Presented @ MDM/DG Summit NYC 2015 (Oct 6, 2015)
In this presentation Lydia Tilsley (UTC Operations) and Larry Keyser (UTCHQ IT) from the United Technologies Corporation (UTC) describe how reference and master data management is being used to support UTC's "One Supply Chain" initiatives at UTC.
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MDM & RDM: Enabling a One Company Supply Chain in a Decentralized Environment
1. MDM & RDM: Enabling a One Company
Supply Chain in a Decentralized Environment
2. Who are we
Larry Keyser Lydia Tilsley
Solution Architect Business Analytics
UTCHQ IT UTC Operations
Providing robust tools
and reliable data
to supply chain professionals
throughout the company
4. Why the transformation
• Positioned for growth
• Leverage scale of UTC
• Suppliers must perform at
Gold level
• Over 80% supplier sourced parts
• Investing in people, processes
and systems
2013 2014 2015 YTD 2015 PSupplier Performance
5. Why does supply chain need MDM
• Suppliers
• Commodities
• Parts
• Organizations
• Geography
• Currency
CORP
SAP
PW-N
SAP
PW-S
SAP
UTAS
JDE
UTAS
SAP
One Company Supply Chain
6. 2013 the journey begins
• EBX5 central part of strategy
– Supplier parenting
– Supplier enrichment
– Currencies
– Country Codes
• Focus on data validation
7. Unified approach
• Central repository for supplier data across UTC
External
Services
CORP
SAP
PW-N
SAP
PW-S
SAP
UTAS
JDE
UTAS
SAP
8. Embracing master data
• Multi domain
• Consolidated
• Hierarchies
• Taxonomies
• Integration
• Versioning & history
9. Supplier Designation
• Built entirely using EBX5
• Forms
• Import/export
• History
• Workflow
• Uses existing supplier, commodity,
organization hierarchies
11. What does success look like
IBM CORP
IBM
IBM CORPORATION
IBM/ISS
Q1 LABS, INC. AN IBM COMPANY
IBM CORPORATION T.J. WATSON RESEARCH CENTER
IBM EDUCATION
IBM GLOBAL FINANCING
IBM UNITED KINGDOM LIMITED
IBM UNITED KINGDOM LTD
IBM INDIA PVT LTD
IBM CANADA LTD
IBM POLSKA SP. Z O.O.
IBM CORPORATION PNC BANK
IBM WORLD TRADE CORPORATION
IBM CORPORATION
IBM ITALIA SPA
INTERNATIONAL
BUSINESS
MACHINES
CORP
12. • Master data is the foundation
• One version of parenting
• Integrated data sources and applications
• Use it, see value, want to make it better
• See something say something
Culture shift
This supplier doesn’t belong
in my commodity!
You can
update it
through EBX
13. Lessons Learned
• Technical
– Data model will evolve
– Configure don’t code
• Project
– Have a clear vision of success
– Don’t give in to pressure
– Awareness is key
Success Is Built On Small Steps And Continuous Improvement
Started as a project and turned into an enterprise wide initiative
Larry key to project
Lydia business side
Come together to make this happen
MDM on the map for UTC
Why did we embark on this road
Positioned for growth…major development – GTF, F-35 Joint Strike Fighter, Boeing 787 aero systems, Gen2 elevators…
Creation of One Company Supply Chain initiative
Leverage scale – more spend
One Company contracts – better pricing
Suppliers must perform at Gold level
Investing in people, processes, systems
No alignment of data, spend, diversity, performance data
Driven by a need to report spend for the corporation
Lots of time massaging data
BU’s working closer together…negotiations…one company playbook…dependent of data
Each BU has many sources of data such as ERP, offline system
Multiple areas that need to be mastered (refer to bullets)
“Master data”…didn’t have meaning…
One source of truth
We took the lessons learned from past endeavors
Moved from a push to a pull philosophy
Concentrate on the source data, working with SME’s to properly define the business rules
Started talking “master data”…making it part of the lingo
Key areas of master data that we needed to improve, leverage the EBX platform
Talk about the four bullets listed
Countless hours of validation to ensure we got it right
Unified architecture
Walk through what the picture represents
Adherence to vision, all providers and consumers of Supply Chain data must comply with the approach
EBX at the center
Suppliers parented and enriched
Empower the SME’s / data stewards
Data is trusted
Multi-domain – master suppliers (similar to customers), master materials/parts (similar to products) and master organizations/currencies/country codes (reference data)
Hierarchies – Key feature, ability to generate complex hierarchies whenever you need them
Integration - Automated the upload and download to EBX via nightly Informatica PowerCenter jobs
Full visibility to the current (approved) data set as well as the WIP data set. Audit capabilities as well
We’ve gone all in…one source of truth
Using the structure on the previous slide, when new ultra-critical project was needed for Supplier Designation
Application to track the UTC strategy with a given supplier based on supplier location, commodity and organization
Evaluating solutions and we realized all the data is in the master data tool
Decided to built the solution entirely in EBX5, a separate data space but with references back to the master data tables
Key features:
Powerful template based import/export
History for compliance reporting
Workflow capabilities for approvals
Crucial to sourcing strategy…enabler for one company supply chain initiative
We knew it went mainstream when we saw the slide above presented by the VP of Operations on the Corp Ops World Tour
In the center is master data management, showcased it to the company
Left side is our supplier facing apps, right side is Supplier Insight, Hub in the middle
Supplier Diversity
Performance data
Material master
Supplier Insight
Links to external databases (D&B, …)
This is an example of how were successful
This is what people get…tons of excitement
I hear SC folks on my floor talking master data (give examples)
We don’t ever want to do it again
Clear vision
What are you trying to achieve
What are the benefits
Don’t give in to pressure
No short cuts, they’ll want to do it through spreadsheets, SharePoint, etc
Know every project
Awareness is key