More Related Content Similar to A Complete Model of a Business Enterprise in an EtO and PLM environment (20) A Complete Model of a Business Enterprise in an EtO and PLM environment1. A Complete Model of a
Business Enterprise in an
EtO and PLM Environment
A Systems Approach
© 2019 Frank Steeneken - All Rights Reserved
2. Introduction
This slide deck provides a picture of the underlying skeletal structure that holds a
business enterprise in an engineer-to-order (EtO) and product lifecycle management
(PLM) environment together while achieving its goals.
The Model portrays a business enterprise as a functional system for doing business,
with processes that are clearly focused on a specific goal. Through the processes, the
system fulfills its contribution in the environment.
The Model could provide a powerful baseline for improving business performance.
The method used to develop this model is an adaptation of an earlier technique called
Integrated Modeling Method*.
2© 2019 Frank Steeneken - All Rights Reserved
*www.ackley.com
3. Purpose and Function
The purpose of the Model is to clearly portray how work performed in Product
Development and Operations of a business enterprise in an EtO and PLM
environment, is structured, apart from the way it is managed and controlled. To
provide this clarity, feedback loops and control systems are not shown on the
diagrams.
The Model can be applied to help realign a company’s organizational structure and
business processes, with its inherent functional structure.
3© 2019 Frank Steeneken - All Rights Reserved
4. What is a Business Enterprise?
4
A company doing business in a marketplace environment that includes
relationships with both customers and suppliers. A business enterprise* buys
resources (“raw materials”) from suppliers in the supplier market, adds value by
transforming the resources into products, and sells the products to customers in
the customer market. The internal architecture of the business enterprise is
shaped by the nature of the marketplace environment, including the
expectations of potential customers and suppliers, economic, technological and
other conditions.
* Integrated Modeling Method: http://ackley.com/z_integrated_modeling/6_framesets/frameset_tg_glossary.html
Business
Enterprise
5. 5
What is Engineer to Order?What is Engineer to Order?What is Engineer to Order?
Engineer-to-order* manufacturing environments are typically characterized by
high levels of product and process variation, high product complexity and deep product
structures, and low production volumes.
Each new order involves product design and development based upon customer
specifications.
Moreover, design, delivery speed and flexibility are typical order winners and the
customer order decoupling point is typically positioned at the very start of production.
*Olhager J., Strategic positioning of the order penetration point. International Journal of Production Economics, 2003.
6. What is a Product Life Cycle (PLC)?
All products have been thought up, created and possess a fixed life span in a business
enterprise. The lifetime of all these products may be represented in terms of a model:
the Integral Life Cycle Model for technical systems (products)*.
6
Defining Designing Constructing Producing Supporting Terminating
Phase Work performed
Defining: Exploration of the customer needs and elaboration of the requirements for the
product, production, supply and market related structures and tools, working
methods, contracts and agreements.
Designing: Design of the product, production, supply and market related structures and tools,
working methods, contracts and agreements in accordance with their requirements.
Constructing: Construction and establishment of product, production, supply and market related
structures and tools, working methods, contracts and agreements in accordance with
their design.
Producing: Manufacturing of the product and delivery to the customer.
Supporting: Support and maintenance of the product.
Terminating: Recycling of the product to generate new resources (“raw materials”) or return
(waste) resources back to the supplier(market).
*Fundamentals of Business Engineering and Management - A Systems Approach to People and Organizations, ten Haaf, Bikker and Adriaanse.
7. What is Product Lifecycle Management (PLM)?
Product Life Cycle Management* is the business activity of managing, in the most
effective way, a company’s products all the way across their lifecycles; from the
very first idea for a product all the way through until it is retired and disposed off.
PLM is the management system for a company’s products. It doesn’t just
manages just one of its products. It manages, in an integrated way, all of its parts
and products, and the product portfolio.
• Product Life Cycle Management (Volume 1) – 21st Century Paradigm for Product Realisation (Third Edition) ) by John Stark.
7
8. 8
Scope of the Model
Due to an EtO situation, the development level will be initiated after a customer sales order has
been received and processed at programming level. Resource purchasing and product
manufacturing are tied to each individual sales order. No resource or product action takes place
until the sales order is received. It is assumed that where a business enterprise delivers
engineer-to-order it commits innovation within a sales order.
Appendix 4.I Main Function Model, Fundamentals of Business Engineering and Management - A Systems Approach to People and Organizations, ten Haaf, Bikker, Adriaanse
The Main Function Model* distinguishes between six main functions which should be present in
every efficiently operating business enterprise. The scope of the Model that is further elaborated
in this presentation covers the development and operations level (per type of product).
