from push to pull in it by faurecia
DESCRIPTION
Catherine Faurecia, IS governance and Bertrand Eteneau CIO of Faurecia presented how IT creates value for the users with lean IT. More Lean IT presentations and videos on www.lean-it-summit.comTRANSCRIPT
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
From push to pull in IT: learning to create value for users
is not a long, quiet river
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
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� 94,000 employees
� 320 sites
� 34 countries
� Group revenues: €17.4 billion
� 30 R&D centers
� 5,500 R&D engineers and technicians
� 460 patents filed in 2012
� Annual R&D investment: €943 million
5.4% of revenues
Faurecia overview2012 key figures
N°°°°6 worldwideequipment
supplier
N°°°°6 worldwideequipment
supplier
6th largest automotive equipment supplier
(2012 revenues €bn)
18. JTEKT17. Toyota Boshoku
14. BASF
13. TRW12. Delphi
10. Yasaki11. Lear
9. ZF8. Hyundai
6. 6. Johnson Controls
5. Aisin Seiki 4. Magna3. Continental2. Denso1. Bosch
20. Cummins19. Hitachi
15. Valeo
16. Sumitomo
17.4
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
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Operational Excellencedriven by the Faurecia
Excellence SystemRenault Global Quality award
Ford Silver World Excellence Award
General Motors Supplier Quality Excellence Award
9 Awards for Chinese sites, including
Dongfeng Nissan Excellent Quality Performance
Quality : steady PPM rate at 18
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceBack in 2006Low cost IT, poor customer focus
Seating Components ExhaustInterior
BM 400
MfgPro
85 %
15% Impact of new projects
Running existingsystems
Limited investments on value added projects
Patchwork of systems
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Go and seeObjectives :• go and see for yourself • understand user needs• analyze incidents• control standard execution
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Findings in 2006
Need to Improve the
local support &
proximity with users
IT Budgets limited as COMEX unsure of IT delivery
Need to support Faurecia growth
and develop worldwide operations
a real project management capability was needed
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
The challenge was :
to a customer / process focus, « pull mode » IT:
we had to move from a technical, « push mode » IT:
« I can’t help if users do not use correctly the system »
« Let’s try and understand their needs »
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Refocus on business value
BusinessBusinesstargetstargets
ChangeChangeTechnicalsTechnicals
ProjectManagement
. Processes
. Standards
. IT Applications
. IT Infrastructures. Trainings. Realign to standards
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
How ?
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
TOYOTA WAY
JID
OK
A
JUS
T IN
TIM
E
KAIZEN
CUSTOMER SATISFACTION
STANDARDS
Explore
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Customer satisfaction Reliability of IT services
Jidoka, kaizen, standards
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceSwitch issue
• production line stopped in the plant 1h30 • an IT switch had to be rebooted
1h30 outage
Switch issue Other cause Time to detect
No monitoring on switch
No alert from monitoring
??
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceSwitch issue• 1h + was spent finding a forklift and a
certified operator • to reach the switch, located high above
production lines
Time to reboot
Too high Forklift & operator unavailable
Prevent damage when handling products
Not an IT standard
Enforced by contractor when building plant
1h30 outage
Switch issue Other cause Time to detect
No monitoring on switch
No alert from monitoring
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceSwitch issue• What would have happened before :
- Nothing (service restored)- At best change the switch in the plant- Or challenge the monitoring solution
• What we try to do now :- Confirm why it happened : new plant building process- Confirm why we did not see it coming : IT FMEA done too
late and not complete- Correct to prevent re-occurrence in that plant - Address risk in all plants : IT standards, Building standards
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
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Learn from incidents
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceStandards
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Our Jidoka process• Create standards• Define conditions for IT alerts (gap vs standard)• Restore service asap (protect the customer)• Analyze potential factors -> reduce scope• Dig down to root causes (5 whys)• Change local standard (or create it)• Transversalize
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
And measure user satisfaction
Problems to investigate
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3 & 4 October, 2013
Paris, France
Customer satisfaction Work on ergonomy
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3 & 4 October, 2013
Paris, France
Ergonomy
Click on Apply to save the modification
Click in the fields to change:the quantity valueor F/N valueor Ref Des value
Source : Magellan user documentation
5 windows
8 Clicks
Before :5 windows, 8 clicks
After :drag and drop
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3 & 4 October, 2013
Paris, France
Ergonomy
Use cases defined, regular reviews with users
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3 & 4 October, 2013
Paris, France
Create value Standard solutionsImprove data flows
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3 & 4 October, 2013
Paris, France
R&D
CENTER
CUSTOMER
PlantPlant
CONTRACT
DEVELOPMENT OPERATIONS
�Design
�Simulations
�Capex, tooling
�Change management
�Operational excellence
�Plant management
�Cost, PPM, MPM START-UP
Understand big picture
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceComplexity increases
Supplier 1 Plant
Supplier 2
Supplier 3
Supplier 1 Consolidation center
Supplier 2
Supplier 3
Crossdock
Plant 2
Plant 1
Supplier 1 Just in Time plant
Supplier 2
Supplier 3
Customer
invoicing
Supplier 1 Just in Time plant Customer
Self billing
Product invoicing
BEFORE MORE AND MORE
Supplier 2
Supplier 3
Assembly invoicing
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
IT needs for a lean company• Standards (re-use), yet offering flexibility and
reliability • Leveling tools • Measurement, transparency on key process
steps (make problems visible)• Alert systems (Jidoka)
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Develop standard applications– Plant functions (production, logistics, finance,
purchasing)– JIT (Just In Time) systems – Traceability systems– Supply leveling systems– Workflow tools– Data mining tools …
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceOur first breakthrough
Order
DN
Invoice
Manifest
Manifest
Manifest n°
Invoice
DN n°
From unleveled – pushed flow To leveled – pulled flow
=> Stock decrease
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceSupport stock reduction
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Part creation
Scheduling Receiving
JIT calls ProductionProduction & scrap declaration
Backflushing
RM & BOP inventory
Quality Inspection / product returns
ECM process
MRP
Cycle countingout
in
NRFT - Receiving Progress
0,00%
20,00%
40,00%
60,00%
80,00%
100,00%
120,00%
06/0
1/201
308
/01/2
01310/0
1/20
1312
/01/
2013
14/0
1/20
1316
/01/
2013
18/0
1/201
320
/01/2
01322/0
1/2013
24/01/
2013
26/0
1/20
1328
/01/
2013
30/0
1/20
1301
/02/
2013
03/02/2
01305/0
2/20
13
% RFTTargetLinéaire (% RFT)
Target = 100% Good Deliveries
Starts with data accuracy
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Alerting and reacting
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3 & 4 October, 2013
Paris, France
Help plants re -align to Group Standards
Generic change toolkit
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, FranceSee together
Accounting
Logistics
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3 & 4 October, 2013
Paris, France
Toyota Way
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Toyota Way
Source : TOYOTA MOTOR CORPORATION GLOBAL WEBSITE (2001)
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3 & 4 October, 2013
Paris, France
Growth supported by
new IT Centers, no outsourcing
Mexico
Czech Rep
Tunisia
34
Portugal
IndiaChina
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3 & 4 October, 2013
Paris, France
Customer expectations ?
Make performance visible
Ensure teams are autonomous on continuous improvement
Develop capacity to solve complex problems
Develop autonomous teams
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3 & 4 October, 2013
Paris, France
Where are we today ?Open questions
Copyright © Institut Lean France 2013
3 & 4 October, 2013
Paris, France
Open points – next steps
• Are we solving the right problems? • Are we driving sufficient business value ?• How can we better support product development ?