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Together. Free your energies
Erik van Daalen, May 12th 2009
© Capgemini 2008
1
Together. Free your energies
College Implementation
Erik van Daalen, 12 May 2009
Introduction
 Erik van Daalen
 Programme and Project Manager
 21 years working experience, 11 years for Capgemini
 Main focus areas:
 Package selection & implementation
 Engagement manager
 Trainer Rapid
 How to manage large programmes (PMI’s)
 Manufacturing Execution Systems
 Industries:
 SCM, High Tech, Manufacturing, Transport, Financial
Sector
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Agenda
 Back ground information
 Example single site implementation
 Example multi site implementation
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Together. Free your energies
Background information
CSF’s within ERP implementations
Strategic CSF
Tactical CSF
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Top management commitment and support
Visioning and planning
Build a business case
Project champion
Implementation strategy and timeframe
Vanilla ERP
Project management
Change management
Managing cultural change
Balanced team
Project team: the best and brightest
Communication plan
Empowered decision makers
Team morale and motivation
Project cost planning and management
BPR and software configuration
Legacy system consideration
IT infrastructure
Client consultation
Selection of ERP
Consultant selection and relationship
Training and job redesign
Troubleshooting/crises management
Data conversion and integrity
System testing
Post-implementation evaluation
Finney, S. and Corbett, M. (2007), “ERP implementation: a compilation and analysis of critical success factors”,
Business Process Management, Vol. 13 no. 3 pp329-347
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Key Concepts behind implemenations
1. Innovation versus 1:1
2. Process thinking
People
Process
3. Integrated Approach
Technology
4. Change Management
5. Improvement Agenda
6. Value proposition
7. Speed
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Innovation versus 1:1
Measure of reengineering / business value
1 on 1
reengineering
obv package
innovation
Start from the
current situation,
only change
when required
(technology
driven)
Make maximal
use of package for
realization vision
of future
(business driven,
limited by
technology)
Realization vision
without limitation
(business driven,
real innovation,
changes thinking
and action of
people)
Implementation speed
BPR
Quality Management, Risk Management, Project
Management, Human Factors, etc.
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-8-
Integrated approach
Knowledge
Vision
Environment
Consists
of
Processes
Company
Technology
Make
use
of
Method
People
To integrate
Tools
Architecture
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Change Management
(The Supportcurve)
Commitmentphase: Behaviour
This is good for
myself and for
the customers
and company.
Institutionalise
Level of support from the employee
Lets make it a
success
Is this right, this
change?
Acceptationphase: Attitude
Awarenessphase: Knowledge
I hear that
something is
going to change
I understand
what the impact
is for me.
I understand what
is going to
change.
Adoption
Acceptation
Test
Understand the change
Awareness
Contact
Time
Conner en Patterson (1982)
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Improvement Portfolio
Speed of Change
Fast
P
r
o
f
i
t
s
H
i
g
h
Slow
 Improvement;
- Identify Improvements
- Estimate benefits versus costs
- Score improvements in matrix
- Identify which improvements to
take in account
- Determine impact on People,
Process and Technology
L
o
w
Processes
Technology
People
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Task driven Implementation
TASKS
SLOW
DELIVERABLES
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Milestone driven Implementation
DELIVERABLES
TASKS
FASTER
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Value Added Implementation
value proposition
Deliverables
Faster/Value
Tasks
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Value Proposition (example)
Level of added value
Focus on added value
LOGISTICS
FINANCE
SALES/
MAINTENANCE
CUSTOMER
SERVICE
PRODUCTION
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Know the main drivers?
30
25
20
15
10
5
Impl. 1
0
Impl. 2
Impl. 2
Impl. 1
Know what the main drivers are in your implementation?
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Multi versus Single Site implementation
 Single site:
•
•
•
•
•
Implementation within one Organisation entity;
Change Management (people), one culture;
Team located on one location;
Faster implementation;
Functional changes can be incorporated faster.
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Multi versus Single Site implementation
 Multi sites:
• More then one location or Organisation entity;
• Change Management: more organisation or/and country cultures
involved;
• Need to develop a core, choose one of the core developments:
 Develop on central location with representatives of all sites;
 Take one plant/location as development location (pilot).
• Which implementation strategy will you choose:
 Location:
 All sites at once (Parallel);
 Site for Site (serial);
 Hybrid, a few together.
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How will you go live?
 Big bang:
• The complete solution at once;
 Con: The risk is the size of the implementation
 Pro: facing out the old system;
 Pro: no extra interfaces.
 Module for module
• One or a combination of two/three will be implementated
 Con: Throughput time;
 Con: complexity in connecting the new system to the old systems;
 Pro: a more controlled go live.
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The role of the Project Manager
•
•
•
•
Project management has to do with human factors
People, process en technology influence the success
Project tracking & tracing is important
Project management is not a science, it is based on
experience
• There are different
– methods to plan and manage
– ways to organize projects
– ways to guard the quality of projects
These are topics treated in SDM1
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Together. Free your energies
MOL Logistics