9. 9
Focus of the Model
A business enterprise in an EtO and PLM environment is complex structure, involving many
component entities:
• Customers;
• Various transportation systems;
• Product manufacture facilities;
• Resource repository facilities;
• Suppliers.
A business enterprise in an EtO and PLM environment exists in a competitive environment
where it acts as an intermediary with added value between individual customers who need
unique and often complex products, and suppliers who produce the resources ("raw materials")
that are processed in these products.
In carrying out its function, the business enterprise often develops these products in
collaboration with their customers before producing them in their manufacturing facilities. To
this end the enterprise acquires, receives, assembles and allocates a wide range of resources
from individual suppliers in resource repository facilities.
The model focuses on the work to perform the function of the company. Although it refers to
the business entities involved, the model does not include the life cycle development of the
physical housing constructions, employees, means of transport or the equipment they use.
© 2019 Frank Steeneken - All Rights Reserved
10. 10
How is the Model Structured?
Resource
Repository
Facilities
Product
Manufacture
Facilities
Customers
Suppliers
As a system, the sequence of work performed in purchasing resources from suppliers, and manufacturing a
unique product for a customer involves certain discrete business entities (layers). Each of these entities
provides a critical link in the business enterprise supply chain. This sequence of business entities provides an
initial breakdown to define the structure of subsystem layers.
Transporters
Transporters
Product manufacture facilities
manufacture products from
resources and transfer them to
customers who ordered them.
Resource repository facilities
interact with remote suppliers to
acquire, receive, assemble and
distribute resource components ,
used for processing into products.
BusinessEntities
SubsystemLayers
Transporters deliver quantities of
resources to resource repository
facilities.
Suppliers produce and release
resources.
Transporters deliver products to
remote customers.
Customers ustalize products to
fulfil their goal.
© 2019 Frank Steeneken - All Rights Reserved
11. time
To complete the overall structure, the structure of subsystem layers is overlaid with a sequence of
six core processes which represent the lifecycle of the business enterprise product.
Completion of the Overall Structure
Resource
Repository
Facilities
Product
Manufacture
Facilities
Customers
Supplier(s)
Transporters
Transporters
DefiningCoreProcess
DesigningCoreProcess
SupportigCoreProcess
TerminatingCoreProcess
ConstructingCoreProcess
ProducingCoreProcess
Core Process
Sequence Flow
11© 2019 Frank Steeneken - All Rights Reserved
12. Developing Detailed Subsystem Structure
12
A more detailed subsystem structure is required as a basis for defining the core
process structures.
The first task to develop the detailed subsystem structure is to translate the
activities/tasks into a sequence of basic functional steps that acquires the
resources and produces the product. These steps describe the essential supply
chain of the business enterprise.
The next task is to interpret the basic functional steps as subsystems which
portray the supply chain in terms of business structural requirements.
© 2019 Frank Steeneken - All Rights Reserved
13. Translate Activities/Tasks into a Sequence of Basic
Functional Steps
Activities/Tasks Basic Functional Steps
Customer uitilizes the product. UTILIZE product
Transporters deliver products to Customers. DELIVER product
Product Manufacture Facilities transfer products to Customers. TRANSFER product
Product Manufacture Facilities manufacture products. MANUFACTURE product
Product Manufacture Facilities organize resources for products to be
manufactured.
ORGANIZE resources
Resource Repository Facilities distribute resources to the Product
Manufacture Facilities.
DISTRIBUTE resources
Resource Repository Facilities assemble resources for the products to be
manufactured.
ASSEMBLE resources
Resource Repository Facilities receive ordered resources. RECEIVE resources
Transporters delivers quantities of resources to the Resource Repository
Facility.
DELIVER resources
Suppliers release the ordered resources for transport to the Resource
Repository Facilities.
RELEASE resources
Suppliers produce the resources ordered by the Resource Repository
Facilities.
PRODUCE resources
SupplyChain
© 2019 Frank Steeneken - All Rights Reserved 13
14. Interpret the Basic Functional Steps as Subsystems
14© 2019 Frank Steeneken - All Rights Reserved
Basic Functional Step Detailled Subsystem Layer
Customer
UTILIZE product Customer Product UtIization Subsystem
DELIVER product (optional) Product Manufacture Facility-to-Customer Transport Subsystem
TRANSFER product Product Manufacture Facility Transfer Subsystem
MANUFACTURE product Product Manufacture Facility Product Subsystem
ORGANIZE resources Product Manufacture Facility Resource Organization Subsystem
DISTRIBUTE resources Resource Repository Facility Distribution Subsystem
ASSEMBLE resources Resource Repository Facility Collection Subsystem
RECEIVE resources Resource Repository Facility Reception Subsystem
DELIVER resources Supplier-to-Resource Repository Facility Transport Subsystem
RELEASE resources Supplier Resource Release Subsystem
PRODUCE resources Supplier Resource Production Subsystem
Supplier
SupplyChain
15. Framework
The detailed subsystem structure provides the foundation needed to identify details of the core
processes and how they are to be performed.
