BIM Lecture Note (2/6)
Objectives
* The importance of discipline business execution in today’s enterprises management
* To understand how PLM technology sustain product innovation
* The value of using PLM in manufacturing industry
Question
* What if building construction industry can apply the same technology ?
* What are the similarity and what are the difference?
www.mtech.com.hk
Evolution of pdm plm technology & value to the industry
1. BRE398: Building Information Modeling
Evolution of PDM / PLM
Technology & Value to the Industry
Stephen AU
Sept 12 & 19, 2013
Lecture Class BRE398: Building Information Modeling
2. BRE398: Building Information Modeling
Topics
Discipline Business Execution
The Challenges of Manufacturing Industry in 21st
Century
Adoption of PLM to Sustain Product Innovation
The value of PLM technology
3. BRE398: Building Information Modeling
Lecture Objectives and Results
Objectives
The importance of discipline business execution in today’s
enterprises management
To understand how PLM technology sustain product
innovation
The value of using PLM in manufacturing industry
Question
What if building construction industry can apply the same
technology ?
What are the similarity
and what are the difference?
4. BRE398: Building Information Modeling
Topics
Discipline Business Execution
The Challenges of Manufacturing Industry in 21st
Century
Adoption of PLM to Sustain Product Innovation
The value of PLM technology
6. BRE398: Building Information Management
The Organization as a System
Business Environment
Geopolitical Regulatory / Legal Economy Natural Environment Culture
Resources
Capital
Market
Labor
Market
Suppliers
Technology
Provider
Financial
Stakeholders
Market
Management System
Competition
Products / Services
Customers
Customer orders, requirements and feedback
Return
Investment
Products
/Services
Capital
Human
Resources
Materials
Equipment
Technology
7. BRE398: Building Information Management
ManagementThe Value Machine
$
$
$ $
$
$ $
$
$ $
Resources
Working System
Financial
Stakeholders
$$
Customers
8. BRE398: Building Information Management
Level 1 – Enterprise / Business
Business Environment
Geopolitical Regulatory / Legal Economy Natural Environment Culture
Resources
Capital
Market
Labor
Market
Suppliers
Technology
Provider
Financial
Stakeholders
Management System
Market
Competition
Products / Services
Customers
Customer orders, requirements and feedback
Management System
Value Creation System
Return
Investment
Products
/Services
Capital
Human
Resources
Materials
Equipment
Technology
9. BRE398: Building Information Management
Level 2 – Value Chain System
Product /
Service
Designed
Product /
Service Built
Product /
Service
Delivered
Product /
Service
10. BRE398: Building Information Management
Level 3 / 4 / 5 Processing Sub-system
Built DeliveredDesigned
Product /
Service
Portfolio
Managed
Product /
Service
Designed
Product /
Service
Production
planning
Product /
Service
Produced
& QC
Product /
Service
Shipped &
Invoiced
Product /
Service
Support
Open
Project
Engineer
Assigned
and
Scheduled
Product /
Service
Designed
Design
Review
Engineer Assigned and Scheduled
• Engineering Estimated
•Resources Availability
•Job Assigned and Scheduled
•Detail Job Plan Developed
•Design spec reviewed
•Required knowledge
needed
•Engineering hours
estimated
12. BRE398: Building Information Modeling
Business Life Cycle
Management
Intelligent
Properties
Exploration
Product /
Process
Innovation
Customer
Satisfaction
13. BRE398: Building Information Modeling
Productivity
(Pfeffer and Sutton 2000) A much larger source of variation in
organizational performance stems from the ability to turn knowledge into
action quickly.
That greater productivity means better utilization of Wealth-Producing
resources:
Knowledge
Time
the rate of “Brain Formation”
14. BRE398: Building Information Modeling
Execution Capability
the discipline of getting things done
not only ensures efficient use of
resources in a credit and cash-starved
world, but also provide the feedback
loop needed for the business to
adjust to changes
is what drives the organization along
the defined path and allows it to
seize opportunities
is what gives you an edge in
detecting new realities in the external
environment as well as risks.
15. BRE398: Building Information Modeling
Operational Inefficiencies
Loss of Project Flexibility
•Project management complexity requires stable project plan.
Design Expertise Loss
•Management skills development
•Management workload
Knowledge is distributed
•Information sharing is costly –emails, meetings, reports, data release
•Design agreements introduce inflexibility
Team LeaderTeam Leader Team Leader Team Leader
Project Manager
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
TeamMember
Routine work increases
•Coordination overhead
•Cost of contract labour
•Distraction of focus
16. BRE398: Building Information Modeling
The Inefficiencies of Human
Resources
• Manual work must be checked
– Additional cost and time
– Additional resource
– Additional coordination
– Increased risk of late detection of
engineering error!
or ?
or ?
Human Error:
Resource Pool
Experts
Experienced
Engineers
Junior
Engineers
Contract
Resources
Additional resource is required but
Contract and inexperienced
engineers may have to be used
Resource and Expertise Availability:
Resource Orientation and Training:
Understand/learn/define
Engineering Process
Understand the existing
Product Definition and
Requirements
Execute
Process
17. BRE398: Building Information Modeling
Challenges on Project Complexity &
Communication / Collaboration
Communication effort ∞ [n * (n -1)/2 ]
where, n is the number of communication
nodes.
The more complex of the
project / product
The larger of design network
The heavier the communication
effort
18. BRE398: Building Information Modeling
Cost of Confusion
What is your cost of confusion and the value of clarity?
