3rd November 2010
Presented by Paul-Antoine CALANDREAU Flyable RFID project manager Value Chain Visibility and Auto-ID AIRBUS
Airbus Executive Overview Value Chain Visibility & Auto-ID
MACRO CHALLENGES • 18 design/manufacturing/assembly sites across the world • Exchange rate pressures • New aircraft programmes (A380, A400M, A350, tanker/transport) • Production rate increases
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• Power 8+ programme • Clear focus on enterprise eco-efficiency Constant pressure for continuous improvement and innovation Carlo K Nizam
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Why Increase Visibility? Why RFID? RFID, Bar Codes etc.
Quick wins through data automation
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Long term wins through structural process transformation
Accurate and efficient information
Ï Visibility
Information about working, not working
Ï Measurability
Where is it working, not working?
Ï Business Process
Improve the way of working
Ï Business Savings
EBIT, Cash, Cost Avoidance
Improving visibility is a pre-requisite to improve the “way of working” and deliver business savings Carlo K Nizam
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Visibility, Measurability and Savings They are all connected
Improved Accuracy Control Efficiency of Processes
Automated visibility with high level of measurability (e.g. RFID )
Improved Business Savings
Semi-automated visibility with increased measurability (e.g. bar code) Manual based visibility with low measurability (e.g. manual data entry)
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All business savings come from improving a “way of working” i.e. process Level of visibility and measurability determines level of process improvement RFID can help improve level of visibility and measurability Æ savings The level of visibility and measurability determines the level of savings possible; RFID is an promising enabler to increase this level of savings Carlo K Nizam
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RFID + PROCESS MONITORING Enables Process Improvement RFID
Set Set Alert Alert parameters parameters for for process process steps steps
Process Monitoring
+
Monitor Monitor performanc performanc ee against against targets targets
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KPI KPI trend trend and and prediction prediction
Automation
Real time reporting
↑ Productivity
↑ Process Optimisation
↑ Quality
↓
↓ Cycle time
↓ Automated Alerts
Identify Variations
RESULT = Leaner and more competitive business processes Carlo K Nizam
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RFID BUSINESS RADAR
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Analogy with Airport Radar
RFID
+
=
+
=
RFID solution = Business Radar
Accurate Streamlined Efficient operations
Accurate Streamlined Efficient operations
CROSSROADS & DECISION TIME The situation pre-corporate programme Collection of 15 independent projects Fragmented approach; multiple standards, solutions and vendor landscape Creation of multi-function Auto-ID Steering Committee Company strategy, consolidation and prioritisation of activities Agreement to develop a harmonised approach and solutions for deployment
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Analysis of benefits, pilot proof points, bottom up business cases, industrialisation Selection of standard solutions and services for Airbus/EADS Clear pull from internal/external customers ONE Airbus approach : it works! Carlo K Nizam
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What is Value Chain Visibility and Auto-ID?
Logistics & Distribution
Airbus Suppliers Transport Logistics
Assembly Lines
Customer in Service
Take Off
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Company approach to improve business processes through better visibility Scope is focused on big picture; Airbus value chain not functional silos RFID is seen as a key enabler to improve visibility & business processes Airbus is taking an integrated and value chain approach for the potential application of Auto-ID across its business processes Carlo K Nizam
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VALUE CHAIN VISIBILITY Two categories of Visibility
Logistics & Distribution
Airbus Suppliers
Assembly Lines
Transport Logistics
Suppliers
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Carlo K Nizam
Take Off
Logistics Manufacturing Customer Distribution Assembly Services
NON-FLYABLE VISIBILITY (Production)
Customer in Service
Airline
MRO & Services
FLYABLE VISIBILITY (In-service)
Warehouse Logistics and Inventory Management
Spare parts logistics
Generic Asset Tracking (Containers, Spares, Tools, Jigs)
Optimized Maintenance Process
Global Transport Network
Component repair operations
As-Built Configuration Management and Attestation
As-Flying Configuration Management Processes
Tool Loans and Consignment Stock
Cargo/catering operation
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BENEFITS
Increasing Visibility Through RFID Supply Chain Strategic Benefits
Logistics/Distribution
Real• Real timetime visibility and automatic update of events across the value chain delivery confirmation • Automated data entry and tracking Unprecedented hightransport level of information accuracy • Global automated tracking • Faster processes, less inventory Move to a digital “flystability by wire” supply chain • More accurate inventory, Èstockchecks • Improved demand • Increased visibility of inventory
Process Benefits
© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.