When the detailed subsystems and core processes are combined, they produce a grid like
framework. Within this framework, each subsystem/core process intersection is interpreted as a
business function to be managed and performed. In terms of work to be performed, the resulting
array of subsystem/core process intersections displays the entire set of business functions of the
business enterprise.
A business function is an ongoing functional capability of the business that is sustained over time.
A business function applies resources to accomplish a particular kind of work in response to
incoming work requests. From an Object-Oriented perspective, a business function can be
thought of as an "object" that responds to incoming messages.
© 2019 Frank Steeneken - All Rights Reserved
Business
Function
Subsystem
Core
Process
15
A business function applies resources to
accomplish a particular kind of work in
response to incoming work requests and
needs to be managed.
16. 16
time
Defining
Core Process
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Supporting
Core Process
Terminating
Core Process
Customer Individual Customer
Customer
Product Utilization
Subsystem
Customer
Product Utilization
Definition
Customer
Product Utilization
Design
Customer
Product Utilization
Construction
Customer
Product Utilization
Production
Customer
Product Utilization
Support
Customer
Product Utilization
Termination
Product Manufacture
Facility-to-Customer
Transport
Subsystem
Product Manufacture
Facility-to-Customer
Transport
Definition
Product Manufacture
Facility-to-Customer
Transport
Design
Product Manufacture
Facility-to-Customer
Transport
Construction
Product Manufacture
Facility-to-Customer
Transport
Production
Product Manufacture
Facility-to-Customer
Transport
Support
Product Manufacture
Facility-to-Customer
Transport
Termination
Product Manufacture
Facility Transfer
Subsystem
Product Manufacture
Facility Transfer
Definition
Product Manufacture
Facility Transfer
Design
Product Manufacture
Facility Transfer
Construction
Product Manufacture
Facility Transfer
Production
Product Manufacture
Facility Transfer
Support
Product Manufacture
Facility Transfer
Termination
Product Manufacture
Facility Product
Subsystem
Product Manufacture
Facility Product
Definition
Product Manufacture
Facility Product
Design
Product Manufacture
Facility Product
Construction
Product Manufacture
Facility Product
Production
Product Manufacture
Product Facility
Support
Product Manufacture
Facility Product
Termination
Product Manufacture
Facility Resource
Organization
Subsystem
Product Manufacture
Facility Resource
Organization
Definition
Product Manufacture
Facility Resource
Organization
Design
Product Manufacture
Facility Resource
Organization
Construction
Product Manufacture
Facility Resource
Organization
Production
Product Manufacture
Facility Resource
Organization
Support
Product Manufacture
Facility Resource
Organization
Termination
Resource Repository
Facility Distribution
Subsystem
Resource Repository
Facility Distribution
Definition
Resource Repository
Facility Distribution
Design
Resource Repository
Facility Distribution
Construction
Resource Repository
Facility Distribution
Production
Resource Repository
Facility Distribution
Support
Resource Repository
Facility Distribution
Termination
Resource Repository
Facility Collection
Subsystem
Resource Repository
Facility Collection
Definition
Resource Repository
Facility Collection
Design
Resource Repository
Facility Collection
Construction
Resource Repository
Facility Collection
Production
Resource Repository
Facility Collection
Support
Resource Repository
Facility Collection
Termination
Resource Repository
Facility Reception
Subsystem
Resource Repository
Facility Reception
Definition
Resource Repository
Facility Reception
Design
Resource Repository
Facility Reception
Construction
Resource Repository
Facility Reception
Production
Resource Repository
Facility Reception
Support
Resource Repository
Facility Reception
Termination
Supplier-to-Resource
Repository
FacilityTransport
Subsystem
Supplier-to-Resource
Repository Facility
Transport
Definition
Supplier-to-Resource
Repository Facility
Transport
Design
Supplier-to-Resource
Repository Facility
Transport
Construction
Supplier-to-Resource
Repository Facility
Transport
Production
Supplier-to-Resource
Repository Facility
Transport
Support
Supplier-to-Resource
Repository Facility
Transport
Termination
Supplier Resource
Release
Subsystem
Supplier Resource
Release
Definition
Supplier Resource
Release
Design
Supplier Resource
Release
Construction
Supplier Resource
Release
Production
Supplier Resource
Release
Support
Supplier Resource
Release
Termination
Supplier Resource
Production
Subsystem
Supplier Resource
Production
Definition
Supplier Resource
Production
Design
Supplier Resource
Production
Construction
Supplier Resource
Production
Production
Supplier Resource
Production
Support
