Application of PLM (Product Lifecycle Management) methodologies to facilitate Lean Manufacturing and Engineering. Particular use of PLM for Lean Product Development and enterprise Value Streams Management

1. David SEGAL
Director,
Industrial Equipment Industry Market Development
Dassault Systèmes

2. Agenda - Built “Top-Down”:
Copyright Dassault Systèmes – 2010 – All rights reserved

3. To succeed in this market….
Customers demand: Manufacturers challenge:
More value, service and product How focus on customer needs and still
performance for lower price remain profitable?
Line integration for requirements More value, service and product
and regulations performance at lower cost
Post sale asset management
Innovation for more complex products
On-site engineering support
and faster time to market
More complex products Manage global supply chains and
Multiple systems extended value streams
Multiple product configurations Innovate to respond to the industry
Etc… evolution and emerging markets
Enable sustainable growth

4. Focus on product value streams
 At core of lean principles is a focus on what customers want, identifying
anything that doesn’t add value in providing a product or service
(waste), and then eliminating or minimizing those wastes.
 Hundreds of activities, processes and inputs bring a product or service to
market (i.e., a value stream).
 Value streams run from the furthest supplier out to end customers, with
inputs from many functions (sales, procurement, development, etc.)
 Value-stream view of processes:
asking whether each step adds value for the end customer, or does a step
actually waste time, movement, or resources?

5. Lean, in a nutshell
FORD (H. Ford) 1913 GM (A.Sloan) +/- 1930 Toyota, Taiichi Ohno +/- 1950 James Womack, 1990
THE LEAN PRINCIPLES TYPES OF MUDA (waste)
1) Precisely specify value
2) Identify value stream
3) Make value flow without
interruptions
4) Let customer pull value
5) Pursue perfection
www.vision-lean.com

6. Value Stream Management
Starts with understanding of Customer Values
Customer values differ from customer requirements
Requires the development of core systems
that ensure the ability to create these values:
Value Stream Knowledge
Mapping Manufacturing Capitalization
So , Value Stream Management can be defined to be…
Distribution Procurement
Sales
Product
Marketing
Development
Engineering Regulatory

7. Value Stream Management
Value Stream Need for a Systemic View Knowledge
Mapping Capitalization
Complexity of conflicting values
Dependency and
interrelationships
Changes and transformation
of values
Collaborative
Unified
Management
Vision
Environment

8. PLM and Value Stream Management
Aligning value streams to customer and business needs
“The difference between profitable and unprofitable value streams is how
much usable knowledge is created and delivered by development.
So, the primary wastes in development are connected to
knowledge, not physical transformation.”
Allen Ward, Lean Product and Process
Development, The Lean Enterprise
Institute, March 2007.
Typical Value Stream
Driven by Lean Manufacturing…
Teams tend to
97% Non VA 3% VA evaluate processes
by focusing only on
actions where
Most process improvement teams
something is being
attack this (Value Activities) done to the product
97% Non VA Achieve this …
And ignore this

9. PLM and Value Stream Management
Aligning value streams to customer and business needs
“The difference between profitable and unprofitable value streams is how
much usable knowledge is created and delivered by development.
So, the primary wastes in development are connected to
knowledge, not physical transformation.”
Allen Ward, Lean Product and Process
Development, The Lean Enterprise
Institute, March 2007.
Typical Value Stream
Driven by Lean Manufacturing…
Teams tend to
97% Non VA 3% VA evaluate processes
by focusing only on
actions where
something is being
done to the product
 Knowledge-Based Process Automation
 Knowledge-Based Product Engineering

10. PLM and Value Stream Management
Knowledge-Based Process Automation and Engineering
Impact on R&D and Design
Global, Complex, Multi-discipline Engineering and
development costs control
Impact on sourcing/supplier management
Global Collaboration across supply chain for NPI and
ETO processes
Impact on manufacturing
Production lines balancing, simulation and automation
Impact on distribution
Global inventory and assets management
Impact on customer service and support
Voice of the Customer and early product experience in the
Engineering process (Digital roll-out)

11. PLM 2.0 for Lean Engineering
“A Global
Development
Environment
that provides value-
streams optimization
Experience from Bidding to
Commissioning and
Lifelike Experience to
Produce
deliver
Experience First Time Right
Innovative and
Sustainable Products”
Collaborate
Simulate Design
©Dassault Systèmes 2009– Customer and DS Channels personal use only

12. People PLM 2.0 for Lean Engineering
Devices/Products/Services
Lifelike Experience
Collaborative Innovation
IP Modeling & Simulation
Realistic Digital
Virtual Design Manufacturing
Simulation
& Production
Middleware platforms
12
©Dassault Systèmes 2009– Customer and DS Channels personal use only

13. Industrial Equipment Domains Overview
Enterprise
Business
Processes
Systems
Engineering
Processes
Product
Engineering
Processes
Manufacturing
Processes
Service &
Support
Processes

