Iyno's Julie Fraser participated in an Aviation Week Webcast sponsored by Deltek focused on linking business, engineering, and manufacturing. Fraser presents MESA International Pursuit of Performance Excellence data in the context of discrete project-based manufacturing.
1. Advanced Manufacturing: Metrics that
Matter - Linking Business, Engineering, and
the Modern Manufacturing Operation
SPONSORED BY
Thursday, October 25, 2012 2:00 –
3:00 pm ET
2. Advanced Manufacturing: Metrics that Matter - Linking
Business, Engineering, and the Modern Manufacturing
Operation
Brian Groves Julie Fraser Michael Kauffman Mark Correll
Director, Product Subject Matter GM, Rotating Parts Dir Prod Sys
Mktg Expert, Center of Excellence GE Optimization
Manufacturing
Deltek Aviation Rockwell Collins
Operations
2
3. Advanced Manufacturing: Metrics that Matter - Linking
Business, Engineering, and the Modern Manufacturing
Operation
Brian Groves
Director, Product Mktg
Deltek
Copyright 2012, Deltek, Inc. 3
4. Supporting Complex, Discrete Manufacturers
Project Human Capital Financial Project
Manufacturing Management Management Management Do More
Win More Market Intelligence Teaming Solutions CRM and Capture Management
Know More and Achieve More
Business Performance & Integrated Program Management
Winning More Increasing Project Reducing the Cost of
Improving Cash Flow
Business Visibility Compliance
Copyright 2012, Deltek, Inc.
5. The Data Model
Financial Statements
Time
Procurement
Every transaction is connected to Invoices
Materials an account, an organization, and a
project
Manufacturing
Regulatory
Payroll, Employee
Requirements
Every transaction has project Management, and
specific invoicing, accounting, Benefits
Invoicing, Costing, and procurement rules applied
and Procurement Reporting
Rules
Compliance and
Audit
Copyright 2012, Deltek, Inc.
6. Advanced Manufacturing: Metrics that Matter - Linking
Business, Engineering, and the Modern Manufacturing
Operation
Julie Fraser
Subject Matter Expert
Manufacturing
Copyright 2012, Iyno Advisors 6
12. To access the rest of this webinar and the GE and Rockwell
Collins presentations, visit Aviation Week.
http://events.aviationweek.com/webinars/index.htm
This site provides an audio recording of the entire session plus
the Q&A session and follow-up responses to audience questions.
Julie Fraser, Iyno Advisors 508-362-3480 julie@iyno.com
Brian Groves, Deltek 703.995.2445 briangroves@deltek.com
Copyright 2012, Iyno Advisors
Editor's Notes
There are a few things we have seen consistently across the four studies.One is this: seeing metrics faster is better.Another is that companies that perform best have done a better job linking enterprise and plant information systems.On this point
JULIE, Mark, TedOne reason is that most respondents need a person to cleanse the data prior to analysis as a metric.That would slow things down.Mark, What is your experience? Can IT solve this issue?Mark: Not strictly an IT issue – it’s about controlling the data input. Ted (jump in after Mark)From my experience, not all data is automated or known real time, so there is always a level of adjustment, cleansing before analysis. These are usually aggregated performance, scrap, or financial metrics. The move to as much automated as possible is exciting.
Just as I previously blamed IT for something that’s not entirely their fault, this data makes me think maybe executives are doing that in their companies too.Let me orient you to this chart.Each waterfall-style column here represents a group of respondents. In this case, by role. We selected the executives on the left and the non-managerial employees on the right. Then the response within that group is listed in each color-coded portion of the bar. The dark blue is the portion of those with that scope of responsibility who think IT challenges are the major problem slowing down display of metrics results. The yellow portion of the bar shows the percentage that think there is a lack of will to change. And the top blue bars are the portion who see a lack of management commitment as a problem. These are portions of the response base in each case. And you can see they are quite different. They do not add up to 100% because there were other response options we are not showing here.This might suggest some cultural challenges – this type of disconnect.Ted, why do you think this might be – what are the critical factors?TEDCan’t emphasize enough that everyone needs to see that metrics and automation are understood and supported from the top. Having seen managers and supervisors questions things and then top management bend raises credibility issues in metrics and all efforts.
Maturity shows up in what types of metrics companies improve on as well. What you measure is what you improve…And as your metrics program matures, some of the measures will be more holistic and deliver deeper insight: some are multi-faceted, include your suppliers, and translate operations into financial terms.
Buying MES is a complex decision, and you must make the business case. MESA is developing an ROI guidebook, so look for that later this year. In our data, there is strong evidence of improvement by MES/MOM users - two and a half times the portion have improved earnings significantly than others.All of our studies show similar results – as well as other studies I’ve conducted over the years. Using MES results in strong business results.