Supplier Resource
Production
Termination
Supplier Supplier Market Individual Supplier
Defining
Core Process
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Supporting
Core Process
Terminating
Core Process
Core Process Functional Subsystem Business Function Core Process Sequence Flow Subsystem Life Cycle State Transition Direction
Customer
Product
Utilization
Definition
© 2019 Frank Steeneken - All Rights Reserved
17. 17
Defining Core Process: work to be performed
Defining
Core Process
Customer Individual Customer
Customer
Product Utilization
Subsystem
Customer
Product Utilization
Definition
Product Manufacture
Facility-to-Customer
Transport
Subsystem
Product Manufacture
Facility-to-Customer
Transport
Definition
Product Manufacture
Facility Transfer
Subsystem
Product Manufacture
Facility Transfer
Definition
Product Manufacture
Facility Product
Subsystem
Product Manufacture
Facility Product
Definition
Product Manufacture
Facility Resource
Organization
Subsystem
Product Manufacture
Facility Resource
Organization
Definition
Resource Repository
Facility Distribution
Subsystem
Resource Repository
Facility Distribution
Definition
Resource Repository
Facility Collection
Subsystem
Resource Repository
Facility Collection
Definition
Resource Repository
Facility Reception
Subsystem
Resource Repository
Facility Reception
Definition
Supplier-to-Resource
Repository
FacilityTransport
Subsystem
Supplier-to-Resource
Repository Facility
Transport
Definition
Supplier Resource
Release
Subsystem
Supplier Resource
Release
Definition
Supplier Resource
Production
Subsystem
Supplier Resource
Production
Definition
Supplier Supplier Market
Defining
Core Process
© 2019 Frank Steeneken - All Rights Reserved
Requirements for resource transport capacity, route and
schedules for shipment from suppliers to resource
repository facility elaboirated.
Requirements for supplier to resource repository facility
resource release schedules elaborated.
Requirements for supplier to resource repository
facility resource production contracts elaborated.
Requirements for product transport capacity, route
and schedule for shipment from product manufacture
facility to customer elaborated.
Product requirements and requirements for production
related structures, tools, working methods and
production schedule elaborated.
Customer needs explored and requirements for
product utilization related structures, tools, working
methods and schedule elaborated.
Requirements for product transfer procedure to
customer and schedule elaborated.
Requirements for resource reception related structures, tools,
working methods and schedule elaborated.
Requirements for resource reception and
resource preparation related structures, tools,
working methods and schedule elaborated.
Requirements for resource distribution related structures,
tools, working methods and schedule elaborated.
Requirements for resource collection related
structures, tools, working methods and schedule
elaborated.
18. 18
Designing Core Process: work to be performed
Defining
Core Process
Designing
Core Process
Customer Individual Customer
Customer
Product Utilization
Subsystem
Customer
Product Utilization
Definition
Customer
Product Utilization
Design
Product Manufacture
Facilty-to-Customer
Transport
Subsystem
Product Manufacture
Facility-to-Customer
Transport
Definition
Product Manufacture
Facility-to-Customer
Transport
Design
Product Manufacture
Facility Transfer
Subsystem
Product Manufacture
Facility Transfer
Definition
Product Manufacture
Facility Transfer
Design
Product Manufacture
Facility
Subsystem
Product Manufacture
Facility Product
Definition
Product Manufacture
Facility Product
Design
Product Manufacture
Facility Resource
Organization
Subsystem
Product Manufacture
Facility Resource
Organization
Definition
Product Manufacture
Facility Resource
Organization
Design
Resource Repository
Facility Distribution
Subsystem
Resource Repository
Facility Distribution
Definition
Resource Repository
Facility Distribution
Design
Resource Repository
Facility Collection
Subsystem
Resource Repository
Facility Collection
Definition
Resource Repository
Facility Collection
Design
Resource Repository
Facility Reception
Subsystem
Resource Repository
Facility Reception
Definition
Resource Repository
Facility Reception
Design
Supplier-to-Resource
Repository
FacilityTransport
Subsystem
Supplier-to-Resource
Repository Facility
Transport
Definition
Supplier-to-Resource
Repository Facility
Transport
Design
Supplier Resource
Release
Subsystem
Supplier Resource
Release
Definition
Supplier Resource
Release
Design
Supplier Resource
Production
Subsystem
Supplier Resource
Production
Definition
Supplier Resource
Production
Design
Supplier Supplier Market
Defining
Core Process
Designing
Core Process
© 2019 Frank Steeneken - All Rights Reserved
Resource transport capacity, route and schedules
for shipment from suppliers to resource repository
facility designed.
