

•   Provides real-time reporting of actual manufacturing operations results along with comparisons to past
    history and expected results. Performance results include resource utilization, resource availability,
    cycle time, conformance to schedule and standards. May include SPC / SQC analysis



                    Criteria                                       Positioning
      Simple Manual & Automated                SAP xMII
      Systems
      Complex Recipes or                       MES + SAP XMII
      Advanced Analysis
Operations & Detailed Scheduling

•   Provides sequencing based on priorities, attributes, characteristics and production
    rules. It is finite and it recognizes alternative and overlapping operations to calculate
    timing of equipment loading


                      Criteria                              Positioning
       Simple Discrete Processing with a        SAP APO PPDS
       Large Supply Chain
       Complex, Very Large, Non-linear          SAP APO + MES or Consider xApp
       Recipes
Document Control

•   Control records and forms that must be maintained with the production unit. Includes work
    instructions, recipes, drawings, standard operating procedures (SOP), batch records, shift to
    shift communication. It sends instructions down to operations and device controls



                   Criteria                                   Positioning
     Simple Work Flow                        SAP

     Simple WF and Regulatory                SAP / Document Management System
     Compliance
     Complex WF with Regulatory              SAP + MES+ Document Management
     Compliance
Labor Management

  Provides status of personnel. Includes time and attendance, certification tracking, as well
  as preparation work as basis for activity–based costing. May interact with resource
  allocation for optimal assignments.

                 Criteria                               Positioning
     Standard HR Functionality           SAP HR

     Training Compliance during          SAP/MES
     execution
Maintenance Management

•   Functionality for maintaining equipment and tools. Ensures equipment and tools
    availability for manufacturing. May also include scheduling for periodic or preventive
    maintenance. Maintains history of past events to aid in diagnosing problems.


              Criteria                               Positioning
    Standard PM functionality     SAP Plant Maintenance

    Real-time Condition Based SAP Plant Maintenance + MES
    Maintenance
Agenda

  •   Overview of MES
  •   Justifying MES
  •   Developing MES Strategy
  •   MES Architecture
  •   Integration Strategy
  •   Implementation Plan
  •   Lessons Learned
SAP MES Architecture


         APO
                       Dem and          SNP              PPDS          Global
                       Planning                                        ATP




        SAP R/3
  BW                   Materials       Production       Quality       Plant          Hum an
                       Management      Planning         Management    Maintenance    Resources




        xMII
                      Intelligence Dashboard                         Integration

                            Master & Transaction Data        S95

                          MES                                        xApps/Composite Apps
                                                             OPC


               LIMS      Historian         PAT            SCADA       Devices       Doc Mgmt
Agenda

  •   Overview of MES
  •   Justifying MES
  •   Developing MES Strategy
  •   MES Architecture
  •   Integration Strategy
  •   Implementation Plan
  •   Lessons Learned
SAP MES Integration Options

• Use SAP xMII – Preferred

• Build your own XI integration
 SAP MES Integration Using xMII
                                                                    •   SAP xMII enables real-time transactional integration
Enterprise                                                              between plant floor and enterprise (SAP ERP) systems
SAP NETWEAVER                                                           out-of-the box thru:
  Other SAP Bus. Solu tions




                                  Manufacturing                     •   Universal Connectivity to the data, functionality and
                                   Intelligence                         processes of existing plant floor systems and SAP




                                                           SAP BI
                                   Dashboards                       •   Advanced composite application capabilities for creating
                                                                        automated events, KPIs and alerts, and new
                                                                        manufacturing business processes
                                                                    •   Synchronization of SAP ERP with real-time Plant Floor
                                SAP Manufacturing                       Systems and Processes using proprietary and
                                  (mySAP ERP)                           standards-compliant messages and workflows
                                                                    •   Data Services that provide a foundation for
                                          XI                            Manufacturing Synchronization and Intelligence
                                     SAP xMII
                              Manufacturing Intelligence
                              Manufacturing Integration



Plant Floor
MES Integration with SAP – Using xMII
          PEOPLE

                                       SAP Enterprise Portal



          INFORMATION
                                        SAP R/3, SCM, BW…



          Integration
                        SAP xMII


                         B2MM
                                 Use xMII Integration capabilities if S95 Non Compliant
                         L Msg



                        Shopfloor Application – ANSI/ISA-95 Compliance

 = SAP
 = 3rd Party Application
Agenda

  •   Overview of MES
  •   Justifying MES
  •   Developing MES Strategy
  •   MES Architecture
  •   Integration Strategy
  •   Implementation Plan
  •   Lessons Learned
MES Deployment Strategy

• Understand the problem you are trying to solve
     • The business drivers
•   How you deploy has impact on cost and scope
•   Integration with Process Control and other applications
•   Change in the business processes
•   Facility readiness
   Analyze manufacturing processes
    and develop MES requirements

                                             Map requirements with SAP
                                                   Functionality.
        Assessment


                                 Map
                            MES Requirements
                                                                             Detail plan for pilot and rollout
                                                  Design
            Identify gaps                      MES Architecture

                                                              Develop Deployment
                                                                     Plan
                        Develop global processes,
                        Integration touch points

                                                                                                Pilot



                                                                                                                 Roll Out
                                                                         Review Pilot results


Start                                                                                                                   Ramp-up
Why Pilot?

• Enhance understanding of MES

• Determine how well current requirements fit into an MES

• Validate the Integration strategy
Scope of Pilot

• Should cover end to end processes
• Team
   •   Project Lead
   •   SAP Expertise – MM/PP/PI, QM, APO
   •   Automation Expertise
   •   QA/QC
   •   Integration/xMII
   •   Plant Floor
• Timeline
   • About 3-4 months
Take Aways

•   There is an overlap of functionality offered by SAP and MES
    vendors
    •   Perform detail MES requirement mapping with SAP functionality
    •   Make the decision up front where the functionality resides (SAP or MES)
    •   In many cases SAP + xMII + xApp could meet your requirements
•   For complex processes, compliance and regulatory
    requirements, consider third party MES solutions
•   xMII is the preferred Integration solution in the SAP landscape
•   Start with an end to end pilot
Session Code:
0707

				
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