It limits and contains people who are trying to work smarter. Most
people are extraordinary. They want to do the right thing and make a
difference.
Project delay because of communication brokerage (wait and search)
Rework because we don’t know what we know
Engineering changes because lacking of knowledge sharing & reuse
Resources wastage due to limited best practices
If you want more people to make more of a
difference, you’ll have to find a new ways
for them to create their own clarity.
19. BRE398: Building Information Modeling
Ask Your People
Can your people within the project see the same
thing at the same time? Usually they are over-
communication and under-understanding
Have you validated everything before doing?
Have you validated the process before
implementation?
How intensive your organization can capture and
reuse all the information created in your
organization?
Do you improve the product life-cycle cost?
20. BRE398: Building Information Modeling
Organization, System, Process &
Function
Functional units describe the flow of authority and
responsibility.
Processes are sets of activities undertaken by
employees from functional units and managed by
managers within functional units.
Process describe the flow of work
Process thinking is just a subset of systems thinking.
System thinking puts the emphasis on understanding the
organization as a whole.
Process thinking stresses thinking about the portion of system
that produces a specific set of results.
21. BRE398: Building Information Modeling
Comparison of Functional and
Process Measure
Department or
function
Typical departmental
measures
Typical process measures
Sales
department
Cost of sales
Revenue ($)
Timely and accurate submission of orders
Timely and accurate entry of new orders
Cost of processing orders
Production
department
Cost of inventory
Cost of labor
Cost of materials
Cost of shipping
Timely order scheduling
Timely and accurate production of orders
Timely shipment of orders
Cost of unit production and shipping costs
Finance
department
Percent of bad debt
Mean labor budget
Timely and accurate invoice preparation
Timely and accurate credit checks for new
accounts
Cost of processing an invoice
External
organizational
measures
Gross revenue
Cost of sales
Growth of customer base
Price of stock
Percent of on-time delivery
Percent of rejects
Customer satisfaction as measured on survey
or index
22. BRE398: Building Information Modeling
Business Process Terms
A collection of interrelated work tasks, initiated in
response to an event, that achieves a specific result
for the customer of the process.
A process delivers a result to a customer.
Importance:
Result > Customer > Event > Work Tasks
23. BRE398: Building Information Modeling
…that achieves a specific result…
The result must be individually identifiable and
countable.
A good process name clearly indicates the result or
end state of the process.
25. BRE398: Building Information Modeling
Immature organizations
Significant differences in process
Reactionary and crisis-oriented
Quality compromised to meet unrealistic budgets
and schedules
Dependent on individual effort
Unpredictable quality in the product
26. BRE398: Building Information Modeling
Mature organizations
Organizational commitment to process
Roles and responsibilities well defined
Significant management of the process
Quality continually monitored
Realistic budgets and schedules
Continuous innovation to avoid bureaucracy
27. BRE398: Building Information Modeling
Levels of Process Maturity
Level 1: Ad Hoc
Level 2: Rudimentary
Level 3: Organized and Repeatable
Level 4: Managed and Sustainable
Level 5: Optimizing
28. BRE398: Building Information Management
Organizations With A Mature Mastery Of Their
Processes
The process is ad hoc. Few
activities are explicitly defined
and success depends on
individual effort and heroics.
Organizations at this level routinely expect managers
and employees to work together to improve process.
They understand their processes well enough that they
can conduct systematic experiments to determine if
changes will be useful or not
Only a few organizations have an organization-wide
understanding of how processes relate and have
their corporate strategies and goals aligned, via the
management hierarchy, to specific process
activities
Most organizations are between levels 2 and 3.
They have processes documented and
standardized, but in many cases management’s
goals are only loosely linked to process goals.
Continuous process
improvement is enabled by
quantitative feedback for the
process and from piloting
innovative new ideas and
technologies.
Detail measure of the process
and product quality are collected.
Both the process and products
are quantitatively understood
and controlled
Basic project management
processes are established to
track cost, schedule, and
functionality. The necessary
discipline is in place to repeat
earlier successes.
The process for both
management and engineering is
documented, standardized, and
integrated by an organization
methodology.
As organizations become more mature they
begin to conceptualize business processes
and seek to organize them, repeat successes,
and measure results
Entrepreneurial organizations and new
divisions do things any way they can to
get started.
Organizations with an immature
mastery of their processes
Figure 1.4 The five levels of SEl’s Capability Maturity Model (CMM)
1. Initial
5. Optimizing
4. Managed
3. Defined
2. Repeatable
29. BRE398: Building Information Modeling
Drivers of IPMM
Manager monitor the quality of products and process that produce them.
Schedules and budgets are based on historical performance and are
realistic
The mature organization follows a disciplined process consistently because
all the participants understand the value of doing so, and the necessary
infrastructure exists to support the process.
To structure processes and activities to guarantee that employees would
function effectively.
The only way to overcome those interdepartmental problems is to
conceptualize and manage processes as wholes.
When the ball is hit, every player reacts in a discipline manner.
30. BRE398: Building Information Modeling
Performance Framework
Goals and
measures
Design and
implementation
Management
Organizationa
l level
Organizational
goals and
measures of
organizational
success
Organizational
design and
implementation
Organizational
management
Process level
Process goals and
measures of
process success
Process design and
implementation
Process
management
Activity or
performance
level
Activity goals and
measures of
activity success
Activity design and
implementation
Activity
management
31. BRE398: Building Information Management
Levels of System / Process Analysis
Competition
Social and Regulatory Environment
Resources
CustomersandMarket
Management
Engineering Production Finance Marketing Sales &
Support
An Organization
Functions or
Groups inside a
Department
Level 1. The Organization and Its
Environment
Level 1 begins with a supersystem
view that includes the external
environment and then zeros in on the
functions within the organization.
