High Tech Manufacturing
Microsoft Dynamics AX
Name
Title
Microsoft Corporation
Agenda
• Industry Trends and Challenges
• Microsoft Dynamics AX value proposition
• Customer Evidence
High Tech Ecosystem
Foundry
Services
Component
Manufacturer
(Fabless)
Semiconductor
Manufacturer
Sort/Assembly/
Test Services
Engineering
Partner
Electronic
Manufacturing
Services (EMS)
High Tech
Supply Chain
Original Equipment
Manufacturer
(OEM)
Distributor,
Reseller
Software
Provider
Service
Provider
Consumer
Industry Trends
• Virtual Manufacturing
– Distributed supply chains - collaboration and outsourcing in engineering,
manufacturing, sales, delivery, and service
– Flexibility - ability to deliver any product any time any place
• Product complexity/customization
– Configure to order throughout the supply chain from planning and
forecasting through manufacturing, sales, and service
• Global competition
– Pressure to reduce finished goods inventory
– Diminishing margins on goods
• Speed
– Time to market - highest profits come from being first to market
– Ever shorter product life cycles - products moving from unique to
commodity status in less than 6 months
Industry Challenges
Investment Drivers
•
•
•
•
•
•
Customer Initiatives and Service Level Agreements
– Direct Delivery through EMS or Distributors
– Just-in-Time Replenishment
– B2B Integration
– Traceability, Serialization, Quality or other Compliance Initiatives
– RFID Compliance
Growth/Acquisition Strategy
– Rapid Integration of New Acquisitions
– Scalable Systems to Support 50%+ Growth
Legacy Technology
– Fragmented Functionality
– Monolithic Data-Driven and Silo-Based Systems
Corporate Visibility with Local Enablement
– Global Order Management
– Total Asset and Inventory Management Across Multiple Sites
– Integrated Reporting Across Divisions, Locations, and
Regulatory Needs
– Sarbanes-Oxley, ROHS/WEEE, etc.
Pressure to reduce IT costs
– Multiple Systems / Integration Complexity
Microsoft Dynamics AX
Applications And Architecture
Affordable adaptability
Microsoft Dynamics AX Overview
• Broad-based ERP solution: 1 Database
1 Toolbox, 1 Business Logic, 1 Source Code
• Technology: Scalability, 3 Tier, highly customizable
• Connectivity: Multi Site, Multi Company, Enterprise Portal
and Commerce Gateway
• Global: Local functionality, Multi Currency, Multi Language
• Three Typical Scenarios
– Out-of-the-Box
– Customized to fit customer needs
– Partner Add-ons/Vertical Solutions
Microsoft Dynamics AX
Value Proposition
Microsoft Dynamics AX helps you quickly and
affordably seize competitive advantages in a
rapidly-changing global marketplace
Three Big Reasons To Choose
Microsoft Dynamics AX
Affordably
Adaptable
The powerful core solution together with ISVdeveloped industry-specific functionality and an
integrated suite of powerful customization tools give
you a solution that is tailored to your exact needs—
with a higher ROI than Tier-I competitors.
Scalable
The three-tier, object-oriented architecture of
Microsoft Dynamics AX offers you high-speed
server-side performance and the ability to easily
scale your IT infrastructure, so the solution can
grow with your company.
Global
Microsoft Dynamics AX gives you built-in multisite, multi-language and multi-currency
capabilities in more than 30 countries, as well as
local tax, regulatory and market requirements.
