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IEEM 5352E-Enterprise Integration
Architectural Planning of
Intra-enterprise Integration
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Lecture Objective
• The objective of this lecture is to explain the major concepts of intra-enterprise integration, so that they may be extended (with understanding) to include inter-enterprise integration.
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Enterprise Integration(Initial Definitions)
• Enterprise Integration is the vertical and horizontal alignment of plans, business processes, and information systems across organizational and functional boundaries to provide competitive advantage.
• The process of achieving Enterprise Integration includes all managerial and technological factors that enable cross-functional process integration.
• The end result is a customer oriented management structure with information systems that are formally linked to processes and the integration of processes needed to establish/retain customer satisfaction.
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Extended Enterprises
• Customers
• Suppliers
• Partners
• Contractors and Subcontractors
• Temporary Partners
• Others
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Enterprise Integration(Refined Definitions)
• Intra-Enterprise Integration applies to a single enterprise.
• Inter-Enterprise Integration applies to the extended enterprise.– The extended enterprise includes suppliers,
customers, partners, and other enterprise constituents.
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Output
Domain “A”Sales
Domain “C”Shipping
Domain “B”Production
VerticalProcesses
A
B
C
D
E
A
B
C
D
E
A
B
C
D
E
Input
SalesIS
Prod.IS
ShipIS
Non-IntegratedSystems
“Stovepipes”
Non-Integration
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Output
Domain “A”Sales
Domain “C”Shipping
CustomerOrder
Process # 1
CustomerOrder
Process # 2
Input
A
B
C
D
Functions
E
A
B
C
D
E
A
B
C
D
E
Domain “B”Production
Integrated Processes With Aligned Information Systems
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Achieving AlignmentProcess vs. I.S.
• Reengineer the process, and then develop an integrated information system that aligns with the business process.
• Adopt an off-the-shelf standard software solution and reengineer internal business processes to align with the solution.– SAP, Baan, Oracle, etc.
• Most US companies have selected the second option.
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Integrated Data Environment (IDE)
• The Integrated Data Environment (IDE): the most basic EI concept.
• How does horizontal integration relate to IDE?
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The Integrated Data Environment (IDE) – cont.
• An IDE implies the electronic sharing of data in support of cross-functional process integration.
• The data are stored once, but accessed as needed.
• The organization’s information systems are aligned with the workflow processes.
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Intra-Enterprise Integration:Business and Technical Data
The Major Components areERP, PDM/PLM, EDM, and MES
• Enterprise Resource Planning (ERP)• Product Data Management (PDM)• Product Lifecycle Management (PLM)• Enterprise Document Management (EDM)• Manufacturing Execution System (MES)
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Intra-Enterprise Integration(Including Technical Data)
ERP
EDM
PDMPIM
EngineeringManufacturing
CAD
CAM
MES
EDI Module PES
IntraNet
ExtraNet
WWW
CSMSystem
Dataflows
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ERPStandard Software Solutions
• These are pre-engineered and integrated solutions that connect the complete scope of the business applications.
• The solutions are usually in modules (4M); e.g.,
– Financial and Accounting (M)
– Human Resources (M),
– Sales and Distribution (M),
– Manufacturing and Logistics (M).
• Full implementations are called Enterprise Resource Planning (ERP) Systems.
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Product Information Management (PIM)
• PIM captures all design elements and all related information during the design process.
• The focus is on the operational requirements at the interface between manufacturing and engineering design.
• The primary focus is on document and configuration management.
• The primary PIM components are Product Data Management (PDM), Product Lifecycle Management (PLM) and Enterprise Document Management (EDM).
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Product Data Management
• PDM is a combination of change and distributed electronic document management to support product development in manufacturing.
• PDM emphasizes the managing of formal product structures; hence, the concept favors discrete manufacturing.
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Key Elements Associated with PDM
• Configuration management
• Data control and vaults
• Archiving
• Access control and security
• Release and approval
• View and markup
• Engineering changes
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Enterprise Document Management (EDM)
• EDM systems permit an enterprise to create, index, store, query, retrieve, view, modify, and print documents.
• EDM systems are made to be used across an entire company, while PDM systems are more toward applications specifically for the engineering departments of manufacturing and design corporations.
• EDM systems primarily organize documents along the generic hierarchical folders and file them that is prevalent in graphical computer file systems.
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Manufacturing Execution Systems
• MES describes a species of plant-floor computer systems meant to automate production control and process management.
• These standard software solutions replace both paper-based systems and the many stand-alone systems that have sprung up on plant floors over the last 25 years.
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MES is and is not• MES does not have planning focus.• MES is concerned with scheduling work, based on
orders that are in hand.• The MES provides realistic delivery dates to customers
wanting to place orders, based on real-time information about shop floor conditions.
