971655 許峻瑋

1. Knowledge in implementing/managing the IS/IT projectCASE-The Brose Group Implements Page.396-398 971619 徐浩翔 971640 王嬿淳 971627 黃筱軒 971652 蔡玠辰971632 蘇巧如 971655 許峻瑋971634 曾柏韜 971659 魏正琪971636 林瑋軒

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3. The Brose Group Implements SAP – One Site at a Time (1) • The Brose Group supplies windows, doors, seat adjusters, and related products for more than 40 auto brands. • In the 1990s, Brose enjoyed rapid growth but found that existing information system were unable to support the company’s emerging needs. • Too many different information systems meant a lack of standardization and hampered communication among suppliers, plants, and customers.

4. The Brose Group Implements SAP – One Site at a Time (2) • Brose decided to standardize operations on SAP R/3, an ERP application licensed by SAP that supports more than a thousand different business processes. • The Brose/SAP Consulting team decided on a pilot approach. • The team constructed the implementation to be used as a prototype for installations at additional plants.

5. The Brose Group Implements SAP – One Site at a Time (3) • The first time that Brose/SAP consulting team installed system was in a new plant in Curitiba, Brazil. Developing the first implementation was no small feat, because it involved information systems for sales and distribution, material management, production planning, quality management, and financial accounting and control. • The second implementation, in Puebla, Mexico, required just 6 months for first operational capability. • And the next implementation, in Meerane, Germany, was operational in just 19 weeks.

6. The Brose Group Implements SAP – One Site at a Time (4) • Modern manufacturing seeks to improve productivity by reducing waste, which means eliminating ： -- Overproduction that leads to excess inventories -- Unavailable needed and parts, which idle workers and facilities -- Wasted motion and processing due to poorly planned materials handling and operations activities Manufacturing that eliminates these wastes is called lean manufacturing.

7. The Brose Group Implements SAP – One Site at a Time (5) • To accomplish lean manufacturing, SAP has invented a business process it calls just-in-sequence（JIS）manufacturing. • JIS is an extension of just-in-time（JIT）, the pull manufacturing philosophy. • Parts not only arrive just in time, but also arrive in just the correct sequence. • To achieve JIS, Brose used SAP R/3 combined with a supplementary SAP module called SAP for Automotive with JIS.

8. Question 1 Reflect on the nature of JIS planning. In general terms, what kinds of data must Brose have in order to provide JIS to its customers? What does Brose need to know? It certainly needs a bill of materials for the items it produces. What other categories of information will Brose need?

9. What does Brose need to know? (1) • What kinds of data that will be used in the production. -- the name of Parts -- the quantity of Parts -- where the parts will be used -- when the parts will be needed -- what categories the parts belong -- products pattern

10. What does Brose need to know? (2) • What other categories of information will Brose need -- product scheduling -- the bill of materials specifying the components needed for the product being made -- the time that product manufacture cost

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12. Question 2 According to the description on page 396, the SAP system included applications for sales and distribution, materials management, production planning, quality management, and financial accounting and control. Describe, in general terms, features and functions of these applications that are necessary to provide JIS.

13. The Description of JIS • Just in Sequence (JIS) is an inventory strategy that matches Just In Time and complete fit in sequence with variation of assembly line production. • When implemented successfully, JIS improves a company's return on assets (ROA), without loss in quality or overall efficiency. • JIS is mainly implemented with automobile manufacturing.

14. The Efficiency of Sequencing • The sequencing allows companies to eliminate supply buffers as soon as the quantity in component part buffers necessary is reduced to a minimum. • If not sequencing according to scheduled variety of production, all required components must be stocked in buffers.

15. Implementing JIS concepts • A production sequence or final assembly sequence must be shared upwards to suppliers and sub-contractors. • Feedback to customers must be organized according to the scheduled output to earn all positive financial effects. • For this reason, the actual production sequence must be "broadcast" out to all relevant parties once it is firm.

16. Limitations of JIS • In many manufacturing operations, the actual production sequence cannot be planned ahead of time with enough certainty to enable sequencing. • The main reason is that some manufacturing processes require re-work frequently so that a scheduled sequence becomes irrelevant.