Supplier to resource repository facility
resource release schedules designed.
Supplier to resource repository facility
resource production contracts designed.
Product transport capacity, transport route
and schedule for shipment from product
manufacture facility to customer designed.
Product, production related structures,
tools, working methods and production
schedule designed.
Product utilization related structures,
tools, working methods and schedule
designed.
Product demonstration and product
transfer to customer procedure and
schedule designed.
Resource reception related structures,
tools, working methods and schedule
designed.
Resource reception and resource
preparation related structures, tools,
working methods and schedule designed.
Resource distribution related
structures, tools, working methods
and schedule designed.
Resource collection related structures,
tools, working methods and schedule
designed.
19. 19
Constructing Core Process: work to be performed
Defining
Core Process
Designing
Core Process
Constructing
Core Process
Customer Individual Customer
Customer
Product Utilization
Subsystem
Customer
Product Utilization
Definition
Customer
Product Utilization
Design
Customer
Product Utilization
Construction
Product Manufacture
Facility-to-Customer
Transport
Subsystem
Product Manufacture
Facility-to-Customer
Transport
Definition
Product Manufacture
Facility-to-Customer
Transport
Design
Product Manufacture
Facility-to-Customer
Transport
Construction
Product Manufacture
Facility Transfer
Subsystem
Product Manufacture
Facility Transfer
Definition
Product Manufacture
Facility Transfer
Design
Product Manufacture
Transfer
Construction
Product Manufacture
Facility
Subsystem
Product Manufacture
Facility Product
Definition
Product Manufacture
Facility Product
Design
Product Manufacture
Facility Product
Construction
Product Manufacture
Facility Resource
Organization
Subsystem
Product Manufacture
Facility Resource
Organization
Definition
Product Manufacture
Facility Resource
Organization
Design
Product Manufacture
Facility Resource
Organization
Construction
Resource Repository
Facility Distribution
Subsystem
Resource Repository
Facility Distribution
Definition
Resource Repository
Facility Distribution
Design
Resource Repository
Facility Distribution
Construction
Resource Repository
Facility Collection
Subsystem
Resource Repository
Facility Collection
Definition
Resource Repository
Facility Collection
Design
Resource Repository
Facility Collection
Construction
Resource Repository
Facility Reception
Subsystem
Resource Repository
Facility Reception
Definition
Resource Repository
Facility Reception
Design
Resource Repository
Facility Reception
Construction
Supplier-to-Resource
Repository
FacilityTransport
Subsystem
Supplier-to-Resource
Repository Facility
Transport
Definition
Supplier-to-Resource
Repository Facility
Transport
Design
Supplier-to-Resource
Repository Facility
Transport
Construction
Supplier Resource
Release
Subsystem
Supplier Resource
Release
Definition
Supplier Resource
Release
Design
Supplier Resource
Release
Construction
Supplier Resource
Production
Subsystem
Supplier Resource
Production
Definition
Supplier Resource
Production
Design
Supplier Resource
Production
Construction
Supplier Supplier Market
Defining
Core Process
Designing
Core Process
Constructing
Core Process
© 2019 Frank Steeneken - All Rights Reserved
Resource transport capacity, route and schedules
for shipment from suppliers to resource
repository facility constructed and established.
Supplier to resource repository facility
resource release schedules constructed
and established.
Supplier to resource repository facility
resource production contracts constructed
and established.
Product transport capacity, transport route and
schedule for shipment from product manufacture
facility to customer constructed and established.
Product and production related structures,
tools, working methods and production
schedule constructed and established.
Product utilization related structures,
tools, working methods and schedule
constructed and established.
Product demonstration and product
transfer to customer procedure and
schedule constructed and designed.
Resource reception related structures,
tools, working methods and schedule
constructed and established.
Resource reception and resource preparation
related structures, tools, working methods
and schedule constructed and established.
Resource distribution related structures,
tools, working methods and schedule
constructede and established.
Resource collection related structures,
tools, working methods and schedule
constructed and established.
