Innovating within the value chain: Supplying components to an existing PSS - Ola Isaksson, Senior Specialist for GKN Aerospace Engine Systems (former Volvo Aero)
The classic product-to-service example is how Rolls Royce changed from product manufacture to selling power-by-the-hour. But how is it to be a supplier to such a service-oriented manufacturing company? This case tells of how GKN Aerospace Engine has also gained from this transition.
Similar to Innovating within the value chain: Supplying components to an existing PSS - Ola Isaksson, Senior Specialist for GKN Aerospace Engine Systems (former Volvo Aero)
Similar to Innovating within the value chain: Supplying components to an existing PSS - Ola Isaksson, Senior Specialist for GKN Aerospace Engine Systems (former Volvo Aero) (20)
Innovating within the value chain: Supplying components to an existing PSS - Ola Isaksson, Senior Specialist for GKN Aerospace Engine Systems (former Volvo Aero)
1. The information contained in this document is GKN Aerospace Sweden AB Proprietary information and it shall not – either in its original or in any modified
form, in whole or in part – be reproduced, disclosed to a third party, or used for any purpose other than that for which it is supplied, without the written
consent of GKN Aerospace Sweden AB. Any infringement of these conditions will be liable to legal action.
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Innovating within the value chain:
Supplying components to an existing PSS
March 19th 2012
Ola Isaksson
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Outline
The Company
The Context
PSS building on capabilities – an example
PSS Decision support capabilities
Observations and learning's
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Outline
The Company
The Context
PSS building on capabilities – an example
PSS Decision support capabilities
Observations and learning's
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GKN Aerospace GKN Driveline
GKN Land
Systems
GKN Powder
Metallurgy
1759 to 2012
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Global positioning
Nearly 50,000 employees in over 35 countries
Global Positioning
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GKN Aerospace
$3.5B International Aerospace Enterprise
35 sites - 12,000 people
GKN
Aerospace
Europe
GKN
Aerospace
North
America
Marcus Bryson
CEO
GKN Aerospace
GKN
Aerospace
Engine
Systems
Aerospace North America
Aerospace Europe & Special Products Group
Aerospace Engine Systems (Volvo Aero)
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Engine Structures Portfolio
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Fan blades
Nozzle, exhaust system
(attached to turbine
structures)
Nacelles and inlets (attached
to fan casings)
Compressor
and turbine
blades
Compressor disks
and blisks
Full Engine MRO
Gripen Support
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We have a strong presence in today‘s
aircraft fleets
90 percent of all new large
commercial aircraft engines use
our components
For these aircraft
we provide:
Engine components
Engine technology
Engine technical support
Engine MRO services
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Outline
The Company
The Context
PSS building on capabilities – an example
PSS Decision support capabilities
Observations and learning's
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Globalization – driving change
Population growth
BoP Countries – from
50 to 90% of world
population (1950 to
2010)
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0
2
4
6
8
10
12
1700 1800 1900 2000 2100
World Population
Growth (Billion)
* UNFPA
United Nations Population Fund
estimate 31.10.2011
Source: United Nations, Department of Economic and
Social Affairs, Population Division (2011): World
Population Prospects: The 2010 Revision. New York
(Updated: 15 April 2011)
Asia
Africa
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Consequences of growth
Innovations needed in the
Air Trainsport (ICAO)
safety, security and
sustainability
Increased responsibility
through life for
manufacturers
Innovations needed in our
companies
Bring new technologies to
market
Bring new ”solutions” to
market
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"Image courtesy of the Image Science & Analysis Laboratory,
NASA Johnson Space Center"
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”After sales” services
increasing revenue for OEM Manufacturers
by D. Williams at Manufuture 2009
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.. providing an increasingly tangled mix of their
products and services
http://www1.rolls-
royce.com/media/prese
ntations/services3.pdf
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In summary
Sustainability and Safety – two major drivers
Competition on new markets and with new actors
OEM’s in Engine Business focus on life cycle
service provision
1st tier suppliers focus on cost competition and
technology leadership
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The Challenge as identified late 1990th
What value can we provide in OEM’s PSS dominant
business models?
How can we make use of whole engine, and through
life experience in components?
Do we have the right people, culture, market position
etc. to provide Product-Service Systems?
...
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Competence and business co-evolvement
A decade ago – invested in research and
competence development in “Functional Products”
Result:
A set of skilled people (MSc’s, PhD’s, Professors) –
now in leading positions – with deep insights in PSS
thinking and techniques
An extensive knowledge network in the area
A set of techniques, tools and methods to develop,
market, simulate, .. PSS solutions
A number of emerging businesses ...
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Outline
The Context
The Company
PSS building on capabilities – an example
PSS Decision support capabilities
Observations and learning's
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Example: LTS – Life Tracking System
A PSS solution enabling
condition based
maintenance
Introduced for the
Swedish RM12 engine in
the Gripen Aircraft
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LTS – Life Tracking System
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LTS is an in-house developed software, which calculates life
consumptions for the life limited parts of an engine
LTS uses sampled engine mission data from all flights.
