The document discusses challenges with estimating costs for future products and proposes a closed loop solution using SAP Portfolio and Project Management (PPM) and Profitability and Cost Management (PCM) to improve estimation accuracy. Currently, cost estimates can vary by 20% year-over-year due to unclear assumptions and a lack of standardized processes. The proposed SAP solution would integrate PPM, PCM, and ECC to create a standardized estimation formula, define projects and lineups, perform calculations in PCM, and roll up estimates to improve accuracy from 20% to 5% and allow for more scenario planning. This is expected to save significant time and costs compared to current manual and spreadsheet-based processes.
The document has been developed keeping in mind the common challenges that a planner may face while
developing a schedule. I have also tried to cover in areas which is required for effective earned value
calculation. The document is been prepared considering that the reader has a basic understanding of Primavera P6.
The document has been developed keeping in mind the common challenges that a planner may face while
developing a schedule. I have also tried to cover in areas which is required for effective earned value
calculation. The document is been prepared considering that the reader has a basic understanding of Primavera P6.
Put your sales first by introducing the CAS Aviation Suite. It allows you to...
...formalize your product knowledge in a structured, understandable and intuitive way
...accelerate and professionalize your sales processes
...create seamless links between sales, engineering and after sales tasks
...transform monolithic and engineering-oriented sales processes into modular, catalogue-oriented processes
Developing Product Configurator Tool Using CADs’ API with the help of Paramet...ijcax
Order placingis a crucial phase of lifecycle of a Mass-customizable product and seeks improvement in
Mechanical industry. ‘Product Configurator’ is a good solution to bring in data transparency and speed
up the process. Configuration tools arebeing used on a very small scale,reasons being lack of awareness
and dearer costs of existing tools. In this research work a product configurator is developedfor
Hydraulic Actuator (HA).This method uses Applicable Programing Interface (API) of a CAD tool coupled
with Visual Basics (VB) and MS Excel.Itis a standaloneapplication of VB and its integration into web
portal can be the future scope. The final aim was to reduce time delay at CRM phase,bring more
transparency in the ordering system and to establish a method which, small and medium scale enterprises
canafford. Trails on the tool developed generated Part-Assembly drawings, BOM and JT files in
moments.
Benefits of Physical Therapy for Patients with Scleroderma is presented by
Jessica Mandac, PT, DPT
Rehabilitation Institute of Chicago
Center for Pain Management
Dr. Mollyann Brodie: "What Soaring Drug Prices Mean for Patients," 9.3.15reportingonhealth
Dr. Mollyann Brodie's presentation from "What Soaring Drug Prices Mean for Patients," 9.3.15
http://www.reportingonhealth.org/content/what-soaring-drug-prices-mean-patients
Pastor Elio Marrocco's "The Doctrine of Christ" sermon at New Life Christian Church on July 6, 2014. You can learn more about New Life Christian Church here: http://www.newlifecc.ca
Martin Gaynor: "Inside the ‘Black Box’ of Health Care Spending Data?" 2.18.16reportingonhealth
Martin Gaynor's slides from the Center for Health Journalism webinar "Inside the ‘Black Box’ of Health Care Spending Data," 2.18.16
http://www.centerforhealthjournalism.org/content/inside-black-box-health-care-spending-data
Pastor Elio Marrocco's "Baptism and Deliverance" sermon at New Life Christian Church on August 24, 2014. You can learn more about New Life Christian Church here: http://www.newlifecc.ca
We have been instructed to create a presentation on pitching our concept so I have put together a PowerPoint with all our mood boards, our talents biography, screen testing and the lyrics of our chosen song (annotated). We have to present it next lesson.
Put your sales first by introducing the CAS Aviation Suite. It allows you to...
...formalize your product knowledge in a structured, understandable and intuitive way
...accelerate and professionalize your sales processes
...create seamless links between sales, engineering and after sales tasks
...transform monolithic and engineering-oriented sales processes into modular, catalogue-oriented processes
Developing Product Configurator Tool Using CADs’ API with the help of Paramet...ijcax
Order placingis a crucial phase of lifecycle of a Mass-customizable product and seeks improvement in
Mechanical industry. ‘Product Configurator’ is a good solution to bring in data transparency and speed
up the process. Configuration tools arebeing used on a very small scale,reasons being lack of awareness
and dearer costs of existing tools. In this research work a product configurator is developedfor
Hydraulic Actuator (HA).This method uses Applicable Programing Interface (API) of a CAD tool coupled
with Visual Basics (VB) and MS Excel.Itis a standaloneapplication of VB and its integration into web
portal can be the future scope. The final aim was to reduce time delay at CRM phase,bring more
transparency in the ordering system and to establish a method which, small and medium scale enterprises
canafford. Trails on the tool developed generated Part-Assembly drawings, BOM and JT files in
moments.