20. Producing Core Process: work to be performed
Defining
Core Process
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Customer Individual Customer
Customer
Product Utilization
Subsystem
Customer
Product Utilization
Definition
Customer
Product Utilization
Design
Customer
Product Utilization
Construction
Customer
Product Utilization
Production
Product Manufacture
Facility-to-Customer
Transport
Subsystem
Product Manufacture
Facility-to-Customer
Transport
Definition
Product Manufacture
Facility-to-Customer
Transport
Design
Product Manufacture
Facility-to-Customer
Transport
Construction
Product Manufacture
Facility-to-Customer
Transport
Production
Product Manufacture
Facility Transfer
Subsystem
Product Manufacture
Facility Transfer
Definition
Product Manufacture
Facility Transfer
Design
Product Manufacture
Transfer
Construction
Product Manufacture
Transfer
Production
Product Manufacture
Facility
Subsystem
Product Manufacture
Facility Product
Definition
Product Manufacture
Facility Product
Design
Product Manufacture
Facility Product
Construction
Product Manufacture
Facility Product
Production
Product Manufacture
Facility Resource
Organization
Subsystem
Product Manufacture
Facility Resource
Organization
Definition
Product Manufacture
Facility Resource
Organization
Design
Product Manufacture
Facility Resource
Organization
Construction
Product Manufacture
Facility Resource
Organization
Production
Resource Repository
Facility Distribution
Subsystem
Resource Repository
Facility Distribution
Definition
Resource Repository
Facility Distribution
Design
Resource Repository
Facility Distribution
Construction
Resource Repository
Facility Distribution
Production
Resource Repository
Facility Collection
Subsystem
Resource Repository
Facility Collection
Definition
Resource Repository
Facility Collection
Design
Resource Repository
Facility Collection
Construction
Resource Repository
Facility Collection
Production
Resource Repository
Reception Facility
Subsystem
Resource Repository
Facility Reception
Definition
Resource Repository
Facility Reception
Design
Resource Repository
Facility Reception
Construction
Resource Repository
Facility Reception
Production
Supplier-to-Resource
Repository
FacilityTransport
Subsystem
Supplier-to-Resource
Repository Facility
Transport
Definition
Supplier-to-Resource
Repository Facility
Transport
Design
Supplier-to-Resource
Repository Facility
Transport
Construction
Supplier-to-Resource
Repository Facility
Transport
Production
Supplier Resource
Release
Subsystem
Supplier Resource
Release
Definition
Supplier Resource
Release
Design
Supplier Resource
Release
Construction
Supplier Resource
Release
Production
Supplier Resource
Production
Subsystem
Supplier Resource
Production
Definition
Supplier Resource
Production
Design
Supplier Resource
Production
Construction
Supplier Resource
Production
Production
Supplier Supplier Market Individual Supplier
Defining
Core Process
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Resources transported from supplier to
the resource repository facility as
scheduled.
Resources released by supplier as scheduled.
Resources produced to meet resource
repository facility shipping schedule.
Product transported from product
manufacture facility to customer as
scheduled.
Product manufactured as scheduled.
Product deployed as scheduled.
Product demonstrated and handed
over to customer as scheduled.
Resources received (and when
necessary temporarily stored for later
use) as scheduled.
Resources received and prepared
for processing in the product as
scheduled.
20© 2019 Frank Steeneken - All Rights Reserved
Resources distributed to the
product manufacture facility as
scheduled.
Resources assembled as
scheduled.
21. Supporting Core Process: work to be performed
Defining
Core Process
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Supporting
Core Process
Customer Individual Customer
Customer
Product Utilization
Subsystem
Customer
Product Utilization
Definition
Customer
Product Utilization
Design
Customer
Product Utilization
Construction
Customer
Product Utilization
Production
Customer
Product Utilization
Support
Product Manufacture
Facility-to-Customer
Transport
Subsystem
Product Manufacture
Facility-to-Customer
Transport
Definition
Product Manufacture
Facility-to-Customer
Transport
Design
Product Manufacture
Facility-to-Customer
Transport
Construction
Product Manufacture
Facility-to-Customer
Transport
Production
Product Manufacture
Facilty-to-Customer
Transport
Support
Product Manufacture
Facility Transfer
Subsystem
Product Manufacture
Facility Transfer
Definition
Product Manufacture
Facility Transfer
Design
Product Manufacture
Transfer
Construction
Product Manufacture
Transfer
Production
Product Manufacture
Transfer
Support
Product Manufacture
Facility Product
Subsystem
Product Manufacture
Facility Product
Definition
Product Manufacture
Facility Product
Design
Product Manufacture
Facility Product
Construction
Product Manufacture
Facility Product
Production
Product Manufacture
Facility Product
Support
Product Manufacture
Facility Resource
Organization
Subsystem
Product Manufacture
Facility Resource
Organization
Definition
Product Manufacture
Facility Resource
