Business Analytics at TVS Motors

Business Analytics at TVS Motors

Agenda

• Group introduction• Why BI• BI journey at TVS Motors

Group profile

Wabco TVS• Three manufacturing Units

Group profile

5

Products-MotorcycleSold 7 million till March 2010

TVS StaR City

TVS StaR Sport

TVS Flame TVS Apache RTR

TVS JIVE

TVS Wego TVS Scooty Pep+

TVS Scooty Streak

Products-ScooterSold 2.3 million till March 2010

TVS Wego

7

Products – MopedsSold 6.2 million till March 2009

TVS XL SUPER TVS XL SUPER HD

2001

SAP R3

Evolution of IT in TVS Motor

2002

Intranet2003

DMS/CRM

• Upgrade to ECC 6.0 • Business benefit - 6 times of IT establishment cost• Enterprise portal• Web 2.0

• Upgrade to ECC 6.0 • Business benefit - 6 times of IT establishment cost• Enterprise portal• Web 2.0

•SAP BW / HR PAYROLL• SAP in group companies

2004

2005

2006

XI, SOLMAN, Sales on SMS

2007

PLMSAP EP 2008-10

Web 2.0PMSDigitized dashboard

TVS Motors BI Journey

Top 3 Areas – BI Usage

Simplicity is height of Sophistication

No training required for ATM and e-mails

Success of BI deployment

Critical Success Factors

SpeedLook and feelEase of UseInsights

What is Business Intelligence ?

People - Passive information receiver to proactive information seekers andIT from “transaction automation tool” to “IT as a Transformation Platform for Business Innovation and Best in Class Operational Efficiency “

Business Intelligence is an

Analytical tool

Reporting tool

A Decision support tool

A common platform and not restricted to any particular application

Example : SalesExample : Sales

NEED FOR BI

• SAP data – Complex reporting req• Dealership Data from dealers • CRM info • Dashboards for each user.• Avoid person dependent Reporting

Functionalities reqd. in BI

• Reporting• Broadcasting• Analytics• Alerts• Spend Analysis

BI Journey at TVSM

• Implemented BIW 3.0 in 2004

– Sales and Production modules implemented– Solution not user friendly and not used widely

BI Journey at TVSM

• Upgrade to BI.7.0 in 2007– SAP- Sales , Production – Non SAP –DMS(Oracle) and MSSQL data

integration– CRM Data– BeX Reports developed

BI –Journey cont..

• Adoption of Web Application Designer to make reports more user friendly

• BI analytics – Clustering of Customer data to understanding the customer usage pattern.

BI –Journey Cont..

• Implementation of Enterprise Portal

• Personalized dashboard for All Employees– Completed for sales staff

How BI works ??

Data captured, compiled and stored in all the above mentioned various sources are

Analyzed

Integrated

Centrally stored

Provides output in the required format

For Whom BI will be useful ?

For Business Managers and Decision makers (Micro level and Ad-hoc reports)

For Sr. Managers (Macro level reports)

When we need BI ?

“One can’t predict the need – any time for any informed business decision”

Where the BI can be accessed ?

It can be used thro Internet…..

At any time

At any where

At any place

Advantages of BI

Data access at any place

Updated and accurate data

Graphical view of information

Trend analysis with colour codification

Direct export to excel

Reduce dependency on paper reports

Easy for transmission thro mail

Centralized data storage

Understanding Customer

Exchange vehicle analysis – DMS Data

HP Company Analysis – DMS data

Clustering of Customer data

Clustering of Customer data

Sales Performance

Employee Personalized Portal

Vehicle Sales Dashboard•Top 20 dealers•Bottom 20 Dealers•Model - wise sales•Zero Billing dealers

