Advertisement

Digitalization of Information-Intensive Logistics Processes to Reduce Production Lead Times at ENGEL Austria GmbH: Extending Value Stream Mapping with Subject-Oriented Business Process Management

  • Christoph Moser
  • Karel Říha
Chapter
Part of the Management for Professionals book series (MANAGPROF)

Abstract

  1. (a)

    Situation faced: ENGEL is a strongly customer-oriented company with a focus on flexibility and innovations. These priorities are projected into a constant effort to offer customer-oriented solutions with short delivery times and the highest possible quality. Driven by this strategy, one of the company’s goals was to further decrease the lead time of one of the main components for the injection molding machines by at least 30%. We were facing a cross-company process spanning over several different departments (logistics, production, IT, etc.), dozens of involved process actors, and no available process documentation.

     
  2. (b)

    Action taken: The first step was to use Value Stream Mapping (VSM) to document the production process and to identify weak points and potential improvements. However, the defined lead time reduction could only be achieved by considering the production process in conjunction with accompanying administrative processes. Both areas are information-intensive as they are largely based on the processing and transfer of data. This required a combination of VSM with subject-oriented Business Process Management (S-BPM) as basis for specifying new and improved processes which were then implemented in an SAP ERP System environment.

     
  3. (c)

    Results achieved: The main achievement was the optimization of cross-company processes and the digitalization and automation of formerly manual processes. This resulted in greatly reduced process costs, reduced work in process, a reduced production lead time for individual components, and a reduced overall lead time by approx. 45%.

     
  4. (d)

    Lessons learned: By using the VSM method we produced a detailed description of our production processes. The S-BPM method provides a modeling language that is easy to learn and can document complex processes at a high level of detail. It can provide a process description that complements the VSM with the required description of the information flows. The focus on the information flow of a process allows for process improvements and the digitalization of processes to be implemented in existing software environments with relatively little effort and still achieve significant results. A detailed and concrete process description can support the IT department to directly digitalize and automate process steps, reducing the time needed for additional verification steps and test runs.

     

References

  1. ENGEL AUSTRIA GmbH: Facts & figures. Retrieved February 20, 2018.: http://www.engelglobal.com/en/uk/company/facts-figures.html
  2. Erlach K (2010) Wertstromdesign. Der schlanke Weg zur Fabrik. (2. bearb. und erw. Aufl.). Springer, BerlinGoogle Scholar
  3. Fleischmann A, Schmidt W, Stary C, Obermeier S, Börger E (2012) Subject-oriented business process management. Springer, HeidelbergCrossRefGoogle Scholar
  4. Janiesch C et al (2017) The internet-of-things meets business process management: mutual benefits and challenges. arXiv:1709.03628Google Scholar
  5. Kannengiesser U (2014) Supporting value stream design using S-BPM. In: Proceedings of the 6th international conference on subject-oriented business process management (S-BPM ONE 2014), Eichstätt, Germany, April 22–23Google Scholar
  6. Kannengiesser U, Neubauer M, Heininger R (2015) Subject-oriented BPM as the glue for integrating enterprise processes in smart factories. In: Ciuciu I, Panetto H, Debruyne C, Aubry A, Bollen P, Valencia-García R, Mishra A, Fensel A, Ferri F (eds) OTM 2015 workshops, LNCS, vol 9416. Springer, Cham, pp 77–86Google Scholar
  7. Kock N, Verville J, Danesh-Pajou A, DeLuca D (2009) Communication flow orientation in business process modeling and its effect on redesign success: results from a field study. Decis Support Syst 46:562–575CrossRefGoogle Scholar
  8. Liappas I (2006) Vom Business zu den Prozessen. In: Scheer A-W, Kruppke H, Jost W, Kindermann H (eds) AGILITÄT durch ARIS Geschäftsprozessmanagement: Jahrbuch Business Process Excellence 2006/2007. Springer, Berlin, pp 43–56CrossRefGoogle Scholar
  9. Otto B, Bärenfänger R, Steinbuß S (2015) Digital business engineering: methodological foundations and first experiences from the field. In: BLED 2015 Proceedings, Bled, Slovenia: 58–76Google Scholar
  10. Parviainen P, Kääriäinen J, Tihinen M, Teppola S (2017) Tackling the digitalization challenge: how to benefit from digitalization in practice. Int J Inf Syst Proj Manag 5(1):63–77Google Scholar
  11. Riempp G (2004) Integrierte Wissensmanagement-Systeme, Architektur und praktische Anwendung. Springer, BerlinCrossRefGoogle Scholar
  12. Rother M, Shook J (2004) Learning to see – value-stream mapping to create value and eliminate muda. Lean Enterprise Institute, Cambridge, MAGoogle Scholar
  13. Schmelzer H, Sesselmann W (2013) Geschäftsprozessmanagement in der Praxis – Kunden zufriedenstellen, Produktivität steigern, Wert erhöhen. Carl Hanser Verlag, MünchenGoogle Scholar
  14. Schoenthaler F, Augenstein D, Karle T (2015) Design and governance of collaborative business processes in Industry 4.0. In: Proceedings of the workshop on cross-organizational and cross-company BPM (XOC-BPM) co-located with the 17th IEEE conference on business informatics (CBI 2015), Lisbon, Portugal, July 2015Google Scholar
  15. Walke T, Witschi M, Reiner M (2013) Case study @ Swisscom (Schweiz) AG: iPhone 5 self-service order app and process-workflows. In: Fischer H, Schneeberger J (eds) S-BPM ONE – running processes, CCIS, vol 360. Springer, Berlin, pp 264–273CrossRefGoogle Scholar
  16. Wiegand B, Franck P (2004) Lean Administration I – So werden Geschäftsprozesse transparent. Lean Management Institute, AachenGoogle Scholar

Copyright information

© Springer International Publishing AG, part of Springer Nature 2019

Authors and Affiliations

  1. 1.ENGEL Austria GmbHSchwertbergAustria
  2. 2.ENGEL Strojírenská spol. s.r.o.KapliceCzech Republic

Personalised recommendations