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TECHNICAL CONFERENCE 2011
LEARN | INSPIRE | INNOVATE
SESSION CODE : BRK233
UNIFYING THE PREVIOUSLY DISPARATE
CONCEPTS OF LEAN, MRP, DISCRETE, AND
PROCESS MANUFACTURING
ULRIK MØLGAARD HONORÉ
SENIOR PROGRAM MANAGER
MICROSOFT CORPORATION
Today we will show you…
Unified concepts of lean, MRP, discrete, and process manufacturing
Mixed-mode manufacturing
How Microsoft Dynamics AX 2012 enables agility in a supply chain
How Microsoft Dynamics AX 2012 enables visibility across a supply chain
Intercompany
Components in Action Today
Pains and Challenges
Charlie – President
• Needs supply chain agility to be able respond to changing
marketplace conditions and macroeconomic cycles
Vince – Operations Manager
• Needs to continually improve operations efficiency – e.g.,
wants to gradually introduce lean manufacturing
• Needs operations agility – e.g., wants ability to easily change
the supply policy for a product from build to buy
Eduardo – Production Planner
• Needs master planning to work holistically in a multi-mode
manufacturing environment – e.g., plan material and resource
requirements for both discrete and process manufacturing
• Needs full visibility into supply and demand across the supply chain
Unifying Manufacturing Concepts
Production
Strategy
Production
Control
Production
Process
Pull /Push
Make to stock
Make to order
Assemble to order
Configure to order
Supply Policy
Push
Pull
Discrete
Process
Product
Structure
Product
Convergent
Divergent
Variant/Configurable
Product Demos
#
Title
1.
Supply policy and
supply visibility
BOMs and resources
Default order type
Supply schedule
Intercompany planning
and supply visibility
Intercompany supply policies
Intercompany planning
Intercompany multilevel pegging
2.
3.
Key Features
Reuse BOMs and resources
across supply policies
Dynamic material and
resource assignment
Product Structure
Item A
Item B
Item C
Item D
Product Structure with Supply Policies Defining
Multi-Mode
supply policies
Item A
Kanban
Item B
Production
Item C
Purchase
Intercompany
Item D
Batch / process
Supply Chain Using Multi-Mode
Item A
Customer
Kanban
Item A
Item C
Comp1
Production
Item B
Purchase
Item C
Item D
Item C
Comp2
Intercompany
Batch / process
Item D
Item D
Comp3
Demo 1: Supply Policy and Supply Visibility
• Supply policy
• Supply schedule
• Kanban rules
Persona
Pain Points and
Challenges
Features
Covered
Results and
Benefits
Eduardo
Changing the supply policy for a
product – e.g., from build using
production orders to build using
lean
Default order
type
Easy to set and modify how products
are supplied
More agile supply chain
Eduardo
Visibility to supply and demand for
a product across all supply policies
Supply
schedule
Central navigation and overview for
planner
Concepts and Definitions
• Supply policies
– Define how a product is supplied in Microsoft Dynamics AX 2012 –
We can supply products by production (discrete/process), purchase, kanban,
and transfers
• Planned kanban order
– A new planned order type introduced in Microsoft Dynamics AX 2012
– Carrier for derived demand through the LEAN process
– Demand for a product with a scheduled kanban rule will generate a
planned order of type Planned kanban
Demo 2: BOMs and Resources
• Reuse of bill of materials and resources across supply policies
• Dynamic allocation of material and production resources based on production location and
resource capability
Persona
Emil
Pain Points and
Challenges
Has little knowledge of where or
how the product is produced.
