Transcription
RosettaNetIn NOKIA15th of Nov’04Matthias Gehrken
Content s2s, b2bi, System integration . Rosettanet in the Nokia Supply Chain Management Strategy Why RosettaNet ? Conclusion2 NOKIA
Partner to PartnerElectronic Business InterfaceCompany BCompany ACompany SpecificprocessingInternet & XMLSAPERPTranslate fromRosettanet standardsto Company Asystem data set.3 NOKIACompany SpecificprocessingI2APS RosettaNet defines processes and a framework forhow data gets passed over the Web and certainhandshake criteria.Translate fromRosettanet standardsto Company Bsystem data set.
E-Business ExchangeTelephoneTelephone4 NOKIAeBusiness ProcessDialogDIALOGPIP ernethuman-to-humanbusiness exchangePartner-to-PartnereBusiness exchangeRosettaNetBusiness ProcessProcessBusinessEcom Application
Business ProcessesSupplierCustomerPrivate process(Company -specific)ProcessPOReceive PORequestPOSend POCustomerSend POPublic process(Standard)Send POSupplierReceive POSelectSupplierGenerateRFQFigure provided by Vitria SystemsPublic process(Standard)SendRFQClose5 NOKIAProcessSales OrderReceive POCheckCustomerReceive POAcknowledgeReceive POResponseSend POAcknowledgeSend POResponseSelect RFQResponseSendPOPrivate process(Company -specific)CRMCheckCreditCheckAvailabilitySCMCreate SalesOrderSend POResponseAcknowledgeReceive POResponseAcknowledgeSend POResponseCloseERP
Nokia Supply ChainManagement Strategy
"Extended enterprise" End-to-end integration of Demand Supply Network End-to-end efficiency, speed and visibility Implementation actions - Process integration Web based process integration (Extranet portals) System-to-system integration RosettanetNokiaSuppliersFactoriesHubs &LSPs7 cturersBanksPOSConsumer
MillionUnitsWe are in growth market, in complexenvironmentProduct MixVolatilityOne B747 Jumboand 40 trucks daily100250 M Componentsper Day30 ramp-downs/upswithin Next 6 Months8 iHUBs, 9 factories,3 x 3 CEMs1992 1993 1994 1995Source: Nokia 20038 NOKIA1996 19971998 1999 200020012002 2003e
Supplier Integration is a holistic businesseffort”Real time” customerresponse and visibilityto supply networkcapability – weeklysynchronised DSBBest cost of ownershipthrough iHUB andplanning process.End to End Process9 NOKIAOrganisation andprocess alignmentworld wideStrong drive onimplementationof system to systemthroughRosettaNetSupplier managedavailability &flexibility throughiHUB processes(Nokia DDU, LSA)CEM process integrationas an extension of Nokiadelivery process
eBusiness Tools for doing business withNokiaExistsInproductionElectronic DataInterchangeNokia Portals(NGSW, NOL, NOLS)Existing standard. Nokiarecongises that EDI isneeded by somepartners,and will besupported accordinglyWebportals are easyto set up and operate,but does not deliver asystem to systemconnection.Human to SystemUnderdeployment10 NOKIARosettanet is a nonproprietary XML protocolallowing system to systemconnections. Nokia iscommitted to integratebusiness process withRosettanet standard.
RosettaNet in NMP SupplierNokiaIntegrationFactoriesSuppliersHubs cturersBanksConsumerPOSCollaborative Forecasting4A1 for Rolling Forecast & 4A3 for Demand VisibilityInbound fulfilment3B2 Notify of advanced shipmentProduction line call offs4B2 Notify of shipment receipt4C1 Distribute inventory reportInboundHub3B2 Notify of advanced shipmentHUB to production line3C7 Self billing invoice3C6 Notify of remittance adviceMoney flow11 NOKIANokiaSuppliers4A5 for Response to RF unconstrained & DV constrained
Why RosettaNet?
We want ONE de facto standard13 NOKIA
3 key enablers for process and system integrationRosettanet councilsMembers driving togetherRosettanet adoption-Agreement and commitment on standard-Critical mass in relevant industriesRosettanet Milestone ProgramsImplementation based onStandard development as neededbusiness priorities14Nokia S2S IntegrationprioritiesInternal Readiness: Nokia &partners-Derived from business models-Clear view what to integrate & why-Capability to “walk the talk”-Payback through implementation NOKIA
Rosettanet structure Rosettanet Executive board (Nokia) Rosettanet overall management andadministration Supply chain councils EC, Electronic components (Nokia) IT, Information Technology SM, Semiconductor Manufacturing TC, Telecom (Nokia) Solution Provider Board Service & Solution providersRosettanet Executive BoardSupply Chain BoardsLGSMITTCSolution Provider BoardECJean-Francois Baril, Nokia CMOSVP Sourcing & ProcurementMatti Heikkilä, Nokia CMORosettanetAdoptionRosettanet adoptance-Agreement and commitment on standard-Critical mass in electronic and telecom industryVP Business developmentNokia S2S Integration Agenda-Derived from business models-Clear view what to integrate &why15 NOKIAInternal Readiness: Nokia & partners-Capability to “walk the talk”-Payback through implementation
Nokia Rosettanet Deployment Status 28th October2004 Customers: 8 Process Channels (PIPs 3A4, 3A7, 3B2 and 3C3) 5 Customers LSP: 2 Process Channels (PIPs 3B2) 2 LSP CEM (not CMO): 3 Process Channels (PIPs 3A4, 3A7 and 3B2) 1 CEM Payment Initiation: 1 process channel 1 Bank NET Suppliers: 10 Process Channels (PIPs 3A4, 3A7, 4A1 and 4A5) 5 Suppliers (overlap with CMO) CMO Suppliers: 198 Process Channels (PIPs 3C6, 3C7, 4A1, 4A3 and 4A5) 51 SuppliersRosettanet adoptance-Agreement and commitment on standard-Critical mass in electronic and telecom industry TOTAL: 61 Partners, 222 Process ChannelsNokia S2S Integration Agenda-Derived from business models-Clear view what to integrate &why16 NOKIAReadiness &Internal Readiness: Nokia & partnersimplementation-Capability to “walk the talk”-Payback through implementation