Level 2. Value Chains Process and
Subprocesses
Level 2 begins with the value chains
and core business processes and then
zeros in on processes and
subprocesses. The lowest level process
we analyze is an activity.
Level 3. Activities and Performance
Level 3 begins with the activities and
divides them into roles performed by
employees, software components,
and activities that combine people
and software systems.
Activity
Subprocess
Value Chain or Core Business Process
Process
32. BRE398: Building Information Management
Function vs Process
Management
Engineering Production Finance Marketing Sales &
Support
An Organization
Functions or
Groups inside a
Department
•Function
•A Function is a kind of work, or a
field, which typically involves similar
skills and tools, and has its own
languages.
•Work method will be defined for
the benefit of the individual function,
not to optimize the manner in which
work flows through the functions.
Level1Level2LevelN
Processes
•Process
•A collection of interrelated work
tasks, initiated in response to an
event, that achieves a specific result
for the customer of the process.
•A process delivers a result to a
customer.
•Importance: Result > Customer >
Event > Work Tasks
33. Process / Workflow Management
Innovation Selection
Detail
Design
Concept
Business
Cases
Study
Mechanical
Engineering
Market
Information
Financial
Information
Product
performance
Information
ProcessActivitiesInformation
ChallengeofBest
Practices:Coordination,Corporation,
Co-decision,Synchronization&
Optimization
People
34. BRE398: Building Information Management
A Process Supported By Six Enablers
Process
Enabler:
workflow
design
Enabler:
information
technology
Enabler:
collaboration
culture
Enabler:
human
resources
Enabler:
policies &
rules
Enabler:
facilities
and
others
A. Sharp, P. Mcdermott (2000),”Workflow Modeling”,
Atech House., pp.34, Fig.3.1.
35. BRE398: Building Information Management
Factors Affecting the Performance of an
Activity
Activity Consequences
Input Output
Feedback
2. Activity Support
•Can the performer easily recognize
the input requiring action?
•Can the activity be done without
interference from other activities?
•Are adequate resources available
for performance (time, tools, staff,
information)?
1. Activity Standards
•Do activity standard exist?
•Does the performer know the desire output
and standards?
•Do performers consider the standard
attainable?
3. Skill, Knowledge and Capability
•Do the performers have the necessary
skills and knowledge to perform?
•Do the performers know why desired
performance is important?
•Are the performers physically, mentally,
and emotionally able to perform?
4. Feedback
•Do performers receive information about
their performance
•Is the information they receive
•Relevant?
•Accurate?
•Timely?
•Specific?
•Easy to understand?
5. Consequences
•Are consequences aligned to
support the desired
performance?
•Are consequences meaningful
from the performer’s perspective?
•Are consequences timely?
Figure 6.4 Factors affecting the performance
of an activity. (Modified after Rummler and
Brache, Improving Performance)
36. BRE398: Building Information Management
A Closer look at a Manager’s Job
Job Functions of Manager Responsible for the Process
Plan Process
Set goals and expectations
Establish plans and budget
Provide resources and staff
Implement process
PROCESS EXECUTED
Control Process
Monitor process
Reinforce success
Diagnose deviations
Take necessary corrective actions
Changes in Goads and Plans
Goals/ Measures
Expectations, Plans,
and Resources
Feedback Data about
results
Process
Output
Measures
①
Inputs Results
37. BRE398: Building Information Modeling
Manager’s Work
Product – to enhance our customer’s life quality
Process – to enable the delivery of the product
Resources – to make the things happen
Tightly structured, with
formal lines of command
clearly drawn and
meticulously observed.
38. BRE398: Building Information Management
Definition of Workflow TermsBusiness Process
(what is intended to happen)
Process definition
(representation of what is intended
to happen)
Workflow management
system
(controls automated aspects of the
business process)
Process instances
(a representation of what is
actually happening)
Manual activities
( which are not managed as
part of the workflow system)
Automated
activities
Reproduced from the workflow
management coalition
specification: workflow
management coalition
terminology & glossary
⊙ 1994-1999 WFMC
Work items
(tasks allocated to a
workflow participant-
person or machine)
Invoked application
(applications used to support
an activity)
Which
include
one or
both
Activity
instances
Include one or more
Activity
via
Used to
create and
manage
Which
may be
either
Include one
or more
during execution are
represented by
39. Managing and Measuring Business
Process (Example: Sales)
Organization
Output
Department
Output
Business
process
Outputs
Process
Outputs
Subprocess
Outputs
Task
Outputs
Activity
Outputs
Organizational
Level
Whose
concern
CEO
VP of sales
Sales Manager
Software systems
designer
Human
Resource
Measuresfor
Sales
Profits
Sales
Revenue
Customer
Order
1. Leads qualified
2. Appointment obtained
3. Opportunities identified
4. Proposal requested
5. Proposal submitted
1. Information gathered
2. Needs identified
3. Decision makers identified
4. Constraints identified
5. Credibility established
1. Relevant data sources
identified
2. Interviews scheduled
3. Interviews conducted
4. Conclusion reached and
recorded
1. Interview objectives established
2. Questions asked
3. Examples collected
4. Points restated and qualified
5. Interviewee reinforced for
talking
6. State how interview was helpful
7. Repeat how data will be used
8. Interviewee thanked
40. BRE398: Building Information Management
Performance Matrix
Goals and measures Design and implementation Management
Organizational goals and measures
of organizational success
Has the organization’s strategy / direction
been articulated and communicated?
