e-Manufacturingin Automotive Industry

ContentsContents

Trends and Challenges of Auto IndustryTrends and Challenges of Auto Industry

e-Manufacturing in Auto Industrye-Manufacturing in Auto Industry

e-Manufacturing for New Car Launch at H&Ke-Manufacturing for New Car Launch at H&K

e-Manufacturing for Production at H&Ke-Manufacturing for Production at H&K

1-1 Auto Industry Trends1-1 Auto Industry Trends

Global Business

• Over supply • Reduced profit margin (3%)• Relentless cost reduction drive

Customer Power

• Outsourcing of non-CC areas • Go abroad with local suppliers• Module-based mfg• Partnership collaboration

Key trends of auto industry are global business, increased customer power, severe global competition due to oversupply, and increased out-sourcing (parts modules) through strategic alliance with suppliers.

• Growth of new markets• Regional FTA of existing markets • Global customer service

Severe Global Competition

• Ease of information access• Personalized needs (BTO)• Short OTD time : 5 Day Car

Strategic Supplier alliance

1. Trends and Challenges of Auto Industry1. Trends and Challenges of Auto Industry

Severe Global Competition

Growth of BRICs

ㆍ Low growth of world auto market (2~3% growth rate expected)

ㆍ Large oversupply (about 25 million cars in 2003) - Prod. capacity: 81 M cars, Market demand: 56 M cars

ㆍ China: Its market size reaches to the north American market size - 4th Car-making country in 2003, 8 million cars prod./sales in 2008

ㆍ India: Over 1 million passenger cars in 2003

ㆍ Brazil, Russia: Steady & rapid increase - 2003: Brazil(1.67M prod./1.32M sales), Russia(1.26M prod./1.35M sales)

Development Racefor Future Cars

ㆍ Paradigm changes in auto industry to meet Environment Protection Oil Depletion, and increased Customer Expectations

ㆍ Core high-tech is essential for global competition and survival - Fuel cell, Hybrid, Intelligent electronics, Low pollution engine, Telematics, etc.

1-2 Changes in Auto Market (Global War)1-2 Changes in Auto Market (Global War)

1. Trends and Challenges of Auto Industry1. Trends and Challenges of Auto Industry

• Securing & Relocation of Global Production Capability Maintain & increase of global market share Market share increase & brand building in under developed

countries

• Huge Fund & Technology Investment for Capturing Future Market Eco-Engine, Next generation power train

• Common Platform Increased use of standardized Units & Parts Realization of ‘economy of scale’

• Securing of Profitability in the increased Small Car Market Relocation of global production capability

1. Trends and Challenges of Auto Industry1. Trends and Challenges of Auto Industry

1-3 Challenges of Global Auto-Makers1-3 Challenges of Global Auto-Makers

2. e-Manufacturing in Auto Industry2. e-Manufacturing in Auto Industry

Customer Support (B2C) Supplier Management (B2B)

Life-cycle mgt

Customer/market needs analysis

SuppliersChain

Sales forceautomation

SupplierCollaboration (D&D)

Used car auction

Global communication &network revolutionService

partsorder/supply

Telematics

A/S

Real-time optimizationof supply/demands

Globalsourcing/logistics

CRM/SCM

PLM/ERP/MES

Web-basedcar orders

2-1 e-Manufacturing Image for Value Chain Management2-1 e-Manufacturing Image for Value Chain Management

Integration of Web & IT

e-Business Service

Web Service

Strategy Management

Knowledge & Quality Mgt

SCM(Supply Chain)

CRM(Demand Chain)

PLM

ERP

MES

Custom

er

B2CB2B

2. e-Manufacturing in Auto Industry2. e-Manufacturing in Auto Industry

2-2 Information System Model for e-Manufacturing 2-2 Information System Model for e-Manufacturing

Supplier

Where will we make this product?

How do we make this?

What will it cost to make this?

How soon can we make this?