Industry Trends - Supply Chain TransitionTransition from Linear Supply Chain SuppliersCorporateReseller17 NOKIAEnd User
Industry Trends - Supply Chain Transition . to Dynamic Supply Chain lue-AddedResellerEnd UserSuppliersCorporateReseller18 NOKIAFinancingProvider
Information Exchange Standards19Message-centricProcess-centric Batch Real-time 10% of B2B processes 100% of B2B processes VAN-enabled Internet-enabled X.12/EDIFACT/JECALS XML Regional Global Large businesses All businesses Custom industry dictionaries Standard industry dictionaries NOKIA
What if we don't drive this?We stay in the middle of the JUNGLE:Manage different StandardsDeal with many Interfaces-More Cost-More Support-More Time20 NOKIA
RosettaNet has what it takesControlled ProcessIntegrated Back-endProcessCollaborativeDevelopment21 NOKIAOpen and GlobalStandardReal TimeCommunication
Thank You
Back-up Slides
Why RosettaNet is called RosettaNet?The name of RosettaNet originates fromHieroglyphsDemoticThe Rosetta Stone (196 BC),which provided the key to solve the mystery ofhieroglyphs. The Rosetta Stone is the onlysurviving fragment of a stella bearing a decreewritten in three languages: Greek, Demoticand Hieroglyphs.the everyday script of literate EgyptiansGreekthe language of the government24 NOKIAThe Rosetta Stone was probably originallyerected at the temple of the city of Sais, laterin the medieval period moved to Rosetta (akael-Rashid), where it was discovered in July1799 by Pierre François Xavier Bouchard.The Rosetta stone is now located at BritishMuseum in London.
RosettaNet Partners sia6225 NOKIAJapan100Philippines18Americas158
From Strategy to S2S ImplementationCase NokiaBusiness strategyBusiness modelProcessesSystem FunctionalityPriorisation (S2S)Functionality (PIPs)Roadmap26 NOKIA
Nokia PrioritiesS2S Integration AgendaBusiness Partner AND process priorisationElimination ofhuman errorsHigh priorityHighStrategic importanceRealtimeinformation-Business value-Critical components-Critical InformationAutomation ofmanual workLowLow27 NOKIAHighTransaction volume
S2S Integration AgendaCustomer Interface FunctionalityBusiness Partner AND process priorisation3A4 Order PlacementHigh2A1 Product CatalogStrategic importance3C3 Invoice-Business value-Critical components3A7 Order Conf-Critical InformationLow3B2 Despatch AdvLow28 NOKIAHighTransaction volume
RosettaNet in Supplier ng BanksManufacturersLSPs4A1 for Rolling Forecast & 4A3 for Demand VisibilityPOSConsumer4A5 for Response to RF unconstrained & DV constrainedInbound fulfilment3B2 Notify of advanced shipment4C1 Distribute inventory report3B2 Notify of advanced shipmentHUB to production line3C7 Self billing invoice3C6 Notify of remittance adviceProduction line call offsInboundHubMoney flow2A13 Distribute Material Composition InformationProduct Data Management29 NOKIANokiaSuppliers4B2 Notify of shipment receipt
Nokia approach for Gathering MaterialComposition Implement RosettaNet Material Composition PIP in line with our businessprocess development with suppliers Gather data from our suppliers. The requirement to provide materialcomposition is included in Nokia Supplier Requirements Material Composition will be stored in our PDM –systems as a part ofnormal component/part technical data User can be e.g. component engineer, so this action is not limited toenvironmental specialists30 NOKIA
The Usage of Material Composition The data is used for: Ensuring that our products meet applicable requirements Environmental Consumer safety Other safety (e.g. safety in manufacturing) Controlling proactively and reliably material contents of our products Analysing design alternatives / decisions during design Producing necessary information for our stakeholders, e.g. our producteco-declarations (see: www.nokia.com / About Nokia) Nokia asks “as complete as possible” –data in order to ensure the ability tomeet previous targets Limited list based approaches lead easily to repeated data gathering roundsincreasing workload, unnecessary delays and needed management actions31 NOKIA
RosettaNet PIP for Material Composition Content Includes necessary definitions and documents for information exchangeand software development and implementation Data model is flexible - Enables simple and complex type declarations Data model and the content are totally separated (e.g. PIP does notinclude any definitions concerning individual substances, thresholds,etc.) 1st phase development will be completed this year Two PIPs (2A10 & 2A13) The choice depends on companies’ supply chain and RosettaNetstrategies as well as existing and planned capabilities Information available: www.rosettanet.org (Material Composition) Nokia is currently testing PIP 2A13 and preparing for roll-out in 200532 NOKIA
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the everyday script of literate Egyptians Greek the language of the government The Rosetta Stone was probably originally erected at the temple of the city of Sais, later in the medieval period moved to Rosetta (aka el-Rashid), where it was discovered in July 1799 by Pierre François Xavier Bouchard. The Rosetta stone is now located at British