Organization
Design
Product Manufacture
Facility Resource
Organization
Construction
Product Manufacture
Facility Resource
Organization
Production
Product Manufacture
Facility Resource
Organization
Support
Resource Repository
Facility Distribution
Subsystem
Resource Repository
Facility Distribution
Definition
Resource Repository
Facility Distribution
Design
Resource Repository
Facility Distribution
Construction
Resource Repository
Facility Distribution
Production
Resource Repository
Facility Distribution
Support
Resource Repository
Facility Collection
Subsystem
Resource Repository
Facility Collection
Definition
Resource Repository
Facility Collection
Design
Resource Repository
Facility Collection
Construction
Resource Repository
Facility Collection
Production
Resource Repository
Facility Collection
Support
Resource Repository
Facility Reception
Subsystem
Resource Repository
Facility Reception
Definition
Resource Repository
Facility Reception
Design
Resource Repository
Facility Reception
Construction
Resource Repository
Facility Reception
Production
Resource Repository
Facility Reception
Support
Supplier-to-Resource
Repository
FacilityTransport
Subsystem
Supplier-to-Resource
Repository Facility
Transport
Definition
Supplier-to-Resource
Repository Facility
Transport
Design
Supplier-to-Resource
Repository Facility
Transport
Construction
Supplier-to-Resource
Repository Facility
Transport
Production
Supplier-to-Resource
Repository Facility
Transport
Support
Supplier Resource
Release
Subsystem
Supplier Resource
Release
Definition
Supplier Resource
Release
Design
Supplier Resource
Release
Construction
Supplier Resource
Release
Production
Supplier Resource
Release
Support
Supplier Resource
Production
Subsystem
Supplier Resource
Production
Definition
Supplier Resource
Production
Design
Supplier Resource
Production
Construction
Supplier Resource
Production
Production
Supplier Resource
Production
Support
Supplier Supplier Market Individual Supplier
Defining
Core Process
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Supporting
Core Process
Product re-deployed as scheduled.
Serviced product transferred to
customer, and warranty fulfilled as
scheduled.
Product serviced as scheduled.
Replacement resources received
and prepared for product
maintenance as scheduled.
Serviced product transported from
product manufacture facility to
customer as scheduled.
Replacement resources received
(and when necessary temporarily
stored for later use) as scheduled.
Replacement resources
transported from supplier to the
resource repository.
Replacement resources released as
scheduled.
Replacement resources produced
to meet resource repository facility
or product manufacture repository
shipping schedule.
21© 2019 Frank Steeneken - All Rights Reserved
Replacment resources distributed
to the product manufacture
facility as scheduled.
Replacement resources
assembled as scheduled.
22. Terminating Core Process: work to be performed*
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Supporting
Core Process
Terminating
Core Process
Customer Individual Supplier
Customer
Product Utilization
Subsystem
Customer
Product Utilization
Design
Customer
Product Utilization
Construction
Customer
Product Utilization
Production
Customer
Product Utilization
Support
Customer
Product Utilization
Termination
Product Manufacture
Facility-to-Customer
Transport
Subsystem
Product Manufacture
Facility-to-Customer
Transport
Design
Product Manufacture
Facility-to-Customer
Transport
Construction
Product Manufacture
Facility-to-Customer
Transport
Production
Product Manufacture
Facility-to-Customer
Transport
Support
Product Manufacture
Facility-to-Customer
Transport
Termination
Product Manufacture
Facility Transfer
Subsystem
Product Manufacture
Facility Transfer
Design
Product Manufacture
Transfer
Construction
Product Manufacture
Transfer
Production
Product Manufacture
Transfer
Support
Product Manufacture
Transfer
Termination
Product Manufacture
Facility Product
Subsystem
Product Manufacture
Facility Product
Design
Product Manufacture
Facility Product
Construction
Product Manufacture
Facility Product
Production
Product Manufacture
Facility Product
Support
Product Manufacture
Facility Product
Termination
Product Manufacture
Facility Resource
Organization
Subsystem
Product Manufacture
Facility Resource
Organization
Design
Product Manufacture
Facility Resource
Organization
Construction
Product Manufacture
Facility Resource
Organization
Production
Product Manufacture
Facility Resource
Organization
Support
Product Manufacture
Resource Organization
Termination
Resource Repository
Facility Distribution
Subsystem
Resource Repository
Facility Distribution
Design
Resource Repository
Facility Distribution
Construction
Resource Repository
Facility Distribution
Production
Resource Repository
Facility Distribution
Support
Resource Repository
Facility Distribution
Termination
Resource Repository
Facility Collection
Subsystem
Resource Repository
Facility Collection
Design
Resource Repository
Facility Collection
Construction
Resource Repository
Facility Collection
Production
Resource Repository
Facility Collection
Support
Resource Repository
Facility Collection
Termination
