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Engineering Change Control in SAP Business One with Beas

https://www.youtube.com/watch?v=NA_2yjbilzY

Published on Jul 3, 2012

This video provides an overview of Engineering Change Control as implemented in SAP Business One with the Beas Advanced Manufacturing solution. For more information on Balloon One please visit our website http://www.balloonone.com

English Transcript

0:02 Hello in this presentation I like to explain to you the process of managing
0:06 engineering change using the bass manufacturing add-on for SAP
0:11 business one I like to start
0:14 by covering two scenarios which generate
0:18 engineering change requests a.m. the first
0:22 is customer-driven change so the examples here very but
0:26 to it could be as simple as a color change to the product
0:30 as shown here or it could be a
0:33 a different windscreen or a different engine specification
0:37 but basically the customer has selected
0:41 an alternative now
0:44 that could also be an alternative
0:48 at a much lower levels say for example if you are manufacturing
0:53 a machine which fits into a customer's production line
0:56 then you may have a standard machine
1:00 but you need to engineer the interface so maybe once up component of the
1:05 overall
1:06 production item is the interface that may be engineered specifically for the
1:10 customer
1:11 but all the rest the the machine is exactly the same
1:15 so these are examples of customer-driven change
1:18 the other element that drives engineering change
1:22 is product development and product development maybe
1:26 caring for obvious improvements to the product so here we see in
1:29 a shock absorber being fitted to the car so new shock absorber may be introduced
1:34 that may replace an existing one
1:38 or it may be an alternate to the existing
1:41 shock absorber we also may have
1:45 changes driven by legislation compliance
1:49 safety requirements so there is an ongoing involvement
1:53 all the product itself and that's
1:57 driven internally or from external agencies
2:00 now with by ass in SAP Business One
2:04 we cover place that these changes and we cover them in different ways I'm just
2:08 gonna explain
2:09 those processes we first we'll look at typical
2:14 manufacturer and their the system landscape
2:18 most companies that we work with will have
2:21 a design and engineering function here
2:26 the product is designed to maybe in two day of 3d modeling
2:30 it could be for a customer-specific requirements
2:33 or it could be for general product development
2:37 and frequently we come across
2:40 systems that are specialist in that area and those
2:44 optical computer aided design for product life cycle management systems
2:49 examples which include SolidWorks AutoCAD
2:52 windchill various others so here we looking about
2:56 at the design and engineering processes and those systems will typically
3:01 generate
3:02 a master data which are then imported all manually
3:06 Cade into the operation system
3:10 and in our example today we're talking about an operation system
3:14 or ERP system called SAP Business One
3:17 and linked to that that by ass advanced manufacturing model
3:21 so the operation system is all about
3:24 maintaining the flow and manufacturing process
3:29 taking that master data taking those customers specific requirements
3:33 and then creating jobs or work orders which are then managed through the
3:38 production process
3:39 and finally shipped to the customer and invoiced so all those operations steps
3:44 a managed in the ERP system now obviously these two systems need to talk
3:48 together
3:49 so we have interfaces which could
3:53 imports the bill materials and the drawings
3:56 that all the outputs from the cad PLM system
4:00 into the operation system and we're gonna talk about some other way to doing
4:05 that but these imports could be
4:07 electronic could be flat files
4:10 they could be manually Cade depending on the level of change
4:15 that's required to filter through to the operation system
4:19 so that's the landscape the we're talking about so
4:23 if we go back to our two scenarios and the first one product development here
4:29 well what is badass offer to facilitate product development
4:33 well the first one is alternate items or subassemblies
4:37 so within a a finished product the engineering function may identify
4:41 alternatives
4:43 and we can select those when running our
4:46 MRP or designing a product
4:49 in the operation system the other is replacement parts replacement items
4:55 and subassemblies these typically will come with validity dates
4:59 so part a is replaced by part B on the first