Tracking stock at Dealerships

Opening Stock

Plan

Billing

Retails

Closing stock at dealer

YTD Billing/Retails

Performance and growth dashboard

Month on Month sales dashboards

Planning based on sales trend

Sales and growth indicators

BI in Manufacturing

PRODUCTION BY MODEL REPORT

INVENTORY ANALYSIS REPORT - Month wise

Inventory Not in BOM and No planExcess to the maximum NormWith in Maximum Norm

INVENTORY ANALYSIS REPORT – Week wise

Inventory Not in BOM and No planExcess to the maximum Norm

With in Maximum Norm

47

Business Objectives:- To reduce inventory by Rs.100 crores in 4 months- To improve free cash flow

Business Issues:- Due to recession, conserving cash very important

- Non availability of a dashboard to identify to identify low hanging fruits

Solution- Classification of inventory as follows

a.Qty & Value as per norms - GREEN

b.Qty & value above norms but usable for existing products – GREY

c.Items not required for the current production plan – RED

- Dashboard developed in SAP BI with facility to drill down upto part / buyer

Key Benefits- Inventory reduced by Rs.100 crores- Better inventory maintenance

Inventory dashboard

LINE STOPPAGE REPORT

LINE STOPPAGE REPORT

LINE STOPPAGE REPORT

CUSTOMER COLLECTION REPORT

Customer Collection for the Month of April 2009 for Indonesian Dealers – Hierarchy wise

Business Objectives:

• To leverage IT for live data capturing directly from bottleneck equipment in Manufacturing line

• Capture cell utilization accurately for capacity decisions

• To identify opportunity for output improvement

Actions Implemented•Digital data collected online from bottleneck machine of the cell and integrated with DAQ software

Future Plans

To implement DAQ for Vehicle assembly lines

Data acquisition system for Production monitoring

Background:

•Manual data recording of Manufacturing cells’ output•Delayed availability of production output data for Managers

Benefits

•Low cost in house developed software used for data capturing

•Accurate hour-wise data available for analysis and improvement

•Able to obtain information on machine utilization

•Patent filed for DAQ

Results Achieved

Further Improvement

To provide dash board for Plant managers for real time data monitoring for decision making

84

90 90

84

9088

70

80

90

100

'07-'08

'08-'09

Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar

First hour output increased to 90%

UOM : %

Business Objectives:• Reduce customer complaint resolution time from 120 days to 30 days

• Reduce defect level by 70%

• Reduce warranty cost by 50%

Actions Implemented

• Implemented alert system thru’ statistical control limit (Monthly PDCA to Daily PDCA)• Implemented real time control system to check for effectiveness of corrective action

• Implemented electronic job card based report to identify nagging complaints

Future Plans

• Implement horizontal deployment of above system in shop floor for all critical parameters

• Digitization of FTA for all solved problems

• Reliability prediction analysis by using warranty data

• Establish MTTF / MTBF by using electronic job card

• Establish transfer function for critical performance parameters

On time correction of customer complaints

complaintsBackground:

• Customer complaint capturing process cycle 60 days

• Customer complaint resolution process cycle 120 days

Benefits

•

Results Achieved

Further Improvement

• Daily PDCA to Hourly PDCA (Real time basis) for customer complaints

Model From To % reductionNo. of part-complaints identified and resolved

XL Super 17.5 4.1 76.6 12

XL Super HD 13.6 3.84 71.8 12

Sport 5.21 1.95 62.6 11

StaR City 8.15 3.41 58.2 13

PEP+ 8.02 4 50.1 10

Streak 5.43 3.8 30.0 3

0.16

0.40 0.42 0.45

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0.3

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Def

./100

Veh

.

Production month

3 months in age trend

Earlier – Reaction for Customer complaint

Present – Reaction for Customer complaint

Control limit

TVS-M QAD Jun-10Warranty returns 3 months in age Model : XLSuper Series

UOM : Def./100 Veh

13.61

17.22

16.67

12.34

18.26

9.12

5.92

4.67 4.66

3.34

0

2

4

6

8

10

12

14

16

18

20

Jan-

08

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Mar

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8

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Jan-

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Aug

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Dec

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Feb

-10

Mar

-10

Apr

-10

May

-10

Jun-

10

Def

/100

Veh

.