How fast can we make these?

What factory changes are required?

What tooling is required?

Do we make or buy?

What if I change the design?

2. e-Manufacturing in Auto Industry2. e-Manufacturing in Auto Industry

Concept DevelopmentConcept Development

Product DesignProduct Design

Production

Suppliers

Manufacturing Engineering

2-3 Manufacturing Planning Questions for NCL (New Car Launch) 2-3 Manufacturing Planning Questions for NCL (New Car Launch)

Production TQC Innovation via MIS (Manufacturing Information) System Innovation

Production Process Mgt

Customer Satisfaction

Demand Forecasting

Part Supply Shortage 20%20%

37%37%

9%9%

25%25%

38%38%

9%9%

Information Sharing

No reply Forrest Research Report (2001)

Difficulties in Managing Mfg Enterprise- Survey of CIO/CEO of Top Mfg Companies in US

Sales-Prod. Inf. Sharing

Intel. Mgt of Process Status Inf.

Standardized Prod. Process Sys.

Flexible Systems

Integrated Mgt of Multi-plants

Real-time Inf. Processing

MIS Innovation

2. e-Manufacturing in Auto Industry2. e-Manufacturing in Auto Industry

Time-to-market (NCL LT) Reduction via Digital Engineering Innovation

5050 4040 3030 2020 1010

Time-to-Market

(Months)

Generation

48M ~ 36M(Traditional )

22 36M ~ 24M

(Engineering Improvement)

3 3 24M ~ 12M

(Engineering Innovation )

Current LevelCurrent Level

2424

1 1

2-4 e-Manufacturing Innovation Requirements2-4 e-Manufacturing Innovation Requirements

ㆍ Digital Innovation of NCL ( 설계 + 생기 ) Processes via PLMㆍ Goal: Development Lead-Time/Cost Reduction, Design Quality Assurance, etc.ㆍ Digital Innovation of NCL ( 설계 + 생기 ) Processes via PLMㆍ Goal: Development Lead-Time/Cost Reduction, Design Quality Assurance, etc.

Forming Eval.(Die Req.)

AssemblyEval.(Equip. Req.)

ErgonomicsEval.(Work Req. )

VIRTUAL MANUFACTURING

DigitalPreparation

for NCL

Styling(Digital Eval.)

MarketValue(Digital Eval.)

Performance(CAE)

VIRTUAL ENGINEERING

MassProduction

VirtualPrototype

Car

3. e-Manufacturing for New Car Launch at H&K3. e-Manufacturing for New Car Launch at H&K

3-1 e-Manufacturing Image for New Car Launch (NCL) Process3-1 e-Manufacturing Image for New Car Launch (NCL) Process

Processes & Systems Int.

DMUDMU

Mfg Eng. Mfg Eng. (DMES)(DMES)

<Body>

<Paint>

<Ass’y>

<P/T><PL/ 소재 ><Press>

R&DR&D

<Styling>

<CAD>

<CAE>

<P/T CAD>

<E/G Room> <Cockpit>

<Door><Under Floor>

<Ergonomics>

….…....…....

BOMBOMPDMPDM

Common Product Structure

File Action Info Create Query Window Options View Help

ProductCategory

SystemCategory Brake Assist

Disc

ABS Disc

Drum

ComponentCategory Brakes

Disc

Car

Truck

Vehicle

Family Menu...Show Relationshipð.. Has Parts

Prod. Structure - 부품사양Prod. Inf. - 제품사양 - 기술정보 - 형상정보 - 기능정보Tech. Data - 해석 /시험보고서 - 특허규격Project Mgt - 일정 /진도Workflow Mgt - 이력정보

3. e-Manufacturing for New Car Launch at H&K3. e-Manufacturing for New Car Launch at H&K

3-2 Digital Process Support Systems for NCD ( 디지털 설계 )3-2 Digital Process Support Systems for NCD ( 디지털 설계 )

NCL = NCD + Mfg Eng

Process-oriented System Integration Realization of Digital Inf. Mgt System Long-term Strategic Planning & Step-by-step Implementation.