Logistics Service Provider:
•
•
•
•
•


Airfreight (import/export)
Transport (trucks)
Distribution
See freight
Warehouse
325 employees (at the go live)
Four locations: Schiphol, Eindhoven, Rotterdam
and Tilburg
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Implementatie
• Independent implementator
• Project management
• Project Approach
• Customer
DCS
TRANSPORT AND
LOGISTICS SOLUTIONS
• Software supplier
The implementation was a success thanks to Colaboration
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Relation between people and effort
• Putnam-Nordon-Rayleigh (PNR) curve
• putting more people on a project does not decrease time
linearly
• people need time for communication
• 4 zones in the curve for a certain defined project:
1) it can not be completed within a certain time
2) overstaffed: completed fast,
but inefficient
3) linear range: efficient staffing,
man-power trade-off with time
is good possible
4) understaffed: becomes also
inefficient
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Project organisation
DCS
Directeur
Management
Steering committee:
MOL, DCS, CGEY
Sponsors:
COO,
Managers
Projectmanager
Projectmanager
Tarieven/contracten
Consultants:
System support:
Co-ordinators:
Customs:
Super:
Sea freight:
Super:
Airfreight
Export:
Super:
Airfreight
Import:
Super:
Warehouse: Finance:
Super:
Super:
Distribution:
Super:
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25
Planning
Communicated Go Live date
Test
Month
Week
January
1
2
3
STC date
February
4
5
6
7
8
March
9
10
11
12
April
13
14
15
Training of super users
Functional impl. of LIMS
Defining missing software
Writing missing software
Writing missing reports
Define internal processes
Creating manuals
Training of end users
Go Live date 1 april 2001
Testing period
Defining management infor.
Training end users on pc’s.
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Rapid Implementation Support (RIS)
Stap 1
Project
Startup
• Defined scope
• Organisation
• Planning
• Budget
• Acceptation
criteria
• Defined
interfaces
Stap 2
Configure
LIMS
Stap 3
Develop
processes
• Train Key Users
• Develop
scenarios
• Configure
parameters
• Enter Static
Data
• Define
Conversion Plan
• Execute RISsessions
• Describe
procedures
• Define
Improvement
agenda
• iteratie
Stap 4
Implement
systeem
• Finalise
procedures
• Train End-users
• Implement ITenvironment
• Conversion
• Accept system
• Go Live
Stap 5
Optimalise
organisation
• Detail out
improvement
agenda
• Input for RIS
sessies;
• People,
proces, mens
and
technologie;
• With RIS
sessions.
• Implement
improvement
agenda
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27
RIS sessie


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

Colleborative design and decision taking
Closed number of days
No disturbances
Focus on LIMS
Develop one common language
Iterative developemt of processes
Make use of growing insights
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Demostrations


Key user shows package
Why?
• Determine progress
• Define what is missing
• Outcome used for go/ no go decision
• Probably adding builds/bolt ons
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Success factors for this project


