e-Enabling our Supply Chain - Boeing Suppliers · 2009. 11. 6. · • e-Enabling our supply chain will only be achieved by working together • Establishing common tools and processes

e-Enabling our Supply Chain

Global Supplier ConferenceSeptember 16, 2004

e-Enabling our Supply Chain Workshop

• Introduction and Workshop Objectives Kristina Erickson

• Vision Joel Wright

• Current e-Enabled Tools & Services Kimberly FailorKen Stone

• Exostar, Aerospace and Defense Exchange Bill Angeloni

• Questions & Answers Kristina Erickson

5

• Overview of Boeing e-business vision

• Quick look at current e-business tools

• Receive feedback and have an open conversation about e-business

e-Enabling our Supply ChainWorkshop Objectives







7

• Collaborative Design/Build/Support

• Process and system simplificationand integration

• Global 7X24 business

• Elimination of non-value addedtransactions

• Connected systems, single sourceof data

Drivers

• Web / Internet

• Pervasive Computing

• Wireless

• XML

• Security

Enabling Technologies

VisionInstant access

to the rightinformation by anyone in the

global enterprisefrom anywhere

in the world

Virtual teams, geographically

dispersed around the globe, will

work together as if they were in the

same room

Boeing e-Business Vision

8

• e-Business in the supply chain is an enabler to move to common processes and systems within and across the industry

• Drive paper and cost out of the supply chain

• Make it easier to do business

• Establish a foundation to move away from transaction-based to information-based processes

• Moving toward globally integrated systems

• Using Exostar as a common industry solution for information delivery, sourcing and collaboration


9

Driving Commonality

CollaborativeTools & ServicesContract

Mgmt

Source Selection

Order Mgmt

BusinessProcess

Requirements

New Processes

Functionality Wanted

Business UnitCapability

Industry-wide Capability

Boeing EnterpriseCapability

Program/Local Group/Sites Capability

In the past, multiple

processes and systems

Common processes and

systems

10

e-Enabling Maturity Model

Phase I

Phase II

Phase III

2000 200X

Information enabled network centric supply chain

Phase N

2003 2004 plus

• Connected people

Web-Enabled• Connected

systems

XML-Enabled• Connected

enterprise

Information-EnabledCommon

ProcessesAnd

Systems

11

What is your company’s primary barrier to e-enabling?

1 2 3 4

29%

19%

51%

1%

1. Cost of Infrastructure / Lack of resources

2. Doesn’t fit company strategy

3. Too much customer variability

4. Other

12

What business process does your company feel would provide the most value for

additional e-enabled streamlining?

1 2 3 4 5

16%

40%

6%

21%17%

1. Sourcing

2. Order Management

3. Shipping & Receiving

4. Payment

5. Other







14

Enterprise Supplier Portal

Partner& Supplier

Portal

Improve Cycle Time

Ease of access – Information Transparency

• One place to access nearly 1,200 applications and web sites to do business with Boeing

• Single password protected access

• More than 30,000 supplier user accounts

• Moving toward suppliers managing own account access permissions

15

Consumption Based Ordering (Min/Max)

Information-Enabled Strategy

Electronic Supplier Corrective Action Notification (E-SCAN)

Supplier Product Data Management (SPDM)

Supplier Data Transmittal (SDT)

16

What does your company consider the most valuable area of the Supplier Portal?

1 2 3 4

39%

17%

41%

3%

1. Single point of entry / password into The Boeing Company

2. Communications – News and Events

3. Greater access to company applications and websites including the company phonebook

4. I don’t know







18

An integrated Boeing-wide tool providing the

single source of up-to-date supplier

information.

Boeing Enterprise Supplier Tool - BEST• Accessible via the Enterprise Supplier

Portal

• Single location for supplier information including performance, customer and supplier satisfaction, etc.

• Profile (address, contact information, etc.) maintenance shared by suppliers and Boeing

• Capability and capacity surveys

• Enterprise visibility of supplier performance

• Future development may include Quality and Disbursement system integration

19

Virtual Teaming

Collaboration

• Secure, online workspace where Boeing and its customers, partners and suppliers can share information

• Collaboration can take many forms:• Research and design collaboration• Shared partner environments• Project management• Issue resolution• Common data repository• Team workflows and communications

20

What is the primary area in which your company uses a virtual workspace online with

The Boeing Company?

