philips lighting turnhout - valuechain · 2016-03-24 · dpl •externally certified q-lab,...

Philips Lighting Turnhout

Practical examples of collaborative innovation

www.pwc.com

PwC - Philips

Agenda

1. Introducing Philips Lighting Turnhout

2. Introducing Collaborative innovation:

a) Our case on wearables in maintenance

b) Lessons learned

c) Next steps

3. Questions

2

March 2016Supply chain innovations

Philips Turnhout

Philips Lighting, BG Lamps Operations, Turnhout

Jan Melis

2016 March 7th

PwC - PhilipsPhilips Cat Professional

43%

37%

20%

20

PhilipsOur business

Philips Healthcare

Philips Lighting

Philips Consumer Lifestyle

4

Improving people’s lives through

meaningful innovation

Turnhout, Belgium

• World Class high end Burner Manufacturing

for HID, Digital Projection & Specialties

• Competitive HID and SL Lamp Assembly for

EMEA and global niches

• Global Development R&D Center for HID and

DPL

• Externally certified Q-lab, specialized in light

measurement

• Mechanization on site (PiNS), specialized in

on-line vision system, small part handling and

laser welding

• Founded in 1955, continuously growing till

2008 (top year 2800FTEs). Heavy

restructuring in 2009 & 2012 & 2015-2017

• Lamps ~ 17 mio pcs, more than 500 different

technical types & concepts

• Production in shifts where needed 24hrs / 5

days. Temp unemployment for flexibility.

KEY FACTS

• 830 FTEs, of which 150 white color ops, 500

blue color ops, 75 R&D, 65 BG Lamps and 40

PiNS

• 250 M€ Sales (2015).

• CAPEX: 2.5 M€ (2015)

LOCATION

KEY DATA

Turnhout LS&E plant

Philips Turnhout: market leader in professional lighting

Digital Projection Lighting

Outdoor Indoor Sports Horticulture

General HID

Outdoor Indoor Sports Horticulture

General HID

Special LightingSpecial Lighting

6

Leading

the way VIDEO

17 Philips Cat Professional

Philips HID Lighting Solutions, our positionSome additional figures

More than 55% of all major sports event arena’s are

equipped by sports lighting from Philips

Approx. 45% of all roads in Europe are illuminated by

Philips HID lamps

Approx. 35% of all HID lamps worldwide are produced by

Philips

Approx. 75% of all HID lamps used in retail lighting are made

by Philips

7

Growth Maturity Decline

TIME

Incandescent

Halogen

CFLSON/HPI

Fluo

LED Cinema

CDMEco-Halo

Introduction

Operational Excellence during the entire Product Life Cycle

Pc

s/E

UR

Reliably deliver against lowest integral cost

Make & Execute cost roadmaps relentlessly

Reliably realize growth

Quality, Innovationbut also cost

8

Philips Turnhout wants to gain market share in

a declining market

Our sales decline 15% per year but this remains a profitable market for longIndoor -30%, Outdoor and Spec -10%, DPL stable, HORTI growing

Due to LED penetration, e-commerce, China & economic crisis

21 Philips Cat Professional

Vision : Winning the Golden Tail in conventional lighting

Philips strategy: Dual strategy: Winning in LED

And Managing the Golden Tail in conventional

• Headlines to win the Golden Tail in conventional• Commercial

Capture growth opportunities

Make it easy to sell

Strict pricing strategy

• Industrial World class operational performance and continuous improvement

• 3 Focal areas: Cost/ Quality and Supply Chain performance

• LEAN program is one of the most important programs

Adapted R&D (Development) programChange focus from product innovation to cost innovation

Employability program

10

PwC - Philips

Agenda




b) Lessons learned

c) Next steps

3. Questions

11


A possible collaboration in 3D Printing

Supply chain innovations

Collaborative innovation is a concept where different stakeholders in the supply chain join their competences around a supply chain challenge or opportunity.”

The joint result will be better than the individual pieces.