Microsoft Dynamics AX For The High
Tech Electronics
Empowers high tech electronics
manufacturers to continually adapt and
enhance their value chain by reducing
inventory and improving velocity and service
levels
Common Profile Of Microsoft Dynamics
AX Customers And Business Drivers
• Mixed-Mode Manufacturing and Distribution
– Make to Order, Configure to Order, Engineer to Order, Make to Stock,
Process, KanBan and Lean Manufacturing
– Fully Integrated (Out of the Box) Functionality
• Fabless/Semiconductor
– “Cradle to Grave” Lot Trace/Track
– Virtual Manufacturing/Outside Processing
– Electronic Update with Subcontractors
• Medical Device/Biotech
– FDA Compliance (Part 11 – electronic signature)
– Audit Control and Traceability through source documents (DHR; DMR)
– “Cradle to Grave” Lot and Serial Trace/Track
Microsoft Dynamics AX
Supply Chain Management
•
•
•
•
•
Trade
Intercompany
Logistics
Product Builder
Production
•
•
•
•
•
Master Planning
Shop Floor Control
Warehouse Management
Commerce Gateway
Enterprise Portal
Microsoft Dynamics AX For High
Tech Electronics
Traceability
Transparency
Efficiency
Efficiency
• Effectively manage agreements with suppliers
and customers
• Optimize your sales order management
– Automated quote to order processing
– Full visibility from quote through fulfillment
• Mixed mode manufacturing planning
– Flexible support for Build-to-Order, Build-to-Stock, and
Engineer-to-Order processes within one system
– Extensible, Attribute-Based Variant BOM support
Customer Satisfaction
• Do business the way your customers want
– Multi-language and Multi-currency
– Flexible support for unique fulfillment requirements such
as VMI, JIT, and two-tier distribution
– Support for B2B integration based on customer
programs, document, and site requirements
– Portal-based customer and channel partner visibility
based on their priority, line of business, or role
– Access to real-time information
Customer Satisfaction
• Maintain customer satisfaction, while holding the
lowest possible safety stocks
– Build-to-Order, Configure-to-Order
– Forecast Scheduling
– Order Promising
• Make competitive quotes and avoid lost sales
– Real-time available to promise
– View the profit margin on each sale
– Easy access to purchase history and customer needs
Insight
• Help improve your inventory management
with traceability
– Inventory dimensions
– Serial and batch numbers
• Optimize stocks and reduce inventory
carrying costs
– Forecast Scheduling and Master Planning
– Inventory balancing across locations
• Gain a fast and efficient overview of which
products are profitable
Customer Evidence
“It once felt like we were using a flashlight to search a
dark basement for clues about finance and resource
usage. With Microsoft Axapta, the lights are on and we can see what we
are doing.”
Mentor Engineering
— Gordon Howell, President, Mentor Engineering
Growing Electronics Company Streamlines Order
Process With Business Management System
Disconnected systems
and processes
constrained the
company’s ability to gain
measurable control over
sales, manufacturing,
planning, and accounting,
and to meet quick
turnaround demands
Link to Case Study Here:
Mentor Engineering
partnered with
EnCompass Solutions
Inc. (a Wellpoint Systems
Inc. company) to deploy
an enterprise resource
planning (ERP) solution
that incorporates
a number of Microsoft
Business Solutions–
Axapta modules
Increased productivity by
up to 25 percent
Improved access to
information
Increased competitive
edge
Improved information
analysis
Reduced inventory costs
by an estimated 50
percent
NAI achieved a positive return on its investment in Microsoft
Axapta by reducing inventory costs, realizing direct savings in
personnel costs, and increasing the productivity of employees through
reduced downtime.
North Atlantic Industries
North Atlantic Industries Achieves Positive
Return on Investment With Microsoft Axapta
The technology that NAI
was using for managing
data for enterprise
resources and planning
fell short of the needs of
users in various
departments
Link to Case Study Here:
The company selected
Microsoft Business
Solutions–Axapta
because it was the most
cost-effective solution
available and it offered
an open and flexible
platform for future
customization and
integration
Savings in
personnel costs
Elimination of former
resource consuming
system
Increased productivity
through eliminated
downtime
Reduced inventory
Microsoft Business Solutions–Axapta has helped Danotherm
Electric optimize its supply chain and improve quality management,
thereby helping it become a more valuable business partner for its many
international clients.
Danotherm Electric
An International Solution for Advanced
Production Management
With a product range of
almost 50,000 different
units, it is important for
Danotherm Electric to
have a detailed, up-todate overview of
production, processes,
and resource use
The system would also
have to be cost effective
in procurement and
maintenance
Link to Case Study Here:
Danotherm Electric
installed Microsoft Axapta,
which gives them the
insight they need to
optimize their supply chain
and provide partners and
customers with the best
service
Integration to 3D CAD
system, allows all drawings
to be available at the press
of a button
Improved supply chain
management
Improved business insight
Stronger quality
management
Improved workflow
management
Easy upgrades and
fine-tuning
Strong international
capabilities
CUSTOMER
Video Title
© 2006 Microsoft Corporation. All rights reserved.
This presentation is for informational purposes only. Microsoft makes no warranties, express or implied, in this summary.
© 2006 Microsoft Corporation. All rights reserved.
This presentation is for informational purposes only. Microsoft makes no warranties, express or implied, in this summary.