14. Industrial Equipment Roles
Services
Technical
Writer
Production
Engineer
Instructions
Designer
Customer
Resource
Programmer
Tooling Designer Sales
Process Planner
Project
Manager
Quality
Engineer Product
Manager
Simulation Systems Standard Manager
Suppliers Engineer Engineer
Controls Mechanical
Engineer Engineer
Buyer Standard Designer
Electrical Engineer Fluidics Engineer

15. Industrial Equipment Value Activities
Project Design Start Of Product Manuf. End Of
RFX Order Validation Validation Ship Deliver
Carry Over Validation Prod. Life
1
Customer Product Systems
Architect Engineer
Sales
Mechanical
Engineer
Product
Manager
Electrical
Engineer
Project
Manager
Controls
Engineer
Buyer
Bidding Phase Standard
Fluidics
Engineer
Manager

16. Industrial Equipment Value Activities
Project Design Start Of Product Manuf. End Of
RFX Order Validation Validation Ship Deliver
Carry Over Validation Prod. Life
2
Customer Product Systems
Architect Engineer
Sales
Mechanical
Process Planner
Engineer
Product
Manager Quality
Tooling Designer
Electrical Engineer
Engineer
Project
Manager Resource
Programmer
Controls Suppliers
Engineer
Buyer
Detailed Design Standard
Fluidics
Engineer
Phase
Manager
Simulation
Standard Designer
Engineer

17. Industrial Equipment Value Activities
Project Design Start Of Product Manuf. End Of
RFX Order Validation Validation Ship Deliver
Carry Over Validation Prod. Life
3
Customer Product Systems
Architect Engineer
Sales
Mechanical
Process Planner
Engineer
Product
Manager Quality
Tooling Designer
Electrical Engineer
Engineer
Project
Manager Resource
Programmer
Controls Suppliers
Engineer
Buyer
Instructions
Production Phase
Designer Technical
Fluidics Writer
Standard Engineer
Manager
Simulation Production
Standard Designer Services
Engineer Engineer

18. Industrial Equipment Value Activities
Project Design Start Of Product Manuf. End Of
RFX Order Validation Validation Ship Deliver
Carry Over Validation Prod. Life
4
Customer
Sales
Product
Manager Quality
Engineer
Project
Manager
Suppliers
Instructions
Implement & Maintain
Designer Technical
Writer
Phase
Production
Services
Engineer

19. Industrial Equipment Processes Overview
Project Design Start Of Product Manuf. End Of
RFX Order Validation Validation Ship Deliver
Carry Over Validation Prod. Life
Products Portfolio & Requirements Management
Enterprise Projects Management
Regulatory Management
Quote to Order
Management
Suppliers & Sourcing Management
Systems Engineering
Product Architecture & Synthesis
Structure & Body Design
Mechanical Design
Enterprise
Business Analysis & Simulation
Processes Systems
Engineering
Processes Product Virtual Commissioning
Product
Engineering
Processes Manufacturing & Production Operations
Manufacturing
Processes
Service & Service & Support Engineering / Operations
Support
Processes

20. PLM supports value-stream continuous improvement
Applying continuous improvement across a value
stream relies on basic lean principles:
Minimizing waste
Lowering costs
Improving productivity
Enhancing revenue generation through better use of assets
Improving ROI
PLM enables efficiency fundamentals:
System Stability - All participants need to access a
single, consistent data source
Process Standardization - Definition and capture of standard
reference processes is a must in a value stream
Correction and Improvement - Problems and improvement
opportunities should be identified, analyzed, and eliminated quickly

21. PLM supports value-stream continuous improvement
“In some cases, application of
Lean Principles has
provided a 60-70% reduction in
product development time.”
Clifford Fiore, Accelerated Product Development,
Productivity Press, New York, 2005
Metrics Improvement
Product “Lean Product Development offers
Development 60-70% reduction by far the greatest potential for a
Cycle Times competitive advantage for any
Bid-Win strike rate From 10 to 40 % consumer driven company and is a
Time to design 20-30 % reduction critical component in dealing
with the many environmental
Engineering change
10 -20 % reduction challenges that all companies must
process cycle time
now take into consideration.”
Time to The Toyota Product Development
10-15 % reduction
Manufacture System, Morgan & Liker, 2006.
Time to find
50-60% reduction
information
Design errors 50 -60 % reduction

22. DI

23. David SEGAL
david.segal@3ds.com
@davesegal28
/in/davesegal
“David Segal PLM”
Dassault Systèmes

24. Dassault Systèmes

25. Impact on sourcing/supplier management
Participation in new-product development:
“Managing Supply Chains for Growth and Efficiency,” Industry Week and IBM Global Services, January 2008.

26. Impact on customer service and support
Collaborative Design with Suppliers and Customers
Source: 2009 MPI Manufacturing Study, Manufacturing Performance Institute, 2009.

27. Video

28. Impact on R&D and Design
Collaborative Multi-discipline Engineering