17. The Features and Functions of Sales and Distribution • The turnkey solution for the integrated handling of all tasks for sales, shipping and billing. • This covers (1) fix a price (2) enter customer orders (3) set up deliveries (4) update stock levels (5) pack (6) monitor delivery (7) report on customers’current balances (8) manage all billing and accounts receivables (9) risk management

18. Features and Functions of SD that are necessary to provide JIS (1) set up delivers -- When the delivery was set up, it will send a signal to production planning. (2) update stock levels -- When finding out the inventory is not enough, it will send a signal to material management.

19. The Features and Functions of Material Management • It can deal with logistics that deal with the tangible components of a supply chain . • It covers (1)acquire spare parts and replacements (2)control the quality purchasing and ordering such parts (3)the standards involved in ordering, shipping, and warehousing the said parts.

20. Features and Functions of MM that are necessary to provide JIS (1)acquire spare parts and replacements --Materials management notifies the suppliers of the material requirements and the sequence in which they will be needed.

21. The Features and Functions of Production Planning • Production planning performs capacity planning and creates a daily/weekly/monthly production schedule for a company’s manufacturing plants. • It involves (1)forecast (2)schedule production (3)plan material

22. Features and Functions of PP that are necessary to provide JIS (1)schedule production -- Production planning uses the demand signal to schedule product production.

23. The Features and Functions of Quality Management • The system for quality assurance in all areas of the logistic chainthroughout their entire product life cycle and react quickly when unexpected issues arise. • It covers (1) plan quality (2) inspect quality (3) certificate quality (4) notify quality (5) control quality (6) test equipment management

24. Features and Functions of QM that are necessary to provide JIS (1) inspect quality (2) certificate quality -- Quality Management needs to inspect and certificate the quality of components. Improper components won’t be used even though they reached the customers at the right time, in the right sequence.

25. The Features and Functions of Financial accounting • Handle all your financial transactions in one system, with comprehensive tools and reports. • Itinvolves (1)handlefinancialtransactions,includinggeneral ledger, journal entries, budgeting (2)setupaccount

26. Features and Functions of FI that are necessary to provide JIS (1)handlefinancialtransactions,including general ledger, journal entries, budgeting -- When transactions occur, Financial Accounting need to make records for them.

27. The Features and Functions of Controlling • It covers (1)provide all function activities from controlling and planning, such as budget planning (expense) and sales planning (income) (2)provide standard reporting system in coordinating all finance/accounting internal process and documents.

28. Features and Functions of CO that are necessary to provide JIS (1)provide all function activities from controlling and planning -- Controlling Module controls the sequence to ensure components reach customers at the right time, in the right sequence.

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30. Question 3 The Brose factory in Brazil produces more than doors for General Motors.The factory must coordinate the door orders with orders for other products and orders from other manufacturers.What kinds of IS are necessary to provide such coordinated manufacturing planning?

31. Outline • IS that provide coordinated manufacturing planning1. Manufacturing Execution Systems (MES) ♦ What is MES ♦ Function of MES2. Advanced Planning and Scheduling (APS) ♦ What is APS ♦ Function of MES • Compare MES & APS ♦ Similarity ♦ Difference

32. What Is MES • MES is an modular information system that can manage operations from receiving the order, internal production began to product completion, planning and coordinating all production activities. • It can make products on-time delivery, improve inventory turns by making manufacturing schedule. • When production activities in an emergency, you can also provide on-site emergency treatment information.

33. Function of MES • Function for coordinated manufacturing planning :1. Manufacturing/Operations Scheduling Collecting and analyzing data from orders, and concluding useful information like priority or characteristic of orders. Then making manufacturing scheduling by those information. 2. Dispatching production orders Assigning operations that are necessary. Allow modifying schedule that has made if there had any exception event occurring.

34. What IsAPS • APS has powerful manufacturing planning and scheduling functions. Because it uses many progressive management planning techniques, including Theory of Constraints (Theory of Constraints, TOC), Operations Research (Operations Research, OR), genetic algorithms play (Genetic Algorithms, GA), etc. • It’s used to support and coordinate the manufacturing planning-related decisions. Limited resources, the pursuit of the balance between supply and demand planning; the same time, the use of information storage and analysis capabilities in the shortest possible time, to achieve the most effective planning.

