Presented By: Juli Cates Katrina Farris Jacob Farris

Presented By: Juli Cates Katrina Farris Jacob Farris PowerPoint PPT Presentation


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History. Founded in 1903 by William Harley and Arthur DavidsonIdea was to take the work out of bicyclingBy 1920

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Presented By: Juli Cates Katrina Farris Jacob Farris

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1. Presented By: Juli Cates Katrina Farris Jacob Farris

2. History Founded in 1903 by William Harley and Arthur Davidson Idea was to take the work out of bicycling By 1920 – Largest motorcycle company in the world By 1998 – 150,818 motorcycles were shipped out

3. Mid-1980’s – Brink of bankruptcy Small in comparison with Japanese rivals Development of a corporate-wide supply management strategy (SMS) Integration of a software provider Time for Change

4. Software Provider Selection: Decision Criteria And Evaluations Functional Criteria Design & foundation Request definition Documentation Receiving Supply management Project tracking Miscellaneous Interfaces Training Other Qualitative Criteria Long-term relationship potential R & D Training approach Implementation/Education/Change management methodology Understanding requirements Enabling SMS Out-of-the-box fit Financial Viability Cost Technical Support Offerings Overall functionality Number of partner providers Architecture compatibility Platform portability Web functionality “to go” Manufacturing experience

5. Which factors would you be inclined to weight most heavily? Functional Criteria Design & Foundation Documentation Supply Management Project Tracking Training Qualitative Criteria Research & Development Training Approach Enabling the SMS Technical Support Offerings Overall Functionality

6. Comparison of Providers Provider 1 Attentive to the needs of Harley-Davidson Knowledge of software Match of culture team wearing Harley-Davidson shirts Pro’s Paid attention to the dynamics of the customers Con’s Wanted to sell the fact they wanted to win the job.

7. Provider 2 Very formal “shirt-and-tie approach” Major strength in software product Pro’s Provided “walk-arounds” where they worked around potential problems. Con’s Highest Costs More hierarchical Comparison of Providers

9. Which provider would you select? Why? Provider 2 Highest functionality with a 98.7% fit. Perfect presentation Extremely professional Web-enabled interfaces Provided potential problem scenarios

10. Plan 2003 Predicted Benefits of the SiL’K team. SiL’K Implementation Phases Critique Harley’s change program. Harley-Davidson wanted to partner with a software provider in order to develop an enterprise-wide procurement and supplier management system. One of the key elements in this process was making sure to choose a provider with a software system that would functionally fit what Harley-Davidson wanted. Plan 2003 was a vision in which production would increase capacity significantly over the next 8-years by Harley-Davidson’s 100th anniversary. The case did not elaborate on how they planned to make this vision reality. The SiL’K was brought together by shop-floor employees and executives to examine what exactly was required of a new software provider. They developed the implementation phases and a list of predicted benefits from the new software system.Harley-Davidson wanted to partner with a software provider in order to develop an enterprise-wide procurement and supplier management system. One of the key elements in this process was making sure to choose a provider with a software system that would functionally fit what Harley-Davidson wanted. Plan 2003 was a vision in which production would increase capacity significantly over the next 8-years by Harley-Davidson’s 100th anniversary. The case did not elaborate on how they planned to make this vision reality. The SiL’K was brought together by shop-floor employees and executives to examine what exactly was required of a new software provider. They developed the implementation phases and a list of predicted benefits from the new software system.

11. Predicted Benefits of SiL’K People – Changes in behaviors that affect the way work is done. Reduced non-strategic staff time & tasks Elimination of duplicate data entry Supplier Development Increase in strategic procurement activities Process – Changes in methods used to get work done. Reduced procurement cycle time Reduced manual activity Increased supplier integration in procurement process Reduced confusion in supply base caused by site-specific processes The team predicted three benefits for Harley-Davidson which would occur when the new procurement system was implemented. 1st Benefit – Employees of Harley-Davidson. It would allow employees to focus more on their duties and they could work more efficiently. 2nd Benefit – affect how employees process their work. The team predicted three benefits for Harley-Davidson which would occur when the new procurement system was implemented. 1st Benefit – Employees of Harley-Davidson. It would allow employees to focus more on their duties and they could work more efficiently. 2nd Benefit – affect how employees process their work.

12. Predicted Benefits of SiL’K Con’t. Technology – Changes in tools used to get work done. Data consolidation for decision making Increased supplier access to quality, cost, timing, and demand data Reduced complexity through common tools and systems Reduced system maintenance and obsolescence costs

13. SiL’K Implementation Phases Phase 1: Transaction Processes/Systems Requirements/Requisitions/Timing Creating Purchase Documents (Ordering) Receipts/Tracking Invoice Processing Phase 2: Supplier Information Processes/Systems Supplier Performance Reporting Supplier Communication and Integration Contact management Phase 1 – the processes and systems that would be used to support the execution of fundamental purchasing activities. These activities include details such as the requirements of requisitions and the time it would take to push through the system. Phase 2 – include processes and systems used to manage supplier relationships and the information exchange within the supply web.Phase 1 – the processes and systems that would be used to support the execution of fundamental purchasing activities. These activities include details such as the requirements of requisitions and the time it would take to push through the system. Phase 2 – include processes and systems used to manage supplier relationships and the information exchange within the supply web.

14. Phase 3: Project-Tracking Processes/Systems Concurrent Product and Process Delivery Methodology Product Planning Resource Allocation Target Costing Build and Launch Readiness SiL’K Implementation Phases Con’t. Phase 3 – include the processes and systems that support the purchasing activities. By distinguishing three phases of the implementation process, the functionality of Harley-Davidson became a top priority. They wanted to make sure this new software system would be effective for all departments in Harley-Davidson. Phase 3 – include the processes and systems that support the purchasing activities. By distinguishing three phases of the implementation process, the functionality of Harley-Davidson became a top priority. They wanted to make sure this new software system would be effective for all departments in Harley-Davidson.

15. What is your overall assessment? Did it take too long? Good process, very elaborate Incorporated all functional areas in the decision process Evaluation time allowed Harley-Davidson to critique themselves as well as all software providers.

16. Was it too functionally focused? Being functionally focused was one characteristic of a software provider that Harley-Davidson required. Projected Benefits & Implementation Phases helped focus on functionality.

17. We believe the process Harley-Davidson implemented was successful. They applied the concept of self-directed teams from the factory floor instead of letting the high-up managers to make all the decisions. Shorten decision process time

18. Thank You! Questions???

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