Efficient Innovation with Building Blocks „Effizient innovieren mit Produktbaukästen“ Frank Bürschgens Dr. Alexander Lewald November 2011, Mannheim John Deere History 1837 – John Deere develops the first self scouring steel plow 1918 – John Deere enters the tractor business 1927 – John Deere sells its first combines 1956 – John Deere „goes abroad“ 1963 – John Deere starts to sell lawn & groundscare products 2 | Efficient Innovation | November 2011 John Deere Manufacturing Locations 3 | Efficient Innovation | November 2011 Agriculture and Turf Global Operating Model 4 Customer Focus Regions – Organized by customer needs and market similarities 2 4 1 3 1 4 4 | Efficient Innovation | November 2011 Agriculture and Turf Global Operating Model 5 Global External Platforms – A platform consists of a portfolio of ‘like’ product lines Crop Harvesting Turf and Utility Hay and Forage Crop Care Tractors Combines Utility Vehicles Seeding Front-End Equipment Riding Lawn Equipment Self-Propelled Forage Harvesters Large (7000, 8000, 9000) Cane Commercial Mowing Heads Golf Mowing Cotton Walk-Behind Mowers 5 | Efficient Innovation | November 2011 Balers Tillage Application Equipment Medium (6000) Utility (2000, 3000, 4000, 5000) Loaders Products - Design Center Mannheim 16 t 9030-Serie 8030-Series 8t 7030-Series Waterloo John Deere Mannheim 7030-Serie Mannheim 6030-Series 5R-Series 2,5 t 50 Series 5015 100 6 | Efficient Innovation | November 2011 150 200 300 400 500 John Deere Werke Mannheim (D) John Deere‘s largest asset outside North America – 1.5 mil tractors produced since 1921 – Production 2010: 32,900 units – Represents 2/3rds of the German tractor production – Products: 5M/5R/6030-/7030- Series – 70 – 200 hp – 2,900 Employees 7 | Efficient Innovation | November 2011 8 | Complexity Efficient Innovation Management | November | February, 2011 2011 Schematic Engineering Process reflecting selection of Lean Innovation Theses Virtual Design - planning Other activities… Complexity Planning Cost Planning etc. 9 | Efficient Innovation | November 2011 Product Structure realization Virtual Design - realization Other activities… APPROVAL Factories - Customer Requirements - Design Specifications APPROVAL Design Product Specification APPROVAL Project Scope Product Change Request Structured Functions – views in Product Specs data base Clear Prioritization 10 | Efficient Innovation | November 2011 Structured Functions – data base sample - general 11 | Efficient Innovation | November 2011 Clear Prioritization Structured Functions – data base sample – Engine Auxiliary Clear Prioritization 12 | Efficient Innovation | November 2011 Structured Functions defining levels in Product Structure Product Architecture Design E A G 1 2 3 0 0 1 AA CH DT EA EN FA FI HY OS RA RI 3 2 : : : : : : : : : : : Product General, EOL Chassis Drive Train Engine Auxiliaries Engine Front Axle Front Implement Hydraulics Operator Station Rear Axle Rear Implement Often „System-level“ Fuel Supply System Cost comparison One configured tractor: 350 6-digits SFCs. 3 13 | Efficient Innovation | November 2011 Rough functional structure of the tractor, main level: Function/SFC „Fuel Tank“ (support function) Product Architecture Design vehicle Engine Aux (EA) 6-digit SFC 3-digit SFC Chassis (CH) parts* ETN (variants) structure level 2-digit SFC complete vehicle Structured Functions: 3 levels in product structure * including norm parts 14 | Efficient Innovation | November 2011 Drivetrain (DT) EAG EAG300 Tank EAG100 ETN168239 ETN175238 … DTC … General (AA) … Data Consistency by Product Lifecycle Management throughout all Processes and Structures Data Consistency Data Consistency Product Change Request Virtual Design - planning Design-Space Management Other activities… Complexity Planning Cost Planning etc. 15 | Efficient Innovation | November 2011 Functional Product Structure realization Product Architecture Design Virtual Design - realization Product Architecture Design Other activities… APPROVAL Factories - Customer Requirements - Design Specifications APPROVAL Design Product Specification APPROVAL Project Scope Clear Prioritization Conclusion Product Structure • defined by Product Specification • based on Moduls, Functions and Systems, • visualized virtually … relying on Change Management and Approval Process … is fundamental to efficiently manage Innovation Process from Customer Requirements to Production. 16 | Efficient Innovation | November 2011 Thank you very much for your attention! Questions? Frank Bürschgens BuerschgensFrank@JohnDeere.com 17 | Efficient Innovation | November 2011