Benefits of Physical Therapy for Patients with Scleroderma is presented by
Jessica Mandac, PT, DPT
Rehabilitation Institute of Chicago
Center for Pain Management
Dr. Mollyann Brodie: "What Soaring Drug Prices Mean for Patients," 9.3.15reportingonhealth
Dr. Mollyann Brodie's presentation from "What Soaring Drug Prices Mean for Patients," 9.3.15
http://www.reportingonhealth.org/content/what-soaring-drug-prices-mean-patients
Pastor Elio Marrocco's "The Doctrine of Christ" sermon at New Life Christian Church on July 6, 2014. You can learn more about New Life Christian Church here: http://www.newlifecc.ca
Martin Gaynor: "Inside the ‘Black Box’ of Health Care Spending Data?" 2.18.16reportingonhealth
Martin Gaynor's slides from the Center for Health Journalism webinar "Inside the ‘Black Box’ of Health Care Spending Data," 2.18.16
http://www.centerforhealthjournalism.org/content/inside-black-box-health-care-spending-data
Pastor Elio Marrocco's "Baptism and Deliverance" sermon at New Life Christian Church on August 24, 2014. You can learn more about New Life Christian Church here: http://www.newlifecc.ca
We have been instructed to create a presentation on pitching our concept so I have put together a PowerPoint with all our mood boards, our talents biography, screen testing and the lyrics of our chosen song (annotated). We have to present it next lesson.
This is my experience snap shot (as I call it) to get a better feel of what I have done and been exposed to over the years. I plan on constantly polishing this up for better presentation - for now this is what I made. Would appreciate any queries and comments on this. Thank you.
Concept development using Optimization, DFM & CAE - In DFSS Waynsahay
The traditional approach for designing an automotive component or an automobile is to design for performance, design for aesthetics & ergonomics and to design for adequate durability and reliability, so that the performance requirements can be met continuously over the life time of the vehicle.
During the initial design phases, the approach has been to build the factor of safety more than required in certain component or component areas because of the positive and negative interaction effects of casual variables. Thus it can be said that the design is not wholly “optimum”.
This lack of ‘optimum design’ has always given rise to opportunity for further optimization and is popularly known as the value analysis (VA)/value Engineering (VE) approach. The approach has its advantages and many companies have dedicated resources for VA/VE. However on the flip side, it is ‘reactive approach’ and thus can be avoided. In the parlance of six sigma philosophy, it is known as ‘DMAIC (Design, measure, analyze, improve and control) approach’. DMAIC approach solves a problem which has been created.
A more proactive approach known as the DFSS (Design for Six Sigma), which prevents a problem from generating and by using this philosophy it is possible to build ‘value’ and achieve ‘optimization’ in the design phase itself.
The modern day software tools offer great opportunity to use this philosophy in terms of optimization software, DFM software and validation software of CAE for an optimum concept design.
Automobile field is currently one of most challenging fields with tougher competition between international automotive players in offering light weight, fuel efficient & low emission vehicles of better reliability and durability. In order to stay alive in this competition, it becomes important for Auto players to launch new vehicles in comparatively shorter span of time with less number of prototypes. So new CAE tools and value engineering methods have to be used in the very early stage of development to achieve these goals.
The Topology Optimization is an appropriate method that changes the density and stiffness distributions in an iterative process to achieve a homogeneous stress distribution which defines the concept design of the component in Virtual Vehicle Development Process. The Classical Optimization process considers either minimization of weight or maximization of frequency approach. This paper addresses three aspects of optimization, the Strength aspect and Frequency aspect along with the significant weight reduction during the design. The paper also discusses about the application of the DFM (Design for Manufacturability) concepts to transfer the design proposal in a real manufacturable component.
Estimation maturity model using function pointsBhupinder Singh
While there are many models for measuring maturity of software organizations, little attention has been paid to factoring estimation maturity into these models. This true even for CMMI, which is an otherwise very a rigorous model.
This presentation suggests adopting an Estimation Maturity model suggested by Galorath and using the Function Point estimation technique to achieve this goal.