Does this strategy make sense, in terms
of the external threats and opportunities
and the internal strengths and weaknesses?
Given this strategy, have the required
outputs of the organization and the level of
performance expected from each output
been determined and communicated?
Organizational design and
implementation
Are all relevant departments and value chains
described in a process architecture?
Are all departments and processes necessary?
Is the current flow of inputs and outputs
between departments, value chains, and key
processes appropriate?
Does the formal organization structure
support the strategy and enhance the
efficiency of the system?
Organizational management
Have appropriate department goals been
set?
Is relevant performance measured?
Are resources appropriately allocated?
Are the interfaces between departments
being managed?
Process goals and measures of
process success
Are goals for key value chains, processes,
and subprocesses linked to each other and
to customer / organization goals?
Process design and implementation
Are value chains and business processes
decomposed into logical and efficient
processes and subprocesses?
Are these the most efficient and effective
value chain, process or subprocess for
accomplishing the goals assigned?
Process management
Have appropriate process subgoals been
set?
Is process performance managed?
Are sufficient resources allocated to each
process?
Are the interfaces between subprocesses
and activities being managed?
Activity goals and measures of
activity success
Are activity outputs and standards linked
to process requirement (Which are in turn
linked to customer and organization
requirements?)
Activity design and implementation
Are activity requirements reflected in system
or job descriptions of people assigned to the
activity?
Are activity steps in a logical sequence? Have
superlative policies and procedures been
developed?
Is the activity environment ergonomically
sound?
Activity management
Do the performers understand the activity
outputs and standards they are expected to
meet?
Do performers have resources, clear signal,
priorities, and a logical job design?
Do performers have the skill / knowledge t
meet goals ?
Do performers know if they are meeting
goals?
Are performers rewarded for achieving
activity goals?
Organizational
level
ProcesslevelActivitylevel
41. BRE398: Building Information Management
Business Process Management
• Is the current business process be
effectively and efficiently performed?
• Is the current business process be
effectively managed?
• Does the current design of the business
process offer the potential for a competitive
advantage?
42. BRE398: Building Information Modeling
What Is ‘Lean’
‘Lean’ is a way of working which identifies and
eliminates waste to deliver improved value and
service, based on identified customer requirements.
Lean Production Lean Design
Lean Reduce Waste
Production On Demand
Improve Quality
Process Optimization
Customer Driven
Benefits Cost Reduction Value Added
43. BRE398: Building Information Modeling
Where are the Wastages in NPD?
Process waste
Information waste
Work waste
Human energy waste
Reference: Based on original material from Scottish Executive, ‘Lean Masterclass’
44. BRE398: Building Information Modeling
Process Waste
Strategic waste -is effort wasted as a result of processes that are not
focused on customer or stakeholder value,
Unbalanced flow waste -this is the resource we commit to perform that piles
up between workstations or tasks
Standardisation waste -is the effort required to correct for the
consequences of optional methods applied by individual employees,
Reliability waste –correction of unpredictable process outcome due to
initially unknown causes,
Checking waste -the effort used in inspection and rework,
Boundary waste -correction of errors/re-keying that occurs when work
moves from one area to another.
45. BRE398: Building Information Modeling
Information Waste
Translation waste -the effort required to change data
or formats between process steps,
Missing information waste -effort driven by the
absence of key information,
Irrelevant information waste -the cost of having to
sort through or deal with irrelevant information,
Inaccurate information waste
46. BRE398: Building Information Modeling
Work Waste
Processing waste -inefficient work as a result of
inadequate training, missing information,
Motion waste -movement that does not add value,
Waiting waste -people waiting for information, a
meeting, a signature or approval
47. BRE398: Building Information Modeling
Human Energy Waste
Lack of clear Focus waste -not consistently aligned and energised to
address critical issues,
Ineffective Structural waste –waiting for approval action etc.,
Lack of Ownership waste –no clear ownership of the issues,
Ineffective Control of quality waste -non productive supervision and no
feedback on actions and outputs,
Tampering waste –arbitrary changes to process without understanding the
consequences,
Inappropriate Assignments waste -working on unnecessary or inappropriate
tasks,
Goal Alignment waste –working at cross purposes and duplicating work.
48. BRE398: Building Information Modeling
Lean Strategies for NPD
A holistic, systems approach to product development.
An imbedded customer first approach to product
development
A front-loaded process
Built-in learning and continuous improvement
Synchronize processes for simultaneous execution
Use rigorous standardization to create strategic
flexibility
Go to the source engineering
Ref: By James Morgan, Vice President, Troy Design and Manufacturing
50. BRE398: Building Information Modeling
Topics
Effective and Efficient Business Execution
The Challenges of Manufacturing Industry in 21st
Century
Adoption of PLM to Sustain Product Innovation
The value of PLM technology
51. BRE398: Building Information Management
• Which Product for which
customer ?
• Will it sell? Will it fit?
• How to speed up time to market ?
