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Automated Systems - MST - MIS - HRM - Jun 1998
| Automation |
Automated Systems
MST - MIS - HRM
Jun 98
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Table of Contents
What do you mean by Automation? Are Manufacturers / Service Providers Ready?
What does MST and MIS mean? American Businesses and Mechanized Automation
Development and ImplementationExciting New Developments for Use & The Question
The HR Element as Critical Point Resolving the HR Element in Automation
Can You Overcome Resistance to Change?
Learning Curves in Implementing Automation
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Defining Automation
Defining the term "Automation"
Use of motion systems technology* is viewed as "automation" by many.
Involved in complete automation through "mechanized automation"... fully integrating a company' s plant, facility,
terminal or office processes by increasing capital investment to reduce labor unit cost resulting in substantially
higher productivity and efficiency in producing quality products and/or services, and effectively distributing them
into global markets and supply chains. This is accomplished by appropriate applications of MST combined with
appropriate use of MIS.
Another definition of "Automation"
Use of computers is another view of what "automation" means to most.
Involved in complete automation through the use of planned and carefully designed management information
systems supporting automated facilities and mechanized automation. Intelligent use of technology in information
processing and its integration into customers' "seamless enterprise" of the future is the focus.
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Motion Systems Technology (MST):
Motion systems technology is comprised of the following and is used by the author in design and development of
systems for significant productivity improvements and operating cost reductions.
Hydraulics and pneumatics components, systems, controls, materials and related products.
Power transmission mechanical and electrical motion system technology for industrial market.
Instruments and components for precise positioning, control, and monitoring.
Monitoring, control, and diagnostic software applications in system and facility design.
Industrial computers - programmable logic computers (PLC's) and industrial software.
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Management Information Systems (MIS):
Operational applications in business progressively utilizing hardware: mainframe, mid-range, micro, mini,
LAN-based, WAN, Client-server, PC Desktop, etc.and various platforms such as DOS, Unix, Windows, Windows 95,
Windows NT, etc. Some of these may be familiar names to you, especially if you have worked in office
atmospheres, or other computer aided business environments.
And then there are the business applications (software) for various activities that run on the aforementioned
hardware, environments, and platforms. These include manufacturing, accounting, and many other business
functions in both stand-alone and modules or packages (along the "systems" lines). These again may be integrated
with others in almost every conceivable fashion to meet the needs of the user's organization.
To those experienced 'surfers' and computer / IT / IS buffs, the above is very elementary. But I put this site
together realizing that the "audience" would vary from beginner to expert. It is really a shame more of the
"techi-types" don't keep this in mind when they program things, especially help areas. They usually assume
somewhere along the line that the person reading it is proficient in computer "lingo, buzzwords, key words, etc."
Just remember the advertisers out there are creating their TV ads to appeal to the 10-year old mind as a general
rule. Remember the audience! You will always need to keep the beginner (our equivalent 10-year old!) in mind
when you do and explain things, or the TV guys will capture a large part of the computer audience. It's coming, you
know. Just watch! They are going to make it simple for the 10-year old to surf the net without the computer! (as we
know it, openly). It is just a matter of time.
If we in the automation community do not make it as easy as possible with all levels of help assistance embedded in
software packages for both businesses and pleasure use, we will not achieve the user growth that is truly possible in
an enlightened provider world. We will not be able to dramatically overcome resistance to change unless we address
this very issue very well.
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A Note about the Internet and Intranet
Now, with the introduction of the internet, there has been explosive growth in requirements to "get on board" the
information highway by both consumers and those who service consumers. Consumption of information or creation
and distribution of information is the purpose of the internet.....or is it? It has become and will continue to be
another distribution channel for the sale of products and services to an evergrowing, sophisticated affluent consumer
customer base.
What is different is that whether you are an employee of a big company with billions in sales, or a self-employed
business person with a little company and only two employees... you can reach the global community via the
internet to tell them about your product and/or services at a small fraction of cost before! You can have just the
same amount of "presence" to this particular channel ( a means of distribution and sales to end users which includes
the internet user/surfer/consumer/information seeker as a conglomerate. The "intranet" is the name given a similar
information highway within close organizations with security, etc intra-business and intra-relationship connections
and dealings, etc.
But enough diversion about the internet... let's return to our subject... automated systems.
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Whether mainframe or client-server, the major concern should be an awareness of both critical success factors and
important customer requirements.