5:03 July and we need to be out attract those dates
5:07 and also when running the MRP be able to
5:10 substitute the new part for the old pop
5:13 and again bass supports that as well
5:18 if we then go to customer-driven change
5:21 well very important element
5:24 by ass is the concept of a calculation
5:28 this is a if you like an estimate for customer bill
5:31 from a standard building materials but then engineered
5:35 to order so parts could be changed subassemblies could be replaced
5:39 costings advised and basically a new
5:42 version specifics that customer is calculated
5:46 and is used when creating a work order
5:51 now that's okay fewer it engineering and you may have to go back to your am
5:55 your cat system in order to engineer that for the customer but in a lot of
5:59 instances the customers
6:01 and the product that you offer will have certain specific
6:06 configuration options so again we can build those into what we call a product
6:10 configurator impasse
6:12 say for example in the example for a car we could have a red
6:16 a blue or a black car and that could simply be a configuration option which
6:20 will then
6:20 change the underlying bill materials structure
6:24 for that particular custom order
6:27 so we support but calculations and product configurations
6:30 to facilitate customer-driven change
6:35 so has passed do that well there are three data structures
6:38 which come into play the first one and the one that's a
6:42 used in in most ERP systems is the concept a master data
6:47 so here we have a and item number or product code:
6:51 and below that we will have a number of materials and subassemblies
6:56 an Associated operations all rooting steps
7:00 so those master data elements
7:04 camby imported from the cattle PLM system
7:08 all a flat file all manually keyed into the system
7:13 and as they involve we can record version numbers
7:16 against each one alternatively
7:20 if we want to track each version and its top-level in SAP
7:24 then we will create a new item code: for the new version
7:28 so the choice is yours if the change is substantial and you do want to track and
7:32 have traceability
7:33 down to the stock level and the cost for that particular item
7:36 than in SAP that would become a new item code:
7:40 but if the changes minor then we can just change the version number
7:43 on the existing master data make that relevant change
7:48 so the master data is only the starting point the next day to structure
7:51 is the calculation and this is that the customer specific copy
7:56 the master data so we can revise this week and change subassemblies we can
8:01 change
8:01 am processing times for different operations
8:05 we can change costs and materials substitute materials
8:09 we can basically the rebuild the master data
8:12 for a particular customer so the starting point is the master data
8:17 but they can be then modified for reach customer order
8:21 or requirement again this will then
8:24 have a version number and an associated drawing reference
8:28 if the information is being fed from the cad system
8:32 and finally the third data structure is the work order itself
8:37 so now we have a job to do we have something to manufacture
8:40 and we call that the work order this work order could be created from the
8:44 master data
8:45 or from a calculation so it could be customer-specific
8:49 or stand a product and the key thing about the work order is
8:53 it can be modified even if it's in process on the production line
8:59 and by a support has tools to refresh
9:02 that work order should the master data or calculation change
9:06 with the latest version so the work order will keep a record of the version
9:11 number
9:11 and the joint reference and that's archived am
9:14 in the database and can be cross-referenced is extremely useful
9:18 with for example you're doing maintenance on a particular machine
9:22 you can go back to that were called in sick exactly the specification
9:25 that was manufactured so those
9:28 other structures we're gonna look at some other those
9:32 inside by ass now just to highlight how the application
9:36 has implemented all those features
9:40 okay so now we're gonna look at some %uh the features
9:43 in SAP Business One and bass I'm for managing the engineering change process
9:50 now we left off in the slights there with them
9:53 the three different types of data structure
9:56 and the first to these his master data so our master data can be found on the
10:01 stock management
10:02 Item Master Data and we can search here for product
10:05 I'll take the top one on the list this is the standard SAP
10:09 Item Master record it's what SAP uses