• How to develop “right first time”
production operations
Present Industry Challenges
Source AMR Research
52%
39%
Product does not meet Customer needs
Product is late to market
55. BRE398: Building Information Modeling
Innovation Values - Product
Raise
Reduce
EliminateCreate Value
Curve
A B C D E F
Key elem ents of produc ts , s erv ic e and deliv ery
3
4
5
6
7
8
9
10
Relativelevel
The Value C urve
Examples
A - Price
B - Ease of use
C - Features
D - Durability
E -Size/ Weight
F-Technology
New product
Current
products
58. BRE398: Building Information Management
Apple Stock Evolution $525.62 4:00PM 15/11/2012
EST - Nasdaq Real Time Price
59. BRE398: Building Information Modeling
Challenges on High Tech Industry
To succeed in this market,
You have to innovate new products faster (time to market of 3-6
months), streamline operations and collaboration.
You need to achieve global development excellence and
efficiency by leveraging core competencies of the value chain to
ensure on-time, on-cost and quality product delivery.
Integrate regulatory compliance into product lifecycle processes
to reduce business risk and sell products in global markets.
60. BRE398: Building Information Management
The Industrial Trends (1)
Former Paradigm
Cheap
manual
worker
Productive
knowledge
worker
Competitiveness
factor
Expansion of
Production
facilities
Investment in
Product / Process
Innovation
Strategy
New Paradigm
Supply Driven Demand DrivenMarket
61. BRE398: Building Information Management
Industrial Age
Value model
Capability assets
•Individual
•organizational
Capital
& tools
labor
technology
The Industrial Trend (2)
Capability Assets in Two Ages. The relative importance of capital and tools has
diminished significantly in the Knowledge Age, while people with knowledge,
technology , and businesses processes have become much more important .
Knowledge Age
Value model
Capability
assets
•Individual
•organizational
Capital &
tools
Process
labor
technology
Knowledge
Tacit & explicit
Ref: W. L. Miller, L.Morris, Four Generation R&D
62. « As is »
« As dreamed »
From « gate-based »…
To « concurrent »…
To « Time Space Knowledge ubiquity »
1
2
3
Time Saved
Time Saved + Creativity Improvement
The Spiral of Innovation
A New Paradigm for NPI Approach
63. BRE398: Building Information Management
Concurrent Engineering
Scoping Business Case Development Test/Validate Launch
Gate Gate Gate Gate
Project
Management
Manufacturing
Design
Marketing
Other functions
User/client requirements
Ideation
Product Concept Design
Systems Design
Detailed Design
Market & technology study
Plan product options/family
Refine options/family
Develop marketing plan, launch matls
Place product with key clients
Analyse client &
user feedback
Evaluate design effectiveness
Assess mfg feasibility & tech
Estimate production costs & manufacturability
Make/buy, identify suppliers
Develop mfg/assy scheme & plant, quality assurance & procurement
Refine production system to steady state
Economic analyses; patents; IP
Identify maintainability issues; develop service plan
Advertising/promotion plan & devel
Create/maintain schedule, oversee HR and admin functions, maintain budget, track progress,
ensure accuracy, manage workflow and information flow
64. People
Analyze customer trends, intelligence
and requirements to achieve product
innovation and excellence. Manage
efficiently ‘to order’ needs of customer.
Enable extended enterprise to create,
manage and collaborate on single version
of product truth
Allow multi-discipline IP
management in multi-CAD
environment
Digital product validation for rapid,
efficient and right to market product
development
Ensure virtually manufacturability of
product at various mfg. sites before making
any investment
Use 3D Media as a
new method to
reach customers
CONCEPT
Document
Spiral of Innovation Vision
65. BRE398: Building Information Management
Suppliers
Customer
Multi
team
skilled
Marketing
Design
Manufacturing
New Product Development Resources Map
Customer
Adaptability
Feasibility
Creativity
Manufacturbility
Processibility
Productivity
Reliability
Costs Quality
Time to
market
Brand
value
Bus
Orgn.
Knowledge
Customer
ShareInnovation
Knowledge Community
66. BRE398: Building Information Management
Spiral of Innovation – How Do You
Manage?
On Line Collaborative Engineering
Innovation
Consistence Product / Process /
Resources integration
Time to market
Knowledge Management
Quality & Cost
Risk management
Visible Project Execution
68. BRE398: Building Information Modeling
Different Perspective of the Product
throughout the Product Life Cycle
Ref: Fig 5-1 P.G.Smith & D.G. Reinertsen, ‘Developing Products in Half the Time’, 1998
70. BRE398: Building Information Modeling
Knowledge is the fuel of innovation
Knowledge as information put to
productive use.
Knowledge can be distinguished into
tacit – e.g. Customer behavior,
Experience, Branding,….
Explicit – e.g. Scientific principle
Nonnak’s knowledge
management model
.
71. BRE398: Building Information Modeling
Data, Information, Knowledge & Wisdom
DATA
091200DL5508201430
Information
Date 091200
Flight DL55
Departure 0820
Arrival 1430
Knowledge
But flight 55 is always late,
you’ll miss you meeting!
Wisdom
It doesn’t really matter!
72. BRE398: Building Information Modeling
Knowledge - The Russell Ackoff
Model
77
Data
Theory
Information
Experience
Knowledge Understanding Wisdom
description:
What
instruction:
How to
explanation:
Why
what is best:
Care why
doing things right doing the right things
Vision & design:
What could and should be done
the futurethe past
Knowledge & engineering:
What has been done
Michael Polanyi “ We
can know more than we
can tell.”
Knowledge is the fuel
of innovation
Knowledge as
information put to
productive use.
Knowledge emerges
through shared contexts
that are created through
interaction.
74. BRE398: Building Information Management
KM Operation for Success
Related Information:
What and where can I
find the related
information?