• MES is the information system that tells plan floor resources (e.g., people, equipment, and controls) how to build and provides feedback on what was built and when.
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The Dataflows• Data flowing from the ERP system to the
MES include production demand, bill of materials, drawings, part programs, routing information, and process data.
• Dataflow from the MES to the ERP system include real time resource status, labor status, actual bill of material, actual routing and process data, product genealogy as built, and scrap levels.
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ERPTime Factor = 100x
MESTime Factor = 10x
ControlsTime Factor = 1x
PeoplePhysicalDevices
What to
Build
What Was Built
Labor InstructionsHow to BuildInstructions
Labor ResponsesWhat Was Built
How to
BuildHow It
Was Built
Operations StatusWhat Was Built
DeviceManipulation& Control
Input/OutputSensor Values
MES Dataflow in an Enterprise
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MES Integration
• In 1995 it was estimated that roughly 80% of MES installations operate with MRP II.
• At that time, it was projected that there was a growing trend toward integrating MES with more comprehensive ERP systems; i.e., integrating MES with order entry, financials, and distribution.
• To a large extent, the projection was optimistic and remains unrealized, although progress has been made.
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Component & Supplier Management (CSM) Systems
• CSM Systems provide a between engineering design and procurement execution.– This represents one link between engineering
and business systems.
• CSM systems are usually an add-on module to ERP systems.
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The Components of a CSM System
• A classification scheme that describes components according to physical characteristics.
• A component reference database.
• Tools and services for legacy data migration to the database.
• A navigator and data mining capability for the database.
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Architecture for Intra-Enterprise Integration
ERP Clients
ERPData Base
SQL DB
RPC
ERP Data Level Tier
ERP Application TierApplication Logic (Business Rules)
“Third Party” Information Broker
•PDM System•CAD System•EDM System•CSM System•Legacy Mainframe
Non ERP Clients
ERP Client Tier
PDMData
CADData
EDMData
CSMData
ProcurementExecution
Data
LegacyData
Direct Access
API
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System Interoperability
R/3 System Software
BasisLayer
Operating System (Unix, NT, etc.)
DBMSProvided by
other Vendors
R/3 Middleware
CORBA
OLE/DDE
ODBC
RemoteSQL
CPI-C
SQLAPIsEDM
PDM
PIM
EngineeringManufacturing
CAD
CAM
MES
Works only if Vendorswrite their products to a
specific ERP API
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Intra-Enterprise Integration Status
• Most large US firms have been striving to achieve parts of the previously presented model.
• Some parts are more difficult to achieve than others, but in some areas, significant progress has been made; e.g., CSM and procurement execution.
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Inter-enterprise Integrationor Business-to-business EC
• Business-to-business EC extends the intra-enterprise integration model to include suppliers and customers.
• The new model is one of inter-enterprise integration, with a focus on self service.
• Our leading firms are extending the first round of integration activities to include the supply chain, and the Internet is the enabler.
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IEEM 5352Enterprise Integration
Business Process Reengineering(BPR)
Reading Assignment:Member Resources
Chapter_4 企業流程再造
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企業流程再造• 為了因應企業環境不斷變遷,以及無法善用新的資訊科技所隱藏的不經濟問題,許多經營者需靠企業流程再造( Business Process Reengineering, BPR)以降低營運成本、提昇產業競爭力、提高顧客滿意程度等才得以永續經營。
• 企業流程再造主要的精神在於揚棄傳統「分工」理論,而以「流程」為再造的重心,並善用資訊科技來重新檢討企業的運作方式。
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BPR核心概念• 流程:分析對象為企業之流程或產業而不是以部門或職務的領域為對象,它可能是單一部門或跨部門,但也常是跨組織的作業流程。
• 績效:在可衡量的項目,如生產週期、顧客滿意度等獲得巨大的改善,或是達成企業之主要經營目標。
• 科 技 : 資 訊 科 技 常 是 新 流 程 主 要 的 促 成 者( enabler)。新的作業流程常是以資訊科技為中心,並盡可能利用資訊科技的力量,去做重大的改造。
• 改變:改變是必須的。這包括了組織的架構,乃至每一個管理者的根本觀念。
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流程模式化• 流程的觀念是企業流程再造之重點,藉由對流程之功能、變動過程、所需的資源與對應的組織關係加以描述,可以了解企業現行與未來流程及其與企業現況之相關性,才能提高流程再造成功的機率。
• 流程模式化的四個基本觀點:• 功能面( Functional):能表達出被執行的流程要素,以及能表達與流程要素有關的產品流程要素有關的產品流程。
• 行為面( Behavioral):能表達出流程要素何時被執行。• 組織面( Organizational):能表達出流程元素在哪裏執行,及由組織中的誰來執行。
• 資訊面( Informational):能表達出產品或資訊是經由那個流程創造出來。