1 2 3 4 5

16% 16%

33%

4%

31%

1. Engineering design

2. New business opportunities / proposal development

3. Supply chain management (contracting, quality, logistics, etc.)

4. Other

5. None of the above







22

• Open, independent global digital exchange• Secure collaborative commerce• Promote common processes and shared infrastructure• Reduce complexity, time, and cost

Customers

Founding PartnersSuppliers

Des

ign

Sour

ce

Proc

ure

Pay

Exostar

23

Exostar Strategy• Develop creative and flexible solutions scaled for our

customers both large and small

• Assert Exostar’s leadership in security through recognized innovation and new product development

• Accelerate and simplify the connectivity to Exostar

• Extend our infrastructure globally with specific emphasis on Asia and Europe

• Facilitate global industry groups in the identification, development and documentation of standards

24

Exostar Solutions

• eProcurement• Hosted procurement on-

ramp and electronic catalogs

• Suppliers manage customer PO’s and other transaction documents via the web

• Establish integrated “machine-to-machine” connections with your supply chain

• eProcurement• Hosted procurement on-

ramp and electronic catalogs

• Suppliers manage customer PO’s and other transaction documents via the web

• Establish integrated “machine-to-machine” connections with your supply chain

• eCollaboration• Build teams across

functional, enterprise boundaries in secure, virtual workspaces

• Manage complex projects and project documentation electronically

• Share data with secure, format-neutral tools

• eCollaboration• Build teams across

functional, enterprise boundaries in secure, virtual workspaces

• Manage complex projects and project documentation electronically

• Share data with secure, format-neutral tools

• eSourcing• Trading Partner Directory• Integrated suite of sourcing

tools• Develop and manage

RFIs, and RFQs• Conduct real-time online

negotiations• Integrated to enterprise

requirements and procurement systems

• eSourcing• Trading Partner Directory• Integrated suite of sourcing

tools• Develop and manage

RFIs, and RFQs• Conduct real-time online

negotiations• Integrated to enterprise

requirements and procurement systems

Design ProcureSource

25

Exostar Solutions

eProcurement• 6 buying companies• 13,237 activated and ready to

trade (6,662 actively trading)• 15 integrated suppliers • 460 K transactions in July• 2.2 M transactions in 2003• 2.6 M transactions to date in

2004

eProcurement• 6 buying companies• 13,237 activated and ready to

trade (6,662 actively trading)• 15 integrated suppliers • 460 K transactions in July• 2.2 M transactions in 2003• 2.6 M transactions to date in

2004

eCollaboration• 165 collaborating companies

- 46 sponsoring - 119 participating

• 1 company integrated • Total of 2,500 seats/mo

eCollaboration• 165 collaborating companies

- 46 sponsoring - 119 participating

• 1 company integrated • Total of 2,500 seats/mo

eSourcing• 17,139 companies available to

negotiate• 2,000 eRFQ’s & 100 Auctions

per month• $ 4.6 B in auctions throughput

since March 2001

eSourcing• 17,139 companies available to

negotiate• 2,000 eRFQ’s & 100 Auctions

per month• $ 4.6 B in auctions throughput

since March 2001

Design ProcureSource

Collaboration January 2003 - December 2004

-500

1,0001,5002,0002,5003,0003,5004,000

2003 2004e

Num

ber o

f Sea

ts /

Mon

th

Transaction History

-50,000

100,000150,000200,000250,000300,000350,000400,000450,000

2000

2001

2002

2003

2004

Tran

sact

ions

/Mon

th

Exost ar Announced at Farnborough

Electronic Request For Quotes (eRFQs)Per Month

-500

1,0001,5002,0002,5003,0003,500

2001 2002 2003 2004e

26

Which of the following benefits of an industry solution provides the most value to your company?

1 2 3 4 5

37%32%

11%12%8%

1. Common industry tools and processes

2. Reduces “transaction” costs

3. Access to instant infrastructure and functionality at a low cost

4. Reduces cycle times

5. Other







28

Questionsand

Feedback


29

What can The Boeing Company do better with regard to e-enabling?

1 2 3 4

46%

6%7%

41%

1. Reduce variability (common tools and processes)

2. Better communication about e-enabling initiatives

3. Improved electronic access such as single sign-on

4. Other

30

e-Enabling our Supply Chain Survey Question

• What other e-enabling concepts should we consider that will help you become a more efficient and effective supplier?

31

• e-Enabling our supply chain will only be achieved by working together

• Establishing common tools and processes across the company and the industry to reduce cycle time and transaction costs.

• Working electronically is the key aspect in achieving the vision of a globally integrated supply chain

e-Enabling our Supply ChainSummary

32

Thank you!!


e-Enabling our Supply Chain - Boeing Suppliers · 2009. 11. 6. · • e-Enabling our supply chain will only be achieved by working together • Establishing common tools and processes

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