• Improved inventory management
More efficient automated processes Æ shorter cycle times Æ less inventory Reduce Reduce operating operating Reduce Reduce production production Increased accuracy & control of business operations cost Æ less non conformities of cost of aircraft aircraft cost cost of of aircraft aircraft Increased traceability of part life cycle Æ less paper, less time Æ lower costs Assembly Airlines/MROs/Suppliers More automation Æ Less manual intervention Æ Improved labour productivity • Automated data entry
• Simplification of as flying configuration
• More accurate & efficient configuration
• More efficient/effective lifecyle mgmt
Business Benefits
• More accurate & efficient attestation • Faster repair turnaround process Reduction in Inventory & Capital Assets • Faster cycle times • Automated tracking Increased Labour Productivity and lower Cost of NonULD/baggage/catering Quality
RESULT = Leaner and more competitive business processes Carlo K Nizam
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DIFFERENT TYPES OF RFID Total Lifecycle Traceability
Value Chain Visibility and Auto-ID Programme Non-Flyable Release 1
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Logistic
Flyable Release 2
Distribution Manufacture
Assembly
Release 3 Lifecycle of parts
Cargo
Supply RFID Chain Tracking (3PL Centre, Toulouse) RFID shipping Containers Warehouse Logistics labels (3PL Centre, Toulouse)
GlobalRFID Transportation Cabin Configuration RFID (Beluga Hamburg Station) (Airline 1) RFID on RFID on parts on on assets Work In Progress Repair Shop Processes jigs tools (Hamburg, St Nazaire, Broughton) (Airline 2)
Inventory Management
Tool Tracking/Calibration
Spares Logistics/ FHS
(A380 FAL, Toulouse)
(A400M, Filton)
(Airline 3)
Distribution Tracking Config Mgmt Payload Tracking There isAS noBUILT one size fits all solution (A380 FAL, Hamburg)
(LR FAL, Toulouse)
(Airline 4)
Different RFID enablers are used for different processes Carlo K Nizam
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DIFFERENT TYPES OF RFID
Integrated into a standard corporate s/w platform Value Chain Visibility and Auto-ID Programme Non-Flyable Release 1 Logistic
Flyable Release 2
Distribution Manufacture
Release 3
Assembly
Lifecycle of parts
Cargo
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Business Business & & Infrastructure Infrastructure Monitoring Monitoring and and Reporting Reporting Business Business Process Process Mapping Mapping & & Legacy Legacy System System Integration Integration Device Device Interfacing Interfacing & & Data Data Event Event Processing Processing
RFID shipping labels Carlo K Nizam
RFID Containers
RFID RFID on on jigs tools
RFID on parts
RFID on assets
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RELEASE 1 (NON FLYABLE) Distribution
Lift Furnishing Hangar Upper Deck Main Deck Lower Deck
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Floor Deck
RFID Reader (Identification points)
Each Dock has 11 Read Points (5 on the Left, Right and 1 centre). There are 6 docks in total on the A380 Final Assembly Line
Carlo K Nizam
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RELEASE 1 (NON FLYABLE) Distribution Scope 750 Material Delivery Units (MDUs) containers per A380 RFID Reader
Motion Sensors Automated life cycle tracking of MDUs from 3PL to FAL Error Light
BENEFITS and STATUS TODAY
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Streamline processes; right place, right time, first time Reduce containers by 8% compared to manual process RFID Tag RFID Antennae
Pilot Phase Over – Now in Production, 4500 containers 100+ RFID Reader Installations
Carlo K Nizam
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RELEASE 2 (NON FLYABLE) Global Transportation
BENEFITS Automated Jig Tracking Avoidance of delays and manual checks
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Optimised Beluga Flight Schedules STATUS Pilot - Completed Industrialisation - Completed Carlo K Nizam
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RELEASE 2 (NON FLYABLE) Tooling Management BENEFITS Automated tools booking in/out and workers association Optimised maintenance and calibration cycles No tools search time, less work stoppage
© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.
