| scm-it transformation, consulting together. free your energies © capgemini 2008 erik van daalen,...

| SCM-IT transformation, ConsultingTogether. Free your energies

© Capgemini 2008

Erik van Daalen, May

12th 20091

Dit college zal gaan over praktijk voorbeelden van het implementeren van een informatie systeem. Ik zal jullie wat achtergronden geven en daarnaast belangrijke aspecten vermelden die ik tegenkom als projectmanager. Een van de belangrijkste aspecten is hoe ga ik om met mijn gebruikers wat jullie nu ook zelf hebben kunnen ervaren, doordat deze tekst van boven naar beneden staat.

Together. Free your energies

Erik van Daalen, 12 May 2009

College Implementation


© Capgemini 2008

Introduction

Erik van Daalen

Programme and Project Manager 21 years working experience, 11 years for Capgemini Main focus areas:

Package selection & implementation Engagement manager Trainer Rapid How to manage large programmes (PMI’s) Manufacturing Execution Systems

Industries: SCM, High Tech, Manufacturing, Transport, Financial

Sector

Erik van Daalen, May 12th 2009

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© Capgemini 2008

Agenda

Back ground information Example single site implementation Example multi site implementation

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Background information


© Capgemini 2009

CSF’s within ERP implementations

Strategic CSF Top management commitment and support Visioning and planning Build a business case Project champion Implementation strategy and timeframe Vanilla ERP Project management Change management Managing cultural change

Tactical CSF Balanced team Project team: the best and brightest Communication plan Empowered decision makers Team morale and motivation Project cost planning and management BPR and software configuration Legacy system consideration IT infrastructure Client consultation Selection of ERP Consultant selection and relationship Training and job redesign Troubleshooting/crises management Data conversion and integrity System testing Post-implementation evaluation


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Finney, S. and Corbett, M. (2007), “ERP implementation: a compilation and analysis of critical success factors”, Business Process Management, Vol. 13 no. 3 pp329-347


© Capgemini 2008

1. Innovation versus 1:1

2. Process thinking

3. Integrated Approach

4. Change Management

5. Improvement Agenda

6. Value proposition

7. Speed

People Process

Technology

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Key Concepts behind implemenations


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Innovation versus 1:1

Measure of reengineering / business value

Make maximal use of package for realization vision

of future(business driven,

limited by technology)

Start from the current situation,

only change when required

(technology driven)

Realization vision without limitation(business driven, real innovation,

changes thinking and action of

people)

1 on 1 reengineeringobv package innovation

Implementation speedBPR

Difference

Quality Management, Risk Management, Project Management, Human Factors, etc.

What stays


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Integrated approach


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Company

Architecture

Consists of

Method

Tools

Makeuseof

To integrate

EnvironmentKnowledge

ProcessesTechnology

People

Vision


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Change Management(The Supportcurve)


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Conner en Patterson (1982)

Time

Level o

f sup

po

rt from

the em

plo

yee

Awareness-phase: Knowledge

Acceptation-phase: Attitude

Commitment-phase: Behaviour

Contact

Awareness

Understand the change

Test

Acceptation

Adoption

Institutionalise

I hear that something is going to change

I understand what is going to change.

I understand what the impact is for me.

Is this right, this change?

Lets make it a success

This is good for myself and for the customers and company.


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Improvement Portfolio

Improvement;- Identify Improvements- Estimate benefits versus costs- Score improvements in matrix- Identify which improvements to

take in account- Determine impact on People,

Process and Technology


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Profits

High

Low

Fast Slow

Speed of Change

ProcessesTechnology

People

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Task driven Implementation

TASKS

SLOWSLOW DELIVERABLES

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Milestone driven Implementation


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TASKS

DELIVERABLES

FASTERFASTER


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Value Added Implementation


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value proposition

Deliverables

TasksFaster/ValueFaster/Value

Adding Value


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Value Proposition (example)L

eve

l of

ad

de

d v

alu

e

LOGISTICS FINANCE SALES/CUSTOMER

SERVICE

MAINTENANCE PRODUCTION

Focus on added value

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Know the main drivers?


ProcessData

Migration Interfaceschange

Management Reporting

0

5

10

15

20

25

30

Impl. 1

Impl. 2

Impl. 1

Impl. 2

Know what the main drivers are in your implementation?

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Multi versus Single Site implementation

Single site:• Implementation within one Organisation entity;• Change Management (people), one culture;• Team located on one location;• Faster implementation;• Functional changes can be incorporated faster.

