1 Daniel Allen – Qualcomm - Director, IT Eric Lloyd – Qualcomm - Systems Analyst, Senior Staff Harry George – Oracle - Sales Consultant Implementation Experiences: Oracle Manufacturing Analytics Manufacturing Analytics Themes 1. Consolidate manufacturing data to provide ultimate business value 2. Leverage existing BI Applications investment 3. Focus on strategic, top-down business analytics 3 Qualcomm Overview Highlights Headquarters – San Diego, CA Offices – Worldwide Employees – 31,000 Key Business Areas: − CDMA Chipsets − Technology Licensing (IP) − Snapdragon Processor FY 2013 Revenue $26.3B – Up 9% YoY FY 2014 Q3 Earnings Growth – 41.6% YoY 4 Exalytics Conflict Minerals Conflict Minerals Manufacturing Analytics Manufacturing Analytics Corp. Oracle Answers with Noetix GV Corp. Oracle Answers with Noetix GV Corp. Oracle Answers with Noetix GV Carousel reports Carousel reports Carousel reports QMT Noetix QMT Noetix QMT Noetix Asset Analytics, R12 Integration Asset Analytics, R12 Integration Asset Analytics, R12 Integration Oracle BI stack at Qualcomm Increasing OBIEE and OBIA footprint Carousel reports OBIEE OBIA Corp. Finance 2009 • OBIEE 10g QMT Noetix Carousel reports BU Expansion, Projected Spends BU Expansion, Projected Spends BU Expansion, Projected Spends BU Expansion, Projected Spends Inventory, Service, Planning and Quality Inventory, Service, Planning and Quality Inventory, Service, Planning and Quality Inventory, Service, Planning and Quality Inventory, Service, Planning and Quality Spends, Finance GL and Revenue Spends, Finance GL and Revenue Spends, Finance GL and Revenue Spends, Finance GL and Revenue Spends, Finance GL and Revenue Spends, Finance GL and Revenue Corp. Finance Corp. Finance Corp. Finance Corp. Finance Corp. Finance Corp. Finance 2010 • OBIEE 10g • BI Applications 7.9.6.2 2011 2012 2013 • OBIEE 11g • OBIEE 11g / • BI Applications Noetix replaces 7.9.6.3 Oracle Discoverer 2014 2015 • OBIEE 11g • Exalytics • BI Applications 7.9.6.4 5 BI Applications Rapid Performance Insight CRM ANALYTICS SALES • • • • • • SERVICE & CONTACT CENTER MARKETING Pipeline Analysis Forecast Accuracy Up-sell/Cross-sell Cycle Times Lead Conversion Sales Team Effectiveness • Campaign Effectiveness • Customer Insight • Product Propensity • Market Basket Analysis • Campaign ROI PRICE • Price Segments • Price Waterfall Analysis • Deal Life Cycle • Deal Desk Analysis • Product Pricing Performance ERP ANALYTICS FINANCIALS • • • • • • • • • • Service Effectiveness Customer Satisfaction Resolution Rates Service Rep Efficiency • Service Cost • Service Trends MANUFACTURING LOYALTY • Member Demographics • Membership Trends • Promotion Cost • Promotion Effectiveness • Points Analysis General Ledger Accounts Receivable Accounts Payable Cash Flow Profitability Expense Management • • • • • • • • Plan to Produce Work Orders Inventory and WIP Quality Resource Usage Bill of Material Costing Kanban • • • • • • HUMAN RESOURCES • Employee Productivity • Compensation • Talent Management • Recruiting Analysis • Learning Analysis • Workforce Profile PROJECTS • Project Funding and Budget • Product Cost • Project Revenue • Project Billing • Project Profitability SUPPLY CHAIN & ORDER MGMT PROCUREMENT & SPEND Revenue & Backlog Inventory Analysis Fulfillment Status Customer Status Order Cycle Time BOM Analysis • Direct & Indirect Spend • Buyer Productivity • Contract Compliance • Supplier Perf. • Purch. Cycle Time • Employee Expense ENTERPRISE ASSET MANAGEMENT • • • • Maintenance History Maintenance Costing Asset Genealogy Breakdown & Preventive • Quality • Inventory ORACLE BUSINESS INTELLIGENCE FOUNDATION SOURCE ADAPTERS: 6 Copyright © 2012, Oracle and/or its affiliates. All rights reserved. OTHER OPERATIONAL AND ANALYTIC SOURCES Oracle Manufacturing Analytics Insight into the Plan to Produce Process Manufacturing Execution • Provides executives, operations managers, productions supervisors with a broad overview of performance across the plant operations • Discrete, Hi-tech, OSFM, Repetitive and Process Manufacturing Quality • Manufacturing Quality, both discrete and process: test plans, collection elements, test results, process samples, process specifications and process specification test results. • Root cause analysis of Inspection plans and quality test results 7 Copyright © 2012, Oracle and/or its affiliates. All rights reserved. Oracle Manufacturing Analytics Insight into the Plan to Produce Process Costing • Manufacturing cost breakdown • Cost variances helps with root cause analysis • Extends Manufacturing costs reconciliation with GL Planning • Forecasts and forecast accuracy, along with production to plan adherence and support for hard and soft pegging of demand and supply Inventory and Kanban • Lot analysis and serial control tracking • Inventory transactions by lot, Inventory aging, excess and obsolescence • Kanban performance tracking and kanban replenishment cycles 8 Copyright © 2012, Oracle and/or its affiliates. All rights reserved. Background Qualcomm Hardware Manufacturing San Diego facility for board build, final assembly, unit provisioning and test − 5 advanced SMT lines, various assembly areas Potential to expand to various contract manufacturers serving APAC market Produce hardware for Qualcomm Engineers and External Partners − Prototype devices (phones/tablets), test boards, emulators, NPI/first run emerging consumer products − Support “early entry” of product launches and global market for devices − Facilitate in-house build process by managing material and resource costs High mix, low volume discrete manufacturing − Dynamic demand / BOM requirements based on customer requests and approved components − Enablement of Qualcomm’s time-to-market business advantage – improved turnaround time − Primary goals are flexibility, delivering to customer schedule and product quality requirements 9 Qualcomm’s Manufacturing Applications Manufacturing Systems Legend: In Place BI App Manufacturing App 10 Implementation Expected Value / Benefit Single Source of truth for all manufacturing data − Streamline overall reporting solutions and data gathering efforts Support operational and KPI-base reporting needs Elimination of high cost queries against transactional systems Movement toward strategic, top down management tools for manufacturing Provide executive visibility and access to key business data Reduced inventory costs and production delays Improved productivity and product quality − Better quality, elimination of waste, smoothing of operational processes 11 Implementation Key Steps Partner with Oracle and KPI Partners on a Proof of Concept BI Steering Committee approval for project and investment Implement out-of-box Manufacturing Analytics BI Application Add ETL, RPD, and Web Cat content for FactoryTalk MES data Train manufacturing users to be self-sufficient in OBIEE report development − Facilitate user driven reporting through bi-weekly report building workshops 12 Manufacturing Analytics Timeline Jan / 2014 Feb / 2014 Mar / 2014 Apr / 2014 kh Proof of Concept May / 2014 June / 2014 July / 2014 Aug / 2014 Sept / 2014 Oct /2014 Nov /2014 User Training Out of Box BI App - BI App / QCOM Data - Order Aging - Inventory MES Integration Steering Committee - SMT Aging Queue Metrics WIP Metrics Yield Continued Report Development / Work Shops - Order Aging - Inventory 13 Joint Proof of Concept • Reviewed Standard Content with Business User SME • Determined what out-of-the-box content was useful to show • Identified new content to add to existing dashboards • Identified product functionality to highlight (trellis charts, mobile, etc.) • KPI Partners conducted ETL effort for POC • Plant leadership demonstration • 2 joint review sessions to refine content and storyline • Kickoff by Qualcomm IT leadership • Demonstration showed how to get ahead of their customer issues and to root cause problems early on in the delivery cycle The information contained in this document is subject to change without notice. This document is not warranted to be error free. Implementation Resources By Project Phase 7 Resource Count 6 5 4 On Shore Consulting Off Shore Consulting 3 On Shore Qualcomm Off Shore Qualcomm 2 1 0 BI App Implementation MES Implementation Sustaining Project Phase 15 Implementation – Out of Box Manufacturing Executive 16 Implementation – Out of Box Production Performance 17 Implementation MES Dashboards/Reports 18 Implementation MES Dashboards / Reports - WIP Metrics 19 Implementation MES Dashboards - WIP Metrics 20 Implementation Notes on Staffing / Resources Focus on BI fundamental skill vs. OBIEE or BI Apps specific When building a team, evaluate where complementary skills can be applied. E.g. SOA or TIBCO developer transition to Informatica Use consulting to jumpstart projects by leveraging BI Apps specific knowledge Distribute/share responsibility with offshore Leverage source system expertise and business knowledge 21 Implementation Realized Business Value Top down BI through use of Oracle BI at Operations Reviews − Execs now have strategic, KPI focused dashboards that align to strategic initiatives Exceptions are managed as they happen, rather than “after the fact” − Manufacturing Execs are prepared to meet with their customers and have already addressed gaps/problems Integration of BI in to planning meetings Operational changes are being driven − Focus is on queue counts and durations − Bottlenecks are being seen and addressed 22 Qualcomm BI Apps Practice Strategic Approach to BI Implementation / Management Quarterly BI Steering Committee − Director to Senior Director level sponsors − Focus on 3-4 month projects − Approve priority across numerous business units, primarily Supply Chain and Finance related customers Monthly IT Summit − Ensures alignment across IT system owners – e.g. Procurement , Supply Chain, Sales Ops, etc. − Pull system related changes/concerns from BI team − Push BI initiatives/concerns to system teams Deliver at the Right Level − Partner with Execs to drive BI down through their organizations − When the boss is measuring his/her folks, those below will quickly get on board 23 Qualcomm BI Apps Practice Tactical Approach to BI Implementation / Management Enable BI maturity in the business − Show, rather than ask (leverage initial OOTB capabilities) − Users only really understand BI when they can see it, especially when it’s their data Manage ERP and BI systems as a “connected” services − Reduction of ERP customizations allows better leveraging of BI applications − View BI capabilities as a natural extension of ERP projects Utilize Agile project methodologies - Scrum − Drive change through quick releases − Rapidly respond to changing business priorities − Continuously improve the capabilities of your team 24 Qualcomm BI Apps Practice Tactical Approach to BI Implementation / Management Make your customers your partners − Make customers responsible for creating and managing their BI content − Recognize and reward the business for positive results Create BI solutions that are integrated in to business process − Drive business decisions, don’t simply provide reports − Enable more efficient services and higher product quality 25 Thank you Qualcomm is a trademark of Qualcomm Incorporated, registered in the United States and other countries. 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