The Manufacturing Execution System (MES), – is an information and control system linking all aspects of a business from sales order processing through product manufacturing with its related issues such as inventory control right up to billing and accounting, into one cohesive system in place of a series of detached islands of automation. By providing objective, detailed information fast, MES gives management what it needs to optimise the business.  For example, by allocating real, measured costs to each product or service, MES enables management to identify the strengths and weaknesses of the organisation, restructure where needed and keep the organisation lean and mean to complete in today’s ever tougher market place.

Specifically, there are two major benefits:

1. management information and therefore control
2. efficiency and responsiveness of the whole business

Together, these mean more profit, happier customers and informed (therefore empowered) management, back in day to day control.

Another example, effective MES allows accurate delivery forecasting by real time linkage of actual production capacity information, not estimates. It also means objective fast management information on performance of different areas of the business – real time P & L!  Using MES enables management to accurately attribute costs, including overhead costs, to individual product or service activities – no more averages!  With MES, management can also track the results of decisions such as changes in material sources. i.e. does lower cost material result in lower costs, or do higher rejects or shortages cancel the benefits? MES makes it possible to identify best practice in any area of the business and ensure that it is applied consistently.  Another very powerful tool is a “What if?” capability to inform decisions about proposed investments.

Clearly, this fast detailed, objective information is highly desirable, but represents a big investment and needs a commitment to respond to the information provided, however unpalatable the truths are.  In North America, the implementation of MES systems I now growing 30% year on year and there is every indication that this trend will be followed in the UK.

Now is the time

Competitive pressures are increasing – not least as other companies adopt MES.  Regulatory pressures are increasing too.  These combine to exert an ever pressing need to be more effective.  However, application of MES in the UK is quite low at present, around 2% of manufacturing companies with over 200 employees in a recent survey.  Contrast this with over 90% employing shop floor automation and 70% with MRP.  The good news is that new opportunities are being provided for cost effective MES using the new multi-tasking PC operating systems such as Windows NT.  PC platforms make MES available to smaller organisations by reducing the minimum cost effective size of installation.  Now is the time to do it in your market before one of your competitors does.  Early adopters will tell you that. After a little bedding in, the commonest reaction is: “How did we ever manage business without it?”

Why is take up so low?

One major factor is the very real difference between the information technology and real-time control disciplines.  The issues are complex, but perhaps oversimplifying a little it can be stated like this:  IT in manufacturing companies is about handling large volumes of information that is not usually time or safety critical.  An invoice 10 minutes late will not usually damage a business.  Real-time control is about minute by minute control of the manufacturing process.  It is often ultra time critical (10mS can be make or break) and often has plant safety implications.  Because of their very different needs, these types of computer systems have evolved in very different ways.  So have the professionals that run them, and there is often quite gulf of understanding between them.  However, to succeed, MES must not only take information from the IT system, but also minute by minute shop floor data from the real-time control system without compromising it in any way.  Only then can it provide the fast, detailed and objective information needed.  Similarly, when analysis has taken place and decisions have been made, MES must be able to download instructions to the real-time control system to ensure that the hard won best practice conclusions are locked into the PLCs or process control systems that run the manufacturing process and not eroded by time and personnel changes.

Some steps to smooth implementation

The most important pre-requisite is a contractor with skills and expertise of the two diverse worlds of IT and real time control computing, AND sufficient business experience to understand your objectives in installing MES.  Only a contractor armed with this business experience will be able to assist with specifying the system, and remember, most users will be doing this for the first time.  He should also have the ability to foresee problem areas from previous experience.

To avoid long periods of disruption, there will have to be an effective control of timescales through efficient working AND realistic planning.

Remember that meeting planned timescales by allowing for slow and inefficient working is not the same as planning and succeeding in working fast and cost effectively!  Finally, you will need reliable long term maintenance and support.  As well as a contractor with a stable financial structure, this means good documentation and well trained people.

Equally important is getting your factory ready for MES.  MES will provide hitherto undreamed of levels of objective information and managers will need focused training to establish new ways of analysing plant performance to make best use of it.  After the analyses comes the need to implement the changes that are shown to be desirable.  Custom and practice, possibly derived from trial and errors over many years, may be challenged (or confirmed) by analysis of the data from MES.  This requires careful explanation to the workforce, hence the need t prepare your factory and staff for MES.

Selecting your partner

How do you assess whether a potential systems integrator has the required skills and experience?  Well, one approach would be to investigate each contender in depth yourself.  It would take a long time, and, especially for something as complex as MES, you should ask yourself if you would recognise critical limitations in technical skills.  Alternatively, you could ask for references from other users: other companies must have done something at least similar to the scheme you are planning.  Unfortunately, people are often reluctant to admit to major problems, or, in the case of competitors, reluctant to share their success, so this approach does not produce truly reliable results.  Or, and this is the preferred approach, you could look for independent accreditation from major hardware or software product vendors.  The best vendors have a strong interest in the success of projects involving their products.  They also have the meaningful accreditation and training programme – and not all have – accreditation is a valuable guide to picking your systems integrator.  That’s why IEA is pleased to be counted among Oracle’s partners and especially proud to one of only 6 Mitsubishi Systems Integration Partners.