Resource Repository
Facility Reception
Subsystem
Resource Repository
Facility Reception
Design
Resource Repository
Facility Reception
Construction
Resource Repository
Facility Reception
Production
Resource Repository
Facility Reception
Support
Resource Repository
Facility Reception
Termination
Supplier-to-Resource
Repository
FacilityTransport
Subsystem
Supplier-to-Resource
Repository Facility
Transport
Design
Supplier-to-Resource
Repository Facility
Transport
Construction
Supplier-to-Resource
Repository Facility
Transport
Production
Supplier-to-Resource
Repository Facility
Transport
Support
Supplier-to-Resource
Repository Facility
Transport
Termination
Supplier Resource
Release
Subsystem
Supplier Resource
Release
Design
Supplier Resource
Release
Construction
Supplier Resource
Release
Production
Supplier Resource
Release
Support
Supplier Resource
Release
Termination
Supplier Resource
Production
Subsystem
Supplier Resource
Production
Design
Supplier Resource
Production
Construction
Supplier Resource
Production
Production
Supplier Resource
Production
Support
Supplier Resource
Production
Termination
Supplier Supplier Market Individual Supplier
Designing
Core Process
Constructing
Core Process
Producing
Core Process
Supporting
Core Process
Terminating
Core Process
* The Defining Core Process is not shown due to lack of space on the sheet.
End of life product transferred to
product manufacture facility.
Product dismantled into re-usable
product resources and/or waste
resources.
Re-usable resources prepared for
shipment to resource repository
and/or waste resources to supplier.
Product utilization ended.
End of life product shipped from
customer to product manufacture
facility.
End-of-life re-usable resources
prepared for return shipment to
supplier.
End-of life re-useble and/or waste
resources shipped from business
enterprise to supplier.
Waste resources taken in by
supplier.
Waste resources recycled or
destroyed by supplier.
22© 2019 Frank Steeneken - All Rights Reserved
Re-usable resources distributed
to resource repository facility.
Re-usable resources kept for
later use.
23. Application of the model
The Model can be applied to all types and sizes of business enterprises. The model is
intended to be used as a standardized template from which the unique characteristics
of a specific business enterprise can be clearly identified. The unique features of
different types of business enterprises may vary, depending on their business model,
size, and product portfolio’s.
All of these differences can be viewed as variations on the common underlying theme
presented in the Model. This allows the Model to be employed as a baseline template
for understanding and defining business functions for business enterprises in an EtO
and PLM environment.
Example 1: the supply chain for products whose components are produced in multiple
manufacturing facilities might have additional steps to complete the end product.
Example 2: the supply chain for products that don’t need to be transported to a
customer location might eliminate the ‘Product Manufacture Facility-to- Customer
Transport’ subsystem layer for that portion of its business.
23© 2019 Frank Steeneken - All Rights Reserved
24. Business Function Decomposition
The overall sequential flow of work performed by each core process determines the
flow of work as it encounters its sequence of business functions. In that context, the
work performed by a given business function is viewed as a sub-process of the overall
core process, and details of the work within the business function appear as lower-
level activities within that sub-process.
The Model provides a framework that clearly defines all business functions that are
essential to the company’s product life cycle and operation. Each of these well-defined
business functions can then be decomposed into lower levels of detail using well-
established process modeling methods and techniques.
24© 2019 Frank Steeneken - All Rights Reserved
25. Organizational Design
The Model’s subsystem/core process matrix can be applied to help design or realign a
company’s organizational structure with its inherent functional structure. This
framework provides a tool for (re)assigning management responsibilities toward the
more clearly defined business functions.
25© 2019 Frank Steeneken - All Rights Reserved
26. Takeaway
This slide deck has provided a picture of the underlying skeletal structure that holds an
EtO business enterprise in a PLM environment together while achieving its goals.
The Model introduces a comprehensive framework for managing the complexity of the
business enterprise structure, and a reusable blueprint for visualizing how such a
business enterprise actually does business.
The Model can be applied to help realign a company’s organizational structure and
business processes, with its inherent functional structure.
The Model’s clearly-defined core-processes and their functions could provide a
powerful baseline for improving business performance.
26© 2019 Frank Steeneken - All Rights Reserved
27. Feedback or questions?
Don't hesitate and contact me!
https://www.linkedin.com/in/businessprocessarchitect/
frank.steeneken@gmail.com
27