3. Agenda
Overview
Assumptions
Proposed Data Owners
Material Master Level Definition
Material Types
ESI Feed
Process Flow
ESI Initiated
Product Marketing
Indirect Procurement
Downstream Impacts
Discussion
MM Data Definition
Centralized/Decentralize MDM
4. Assumptions
MM Coordinator will create all non-ESI
materials
MM Coordinator will update all materials
Business Functional Group responsible
providing accurate field values
Data validation and verification are separate
items
Business Functional Group to provide Material
Type
8. ESI Feed
ESI will transfer Windchill data to SAP
Change Notice (field that contains ECN number)
Material Master Additions/Updates
BOM Additions/Updates/Deletions
Material Master fields transferred from ESI
Material Master Field Default
Basic data view <<Selected>>
Industry sector M
MRP view <<Selected>>
MRP Type ND
Procurement Type X
MRP controller 999
Availability Check KP
Scheduling Margin Key 999
Lot Size EX
Collective Vs Individual 1
Period Indicator M
Windchill SAP
Number Material
Name Material Description
Default Unit Basic unit of measure
Distribution Target Plant
Version Revision Level
Source Material Type
Document Number Document
Document Revision Document Version
Defaulted Data
Actual Data
12. Downstream impacts
Inaccurate Sales
Orders
Incorrect goods delivery
Lost sales
Lost customers
Impacts
The most negative impacts
within business process are
caused by inaccurate master
data.
Due to the complexity of
master data and the various
organizational levels, the MM
Maintenance process is
critical to most processes in
SAP.
Examples
13. Product Marketing
Material Number
Material Descriptions
Base Unit of Measure
Countries of Origin
Serial Number Profile
(Sales)
Profit Center
Unclear material
descriptions
Incorrect base UoM
Incorrect serial numbers
Inaccurate financial
postings
Impacts
Data Fields
14. Manufacturing / MES /
Purchasing / Forecasting
MRP Type
Lot Size
Procurement Type
Purchasing Group
Safety Time
Minimum Order
Planned Delivery Time
TRLT
ABC Indicators
Safety Stock
Strategy Group
Type of Sale
Product Hierarchy
Missed deliveries
Missing Production Orders
Incorrect Production Orders
Late Production Orders
Stock outs
Late deliveries
Inaccurate reporting
Impacts
Data Fields
16. Logistics Execution
Storage Location
Transportation Group
Loading Group
Stock Placement
Storage Condition
Inaccurate goods
movements
Missing goods
movements
Production Order
delays
Shipment delays
Impacts
Data Fields
17. Foreign Trade
Import Codes
Export Codes
Inaccurate application
of tariffs and duties
Delayed shipments
NAFTA regulatory
compliance fines
Increase in transit times
Impacts
Data Fields
18. Material Master Coordinator
Data coordination
Completeness check
Verify data validity
Deploy Load tool
All impacts mentioned
in previous slides
All downstream
processes that use
MM data
Impacts
Data Fields
MM
BRIAN
MM
19. Output
MM Fields
Input
MM Definition
file
Data Mapping
Data owners
Data locations
IT1, IT2, IT3
Final Data load
Process Description
Data Definition
19
21. Centralized vs. Decentralized
Master Data Management
Option A
MM maintenance continues centralized process
Option B
Define the MM fields that each Business
Functional Group will be responsible to maintain
plant data
22. Central vs Decentralized Master
Data Management
Centralized
• Best Practice
• Centralized MDM exists in
Carrier today
• Restructuring of sustaining MDM
isn’t within the scope of P2
• Centralized MDM reduces
training of persons
• Centralized MDM reduces the
number of security roles /
profiles required from Basis
• Centralized MDM reduces the
number of RICEFW items
• Required step along any
Business Process path that
leads to Decentralized MDM
Decentralized
• Decentralized MDM requires an
expertise and centralized process
efficiency
• Decentralized MDM requires
software and systems architecture
that relies heavily on technical
expertise deployed successfully
• Decentralized MDM requires an
organizational structure within