Strategic Product Development and Cost Estimates for Automotive IndustryVedant Borse
SAP Sapphire 2014
Session: 3803 strategic product development
https://www.asug.com/discussions/servlet/JiveServlet/downloadBody/38836-102-1-55996/3803%20Strategic%20Product%20Development%20and%20Cost%20Estimates%20for%20Futurisitc%20Products.pdf
White Paper: Product Regulatory ComplianceVedant Borse
What are you prepared to lose: Innovation, Profitability or Brand Image @ Cost of Non-Compliance
Building Strategic and Effective Approach to Product Safety and Stewardship
1. Orange County Convention Center
Orlando, Florida | June 3-5, 2014
Strategic Product Development and Cost
Estimates for Futuristic Products
Vedant Borse (HCL AXON)
2. Understand Product Costing and Challenges with
estimating cost of Future Product
Eliminate Manual/ Excel based calculations and
reduces the risk of estimation variance
Closed loop Solution Approach for accurate Product
Costing, Planning and Execution
LEARNING POINTS
3. How do I estimate Cost?
Detailed Level Estimates
BOM with
Detailed
Part List
•Travel
•Freight
•Contract
•Labor
•Vehicle
•Parts
•Test
CostManpower
+
Executive Advance Planning Departments/ Project
- 6Years - 4Years - 3Years
High Level #1 Estimates
Buildable Combinations
Matrix (BCM)
•Travel
•Freight
•Contract
•Labor
•Vehicle
•Parts
•Test
CostManpower
+
• Development Complexity Known
• Feature List Unknown
• Parts List Unknown
High Level #2 Estimates
Features and Parts
List (High Level)
Features List
•Travel
•Freight
•Contract
•Labor
•Vehicle
•Parts
•Test
CostManpower
+
• Feature List Known
• Parts List Partial
• Development Complexity Calculated
• Parts List Known
• Feature List Known
• Development Complexity Calculated
Reduce Estimation
Accuracy to: +/- 5%
Reduce Estimation
Accuracy to: +/- 0.5%
4. Challenge 1: Varying YoY Cost Estimates
-10%
-5%
0%
5%
10%
15%
20%
0
50
100
150
200
250
300
Year 6 Year 5 Year 4 Year 3 Year 2 Year 1 Actual
Cost
Variance
Cause
Development Assumption Not Clear in Early Stage
Estimator include Buffer in budget
Detail Spending Is not clear
Sample Lifetime Cost History for a Single Vehicle Development Estimates
Variance
~20% Variance
Year on Year Estimation Est. Vs Actual
~5% Var.
5. Challenge 2: High Consolidated Variance
(80.00)
(60.00)
(40.00)
(20.00)
-
20.00
40.00
60.00
Year 6 Year 5 Year 4 Year 3 Year 2 Year 1 Actual
Product F
Product E
Product D
Product C
Product B
Product A
Total Variance
Issues
Poor Estimation Accuracy occurs in all projects.
Poor Spending Control occurs in all projects.
Year on Year Estimation Est. Vs Actual
Actual
6. No Part List/ BOM data results in to estimate cost Long estimation process
Varying range of complexities, type of development, its flow, duration, etc leads
to hundreds of permutation and combination to estimate a product cost for
Labor, Parts, Products, Design, Build, Test, Prototype Cost, Whitebody, etc.
Unclear varying factors forces use of weak resource estimates technique
resulting in Inaccuracy in Project Resource Planning for future Products (Eg. 20%
avg. variance/Prj )
Shorter time to market and increasing variant launch (Minor Model, Major
Model, NPDI) adds to more pressure on estimates and product development,
resulting in incorrect estimates
Use of custom tools or Excels adds difficulty in collating estimates from multiple
business units
Unavailability of robust estimation technique limits alternatives/ estimates
scenarios (Eg. 3/Prj), thus Limiting alternatives/ estimates scenarios for Lineup
Planning of multiple vehicle and multiple launch years projects
Future Product Cost Estimates Challenges
7. Microsoft Excel
Custom Home Grown Solution
MS Access
Highly customized PLM Solution
Guestimates/ Person Dependent
Current Estimation Tools
8. Varying Year on Year costing estimates results
in Bad Image to investor
More reporting requests, thus requiring large
pool of planning resources required for
estimation and report preparation
Inability to created multiple estimates
scenarios for each vehicle, while creating
single lineup for all vehicles across globe for
each variant becomes distant possibility
Consequence
9. HCL AXON PLM Practice
• Resource expertise in SAP PLM
PLM Highlight:
Leader in SAP PLM Implementation (12+ years practice, 40+ implementation)
HCL AXON has amongst the highest number of PLM client references
SAP PLM/PPM Practice COE’s in US, Asia and Europe
Unique Industry Specialization:
Pharmaceuticals, Consumer Healthcare, Consumer Packaged Goods, Discrete Manufacturing and Professional Services. Delivered the
largest PPM user in Pharma and the most complex project in CPG
Platform Pioneer
Developed an accelerator for PLM/PPM in Consumer Healthcare
First SAP partner globally for the Rapid Deployment Solution (RDS) of Portfolio and Project Management (SAP PPM)
SAP partner globally for the Rapid Deployment Solution (RDS) for Visual Enterprise (VE)
SAP Ramp up Partner with dedicated SAP PLM Lab (PPM 6.0, PLM 7.0)
SAP Endorsement
Co-authored R&D whitepapers with SAP
More Sapphire conference success stories than any other partner
Top collaborator with SAP for PLM in Life Sciences
Manufacturers pursuing integrated PLM/MES/ERP
environments in HCL's primary industries - particularly
those with SAP as their ERP platform - should consider HCL
for PLM services.