Necessary Knowledge:
What do I need to know to
complete my task?
Decisions:
What Actions do I need to
take?
Leadership:
Can we do it on time & within budget
and project scope?
Customer Needs:
Style, function, time to
market, quality,…..
CONCEPTTOPRODUCTPRODUCTTOPROFIT
75. BRE398: Building Information Management
Knowledge Sharing in IPD
Shared
Knowledge of
Customers
Shared
Knowledge of
Suppliers
Shared
Knowledge of
Internal
Capabilities
IPD Process
Performance
Time to Market
Value to Customer
H1
H2
H3
H4
H5
H1: The greater the extent of sharing K. of customers, the greater the extent of teamwork and development productivity
H2: The greater the extent of sharing K. of suppliers, the greater the extent of teamwork and development productivity
H3: The greater the extent of sharing K. of internal capabilities, the greater the extent of teamwork and development productivity
H4: The greater the extent of teamwork and development productivity, the greater the extent of time to market
H5: The greater the extent of teamwork and development productivity, the greater the extent of value to customer
Improving overall product development
may require strategic thinking on how
critical components of knowledge
should be shared among cross-functional
team members
Hong, P., F. D. Williams, et al. (2004). "Knowledge sharing in
integrated product development." European Journal of Innovation
Management 7(2): 102-112.
76. BRE398: Building Information Management
The Challenge of Knowledge Cycle
84
Product
Innovation
= Knowledge
Creation
Design Specification
Market surveys
Concept ional experiences
Skills
Technologies
Research
Process Know-How
Customer Requirements
Market data
WWW
Service information
Manufacturing Know-How
Design Methods
Quality information
Standards
Regulations
Patent information
K. Capture
Product Data
in KMS
systems
Irreversible Knowledge
which is obsolete or lost
after the projectK.Loss
Reversible Knowledge
must be accessible and
available for new projects
K.Reuse
77. BRE398: Building Information ModelingK. Management K. Based Engineering
Knowledge Life Cycle
Explicit Knowledge
Formalize
Consulting
Methodologies
Books of
KnowledgeIndex
Semantic
Parser Translate
Engines
Expert
Knowledge
Knowledge
Database
Search
End-user
3 levels of Knowledge Capture &
Share
K. Quality
K. Quantity
K. Speed
78. BRE398: Building Information Management
Product Line
Mobile Terminal
IC Card Reader
Cooling System
Keypad
Power Cord
Model
AM 1234
Product
AM 1234
Internal Unit
Varies By
(Roll-up)
LCD Color
Front Panel
LCD Display
Chip Card Reader
MSR Card Reader
ISO Track 2-3
ISO Track 1-2
LED back lit
19 Keys
Plate
I/O Interface
Chip Card Reader
Real Time Clock
LED backlight
LCD Color
Keypad
Varies By
CPU
Rating
Rear Plate Color
Rear Plate Color
Rating
CPU Rating
CPU Rating
Marketing
Features
Rear Plate Color
High-Speed
Build-In Reader
Light-Weight
FM Radio
Memory
IO Interface
Color Display
BuyerColor
Build-In Reader
I/O Interface
Memory
…
Back Panel
Consistence Product / Process /
Resources integration
Product
Planning
Project
Managers
Designers,
Product
Engineers
Product
Managers
Executives
Process
Engineers
Resources - Task Breakdown Product Architecture
Process Running
79. BRE398: Building Information Modeling
Topics
Discipline Business Execution
The Challenges of Manufacturing Industry in 21st
Century
Adoption of PLM to Sustain Product Innovation
The value of PLM technology
80. Smart Management
Process
Knowledge
Tool
Organization
(1) From Sequential Activities to Product/Process Integration
(2) From Carry-Over
to Intelligent Template
(3) From Human Based Sharing to Multi-site Collaboration
(4) From Skill Worker
to Knowledge Worker
Potential Business Benefits
Cycle Time : 35 to 80% Faster
Productivity : 20 to 30% Increase
Material Cost : 10 to 25% Reduction
Innovation Yield : 15 to 20% Fewer ECR
Overhead Costs : 4 to 12% Reduction
Benefits of
World Class PLM
Source
AMR Research 2003
81. BRE398: Building Information Modeling
Definition of PLM
CIMdata defines PLM as:
A strategic business approach that applies a consistent set of business
solutions in support of the collaborative creation, management,
dissemination, and use of product definition information across the
extended enterprise from concept to end of life—integrating people,
processes, business systems, and information.
83. BRE398: Building Information Modeling
Imagine | Play
Governance
Global Sourcing
IP Lifecycle Management
Unified Live Collaboration
Lifelike Experience
Collaborative Innovation
Digital Manufacturing
& Production
Realistic
Simulation
Virtual Design
Systems
Shape
Mechanical
Equipments
Compliance
Multiphysics Digital Lab
Open Scientific Platform
Manufacturing Planning
Plant & Resources Eng.
Program & Control Eng.
