Discovering The Value Of PLM - Siemens PLM Software

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Siemens PLM Software30th April 20082008 Medical Industry ForumDiscovering the valueof PLMGavin EnglandBusiness DevelopmentCopyright Siemens AG 2008. All rights reserved.

The typical technology selection processCustomer Question Can you show me your system Xand product Y software?Our Answer Which capabilities are moreimportant to you and why?Typical Response Good Question!!Siemens PLM Software

Your technology solution Should provide the exact capabilities you require to Maximise Business Benefit Maximise Business Value supporting your Business Initiatives and GoalsSiemens PLM Software

The need for PLM is unique for each companyConfigurationManagementintegrated with ERPcontributes toreduced engineassembly time andimproved productqualitySupport of RegulatoryCompliance by storing allstandard procedures withinthe PLM systemAnticipated12% boost inproductivityas a result of ElectronicLaboratory Notebook andKnowledgeManagement capabilitiesSpace shuttle fuel tankpanel programming cutfrom 10 days to 3 daysthrough Multi-AxisMachining SimulationExploiting the time differencesbetween global workplaces toget 16 to 18 hours out of eachWorkday through a commonGlobal PLM EnvironmentSiemens PLM Software

The need for Value DiscoveryFor any PLM implementation to be successful you need to understand Your company specific business initiatives and drivers The barriers to achieving those initiatives The value PLM can bring in overcoming those barriers The capabilities which will provide this valueBusiness InitiativeBarriersValueto SuccessPLM Capabilities Improve new productintroduction lead-times TimewastedsearchingIncreasedrevenueby forcorrectinformationreducingTTM by 3 months Engineering DataManagement Reduce costs Timeto processinengineering20% reductionscrapchanges 5% reduction in procurementLack of design-forcost throughmanufacturecommon components Change Management InaccurateBillsthroughof MaterialWin more bidsreof historicbid information useIslandsof information Engineering ProcessManagement - etc Grow revenue by 25% in 3years Improve quality Increase customersatisfaction – etc Community Collaboration Part ClassificationSiemens PLM Software

The Value Approach to Evaluating IStep nagementIdeasIdeasKnowledgeKnowledgeStep 1ValueDiscoveryAnalysisStep 3KPIsKPIsQuantify andMeasureBusiness ValueSiemens PLM Software

The Value Discovery Analysis ProcessA free of charge independent review which identifies your business impedimentsand the potential value of solving them through improved Product LifecycleManagementIdentify Executive SponsorDetermine Business InitiativesProcess mapping and site tourVDA InterviewsDevelop feedbackValidate feedbackDeliver executive feedbackSiemens PLM Software

Typical issues uncoveredInefficiencies and Wasted Time Non-value added activities Repetitive activities Manual, paper-based processes Excessive time spent managing compliance Lack of access to the right information at the right time Manual data entry and re-entry Supply chain communication issuesSiemens PLM Software

Typical issues uncoveredExcessive Costs Excessive Overtime Scrap/Rework Cost of reprographics Scope for commonisation of components Errors causing excessive change Reliance on 2D drawingsSiemens PLM Software

Typical issues uncoveredLoss of Opportunity Loss of business through low win rate Excessive RFI lead times Quality issues Lack of ability to innovate New product introduction delayed by compliance issuesSiemens PLM Software

Post-VDA Activity – Vision RoadmapUser CommunityCapabilityValueInitiative EnabledCapabilityValueInitiative EnabledCapabilityValueInitiative EnabledCapabilityValueInitiative EnabledCapabilitiesSiemens PLM Software

The benefit of a Value Discovery approachRepeat Value Discovery Invigorate solution Exploit investment100%ValueValue Driven Deployment Increased value exploitation Slower loss of value50%Feature Driven Deployment Poor value exploitation Quick loss of value0%DeploymentProductionImplementation StageSiemens PLM Software

Customer endorsement“The Value Discovery Analysis process has informed us of thepossibilities that Product Lifecycle Management (PLM) can offer, not justthrough improved management of design data, but on a far broaderscale than we had originally anticipated. It has helped us to clarify andquantify specific business issues and the potential value to ourcompany in solving them."The process has allowed us to develop our vision of a PLM-enabledorganisation and has given us the confidence to move forward withimplementing that vision, aware of the potential business value wecan achieve in doing so.”Steve Gorrell - Director BAXI Group

SummaryYour PLM solution is the one which gives you the most Business Benefit Business Value supporting your Business Initiatives and GoalsAchieving this requires a 3-step approach1. Value Discovery Analysis2. Solution Roadmap Definition3. Implement and Measure Business ValueSiemens PLM Software

www.siemens.com/plm

Siemens PLM Software Support of Regulatory Compliance by storing all standard procedures within the PLM system Space shuttle fuel tank panel programming cut from 10 days to 3 days through Multi-Axis Machining Simulation Anticipated 12% boost in productivity as a result of Electronic Laboratory Notebook and Knowledge Management capabilities .

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what your integration use cases might look like: Is the integration single directional (i.e. PLM sends data to ERP) or is it bi-directional (i.e. PLM sends data to ERP and ERP also sends data to PLM)? What is the timing of the integration? o Real-time: the moment a PLM event happens the data must be sent to ERP without delay.

Page 13 Siemens PLM Software PLM Value to the Business PLM helps companies deliver faster with improved quality bringing more business at a reduced cost. move faster control expense better result grow sales Time Cost Quality Revenue Faster quotes and more accurate cost estimates Plant design costs reduced by 2/3 Find information