Carrier that doesn’t exist in the
current state
– Organizational / Employee
hierarchy that isn’t based on the
manufacturing model
– “Dotted – Line” reporting for
resources
23. Recommendation
Phase A
Option 1 - MM maintenance continues
centralized process
Phase B
Incorporate MDM analysis into Data
Governance Process
25. Selling or Quoting
Process
Customer Order
And Promise
Specified BOM MRP Purchasing
Lower Level
Components Arrive /
Supplier Quality
Assemble Backflush Inventory
Engineeing
Process
Forecast
- Supplier
Communication
- Net Requirements
- Lead Times
Schedule
Shop floor control and
critical data capture
Deliver and Ship Invoice
Stage Components
MM
Finance
HIGH-LEVEL PROCESS
25
Q&O
SOP
Make
Buy
IML
IML
MES
Logistics Q&O
26. MM BPCS
Process Definition
•Windchill Design Center makes a new components in Windchill
and sent to the MFG Plant trough ECN process
•BPCS Product Eng. Updates the Material Master menu:
•Component Number & Name
•Type (Buy/Make/Reference)
•Commodity (Valves/Brass/Cooper/Fastener/Assy/ETC)
•Unit of measure (Lb/EA/Rl)
•Drawing number and Revision
•BPCS Manufacturing Eng. Updates de Material Master menu:
•Item Group (Detail schedule location)
•BPCS Sourcing Eng. Updates the Material Master menu:
•Vendor ID, Lead Time, Purchase
•UOM, Unit of conversion, Lot Size & Planner
•BPCS Buy Eng. Updates the Material Master Menu:
•Buyer, Order policy, ABC Item
•Buy Method (K, JT, MRP)
•BPCS Finance Updates the Material Master menu:
•Material Cost
•Tax Freight work center
•Freight work center
28. Output
MM Fields
Input
LE Fields
US HTS Number
MX HTS Number
Country of Origin
Shipment
Description/English
Shipment
Description/Spanish
SPI NAFTI Indicator
Material Master
Data
Process Description
Data Definition
28
29. LE Fields
Team: LE
Description:
Discussion:
29
# Field Team Requirement Possible Solutions
5 US HTS Number MM
New Field to store US HTS Number 10
numbers
New Field on the Material Master Foreign Trade
Export Tab. Need conversion from BPCS
7 MX HTS Number MM
Use Existing Field Comm/Imp Code on
the Foreign Trade Export Tab 8 Numbes
Use Existing Field Comm/Imp Code on the
Foreign Trade Export Tab. Need Conversion
From BPCS
8 Country of Origin MM
Use Existing Field Country Of Origin on
the Foreign Trade Export Tab
Use Existing Field Country Of Origin on the
Foreign Trade Export Tab. Need Conversion
From BPCS
9 Shipment Description/English MM
Material Group Product Hierarchy US
Language? Need Min of 40 Characters
Small package air conditioner systems (SPP
Parts for air conditioner systems (RCD)
Small roof top air conditioner systems (RTU)
10 Shipment Description/Spanish MM
Material Group Product Hierarchy SP
Language? Min of 40 Characters
Paquetes de Sistemas de aire acondicionado
(SPP)
Partes de servicio para aire acondicionado (RCD)
Equipos pequeños de aire acondicionado de uso
comercial (RTU)
11 SPI NAFTI Indicator MM NAFTA indicator
New Field on the Material Master Foreign Trade
Export Tab
30. Output
MM Data Request
Input
Customer Input
Market Demand
Engineering
Requirement
Indirect Materials
MM Template with
minimum data
Process Description
Material Initiator
30
32. Master data Best Practices
It’s obvious that Master Data Management (MDM) is a key
focus for industry executives. While there are many
statistics are available, a key nightmare claims that in
2008, master data errors led to near $40 billion loss in
the retail sector alone.
All the research agrees that there are two primary direct
causes for this expensive, critical and avoidable mess;
inefficient disparate systems and user knowledge base.
In the material (parts) master, the single leading industry
looking to improve master data management; Discrete
Manufacturing
33. Post-Go Live
Validation process (user_exit??)
Finance
Standard Price – verified on report
LE
Storage Location
Serial # Profile (If FG)
US HTS Number
MX HTS Number
Country of Origin
Shipment Description/English
Shipment Description/Spanish
SPI NAFTI Indicator
SOP