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© Capgemini 2008

Multi versus Single Site implementation

Multi sites:• More then one location or Organisation entity;• Change Management: more organisation or/and country cultures

involved;• Need to develop a core, choose one of the core developments:

Develop on central location with representatives of all sites; Take one plant/location as development location (pilot).

• Which implementation strategy will you choose: Location:

All sites at once (Parallel); Site for Site (serial); Hybrid, a few together.


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© Capgemini 2008

How will you go live?

Big bang:• The complete solution at once;

Con: The risk is the size of the implementation Pro: facing out the old system; Pro: no extra interfaces.

Module for module• One or a combination of two/three will be implementated

Con: Throughput time; Con: complexity in connecting the new system to the old systems; Pro: a more controlled go live.

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• Project management has to do with human factors• People, process en technology influence the success• Project tracking & tracing is important• Project management is not a science, it is based on

experience• There are different

– methods to plan and manage– ways to organize projects– ways to guard the quality of projects

These are topics treated in SDM1

The role of the Project Manager

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MOL Logistics


© Capgemini 2008

Logistics Service Provider:• Airfreight (import/export)• Transport (trucks)• Distribution• See freight• Warehouse

325 employees (at the go live) Four locations: Schiphol, Eindhoven, Rotterdam

and Tilburg

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© Capgemini 2008

Implementatie

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DCS TRANSPORT ANDLOGISTICS SOLUTIONS


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• Independent implementator• Project management• Project Approach• Customer

• Software supplier

The implementation was a success thanks to Colaboration


© Capgemini 2008

Relation between people and effort• Putnam-Nordon-Rayleigh (PNR) curve• putting more people on a project does not decrease time

linearly• people need time for communication• 4 zones in the curve for a certain defined project:

1) it can not be completed within a certain time

2) overstaffed: completed fast, but inefficient

3) linear range: efficient staffing, man-power trade-off with time is good possible

4) understaffed: becomes also inefficient

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© Capgemini 2008

Project organisation

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Steering committee:MOL, DCS, CGEY

Management

System support:

Sponsors:COO,Managers

Tarieven/contracten

Projectmanager

Sea freight:Super:

Airfreight Export:Super:

Airfreight Import:Super:

Warehouse:Super:

Finance:Super:

Distribution:Super:

Customs:Super:

Co-ordinators:

DCS

Directeur

Projectmanager

Consultants:


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© Capgemini 2008

Planning

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1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

January February March AprilMonth

Week

Training of super users

Functional impl. of LIMS

Writing missing software

Defining missing software

Writing missing reports

Define internal processes

Creating manuals

Training of end users

Testing period

Communicated Go Live date

Defining management infor.

Test

Training end users on pc’s.

STC date

Go Live date 1 april 2001


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© Capgemini 2008

Rapid Implementation Support (RIS)

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Stap 2Configure

LIMS

Stap 2Configure

LIMS

Stap 3Develop

processes

Stap 3Develop

processes

Stap 4Implementsysteem

Stap 4Implementsysteem

Stap 5Optimalise

organisation

Stap 5Optimalise

organisation

•Defined scope•Organisation•Planning•Budget•Acceptation criteria

•Defined interfaces

•Train Key Users•Develop scenarios

•Configure parameters

•Enter Static Data

•Define Conversion Plan

Stap 1ProjectStartup

Stap 1ProjectStartup

•Execute RIS-sessions

•Describe procedures

•Define Improvement agenda

•Finalise procedures

•Train End-users• Implement IT-environment

•Conversion•Accept system•Go Live

•Detail out improvement agenda

• Input for RIS sessies;

•People, proces, mens and technologie;

•With RIS sessions.

• Implement improvement agenda


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• iteratie


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RIS sessie

Colleborative design and decision taking Closed number of days No disturbances Focus on LIMS Develop one common language Iterative developemt of processes Make use of growing insights

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Demostrations

Key user shows package Why?

