Challenges of Implementing a World Class Packaging Operation

1. Challenges of Implementing a World Class Packaging Operation November 11, 2008 Hosted by: Rick VanDyke – Frito Lay Dave Latimer – P&G Damian Stahl - Polytron

2. World Class - End User Performance Criteria Note: Data Based on ARC Survey

3. Steps to Deliver World Class Packaging • Develop the operational vision with a cross functional team • Develop the high level technical approach • Develop equipment and system specifications • Monitor equipment design process and perform factory acceptance tests • Integrate packaging units and operational systems

4. Steps to Deliver World Class Packaging • Validate automation integration at each level in phases: • Equipment and Line HMI and Alarming Systems • OEE Status and Reporting • Quality Systems • Production Scheduling Systems • Production Management Systems (Inventories and Materials) • Automatic Business System Integration • Continuous improvement activities

5. Obtaining the Right Packaging Equipment • Develop a performance based specification tied to the operational vision • Develop a technical specification that defines: • the level of automation and integration • requires and leverages existing automation standards: (i.e. PackConnect, PackML and PackSoft) • Identify suppliers that have: • breadth of industry application experience • new mechatronic capabilities • Quickly identify R&D activities/approaches • i.e. follow strict “proof of principal” methodologies to manage risk

6. Obtaining the Right Packaging Equipment • Have a pre-defined process for supplier selections • address all aspects of the world class operational vision (i.e. Lifecycle Costs, Performance (OEE), Flexibility, Experience, Capability, Technology Transfer and Training, Local Support, etc.) • Partner with the selected suppliers • monitor and manage through the equipment design process • Execute a thorough factory acceptance test • verify all automation and integration requirements • as many of the performance requirements as possible • Conduct a final site acceptance test to verify all performance criteria

7. Integrating the Pieces of Packaging Together S95 Compliant MES/Historian Plant Local Area Network (Historian) May or may not be required. Packaging Line

8. Integrating the Pieces of Packaging Together What is important? • Pre-Defined Expectations (Drives Plant Performance) • What should be available from the machines? • When should it be available? • Who needs the information? • How should the information it be formatted? • Consistent Engineering (Minimizes Implementation Costs) • Consistent Look and Feel of the Human Machine Interfaces (Pack ML State Model) • Consistent Mode and States of Machines (Pack ML) • Consistent PLC Programming Structure • Consistent Tag Names (Pack Tags)

9. Operational Business Systems Considerations • Start from the bottom and work your way up • Focus on high performance with ease & actionable information Integrated Real Time Performance Driven Supply Chain ERPEnterprise Manufacturing and Supply Chain Optimization • Asset Performance (OEE) • Plant Information Management • Product Specification Mgt. • Quality Data Mgt. System Control • Production Schedule • Material Management • Production Performance • Personnel Mgt. Totally Integrated Automation Line Control Integrated Line & Systems HMI Line Networks PLC, DCS, Batch Systems Motion Control Systems Sensors, Actuators Machine Vision Integrated Safety Field Bus Communication Inbound Logistics Process ProductionWork Process Pkg//Wrhs Outbound Logistics

10. For Additional Information • OMAC Packaging workgroup booth at C-65, Grand Concourse • OPW General User Meeting – Nov. 11th, 3-4:30PM South Building, Room S-103D • OMAC Packaging Workgroup website at www.omac.org/packaging • Get a copy of the S-88 technical report at www.isa.org • Get a copy of ISA-TR88.00.02-2008, Machine and Unit States: An Implementation Example of ISA-88 at www.isa.org • Connect-and-Pack tutorial at the OMAC/WBF Conference in May