Production month

3M

Implemented IT support trigger system

TVS-M QAD Jun-10Warranty returns 5000 Kilometers in age Model : 3Wheeler - 2S

UOM : Def./100 Veh

119.15

106.91

97.69

77.51

68.10

83.59

49.10 48.41 47.71 46.64

30.07

22.51 21.21

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Production month

5000 KmsImplemented IT support trigger system

Business Objectives:•Provide project management tool to manage multiple projects & resources and integrate functional & supplier plans

• Provide project management dashboard

Actions Implemented• Implemented SAP project system and cProjects •Project templates provided• Time logging functionality integrated with project system• Tracking Reports developed• Alerts developed• Training provided to all the members of NPD functions

Future Plans

• Portfolio and resource management

•Innovation process management

Project Management

Background:• Every year,

• Around 25 major NPD projects implemented.

• Approximately 700 engineering change projects implemented

• Around 2000 improvement projects carried out

• Around 500 members are involved in NPD projects•Most of the projects are delayed due to improper planning•Changes to the project plan is cumbersome• Project progress tracking is paper based

Benefits

•Dynamic project management leading to better control over the project.

Results Achieved

•Paper based project management eliminated•Versions & change details available for analysis•Tracking of bottleneck activity •Alerts to all project members for any pending activity and activities due for the next 6 weeks

Further Improvement

•Integration of supplier plans with the NPD project plans

•Make the system user friendly

Business Objectives:•Provide part development dashboard of status to all project members •Capture versions of the State Of Builds at various stages of development

Actions Implemented•Dashboard with drill down provided by

• Collating information from various applications

Future Plans

Capture the snap shot version of the State Of Build at various points of time during the prototype builds

State Of Build application

Background:•The NPI process has Alpha, Beta & QP stages. •Prototype vehicles to be built as per planned State Of Build.•Record is useful in analyzing the failure modes during Alpha, Beta and QP. •The State Of Build information is not readily available

Benefits

-Project team takes timely decisions on building prototypes and analysis of the failures.

- Provides visibility of progress status

Results Achieved –

•The State Of Build report made available to all the project team members

•The drill down links provided to know the details

•Improved productivity

Further Improvement –

- Add Quality Status, Ordering status, PPAP status etc.

- Have Versions State Of Builds at various stages of NPD

Business Objectives:•Electronic Workflow to obtain comments and approval

•Should be able to know the progress status of the approval

Actions Implemented –• Workflow provided for DR0 approval in the intranet•Flexibility built in to accommodate 2W, 3W and ASEAN approval•Lead time report for all stages and each product provided•The report captures comments from all the members

Future Plans

•Development of workflows for DR1 to DR5

DR workflow

Background:•Each project starts with a Product Development Initiation approval•There are around 25 major NPDs being initiated on an average. •System for Initiating the product development to cater to the above•The product initiation process is paper based•The comments given in the form of Post-it-stickers often get lost. •Cumbersome process to obtain approval

Benefits

•Facilitate review online / live • Elimination of physical movement of paper from desk to desk • Transparency of comments & feedback to all stakeholders•Timely approval of DR0

Results Achieved –

-The lead time for product initiation approval reduced

- Paper saving

Further Improvement –

•Extend DR0 Approval workflows for exports and institutional sales requirements

•Concept change approval workflows

•Workflows for DR1, DR1A, DR2, DR3, DR4 and DR5 stage gates

Dashboard in Dealership Management

MAP Based Sales InfoAll India Data

MAP driven ReportDealer level sales figures

SALES INFORMATION ON MAPZone wise, state wise and dealer wise sales info on MAP

Billing Details output - Area Level / Segment wise Drill down

Billing Details output - Model wise Drill down

BI- PLATFORMS UNDER EVALUATION

BOCOGNOSMICROSTRATEGY

SAP ACE 2008For Implementing SAP PLM Solutions

SAP ACE 2007For innovative use of SAP Netweaver

Thank You