Production Execution
PLM V6 Portfolio Architecture
84. BRE398: Building Information Management
PLM – All Domains working on the
“Single Version of the Truth”
Design
Product
Management
Program
Management
Governance
Global Sourcing
Compliance
Sales /
Marketing
IP Lifecycle
Management
Unified Live
Collaboration
Production
Engineering
SourcingSuppliers
Customers
Partners
Technical
PublicationsManagement
Quality
Component
Engineering
Analysis
85. BRE398: Building Information Management
Design
Product
Management
Program
Management
Compliance
Sales /
Marketing Production
Engineering
SourcingSuppliers
Customers
Partners
Technical
PublicationsManagement
Quality
Component
Engineering
Analysis
Governance
Global Sourcing
IP Lifecycle
Management
Unified Live
Collaboration
PLM – All Domains working on the
“Single Version of the Truth”
86. DASSAULT SYSTEMES - Page -
Collaborative Systems Engineering
Collaborative Mechatronics Engineering
Simulation & Validation
Manufacturing & Operation Management
Enterprise Business Processes Engineering Processes
Collaborative Systems Engineering Digital Manufacturing Processes
Colors legend:
New Product Development and Introduction
Cross Functional BOM Management
Regulatory Compliance
Component Supplier Management
Supplier Relationship Management
Portfolio Management & Technology Platform
Product Enclosure Engineering
The High Tech Industry PLM Business Processes
Issues & Change Management
Enterprise Project Management
Conceptual &Creative Design
Concept
Initiation
New Product
Development
Concept
Freeze
Design
Freeze
Product
Validation
Manufacturing
Validation
Start Of
Production
Market
Launch
End of Life
87. PLM System Operation Scenario
Customer
Request
NPD
Project
• Lead
Engineers
Actions to
Engineers
Product Designer
Mfg. Engineer
Tool Designer
• Detailed Actions
• Associated Work
Statement
• Interface Agreements
– Accept Action
– Create & Mature the Design
– Resolve technical issue
– Satisfy Interface Agreements
– Safety Standard Approvals
– Promote Shape to “Locked”
– Promote engineering to
“Locked”
Design In Context
Knowledge Driven
Product
Procurement
Interface
– Accept Action
– Provide Producability Input
– Create Assy /Instl Plan
– Satisfy Interface Agreements
– Create Tool Design Action
– Create Detail Fabrication Plans
– Assembly & Fab Simulation
– Gain Approvals
– Promote Plan to “Locked”
Interface
Production
Plans
– Accept Action
– Create & Mature the Design
– Resolve Interference/Separation
– Use Plan Context
– Satisfy Interface Agreements
– Gain Approvals
– Promote Shape to “Locked”
– Promote Drawing to “Locked”
Tools
Interface
Interface
Engineering Change
• Dynamic / Instant
EBOM
• Dynamic /Instant
MBOM
• Instant Change
Events
ERP
• BOM
• Mfg. Plans
• Part
Orders
Pullable Views
• Part Definition
• Fab & Assembly
Plans and Tool
Definition
Suppliers
Sales & Marketing
Offering:
•Brand
•Skill
•Specification
•Proposal
•Delivery time
•Price
•……..
Customers
PLM
• Checkout Standard
Design template,
Process, Parts,
Features & Knowledge,
customer configuration
info…...
88. Concept >> Plan >> Develop >> Produce >> Support >> Disposal
Requirements
Breakdown & Related
documents
Functional
Breakdown & Related
documents
Systems
Breakdown & Related
documents
Manufacturing
BOM & Related
documents
Maintenance
BOM & Related
documents
Engineering
BOM & Related
documents
Configuration and Diversity Management
Sourcing
Requirements Management Regulatory Compliance, Quality
Knowledge Management
Change Management and Issue Management
Supply
Service After SalesProgram Management
Process Synthesis for Collaborative System
Engineering
Cross-function repository
Use a single system to
manage configurations and
changes across lifecycle
Link and integrate
requirements, product and
regulatory information to
systems specifications
<
Enable identification of
other systems impacted by
innovation on a dedicated
system
Enable to drive innovation
studies as workpackages witn
change management
capabilities in context of global
product configuration
89. BRE398: Building Information Modeling
PLM to Support Knowledge
Management
Knowledge
Share
Knowledge
Reuse
Knowledge
Create
Structuring of internal
and external information
& development of
Database
Quick access to
relevant
information
Building the
collaboration
platform
Integrate Knowledge
into product
development
Knowledge
Management
System
PLM
Knowledge
Capture
90. BRE398: Building Information Modeling
Process Management
Automate the
business process
Integrate various
business process
internal & external
Optimize
To be agile
To avoid latency
To enable
concurrent
Monitor & control
Management
Engineering Production Finance Marketing Sales &
Support
An Organization
Functions or
Groups inside
a Department
Level
1
Level
2
Level
N
Processes
91. BRE398: Building Information Management
Example of a Business Process
Request for Quotation in a Virtual Company
Open to view the “Worflow automatization Business Process” avi
92. BRE398: Building Information Management
On Line Collaborative Engineering
Co-ordinate, Co-operation & Co-decision
94. BRE398: Building Information Management
Project Management
From a pure vertical optimization…
- Business function orientated
- Cost reduction as a key objective
2
OPTIMIZATION
RecycleSupportProduceTestDesignPlanConcept
…to a balanced approach!
