Oracle APS and GOP Getting To Automated Sales Order Scheduling

Mark Hopkins, Xilinx, Inc. 1/17/06

Xilinx Confidential

Topics

Goals of Our GOP Implementation Where We Are Today How We Did It Lessons Learned

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Project Goals
Schedule new sales orders accurately
Hit our first commitment Minimize reschedules

Preserve excellent on time delivery performance Manage exceptions, and let the rest happen automatically
Reduce planner workload and allow them to focus on model maintenance
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~13k Line Items per month.

100% 90%

Results: Auto Release And On Time Delivery

80% 70% 60% 50%

40% 30% 20%

10% 0% Nov-05 Dec-05 Jan-06 Feb-06 Mar-06 Apr-06 May-06 Jun-06 Jul-06

% Ontime
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% Auto Released

Our Planning Environment

Oracle APS (ASCP and GOP) Oracle ERP
Order Management, Purchasing, Financials, HR

Custom Systems/Interfaces
Item & BOM Based on Matrix and Legacy Forecast
Manugistics Home grown Customer Forecast Management System

Wafers, Piece Parts, WIP tracking

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Whats In Production: ASCP and GOP

Monthly / Weekly APS Plan for Wafers and Piece Parts (since April 03)
EDD Unconstrained Plan Wafer Plan, Piece Parts, Assy, Test, Sort, Bump Capacity

Daily Plan for Assembly Releases (since August 04)

ECC Output is used for all products assembly starts planning

Daily Plan for GOP (since August 04)

ECC Almost 100% of incoming sales orders get schedule dates recommended from GOP
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Our Model
(example from our ATP Plan)
Plan Type: Cost Based Optimized Plan - HP 64bit Exe Enforce Material Constrained Plan Holistic Manufacturing Plan with Project Planning Time Buckets: 35 days, 10 Weeks
Inputs: Orgs: 56 Items: 22k Demands: 19k BOM's: 17K Outputs: Demands: 64k Supplies: 56k Pegging: 78k Res Reqmts: 200k
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Terms
GOP / ATP Global Order Promising / Available To Promise CFD Current Factory Date (equivalent to Schedule Ship Date in Oracle) OFD Original Factory Date (the first commit on the sales order) ATP Override The ability to change the date that GOP was recommending prior to committing to the customer Auto Release A sales order that books, gets scheduled, and committed to the customer with zero planner intervention
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Standard Oracle GOP Process

Customer 4. Commit Date

1. New Order Oracle ERP 3. Schedule Ship Date

2. Request for Scheduling

Oracle APS

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Xilinx Gates in GOP Process

Customer 4. Commit Date

Is part/whs set up as auto release? Yes: does schedule ship date meet auto release criteria No: Does planner agree with Schedule Ship Date?
1. New Order Oracle ERP 3. Schedule Ship Date

Is calendar date blocked? Is order on hold? Is order unusually large? Do we want to force a particular schedule date to happen (ATP Override?)

2. Request for Scheduling

Oracle APS

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Demand Management Form

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Getting to 100% Auto Release

Oracle
Need to consider alternate boms, substitute components in ATP/GOP algorithm. Lack of this functionality causes overly conservative commitments. In semiconductor mfg, this is needed to recognize bin downgrades, alternate mask sets. ATP Algorithm needs to recognize that an order due 3 months from now can be satisfied with a wafer start. Allow finished goods to show as available for any new orders.

Xilinx
Data Maintenance. Specifically sourcing rules, and BOMs. Our current BOM structure does not handle some new products / military scenarios. We are working on a new item/bom management system that will give us this. Lot specific yields for new products.

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Lessons Learned
Need a way to validate / build confidence in production data prior to exposing to customers Develop metrics and publish progress
We gave prizes to the first planning teams to hit 3 different milestones

Need to build planners confidence in ATP black box by developing an understanding of true problems vs. perceived problems or gross generalizations. Until we could explain each situation (which was a long process), anything that did not fit planners mindset was judged as ATP is wrong. Incremental fixes / enhancements help zero in on the issues Data maintenance and reporting that identifies data problems is helpful
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