Difficult to maintain specific
warehouse and resource information
Features Covered
Bill of materials
Resource model
Dynamic material and
resource assignment
and consumption
Results and
Benefits
Material location and specific
production resource
decoupled from supply policy
Enables supply chain agility
Concepts and Definitions
• Resource consumption
– Setting on the bill of materials, indicating that the ”where” of the BOM line is dependent
on where the product is produced, at what resource
– Will work across multiple supply policies
– If supply is a production order, the warehouse will be determined when the resource is
scheduled
– If kanban, the warehouse would be found from the work cell definition
Demo 3: Intercompany Planning and Supply Visibility
• Intercompany supply policies
• Intercompany master planning
• Intercompany supply visibility
Persona
Pain Points and
Challenges
Features Covered
Results and
Benefits
Eduardo
Supply and demand visibility across
companies
Multilevel pegging
Very easy to get supply and
demand overview
Eduardo
Master planning across companies
Intercompany
planning
Products can be supplied based
on individual company needs
What We Showed Today…
• How Microsoft Dynamics AX 2012 unifies disparate supply policies into an
integrated supply chain
• How Microsoft Dynamics AX 2012 flexibility enables agility in the supply chain
• How Microsoft Dynamics AX 2012 provides visibility into supply and demand
across a supply chain
With This Release You Now Can…
• Have a fully integrated supply chain that uses multiple supply policies
• Minimize the complexity of your data setup by reusing BOMs and resources
across multiple supply policies
• Gain visibility into supply and demand across a supply chain that uses
multiple supply policies
• Evolve your supply chain by gradually introducing new supply policies –
e.g., introduce lean manufacturing
What Did We Do in This Release?
• Integrated support for discrete, process, and lean manufacturing using
push or pull
– Support multi-/mixed-mode manufacturing
– Provide enhanced MES capabilities
• Created a capabilities-based model for resource definition and scheduling
that is unified across discrete, process, and lean
• Enhanced planning and visibility across an intracompany and intercompany
supply chain
• Enhanced reuse of BOMs and routes
• Created a constraint-based product configuration tool
Top 10 Tips from the Session
•
One supply chain, independent of supply policy
•
Production strategy, control, process, and structure can be defined independently
•
Resources defined once, used in LEAN, Process, Production, MES
•
Visibility cross whole supply chain / legal entities
•
Intercompany for planned demand and supply
•
Product configurator across legal entities, only release selling item
•
Reuse BOM definition independent of strategy, control, process,
and structure
Related Sessions
Time
10:30–11:45
13:00–14:15
14:30–15:45
16:30–17:45
18:00–19:00
Monday
BRK233
Unifying the previously disparate
concepts of Lean, MRP, Discrete, and
Process Manufacturing
Ulrik Molgaard Honore
BRK250
BRK246
Introduction to the basics of Lean
CHK221
Purchase
Order
Management
Manufacturing for Dynamics
AX 2012:
MRP
fundamental
changes
Kanban framework and replenishment
strategies.
ConradAndersen;
Volkmann; Kenneth
Guido Rennock
Henrik
Puggaard
Wednesday
BRK247
Sales Order Management and
Agreements
Henrik Andersen; Kenneth Puggaard
Anders Sørensen,
CHK209 Roxana Diaconu
BRK251
Cost Management Processes in
I​ ntroduction to advanced scenarios of
Dynamics AX 2012
Lean Manufacturing for Dynamics AX
2012: Production flows and activities
Anders Even Girke
Conrad Volkmann; Guido Rennock
BRK232
Product Information Management
CHK210
Materials Planning and Resource
Scheduling – A New Approach Q&A
BRK236
Manufacturing Execution and Time &
Attendance
Ievgenii Korovin
Anders Sorensen ; Soren Vagn Andersen
BRK234
Ulrik Molgaard Honore
BRK235
Materials Planning & Resource
Scheduling – A New Approach
Configuring Products Using the
Constraint-Based Approach
Anders Sorensen ; Soren Vagn Andersen
Dennis Conrad
CHK202
Upgrading items to products
CHK203
Manufacturing Scheduling Engine
Diagnostics
Ievgenii Korovin
19:15–20:15
Tuesday
Anders Sørensen
CHK219
Product Configuration – Deep Dive
from a Developer Viewpoint
Dennis Conrad, Najimi Sebghatullah
BRK244
Dynamics AX 2012 Process
Manufacturing
Johan Hoffmann
Q&A
Visit our Focus Rooms
Risso 6A/B
Risso 6C
Risso 7A
Risso 7B
Risso 8A
•
Evaluation of Implementation
Proposals by Dynamics AX R&D
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Experts
•
Gain further insights on Dynamics
AX Industry Solution Offerings
•
Resolution Guidance on Solution
Roadblocks
•
Networking
Focus Topic Highlight
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Tuesday 2.15pm – 5.45pm
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© 2011 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows 7 and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions,
it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation.
MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.