- Improving both bottom-line and top-line
- Cadence means projects are scheduled to a predictable rhythm
- Flow means knowledge & material are available when needed
- Pull means everyone responds directly to the needs of their
customers, producing as required
- A transversal approach allows to optimize a program across its
entire lifecycle
- Support the management of and collaboration on project data
across distributed product development teams
- Balance resources utilization
- Reuse of successful projects
- Manage multiple projects and tasks together within their
deliverables
- Combine all product knowledge in single environment
2
OPTIMIZATION
Transversal optimization
Program N
Program 2
Program 1
DisposeSupportProduceTestDesignPlanConcept Lifecycle integration
95. BRE398: Building Information Management
Visible Project Execution
•Digital Mock UP
•Cross-disciplines
engineering data
& process
management
•Real time control
& monitoring
Electronic design
Mechanical
design
Software
development
System design
I have a
new
requirement
96. Program Backbone
Program
Planning &
Controls
Resources
management
Contracts /
requirements
Risks and opportunities
management
Discrete (Events) Continuous
(Physics)
Program metrics 3D Dashboards
Program
deliverables
Requirement item, project, sub-project, tasks, deliverable status ,roles, skills…
Link contract data
requirement to
schedule
Link
schedule/contract to
product deliverables
Link to appropriate
allocated resource
Program Management
Real time monitoring of program activities with cross-functional process integration
98. Engineer / User View
• Each engineer has its own “My Tasks” list.
• Clearly showing the due date.
• Easy identify expired tasks.
• Real-time update of information.
99. Project Manager View
Project Status
with Phase-Gate.
Real-time, up-to-
date Project
Milestone Info.
Individual Project
100. Project Manager View
• No extra reporting effort.
• Initiative project status information.
• Support Phase-Gate Methodology.
• Real-time and most up-to-date information.
Individual Project
101. Project Manager View
Program Dashboards Easily catch up
project current
phase.
Slip Days show
you the project
remaining time. List out the
potential risk of
the project.
Project
Assessment
Quick Access
102. Project Manager View
• Quick Review for Existing Projects.
• Dashboard Details are real-time generated,
all the information are up-to-date.
• Easy access to Work Breakdown Structure,
Project Assessment, Project Budget.
Program Dashboards
104. BRE398: Building Information Modeling
Topics
Discipline Business Execution
The Challenges of Manufacturing Industry in 21st
Century
Adoption of PLM to Sustain Product Innovation
The value of PLM technology
105. BRE398: Building Information Management
V6 – Bringing PLM 2.0 to Life
Open to view “V6_MAY_50s_FINALnet1024“ avi
106. BRE398: Building Information Management
New Face of Execution
Rapid identification of
individuals who can help
Be always available, always on,
always connected, anywhere, at any
time
Support the free flow of ideas
in an open environment
Be mobility
Work with fun for Y- Generation
Under security control and
management
107. BRE398: Building Information Management
Value Proposition of PLM
It’s about NETWORK
Communities
Interoperability
Winner-Take-All
It’s Digital
Low-cost Reproduction, Distribution
Trumps Physical Assets
Volatile and Frictionless
It’s about Knowledge
Leveraged Innovation
Knowledge Workers
Privacy vs Customization
It has no Bounaries
Global
Value Nets
Flexible Work Force
Traditional Economy
Supply-Demand Generation Business
New Economy
Net-Generation Business
e-Line
Costs Quality
Time to
market
Brand
value
Bus
Orgn.
Knowledge
Customer
ShareInnovation
109. BRE398: Building Information Management
What Success Looks Like
When time is
organized for
getting stuff done
and thinking
• You control how time
gets used – On
Demand in any place
at any time .
When people can
trust the platform
to help them
work smarter
• 3D for All, when tools,
processes, and
information are
grounded in what
people need,
execution is easier,
faster, smarter & with
FUN
When people can
navigate infinite
choices
• Innovative products &
services are created to
fulfill customer
requirements. Right At
the First Time is
achieved
110. BRE398: Building Information Management
PLM Impacts Everything
Reduce
Costs
Increase
Success
of New
Products
Improve
Product
Quality
Reduce
Defects
Maximize
Cash Flow
Improve
Service
Improve
Customer
Satisfaction
Reduce
Rework
Provide
Complete Accurate
Project Information
Use More
Standard
Components
Provide
Complete Accurate
Product Information
Improve
Change
Management
Maximize
Margin
Reduce
Time to
Market
Reduce Process
Cycle Times
111. BRE398: Building Information Management
PLM Impacts Everything
Inventory costs 15%
PD launch cost 20-35%
Support personnel 50%
Provide
Complete Accurate
Project Information
BOM accuracy
70%
Duplicate parts 10%
Redundant data 20%
Search for info 60%
ECO Volume 10%
ECO cycle time 25%
ECO labor costs 45%
Maximize
Cash Flow
Improve
Customer
Satisfaction
Cost of Poor
Quality
40%
Quality
15 to
30%
Increase
Success
of New
Products
Scrap
15%
Reduce
Rework
Margin
10 to
15%
TTM
10 to
20%
PD cycle time 20%
Sourcing time 65%
Mfg. changeover 80%
113. BRE398: Building Information Modeling
What We Have Just Seen?
Intellectual
Capital
Organization Capital
Leader, team, horizontal organization intelligent
and integrated working system
Knowledge Human Capital
Continuous learning, knowledge
stimulated and recognized
Social Capital
System Capital
Information and Knowledge
shared nets
Ref: A.M. Webber, Smart Business
114. BRE398: Building Information Modeling
It’s Good But…..
It is the POLITICAL challenge of
getting stakeholders across functions to
agree on common business processes
It’s about IT to enable business teaming
together to work through how THINKS
should run ….Susan Kampe,
Vice president and general manager of IT,
Johnson Controls
Innovate our mind before
innovate the product & process!
117. BRE398: Building Information Modeling
References
Drucker, P. F. (1973). Management: Tasks,
Responsibilities, Practices, Harper Business.
HARMON,P. (2003). Business Process Change,
Morgan Kaufmann.