Agile PLM Overview and Oracle EBS Integration

Agile PLM Overview and Oracle EBS Integration Mark Cummings, PhD Senior Business & Technology Consultant Oracle Enterprise PLM January 16, 2009

Agenda • Agile PLM Overview • Oracle Enterprise PLM (EPLM) Solution • Oracle E-Business Suite Integration • Agile PLM Process Flow • Oracle EBS Process Flow • Business Value Summary

Today’s Dynamic EnvironmentThe Case for Enterprise PLM Explosion of New Products More and More Product Launches = + + Shorter Product Cycles & LifeSpans Acquisition Integration More Complex Product Portfolios to Manage Accelerating Rates of Globalization & Outsourcing • Web 2.0 • BPA, BPM, ESB • Business Intelligence • Technology Acceleration • SOA Adoption • Grid Computing Technology Evolution

The Core Problem Disparate Data,Processes, and Systems SUPPLIERS DESIGN OUTSOURCED PARTNERS CAD ECAD Quark MCAD Adobe SW SCM SCM ERP ERP CUSTOMERS Design Design Design REGULATORY Samples Samples Samples Briefs Briefs Briefs Build BODIES Package Package Packages Designs Designs Submission Material & Submission Value Chain Substance Data Files Files Artwork Artwork Design BOMs, AMLs Files Files Files Formulas Formulas Enterprise Quality Audits Ideas Ideas ECOs Specifica Specifica Requirements & Specs LEGAL & CA MARKETING tions tions CAD CAD CAD Models Models Models Notes Notes EDMS EDMS Access Access Project Project Excel Excel PROCUREMENT R&D (EUROPE) R&D PRODUCTION ERP ERP R&D (ASIA) Excel Excel Recipe Recipe (US) Mgmt Mgmt CAD CAD SCM SCM MES MES ERP ERP Spec Spec MCAD MCAD DB DB

Consolidated Product Record Testing Artwork Testing Artwork Facilities Houses Facilities Houses Outsourced Outsourced Suppliers Suppliers Partners Partners Adobe Adobe Quark Quark LIMS LIMS CAD CAD MES MES ERP ERP ERP ERP Excel Excel SCM SCM Regulatory Regulatory Consumers Consumers Bodies Bodies Value Chain Retailer Brand Brand Service Analyst Managers Managers Logos Complaints Ideas CRM Concept Briefs Product Pack Quality Quality Product Product Sourcing Managers Sourcing Manager Test LIMS Developers Developers Managers Managers Compliance Data Formul Costs HCM FIN Documents ation ECAD Site MCAD Specs Specs MES Recipe ERP Single Source of Truth for Product Information throughout the Product Lifecycle

Product Record Content • Conceptual Drawings • Schematics and Layouts • 2D and 3D Drawings • Software and Firmware • Spec Sheets, Manufacturer Parts, and Approved Manufacturer Lists (AMLs) • Integrated Cross-Disciplinary BOMs (ECAD, MCAD, SW) • Material Cost, Non-Material Costs, and AVLs • Hazardous Substances, Specifications, and Declarations • Engineering, Manufacturing, and Document Change Orders • Issues, Problem Reports, and Corrective Actions • Standard Costs, Lead Times, Effectivity Dates, and Disposition Status Targets The product record contains all of the enterprise information required to define, design, source, buy, make, test, verify, and sustain a product throughout its lifecycle.

Agile Product Lifecycle ManagementEnables Streamlined Processes, Better Product Decisions …through the management and coordination of the information, processes and decisions about their products…

Product Definition Structures Integration Prototype& Test Concept Design Release Ramp-up VolumeProduction Service & Maintain Retirement The Enterprise PLM Challenge As Requested As Designed As Planned As Built As Installed As Maintained CAD PLM MDM Applications ERP Secure Collaboration CRM Analytics

The Enterprise PLM Solution EPLM is a total solution for managing composite business processes(NPD, NPI, CAPA, etc.) throughout the product lifecycle(Concept, Design, …, EOL). BI PLM ERP MDM CRM SOA Fusion Middleware, RAC SCS

Oracle EPLM SolutionReduce TCO, Mitigate Risk, & Increase Productivity • PLM = Agile PLM • MDM = Oracle PIM • ERP = Oracle EBS • CRM = Siebel CRM • BI = Agile PLM BI + BI Publisher + OBIEE • SOA = Oracle AIA + Oracle SOA Suite

Oracle EPLM Solution Oracle BI EE Agile PLM Oracle MDM Oracle EBS Siebel CRM AIA AIA AIA AIA Oracle SOA Suite ECM Fusion Middleware, RAC

Oracle EPLM Business Benefits • Improve decision speed and quality with Oracle BI • Build and manage the product record with Agile PLM • Standardize on common master data elements with Oracle MDM • Collaborate safely across with outsourcing partners via SCS • Streamline handoffs to manufacturing with Oracle EBS • Extend your reach to customers and the field with Siebel CRM • Tie it all together with pre-built SOA flows using AIA process integration packs Reduce Costs and Improve Profits throughout the Product Lifecycle with Oracle EPLM

Prototype& Test Concept Design Release Ramp-up VolumeProduction Service & Maintain Retirement Oracle EPLM Business Benefits • Improve Cycle Time 10-20% • Reduced inventory 1-5% • Reduce CM costs 3-8% • Reduce EPLM IT infrastructure costs by 25% to 50% • Improve R&D efficiency by 10% to 20% • Reduce data errors by 10-25% Product Lifecycle Improve time to market, reduce costs, and increase productivity throughout the product lifecycle!