Measured (load) data transformed into life consumption through
advanced and validated in-house simulation tools (LAS)
LTS uses information from performance simulation models to cover
non-measured loads
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What does LTS calculate?
Load critical areas of the product have been
pre-identified
LTS calculates actual life consumption
based upon “all” real missions
LTS is used for the most critical parts of the
engine, which constitute 64% of spare part
costs and 70% of labor costs
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Areas
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Necessary conditions for LTS
Access to registered load data files
Access to data from performance and secondary
flow modeling tools
Access to valid life analysis models
Access to historical and present engine
configuration
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GKN
LTS Landscape
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LTS-System
Pre-LTS
Maintenance System
Mission Information
Engine Configuration
Individuals Information
Confirmed Life Corrections Life Corrections
Life
Management
Life Engine
NHf, NHp cycles
Measured Engine data
MGSS
1. Measure
engine flight
data
2. Intelligent data processing based on LTS
simulations
3. Update maintenance
System with
Consumed life
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EOT [h]
Life limit in the maintenance plan
Without LTS
With LTS
ConsumedlifeinELCF
The difference with and without LTS
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What will LTS bring to the customer
Increases the availability of JAS39 Gripen fighter
Decreases the flight hour cost (increase utilization)
while maintaining high safety
Supports life tracking for all user profiles including
export profiles
For leasing / pooling customers the engine wear / life
usage is calculated based upon the customer’s
actual usage.
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Outline
The Context
The Company
PSS building on capabilities – an example
PSS Decision support capabilities
A framework
Integration in Engineering tools
Observations and learning's
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Two examples of decision support for PSS
A. A Framework to facilitate organisation and
communication of PSS issues
B. Introduce PSS decision support in engineering
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1. Basic PSS relations to consider
Relation between Need, Solution and
Solution Components
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2. Decompose into life cycle phases
Need Phase: The
need phase is
where there is a
user who has a
need.
Solution Seeking: The solution
seeking phase is characterized
by search for existing solutions,
alternative solutions, sub-
solutions etc. that may be
possible to use.
Solution Development: The solution development
phase is the coordinated development of PSS
components. The solution development phases may
include a “traditional” product development process for
developing the physical part of the solution.
Solution Realization: This is
the most intriguing phase.
Solution realization in
traditional hardware terms is
the manufacturing and delivery
of the product.
Solution Support: The
solution support phase
represent the change in state
of a product-service offer.
Solution Closure: The
solution closure phase covers
the end of use, and possible
re-cycling state. Input is the
product and services in use.
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3. What roles do we have
The User is a consumer of the
PSS. Example: Passenger in
an aircraft, user of cell
phone or a professional user
such as an airline.
The Provider is the
organization responsible to
offer the integrated PSS
solution. The provider has
direct relation to the user.
The Enabler is a collective term
for organizations providing
technologies or services
necessary for the provider to
provide solutions.
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Using the Framework
Consise question in each
phase for each roleOperate
Provide
Enable
Airline
Performance
Availability
Up-Time Capacity
Maintenance
Engine Aircraft RepairShop
Diagnistic
System
Gauge ”other”SubSystem
Technology
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B. Introduce PSS capabilities into Engineering
environments
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Idea: PSS Engineering Design
Take a PSS view and adopt the engineering environment to define
a richer virtual product model
Development
Manufacturing
In Service
Design
Requirements
Design
Requirements
Design
Requirements
Physical products
Software
Information
FP
Knowledge
Leasing
Culture & Values
Training
Physical products
Software
Information
FP
Knowledge
Leasing
Culture & Values
Training
Functional
Product Design
”Features”
Design
”Features”
Design
”Features”
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Step 1: Functional Product Design of
a Flange
How to design a “simple” Flange
with alternative Manufacturing and
Maintenance Concepts
Hardware alternatives
Manufacturing alternatives
Maintenance alternatives
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Flange design, cont.
Design knowledge
implemented
In a knowledge engineering
system
Simulates downstream
activities in early phases.
Design Engineers
Domain
Production Engineers
Domain
Maintenance Engineers
Domain
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An integrated design tool
Concurrent
“engineering” of
Design-,
Manufacturing-, and
Service- design
Enable PSS Design
Iterations
This demonstrator
raised awareness and
attraction by involved
parties
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Design Engineers
Domain
Production
Engineers
Domain
Maintenance
Engineers
Domain
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Observations and learning's
Timing is everything
Customer, Provider and Enabler need to move simultaneously
PSS changes-, and challenges-, established
practices
Much to learn from change management
Facilitate understanding – Competence, Communication and
Clarification
Shift in business model impacts underlying
technologies and material supply
Both existing and new
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