10:13 for costing whether that be on a stand it cost
10:17 5500 moving average basis so say what
10:20 SAP users to track stock levels McKay
10:24 now this particular product has
10:27 a bill material structure underneath it
10:30 manage bypass if I right click I can look at that structure
10:34 and if I want to I can expand it
10:39 okay and we can see the whole
10:43 structure underneath the parent product X 001
10:47 so you see that it's made up all a subassembly which in turn is made up of
10:51 a
10:51 raw material call carton and another subassembly
10:55 that subassemblies made up of a label in a pouch and another
10:58 subassembly an entry materials go into that
11:02 at each level we have various operations at the top level we have a sterilization
11:07 process
11:08 arm for the carton the next level down
11:12 we have a packing process and so on and so forth
11:15 so labeling and packing and then write down the bottom we've got molding
11:20 and I punch operations so this
11:23 makes up the definition Bella materials definition master data definition
11:28 Forex 001 so
11:31 to illustrate how engineering changes managed we're gonna folks on this topic
11:35 level this material here called X 002
11:40 as we can see it is a subassembly so is made up of materials and other
11:45 subassemblies
11:46 and what we can do if I close down the structural view
11:50 and look at the bass Master Data View
11:54 I can see on the tab hip better materials that
11:57 X 001 is made up affects 002
12:01 now a change comes through either through the cat system or you want to
12:06 manually implement this change
12:08 what you can do is you can go in here
12:12 and substituted for new products or remove this one
12:15 add a new one will do that later on I am
12:18 we might 12 have an alternative this country from our
12:22 engineering process and so I'll show you how you can do that
12:26 am and you also might want to have superseding items in here
12:31 say let's start by looking at the alternative item so free right click on
12:35 here
12:39 but in some instances we may use exteriors are a 22-2
12:44 am which is a alternative purchased product
12:48 came now what that does it will have the effect
12:52 %uh in the MRP it will make a suggestion
12:55 for this product as the primary product but it will enable us to switch
13:00 to the alternative for purchasing
13:03 or if we don't have enough stock okay that's the first scenario
13:07 the second scenario is where this product expires on a certain date and is
13:11 replaced
13:13 by a different version of the product
13:16 so here rather than setting as an alternative
13:19 we can simply add a new line in here
13:23 and say the exterior 02 is gonna supersede
13:28 this product on a certain date
13:31 and all we do is a.m. for each line we can drill into it
13:35 we can say that this product is valid until
13:39 the 31st July an update that
13:43 and this product here is valid from
13:50 the first August okay mentally the
13:53 expiry date for now K so
13:56 we can say that this product chose the wrong one
14:00 is expiring
14:03 and this product is replacing it
14:06 so what effect does that have well what we can do is reaching
14:10 come out of our master data and we can
14:13 put on a sales order I think up back on a prepared earlier
14:18 I am so here we have a sales order for this particular product
14:22 with the due date at the 29th Ulf
14:26 July so that's within the current
14:30 subassemblies shelf life so you if I now run my MRP
14:37 can calculate it his nephew
14:40 warnings but I'll run it anyway and it will now calculate the requirement
14:46 for the subassembly
14:50 once it's done that it will come up with and what a recommendation
14:53 so we click here when they Thomas finished
14:59 and what we'll do is we'll filtrate to only look at the
15:03 a.m. that particular sales order just to simplify the view here
15:09 and so what we see here is a requirement
15:12 am at the top level 4800 one
15:15 which is our sales order 347 I am
15:19 so cells or 347 and then underneath that
15:22 I requirement full X 002
15:26 and because x0 02 is a manufactured item we've got all of this up assembly
15:30 components
15:31 as well and that's because
15:34 the delivery date falls within the expiry date of this product
15:39 but what happens is if we
15:42 are superseded the product and we change the sales order
15:46 and this time we've push it to the 29th
15:51 a bogus outsider the expiry date
15:54 of exteriors are too so we update that
15:59 and we run the MRP again it will now look at the
16:04 expiry dates so I just run that through
16:08 it will look at the expiry dates and all the subassemblies