EPLM Reduces Costs & Drives ProfitsStep-by-Step Rollout Mitigates Risks and Maximizes ROI Steps 3: Getting to Yellow Curve Step 2: Getting to Green Curve Step 1: Current State

EPLM Integration Example Agile PLM and Oracle EBS Oracle BI EE Agile PLM Oracle MDM Oracle EBS Siebel CRM Oracle SOA Suite Fusion Middleware, RAC

EPLM Integration Example Agile PLM and Oracle EBS Oracle BI EE Agile PLM Oracle MDM Oracle EBS Siebel CRM AIA AIA Oracle SOA Suite Fusion Middleware, RAC

AIA is an open standards based platform that unites the world’s best enterprise applications through composite business processes. Product Change Management New Product Introduction

Agile PLM to Oracle EBS Integration Connectors, Messages, Objects, and Services Agile PLM Product Collaboration Oracle EBS Manufacturing Update Costs, Codes, Dates Create Part Update BOM Update AML Create Change Agile PLM Process Integration Pack for Oracle EBS Oracle Fusion Middleware SOA Suite ABM ABM EBM EBM Oracle EBS Connector Service Agile PLM Connector Service Enterprise Business Services

NPI Enterprise Process Flow PLM Create Project with Team Members and Deliverables Search for Reusable Parts and Documents Create Items, Manufacturer Parts, and AMLs Add Drawings, Schematics, Spec Sheets, and MPIs Promote Change to Completed Status and Notify Team Members Update Dates, Costs, Codes, and Dispositions Analyze ECO, Set Target Effectivity Dates, Approve and Release ECO Create, Route, Collaborate on ECO Review BOM Cost, Quality, and Compliance Publish Engineering BOM from CAD and Review Structure NPI Process Integration Pack AIA EBS Validate ECO, Items, Mfr. Parts, AMLs, BOMs, and Ref. Designators Develop Routing Create MFG Instructions Validate Tooling Update Standard Costs, Planning Codes, Effectivity Dates, and Dispositions Publish ECO Release Items Implement ECO Initiate Planning Master Schedule, MRP & Capacity Plan Establish Products Create Pricing Launch Product

Step 1: Create & Review Project

Step 2: Search for Reusable Parts Search can be run without completing all fields.

Step 3: Create Items with AMLs Ensures continuity of supply by tracking all relevant and active components available from suppliers and manufacturers.

Step 4: Attach Drawings & Specifications Securely manage intellectual property and provide convenient access and distribution to company-wide information.

Step 5: Publish BOM from CAD Tool At the appropriate lifecycle stage, publish BOM and CAD drawing information to Agile PLM from a pull-down menu within the CAD authoring tool.

Step 6: Review BOM Structure Single record of truth providing a 360 degree view of the Product.

Step 7: Rollup BOM Cost

Step 8: Resolve Quality Issues

Step 9: Check RoHS Compliance

Step 10: Route ECO for Approval Visually inspect product change progress and make intelligent approval decisions.

Step 11: Collaborate with Product Network Partners on Changes to the Product Record BOM Redline capabilities clearly communicate changes across the product network and speed the approval process.

Step 12: Analyze Key PLM Metrics

Step A: Validate ECO Transfer Check ECO, Revised Items, Revised Components, and Reference Designators in Oracle EBS.

Step B: Set Effectivity Dates From the ECO Table of Revised Items in Oracle Engineering, Specify the Effectivity Date for each Revised Item.

Step C: Set Standard Costs From the Item Costs Summary Table in Oracle Inventory, Specify the Standard Material Cost for each Item.

Step D: Publish Item Data From the Publish Item Attributes Function, Update Item Attributes from Oracle EBS back to Agile PLM. This Job can be Scheduled to Run at Periodic Intervals or On Demand.

Step E: View Published Data in Agile From the Item Title Block Tab in Agile PLM, View the MFR Cost Attribute Updated by the AIA Transfer from Oracle Inventory.

Higher Customer Satisfaction Improve Product Compliance Less Product Network Disruptions Lower Product Cost Better Product Quality Greater Product Innovation Faster Time to Market and to Volume EPLM Delivers Business Value Increase Market Share Current Challenges EPLM Benefits Business Value Improve Gross Margins Late Products Unpopular Products Reduce Product Liabilities Broken Products Increase Labor Productivity Expensive Products Unavailable Products Decrease Scrap & Rework Noncompliant Products Unsatisfied Customers

Agile PLM Overview and Oracle EBS Integration