STATUS Pilots – Completed Industrialisation – Completed
Carlo K Nizam
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RELEASE 2 (NON FLYABLE) Configuration Management
Seats
BENEFITS Seats Automated and Digital Attestation Process Life Faster Cycle Time and Reduced Paperwork Vests
Improved Configuration Management
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Life Vests
STATUS Pilot Business - Completed and Economy
Locations Tagging
Class Seats and Life Vests Tagging
Industrialisation – Completed Carlo K Nizam
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RELEASE 2 (NON FLYABLE) Work in Progress (WIP)
BENEFITS Automatic and real-time visibility of industrial processes Automatic monitoring of processes and variations Green dots are the tools moving in 3D and in real-time with accuracy of 15cm
Key enabler for Lean Improvements
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Wing Assembly Centre
STATUS Pilot - Completed Industrialisation – Completed
Carlo K Nizam
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RELEASE 3 (FLYABLE) Current Status
Use Case Studies 4 opportunity studies completed with airline customers and MRO partners All payback within 12 months, strong savings (up to multi-million €/year)
© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.
A350 XWB RFID Part Marking Specifications Distributed to Airbus suppliers in 2008, based on approved standards Working with suppliers to deploy RFID solutions for part marking Aerospace RFID Standards Finalised ATA Spec 2000 for data structure and high memory management SAE AS5678 for performance minima, test conditions and robustness The introduction of RFID part marking on A350 XWB will help enable customers reduce their maintenance costs Carlo K Nizam
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NEXT STEPS
EADS and Beyond…
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EADS Parent Group Expansion across multiple business units within EADS Group Projects re-using Airbus processes, solutions, contracts and vendors Re-use of standards : Faster, cheaper and better Airlines Airbus : catalogue of benchmark RFID processes across aircraft lifecycle Not limited to Airbus; generic and applicable to all players in the industry Approached by number of airlines to develop and deploy projects One project already completed, others underway
Airbus catalogue of standard processes and solutions is providing value to multiple actors across the value chain Carlo K Nizam
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Summary Airbus recognises RFID as a key enabler for improving processes Airbus is taking an integrated & end to end approach to the use of RFID across all business processes through a single corporate programme
Airbus is actively working with airline, supply chain and industrial partners to develop an approach that maximises benefits to all actors
© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.
Airbus is working with major industry players, standards bodies and authorities to ensure inter-operable RFID solutions Airbus is using RFID as a BUSINESS RADAR to help build a DIGITAL and FLY BY WIRE view of the supply chain and its business operations
Carlo K Nizam
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© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document. This document and all information contained herein is the sole property of AIRBUS S.A.S.. No intellectual property rights are granted by the delivery of this document or the disclosure of its content. This document shall not be reproduced or disclosed to a third party without the express written consent of AIRBUS S.A.S. This document and its content shall not be used for any purpose other than that for which it is supplied. The statements made herein do not constitute an offer. They are based on the mentioned assumptions and are expressed in good faith. Where the supporting grounds for these statements are not shown, AIRBUS S.A.S. will be pleased to explain the basis thereof.
© AIRBUS S.A.S. All rights reserved. Confidential and proprietary document.
AIRBUS, its logo, A300, A310, A318, A319, A320, A321, A330, A340, A350, A380, A400M are registered trademarks.
Carlo K Nizam
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