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

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Sense of Urgency
Need for structured approach
Only focus on software package LIMS
Good cooperation between three involved parties
Good use of resources
High level of commitment from key-users
Strong/Tight management
Method
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Together. Free your energies
NXP Semiconductors
founded by Philips
Positioning of ERP-domain
ERP
Planning
ERP-domain
Strategy
Planning
Procurement
MES
Sales
Execution
MES-domain
Data
Collection
And
acquisition
Quality
Management
SCADA
SCADA
Control
PMA-domain
Maintenance
Management
PLC
PLC
PLC
PLC
Raw Material
PLC
Products
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NXP Semiconductors
A leading Connected Consumer company
•
Revenues of around 6.32 B € in 2007
•
Focus on semiconductor solutions for
Connected Consumer applications
•
3700 employees
•
More than 7500 engineers. 25,000+
patents. 26 R&D centers located in 12
countries
•
Global organization, sales force
delivering to 60 countries,
and 20 manufacturing sites
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What is a Wafer
• A wafer is a slice of “sand” (Si)
• Could have different Diameters
e.g. 4”, 5”, 6”, 8” within NXP
• Maximum size at this moment:
12”, 18”
• Wafers are produced in the NXP
fabs: Fishkill, Hamburg, Jilin and
Nijmegen
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What is a Die
 A Die is one Integrated Circuit on a
wafer.
 Number of Die’s on a wafer depends
on the product.
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The Project






Standardised integrated ERP system for the NXP
Semiconductors manufacturing environment.
Single legacy system.
Reducing the cost of future development, maintenance and
support.
Common set of interfaces were needed to enable each site to
communicate more effectively with the rest of the NXP global
network.
Flexible enough to allow implementation of selected modules
in individual sites.
The deployment also needed to be delivered on time, every
time, to accommodate a tight timeframe for global roll-out.
Globalization of business processes, standardization of data and
one integrated information system using the best practices must deliver the
platform for a lot of benefits and savings
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The Project





First phase started in February 2001, Release I Kernel by
Capgemini and NXP Semiconductors.
Modules for Financial & Accounting, Controlling, Asset
Management and Materials Management.
Release I rolled out at every Site, except same MDS site
Release II-lite Fishkill, Boeblingen, Hazelgrove, Grandkorn
and Zurich
Biggest Site live on Release II are Hamburg and Nijmegen.
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Locaties (2004) NXP Semiconductors
Fishkill
Sunnyvale
San Jose
Tempe
Heerlen
Hamburg
Headquarters
Nijmegen
Böblingen LCOS
Vienna
Gratkorn
Zurich
Southampton
Milton Keynes
Hazel Grove
Caen
Crolles
Le Mans
Böblingen
Kobe
Suzhou
Beijing
Shenzhen
Shanghai
Guangdong
Kaohsiung
Hong Kong
Cabuyao
Calamba
Bangkok
Seremban
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Programme organisation instead of a
project organisation
Supply
Management
TL
TL
TL
TL
TL
TL
Demand
Support
Application
Control
Kernel
Development
Implementations
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Fasering project
Application
control
Kernel Development
Implemetation
Management
Feasibility
Study
Business
Blueprint
Kernel
Development
Implementation
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Project Methodology - Roll Outs
Set-up and
Scoping
Blueprint
finalization
• Scope
• Level 1 and 2
process
design
• Architecture
and systems
landscape
• Detailed plan
next phase
• Detailed
enterprise
model /
business
blueprint
• Data
conversion
plan
• Interface high
level functional
design
• Script list
Core
system
realization
• SAP
configuration
• Data
conversion
designs
• Interface &
enhancements
functional and
technical
specs
• Organisation
model role
and job
Core system
construction
Implementation
• Interface &
enhancement
programs
• Data
conversion
programs
• User
documentatio
n and training
material
• Integration
testing (IT)
• User
acceptance
testing (UAT)
• Data
conversion
• User training
• Start-up and
go-live
• Initial post
go-live
support
• Go live local
support
group
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Project Methodology - Roll Outs
Set-up and
Scoping
Blueprint
finalization
Core
system
realization
Core
system
constructio
n
Implementation
Kick Off
Deliverable and timeboxed driven, not value added
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What are the main drivers?
30
25
20
15
10
5
Impl. 1
0
Impl. 2
Impl. 2
Impl. 1
The driver by NXP where Change Management, Data migration and
interfaces ?
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43
Package implementation – A few remarks
•
•
•
•
Implementing an information system is custom-made
A good preparation is essential
Methods and Tools are not enough
Implementing an information system is also changing
organizations
• Management participate active in project
• Project leader is director, not project owner!
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Vragen….
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The success of an implementation is
determined by the people
Together. Free your energies
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