16:11 and will check to see which one is valid I'm
16:14 on the based on the requirement from the sales orders
16:18 due date say fine now go to my order recommendation
16:22 and field trip to that one sales order again
16:26 you can see that we only have
16:30 the X 00 2-22 which has a set is a purchase item not manufactured
16:35 am suggested in the Mr Pierre M
16:40 so that's the first scenario I am will what we call
16:44 am super sessions
16:47 it manages that and the MRP is fully integrated
16:50 to those expiry dates
16:54 the other I am thing that we might need to do
16:57 is actually physically updates a
17:02 master data with outs I'm putting the expiry dates in
17:06 so if we now go to I'm are same product and we look at
17:10 love you again this time we are gonna
17:14 increase the revision on here and we are going to
17:18 remove these two am
17:21 products I K
17:28 and we're gonna add a completely new product code:
17:31 dash 3 K
17:36 unit 308 lives my house i won
17:39 so we have updated the master data with a brand new
17:42 I'm revision okay so we want to
17:48 now check the implications of that change
17:51 and we can do that by very useful report which is the cross-reference a poor
17:55 or where use triple by go back into the extended view
17:59 I'm for this particular item and
18:02 look at the reference information I can see
18:05 everywhere in the system where this is used so I can see there are three open
18:09 work orders a number sales orders in a calculation
18:12 after the open work orders I can go into it
18:15 and look at the bill materials and you can see here is using the old
18:19 I'm subassembly and if I go back to the main screen I can refresh this
18:24 I'm work order and it will refresh with the new
18:27 master data and if I click back in
18:31 to the bill materials is refreshed it now with the
18:34 correct an updated am sup
18:38 materials a component so
18:41 those are some other features a very brief overview all
18:44 the features for facilitating engineering change from a sort of
18:48 product development
18:49 to perspective but we also support engineering change
18:54 from a customer perspective so what I'm gonna do is I'm gonna change this
18:58 back to gain am to you the X
19:02 the right to such a studly that line there and put it back
19:07 to the ex 00 to product
19:10 the reason for this is that I want to show you
19:13 the detail behind X-ers are too which has a a bigger
19:17 the material structure so that's our master data now
19:22 what we can do with basses in a sales quotation
19:25 we can build I am the second data structure which is called the
19:30 calculation
19:31 so hey we're in an estimated mode for
19:34 am microchips and they are interested in our
19:37 catheter so we bring in the products here
19:41 and they want to customize it they don't want it to be exactly the same
19:47 as the standard so if we right click from the quotation we can I promotes
19:52 called
19:53 calculation and now this creates a unique
19:56 customer view customer definition
20:00 alt the catheter and you can see here we've got full version revision control
20:06 we can track drawing numbers and both internal and external
20:10 and once we go into the the main screen you can see
20:14 here the current definition of the catheter
20:18 from the master data but what I can do
20:21 as I can completely remove I'm for this particular customer I only
20:26 I can't delete this subassembly here
20:29 and I can adian
20:32 I A new subassembly so
20:36 if I searched three for my ones are created I can use
20:40 this X 00 to version 3 and now for this particular job it's substituted
20:47 that subassembly in this calculation
20:51 we save that and thats tracked with all its version control
20:55 for this particular quotation I'm if I
20:58 given a price for example you can have full costing associated with that
21:03 and I add that to the system I can then if they decide to place the order
21:08 copy it to the sales order and that will copy
21:12 am the product description but also
21:15 the calculation number 94 which was peculiar to that previous
21:20 quotation now this is extremely powerful stuff so it means that you can have
21:25 template bill materials in the master data copied into a particular customer
21:30 quotes
21:31 and then modified the MRP in the planning tools for pickup
21:36 the new calculation
21:40 hopefully that summarizes some other aspects are all
21:43 SAP Business One and bass for handling engineering change control
21:48 whether that be customer-driven or product development driven
21:51 I'm please contact us at www.beas.de
21:55 If you require further information
22:00 Many thanks