september 27, 2010 qad enterprise asset management

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September 27, 2010 QAD Enterprise Asset Management

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Page 1: September 27, 2010 QAD Enterprise Asset Management

September 27, 2010

QAD Enterprise Asset Management

Page 2: September 27, 2010 QAD Enterprise Asset Management

Asset Management’s Importance

As much as 50% of capital investment is new equipment is made to compensate for the underperformance of existing assets

• Project Accounting and Controls

• Plant / Equipment Maintenance

• MRO Inventory and Purchasing

Page 3: September 27, 2010 QAD Enterprise Asset Management

Plant Operations Role

QAD Enterprise Asset Management

FAB005 Heat Treat

FAB005 LA001 Shipping

Manufacturing Plant

Planning and Scheduling

Pla

nt

Opera

tions

Pla

nt

Opera

tions

Supplier

Customer

Page 4: September 27, 2010 QAD Enterprise Asset Management

The Challenge

Many Manufacturing Companies have not integrated Plant Operations into their Production Business Processes

PlantOperations

Sales & Order Entry

Quality Assurance

ProductionOperators

Direct Materials

Engineering Services

Shipping & Receiving

Production Planning & Scheduling

Manufacturing Process

Page 5: September 27, 2010 QAD Enterprise Asset Management

The Goal

Align Plant Operations with Product Goals and Objectives

PlantOperations

Sales & Order Entry

Quality Assurance

ProductionOperators

Direct Materials

Engineering Services

Shipping & Receiving

Production Planning & Scheduling

Manufacturing Process

Page 6: September 27, 2010 QAD Enterprise Asset Management

Plant Operation’s Challenges

• Project Accounting and Controls– Spreadsheets, labor intensive and time consuming

– Information out of date and inaccurate

– Timely and accurate invoices associated with customer funded projects

• Plant and Equipment Maintenance– Poor equipment reliability results in 15%+ lost production

– 80%+ reactive maintenance

– 55% average Overall Equipment Effectiveness (OEE)

• MRO Inventory and Purchasing– 30% of MRO inventory is obsolete

– 25% of purchases are incorrect or unnecessary

– Expensive spare parts are not effectively shared between plants

QAD Enterprise Asset Management

Page 7: September 27, 2010 QAD Enterprise Asset Management

QAD EAM Components

QAD Enterprise Asset Management

QAD BIMarch 2011

Page 8: September 27, 2010 QAD Enterprise Asset Management

Business Drivers: Project Accounting

• On-time delivery

– Move assets into production sooner, which enables equipment to start generating revenue

• Within budget

– Provide engineers with better visibility of project spending

– QAD EAM provides extensive spending controls through software

• What’s New?

– Manage Customer Funded Projects

QAD Enterprise Asset Management

Page 9: September 27, 2010 QAD Enterprise Asset Management

Business Drivers: Plant Maintenance

• Maximize equipment utilization

– Downtime causes lost production and missed shipment dates

– Supports preventive maintenance that improves equipment reliability

• Improve quality

– Efficient equipment produce higher quality products

• Labor utilization

– Labor is largest component of fixed maintenance cost

– Make maintenance personnel more productive

• What’s New?

– Completely redesigned UI

QAD Enterprise Asset Management

Page 10: September 27, 2010 QAD Enterprise Asset Management

Business Drivers: Inventory & Purchasing

• Support production– Ensures critical spare parts are on hand

• Improve purchasing efficiency and control – Source spare parts quickly at the lowest cost

– Eliminate unnecessary purchases

• Lower MRO inventory investment – Right sizing inventory

– Minimizing MRO investment

• What’s New?– New Reporting Solution

QAD Enterprise Asset Management

Page 11: September 27, 2010 QAD Enterprise Asset Management

QAD EAM Release Status

• September 2010

– EAM v12.2 GA for QAD 2009 EE – 2010.1 EE

• December 2010

– EAM v12.2.1 Begin accepting Early Adopters for QAD 2007 SE – 2010 SE

• March 2011

– EAM v12.3 GA for both EE and SE versions

QAD Enterprise Asset Management

Page 12: September 27, 2010 QAD Enterprise Asset Management

QuestionsBo Hagler [email protected] R&D

Kate Fenello [email protected] Product Manger

Nancy Majure [email protected] Field Readiness

QAD Enterprise Asset Management