35. Function of APS(1) • Function for coordinated manufacturing planning : 1.Synchronized planning According to business objectives, while considering the company's overall supply and demand conditions, it makes supply planning and demand planning.2. Optimization planning At the same time taking into consideration corporate limits, to work out a feasible and optimized manufacturing planning.

36. Function of APS(2) 3. Real-time planning Collecting a variety of real-time production data and real-time analysis and planning immediately, so planners can deal with many unexpected situations. It can deal with exception event such as delays in the supply of materials or emergency plug single immediately and quickly.4. Provide decision support capabilitiesAPS predicted by simulation, and analysis tools available will help planners to use in the analysis, and then made ​​the right decisions.

37. Compare MES & APS(1) • Similarity：

38. Compare MES & APS(2) • Difference：

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40. Question 4 Brazilians speak Portuguese, workers in the United States speak English and Spanish, and personnel at the Brose headquarters speak German. Summarize challenges to Brose and SAP Consulting when implementing a system for users who speak four different languagesand live in (at least) four different cultures.

41. Challenge Aspects : • Language Differences • Cultural Differences

42. Language Differences(1) 1.Communication and understanding problem : Cause : users may not understand how to operate system Solution : need to provide multi-languages functions, but some translation may not be very accurate.(e.g. computer=laptop=desk-top computer=notebook but laptop focus on putting it on the lap, desk-top computer usually put on the desk, notebook is focus on it's portable ,even it means all the same thing, but it focus on different things. Cause Americans call it based on it's use.)

43. Language Differences(2) 2.Accent problem : Cause : users may make misunderstanding when contacting company talking about the system problems Solution: use automatic online translators (Portuguese、English、German、Spanish) or use emails instead of phone. (link – someone is asking for help and saying “we are sinking”, but the one get this message heard wrongly as the word “thinking”, so he asked what are you thinking about?)

44. Language Differences(3) 3. Dialect problem : Cause : users may make misunderstanding or not understand when contacting company talking about the system problems Solution : use each country's official language, rather than 1 standard language(e.g. Brazil use Portuguese ; Germany use German ; USA use English )and use automatic online translators (Portuguese、English、German、Spanish)

45. Cultural Differences(1) • Thoughts problem : Jokes 1: If there’s a fly in the beer, Chinese may drink it half then ask for compensate , then do it again at next store, put fly in the beer ; American will find lawyer immediately ; French won’t pay ; England people may say something humorous ; but German may pick fly out ,and test seriously whether there are germs in the beer. (link)

46. Cultural Differences(2) Joke 2 :If losing one dollar in the street , Chinese spit and say the one who pick it up then buy some medicine; American may call police, report case and left phone number, then leaving with chewing gum; England people never panic, just walk away gentlemanly; Japanese must hate himself without carefulness, and Examines himself repeatedly at home;German may draw coordinate within losing 100 meter square , and using magnifier to search it .(link)

47. Cultural Differences(3) 1.Thoughts problem : Cause : theways users operate system may different Solution : Ask them why they do things this way, maybe the system need to correct to be more simple to use ,train users how to use, and communicate more(e.g. of communicate more : Make presentation, e-mail, write reports…etc.)

48. Cultural Differences(4) 2. Habits problem : Cause : theways users operate system may different (e.g. Germans are more careful than others) Solution : make guidelines for operating system and train users how to manipulate system

49. Cultural Differences(5) 3.Management form problem : Cause : Brose headquarters may cause management system failure Solution : There are 3 management types : 1.Arbitrary 2.democracy 3.mixed Choose what it suits for users, and train users how to manage and maintain system .

50. Cultural Differences(6) 4 . Emphasize on products problem : Cause : the needs of function when users operate system may different. Solution : After hearing all users’ opinions, making the best method to fit different needs.(e.g. US focus on efficiency , but Germany focus on quality, then find a way to manage system and produce very few defection to make it safely and high production.)