+ + =

PwC @ SCI 2015with 3D printing

Big data

Smart sensors

Smart robotics

Artificial intelligence

PwC @ SCI 2014 with Google glass

Industry expertiseCompany needs & insights

Supply chain expertiseLinking process & technology

Technology expertiseState of the art solutions

Supply chain innovation

Smart supply chainEm

erg

ing

tec

hn

olo

gie

s

A possible collaboration in 3D Printing

Wer

ab

ale

sin

ma

inte

na

nce

2a) Wearables in field maintenanceIntroducing the case

The joint result will be better than the individual pieces.

+ + =Industry expertise

Company needs & insightsSupply chain expertise

Linking process & technologyTechnology expertise

State of the art solutionsSupply chain innovation

+ +

PwC - Philips

2a) Wearables in field maintenanceThe approach

Roll outPilotDemoDiscovery

Be inspired Selecting demo

process Try out

Pilot scope Pilot

implementation Feedback to

technology provider

Identification of new application areas

Providing overview of technology and potential benefits

Providing demo hardware

Setting up demo process

Distance support Capture learnings

New application areas in maintenance and operations

Minimum viable product

Providing demo software

Technical support Technical

improvements

Technology next steps

1 day 2 wks 10 wks

14


PwC - Philips

2a) Wearables in field maintenanceDiscovery


Linking business challenges and opportunities with new technologies:

15


PwC - Philips

We started with 1 machine and 1 checklist procedure from facility maintenance:

Weekly routine:

2a) Wearables in field maintenanceDemo


16


Technician ‘s desk

Machine

No real time information

No trend monitoring

Only reactive maintenance

Double registration

Risks for errors

Reporting

Weekly report to supplier

Process inefficiencies:

PwC - Philips

We started with 1 machine and 1 checklist procedure from facility maintenance: Weekly routine:



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March 2016

Old process New process

Investment = 0 € (hardware provided by PwC)

Resource = 1 day (to setup solution)

PwC - Philips

Results after 2 wks:



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March 2016

People

Process

Technology

• Enthusiasm created

• Acceptance by people

• User feedback

• Insight in hardware

• Insight in software

• Process improvement proven

• Improvement area’s identified

PwC - Philips

• In a period of 3 months, all facility maintenance procedures were implemented in Proceedix

• The software was upgraded several times, based on our feedback

• Some pictures:

2a) Wearables in field maintenancePilot


19

March 2016

PwC - Philips

2a) Wearables in field maintenancePilot


20

March 2016

Pilot results:

The whole solution is implemented and used by all facility maintenance technicians

This enabled us to have a soft saving of 6 % on our facility budget

PwC - Philips

2a) Wearables in field maintenanceRoll out


21

March 2016

Maintenance:

We will implement this solution also for other teams and procedures

We are looking into involving our suppliers for shared maintenance

Other functional areas:

We see added value for all operations teams to create a paperless factory:

Eg. Out of control action plans for operators

Autonomous maintenance checklists

Quality checks – registration sheets

Our solution has been shared on our local improvement market

PwC - Philips

Agenda




b) Lessons learned

c) Next steps

3. Questions

22


PwC - Philips

2b) Lessons learned

23

March 2016





• We never considered the use of wearables in our processes before we started

• Think big, start small

• The demo was crucial to convince us, and didn’t require any investment (no hurdles)

• By approaching this in a practical and pragmatic way, we were able to motivate our people and create enthusiasm

• We didn’t need to innovate alone, the power of this setup is the collaboration

PwC - Philips

2c) Next steps

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March 2016

Em

erg

ing

tec

hn

olo

gie

s





• Running topic for collaborative innovation = 3D printing in our spareparts supply chain

PwC - Philips

Agenda




b) Lessons learned

c) Next steps

3. Questions

25


PwC - Philips

Questions


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philips lighting turnhout - valuechain · 2016-03-24 · dpl •externally certified q-lab,...

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