Robot Simulation

Off Line Programming

CAPE

e-DM/KM

DMES

1990s Early 2000s

Application Oriented System Development

ProcessOriented System

Development

Isolated Point Solutions Non-integrated Systems Isolated Control Without Strategic Planning

Late 2000s

※ CAPE: Computer aided production engineering; e-DM/KM: Enterprise Digital Manufacturing/Knowledge Management DMES : Digital Manufacturing Engineering System

3. e-Manufacturing for New Car Launch at H&K3. e-Manufacturing for New Car Launch at H&K

3-3 History of Mfg Eng Digitalization ( 생산기술 디지털화 )3-3 History of Mfg Eng Digitalization ( 생산기술 디지털화 )

3. e-Manufacturing for New Car Launch at H&K3. e-Manufacturing for New Car Launch at H&K

3-4 Image of DMES (Digital Mfg Eng System: 디지털생산준비시스템 )3-4 Image of DMES (Digital Mfg Eng System: 디지털생산준비시스템 )

Availability/Stability

Availability/Stability

Scalability/Portability

Scalability/Portability

Ease of UseEase of Use

BuildBuildG-MESG-MES

Based onBased onStd. Infra ArchitectureStd. Infra Architecture

Global TopGlobal TopGlobal TopGlobal Top

Global Competitiveness

Global Competitiveness

Equip. StatusEquip. StatusEquip. StatusEquip. StatusProduction Order Production Order Production Order Production Order

Provide Human & Equip. with Right Information at Right Time

Real-time Monitoring of Line Equip Status Real-time Reporting of Analysis Information on Abnormal Events

Std. Global MES Std. Global MES that isthat is MESMES

Rapid/FlexibleRapid/Flexible

DeploymentDeployment

Rapid/FlexibleRapid/Flexible

DeploymentDeployment

IncreasedIncreasedA/SA/S

EfficiencyEfficiency

IncreasedIncreasedA/SA/S

EfficiencyEfficiency

편안하고편안하고 , , 쉽고쉽고 , , 튼튼한 시스템튼튼한 시스템((MMaintenance free, aintenance free, EEasy, asy, SStrongtrong))

4. e-Manufacturing for Production at H&K4. e-Manufacturing for Production at H&K

4-1 Image of Standard G-MES (Global Mfg Execution System)4-1 Image of Standard G-MES (Global Mfg Execution System)

Std G-MES of H&KStd G-MES of H&KStd G-MES of H&KStd G-MES of H&K

G-MESIntegration/

Standardization

G-MESIntegration/

StandardizationALC

FA

DBDB

LegacyLegacy/ ERP/ ERP

DBDB

PressPress BodyBody PaintPaint AssyAssy EngineEngine

ERP DBDB

프레스프레스 차체차체 도장도장 의장의장 엔진엔진

MESDBDB

Korea / HMMA KMS

※ALC (Assembly Line Control : 조립 공정 제어 ), MES (Manufacturing Execution System: 제조 생산정보시스템 )※ALC (Assembly Line Control : 조립 공정 제어 ), MES (Manufacturing Execution System: 제조 생산정보시스템 )

IndiaIndia

BeijingBeijing

YumsungYumsung

TurkeyTurkey

Global Standardization/Integration/Advancement of Inf. Systems in Production Plants Start-up Implementation at KIA Slovakia Plant (KMS), and Dissemination to Other Overseas Plants

4. e-Manufacturing for Production at H&K4. e-Manufacturing for Production at H&K

4-2 Std G-MES Deployment Plan4-2 Std G-MES Deployment Plan

4. e-Manufacturing for Production at H&K4. e-Manufacturing for Production at H&K

4-3 Mid/Long Term Vision of Std G-MES4-3 Mid/Long Term Vision of Std G-MES