“
10. Solution options
Easy Cost Planning
PDCE
iPPE
BOBJ PCM
Criteria
No Material Master, varying range of complexities, type of development, its
flow, duration,
Show possible permutation and combination
Calculate 2.5 Billion data combination and generate results for
Cost: Labor, Parts, Products, Design, Build, Test, Prototype Cost, etc.
Quantity: Manpower, Products, BOM/MM, etc
Solution Options
11. Combination of Process improvement with enablement
via right technology should be the mantra
Build a closed loop estimation process
Closed loop Solution: SAP PPM+PCM+ECC
f(x)
Approval
Workflow
PCM
Profitability & Cost Management
PPM
Portfolio & Project Management
Project Execution
FinancialTime Reporting
Features and Parts
Project System
Project Highlights
First PPM-PCM Integration
First Unified UI Integration
First PCM-BODS-PCM Real-
time Integration
12. Automotive Estimation formulas are very complex
They involve varying parameters
Type of development (Minor Model, Major Model Change MMC),
Full Model (FMC) or New Product (NPDI))
Varying range of complexities (Carryover, Modify, New)
Build Lot (Stages of Development) and duration
Development flow
Departments (Body, chassis, Interior, Electrical, Transmission, etc
While estimating the process Crash test vehicles has further complex
dimension
Every Company has a complex formula for estimation
N_Motor CFM: Common Module Family
F_Motor BCM: Buildable Combinations Matrix
T and Y Motor has similar methods
Define Formula
13. BOBJ-PCM Formula and Lookup
Super User can control
Formula Tables, Condition to
apply specific Table, Structure
of Table and Formula
14. Build Estimation Projects
Extent Project for Next Levels of Estimation
Extent Estimation Project to Execution Project
Variance Analysis between estimates and Actuals to
improve the formula via a Closed Loop process
(PCM-PPM-ECC Integration)
Build a Lineup view of all the projects stacked
together
Define Project and Lineup
19. SAP Implementation (Old vs New)NewSystem(SAP)OldSystem(Manual)
Resource Estimation and
Formula
Project Resource
Estimation
Lineup Scenario
Resource Simulation
Financial
Manual Process
Project Estimates
Project Lineup
f(x)
Approval
Workflow
PCM
Profitability & Cost Management
PPM
Portfolio & Project Management
Project System
Project Execution
Financial
Time Reporting
TTP Project
Benefits
-Improved Accuracy from 20% to
5% due to formula PDCA
-Best Decision Making due to
Alternatives: 3 scenarios to10
scenarios
- Huge Annual Saving in terms of
Estimation House and Cost
Issues:
-Manual Repeat process
-Low Accuracy
-More Efforts
Timesheet
Calculation via
spreadsheets
Calculation via
spreadsheets
Parts
System
Parts
System
High Efforts/ yrs for
Estimation
Lower Simulation/
Project
High Efforts/ Project for
Estimation
Higher Simulation/
Project
Lower Efforts/ Project
for Estimation
20. Better Planning decisions, by providing:
More accurate estimates. Accuracy improvement from
20% avg./Prj → 5% avg./Prj
(If condition change, clear analysis reasons)
More lineup alternatives. Increase Alternatives from:
3 scenarios→10 scenarios
Time Saving
Forecasters time: 130hrs/Prj→10hrs/Project (About $0.4M
Saving)
Benefits
21. THANK YOU
THANK YOU FOR PARTICIPATING
Vedant Borse
Solution Architect, PLM / PPM / PCM
HCL AXON
EAS Division – HCL Technologies
15 Exchange Place, Suite 730, Jersey City, NJ 07302
Mob: +1 919 744 6166
www.hcl-axon.com
www.hcltech.com
www.hcl.com
HCL Booth #213