• Determine progress• Define what is missing• Outcome used for go/ no go decision• Probably adding builds/bolt ons

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Success factors for this project

Sense of Urgency Need for structured approach Only focus on software package LIMS Good cooperation between three involved parties Good use of resources High level of commitment from key-users Strong/Tight management Method

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NXP Semiconductors founded by Philips


© Capgemini 2008

Positioning of ERP-domain

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Planning

Execution

Control

ERP-domain

MES-domain

PMA-domain

Raw Material Products

QualityManagement

MaintenanceManagementData

CollectionAnd

acquisition

PLC PLC PLC PLC

SCADA

Procurement

Planning

Strategy

Sales

ERP

MES

SCADA

PLC


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© Capgemini 2008

NXP SemiconductorsA leading Connected Consumer company

• Revenues of around 6.32 B € in 2007

• Focus on semiconductor solutions for Connected Consumer applications

• 3700 employees

• More than 7500 engineers. 25,000+ patents. 26 R&D centers located in 12 countries

• Global organization, sales force delivering to 60 countries,and 20 manufacturing sites

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What is a Wafer

• A wafer is a slice of “sand” (Si)

• Could have different Diameters

e.g. 4”, 5”, 6”, 8” within NXP

• Maximum size at this moment:

12”, 18”

• Wafers are produced in the NXP

fabs: Fishkill, Hamburg, Jilin and

Nijmegen


© Capgemini 2008

What is a Die


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A Die is one Integrated Circuit on a wafer.

Number of Die’s on a wafer depends on the product.


© Capgemini 2008

The Project

Standardised integrated ERP system for the NXP Semiconductors manufacturing environment.

Single legacy system. Reducing the cost of future development, maintenance and

support. Common set of interfaces were needed to enable each site to

communicate more effectively with the rest of the NXP global network.

Flexible enough to allow implementation of selected modules in individual sites.

The deployment also needed to be delivered on time, every time, to accommodate a tight timeframe for global roll-out.

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Globalization of business processes, standardization of data and one integrated information system using the best practices must deliver theplatform for a lot of benefits and savings


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© Capgemini 2008

The Project

First phase started in February 2001, Release I Kernel by Capgemini and NXP Semiconductors.

Modules for Financial & Accounting, Controlling, Asset Management and Materials Management.

Release I rolled out at every Site, except same MDS site Release II-lite Fishkill, Boeblingen, Hazelgrove, Grandkorn

and Zurich Biggest Site live on Release II are Hamburg and Nijmegen.

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© Capgemini 2008

Locaties (2004) NXP Semiconductors

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Calamba

Hazel Grove

Nijmegen

Böblingen

Hong Kong

Guangdong

Bangkok

CrollesLe Mans

SouthamptonMilton Keynes

SunnyvaleSan Jose

Tempe

Cabuyao

ZurichFishkill

Headquarters GratkornVienna

Böblingen LCOS

Seremban

Hamburg

Caen

Kaohsiung

Shanghai

BeijingShenzhen

Heerlen

Suzhou Kobe


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© Capgemini 2008

Programme organisation instead of a project organisation

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Supply

Dem

and

TL TL TL TL TL TL

Support

ApplicationControl

KernelDevelopment

Implementations

Management


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© Capgemini 2008

Fasering project

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Feasibility Study

BusinessBlueprint

KernelDevelopment

Implementation

Applicationcontrol

Kernel Development ImplemetationManagement


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© Capgemini 2008

Project Methodology - Roll Outs

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Set-up and Scoping

Blueprint finalization

Core system

realization

Core system construction

Implemen-tation

• Scope• Level 1 and 2

process design

• Architecture and systems landscape

• Detailed plan next phase

• Detailed enterprise model / business blueprint

• Data conversion plan

• Interface high level functional design

• Script list

• SAP configuration

• Data conversion designs

• Interface & enhancements functional and technical specs

• Organisation model role and job

• Interface & enhancement programs

• Data conversion programs

• User documentation and training material

• Integration testing (IT)

• User acceptance testing (UAT)

• Data conversion

• User training• Start-up and

go-live• Initial post

go-live support

• Go live local support group


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© Capgemini 2008

Project Methodology - Roll Outs

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Set-up and Scoping

Blueprint finalization

Core system

realization

Core system

construction

Implemen-tation

Kick Off

Deliverable and timeboxed driven, not value added


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© Capgemini 2008

What are the main drivers?


ProcessData

Migration Interfaceschange

Management Reporting

0

5

10

15

20

25

30

Impl. 1

Impl. 2

Impl. 1

Impl. 2

The driver by NXP where Change Management, Data migration and interfaces ?

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© Capgemini 2008

Package implementation – A few remarks

• Implementing an information system is custom-made• A good preparation is essential• Methods and Tools are not enough• Implementing an information system is also changing

organizations• Management participate active in project• Project leader is director, not project owner!


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The success of an implementation is determined by the people

www.capgemini.com


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