Commonality Tool Overview

Commonality Tool Overview PL5M, PLC2, & PL83 part commonality recommendation process and tools

Commonality Tool Overview Agenda • Commonality Tool Development Process • Commonality Recommendation Process • Common PL83 & PLC2 PCA Analysis Example • Questions? Katy Whitcher T:360-212-6304

Commonality Tool Development Process Identify all Costs Drivers Associated With Unique Designs of Chunks Identify Functional Design “Chunks”* Validate Algorithms in Tool with Key Stakeholders Identify “Chunks” with Common Function Across Designs Estimate Cost Driver Magnitudes and Prioritize Based on Agreed to Cut-off Agree on Process for Applying Tool and Map to PLC Determine Which Chunks can Feasibly be Made Common (Constraints such as ID). We broke the chunks into two groups EE and ME. Develop Tool to Compare Cost of Unique “Chunks” to Cost of Common “Chunks” *Chunks describe the set of components that perform a specific function Katy Whitcher T:360-212-6304

Chunk List for PL83, PLC2, & PL5M Carriage board Main Logic Board Digital ASIC Analogue ASIC Power Supply Sensors Scan Module Fax Module Control Panel Servo/Motors Chassis’ Case Parts Service Station Paper Path Carriage IDS Trays Carriage Flex Main Wiring Harness Cables (other) Electrical Components Firmware Writing Systems Katy Whitcher T:360-212-6304

EE Engineering* Main Logic Board Digital ASIC Power Supply Sensors Control Panel - LCD Electrical Components ME Engineering* Trays Main Wiring Harness Cables (other) Firmware Writing Systems I-Mix Opportunity Product schedule Platform schedule Platform schedule Product schedule Product schedule Product & Platform schedules Platform schedule Platform schedule Platform schedule Platform schedule Platform schedule Chunk List with Commonality Opportunities *We simplified the tool development by combining “chunks” into similar design categories, EE & ME Katy Whitcher T:360-212-6304

Assembly Time Common fixtures VPP & HPP CM head count CM MOH savings HP head count VPP Logic PCA - $30 Newport Plus Logic PCA - $30 CaBo&Newport Better negotiation of DM$ +$ CM labor MOH CM space Inventory mgmt. RMA PCA return EOL exposure Service & support Video Board $20 Doesn’t change with current policies Inventory stocking Logic PCA - $40 CaBo -$ Increase in DM HPP + Improves – 1 P/N v.s 3 P/N Ease of mgmt Video Board - $10 +$ Qualification needs to be done only once NRE changes Legend PCA process development Included in commonality analysis tool Qualification QD test savings, PCA qual FW roll happens on common board Design quality Solving qty issues AOS management simplify Cost/Benefit Framework for EECommon PCA Example Katy Whitcher T:360-212-6304

Cost/Benefit Framework for MECommon Input Tray Example Potential to reduce # of tools Tooling $ Effect tool design cost VPP Tray Raw material Economies of scale (I.e. id same resins are used Set-up, downtime Molding Economies of scale Common Tray HPP Tray Assembly cost Inventory stocking Does not change with current policies Leverage, shorter LT to qualify Subsequent tools Development/qualification time Learning can be quickly transferred to subsequent PLs AiO Tray (reuse procedure & training simplify AOS/Inventory Mgmt. Supplier MOH Ability to cater to mix shift changes Quality If DM issue will impact all PLs Legend Included in commonality analysis tool Packaging Standardized package may save $ Ease of mgmt. Reduce part numbers from re-use partners Need to add effect of manufacturing in multiple regions Change in DM$ Service&support Katy Whitcher T:360-212-6304

Cost Driver Prioritization Eliminate insignificant or uncontrolled cost drivers • Prioritization Steps • Agree to significant ranges for cost drivers. • How many • Step size • Assign range to each cost driver. • Agree on the cut off range for including a cost driver in the model. • Discuss each cost driver above the cut-off for inclusion in the model. • Is the cost driver quantifiable? • Is it something we can predict? • Decide if the items should be included in the model. Katy Whitcher T:360-212-6304

The “Intermediate Calcs” spreadsheet allows the user to identify which unique parts can be combined into common parts. Default values for WOS, scrap, salvage value, and IDC rate are also set on this spreadsheet. Sensitivity of the cost comparison can be performed on product volumes, DM cost, inventory management plans (WOS & scrap) and impact of expediting components via air shipments using the “Sensitivity” spreadsheet.. DM cost, engineering resource investment, out sourcing costs, supply chain information, and life plans for the different scenarios are entered into the “Inputs” spreadsheet. Commonality Tool Overview The Commonality Tool is a set of Excel spreadsheets that convert user entered part DM, resource usage, supply chain management, and NPI data for a variety of part selection scenarios into a total cost comparison of the scenarios. Katy Whitcher T:360-212-6304

Commonality Tool Recommendation Process Platform PLC D/O I/L L/P MR Various Program PLC’s D/O I/L L/P MR Cross Platform I-Mix Schedule & Deliverables At Platform D/O: Present commonality recommendations to Platform Team By 1st Program D/O: Recommendations to Program Teams (HPP or AIO Program) By 1st Program I/L: Validate data in commonality tool & ensure PL and Program Teams aligned By Program MR: Finalize I-Mix cost benefits for IPMO/PL M/R Checkpoint Presentations Katy Whitcher T:360-212-6304

Detailed Recommendation Process Flow Katy Whitcher T:360-212-6304

Common PLC2 & PL83 PCA Example PIP Common Electronics Investigation

Commonality Investigation Process Overview • Feasible Options • Input data for each unique and common design • Choose unique designs to combine into a common design. • Perform sensitivity analysis. Unique Design Common design candidate Katy Whitcher T:360-212-6304

PIP ’05 Common Electronics Investigation • Current POR. On-board DPS for PIP-N and on-board card slots for PIP-S. PIP-N PCA PIP-S PCA DPS DPS Card Slots $2.00 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $2.40 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $3.00 for card slots Katy Whitcher T:360-212-6304

PIP ’05 Common Electronics Investigation • Option 1 – Common design with PIP-N implementing subset of PIP-S schematic or PCA Assume no added R&D to design and maintain common schematic. This is current default and savings over previous years, (enabled by common ASIC and collaboration). PIP-N PCA PIP-S PCA DPS DPS No Loador remove Card Slots $2.90 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $3.00 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $3.00 for card slots Katy Whitcher T:360-212-6304

PIP ’05 Common Electronics Investigation • Option 2 – Common design with modular card slots Same as option #1 with connectors for card slots. PIP-N PCA PIP-S PCA DPS DPS Card Slots connector connector connector $2.90 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $0.40 for connector $3.00 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $3.00 for card slots $0.80 for connectors Katy Whitcher T:360-212-6304

PIP ’05 Common Electronics Investigation • Option 3 – Common design and PCA with USB card slots PIP-N PCA PIP-S PCA Card Slots DPS DPS connector connector connector $2.90 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $0.02 for connector $3.00 for PCB $16.00 for components – Z-lite & Del Sol $0.25 for Pict Bridge $3.00 for card slots $1.50 for USB interface and connectors Katy Whitcher T:360-212-6304

Commonality Tool Overview