The critical success factors, according to Prof.Dr. Hasso Plattner, Vice Chairman of SAP, are:
Maintainability Scalability Functionality Knowledge Management Performance Variants Interoperability.
In addition, the important customer requirements are:
Dynamic reconfiguration of implemented systems.
Fast deployment of new functionality without disruption.
Centralized as well as decentralized.
Easy reuse of components from different manufacturers.
Eased collaboration of different vendor's products.
Very high scalability (up to millions of users).
End-to-end business processes beyond the enterprise.
Quality, reliability, availability, and security without compromises.
While I do not suggest that SAP business system products are an end-all solution, I do advocate SAP R/3 product
applications in a client-server environment from the standpoint of what they are doing to help create "seamless
enterprises" and enable those enterprises to rise above all going into the future.
Other Items of Importance
Problems
Some problems can develop from several areas, most which are management related. An example: -"to do
something automated, but not really sure of exactly what to do or how to successfully implement it."
Planning
The most important element in a project is prior proper planning. Planning must include judicious due diligence,
adequate feasibility, and contingency scenarios. The most important leg of the planning stool is the development of
understanding among the parties on managing expectations or "how to manage management."
Model Transfer Differences
Allowances must be understood and made for automated facility model transfer differences
- from one culture to another
-one country to another
- from one business environment to another
- from one industry to another
- from critical area differences
- training difficulties due literacy or lack thereof
- personnel education and skill levels
- management differences
Managing Expectations
Many times, during an internal push for approval or in follow-up project reporting usually, management levels have
not managed upper management's and/or the board's expectations. If they have, they have not done it well.
We see this time and time again where the reality of what is really going to happen and how things will evolve are
never fully represented or only partially disclosed. Whether as a result of the internal approval processes or
covering up a potentially "career limiting move"... at the end of the road it can be deadly! Expectations must be
properly planned and carefully managed during any automated project.
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Mechanized Automation
Project Development, Management, Implementation
Paul is an automation project developer and implementation leader who...
Designs, develops, and implements proprietary mechanized computer-aided up-gradable systems utilizing only the
finest quality components (usually whole products from manufacturers with approved dedicated components and
standardized compatibility for common functionality components) from world-class manufacturers with proven
reliability and adequate guarantees.
Evaluates and applies management information systems utilizing appropriate and proven hardware and software
applications know for reliability, compatibility, architecture, and cost-effectiveness, and equally important - the
suitability for an automated facility's integration.
Designs, develops, and implements automated facilities for processing throughput "better, faster and cheaper" than
any other known means while reducing time and operating cost.
Paul's goal is the successful development and implementation of "seamless enterprises".
What is being done in lieu of automation development investment?
Increasing use and reliance on non-union and minimum wage labor vs. automation investments.
Reduction of unionized labor's control and cost thru negotiation.
Creation of private facilities "out of reach" of union influence, discouraging union operations.
Introduction of "non-union" operations to increase efficiencies i.e., lower labor cost per unit.
The central question is - is THIS really the long-term fix?
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Manufacturers and Service Providers - are they ready?
WHAT CAN BE DONE... for efficiencies to reduce cost and product/service time ... NOW?
NOW the focus must be on automated plants with systems to fully integrate the company's products or services into
the supply chain and fit into the "seamless enterprise" concept.
One industry's glaring example of resistance to change.
The Marine Transportation Industry as an Example
Remember Sea-Land's (an up-start trucker's idea of shipping) start in Intermodalism?
· FACT - it took a trucker, Malcolm, to put the idea of truck trailers on both truck chassis and ships so that cargo
would not have to be "rehandled" at the docks. It was not a shipping man. And where did Malcolm go to get help in
talent for equipment control, leasing, and maintenance? The railroad industry! (Malcolm... the founder, chairman &
CEO of Sea-Land).
· FACT - the existing waterfront - shipping, ports, terminal, organized labor, etc. - was reluctant to accept change
and fought it as long as possible in every way....
· Ports, labor and shipping were all equally entrenched and resistant, but "competitive forces" forced change
acceptance. Those that didn't accept it ended up broke or accepting a much lower market share and dismal profits.
Boston labor was notorious in resistance, and Boston port suffered as a consequence. Boston labor finally accepted
realities and reluctantly changed. Note: The lost revenues to companies and lost wages to labor will never be
recovered.
· Finally the intermodal container became the way of international transportation of valued goods where shipment
condition and time to market were important. The inventory cost and time value of money ultimately supported a
phenomenal increase in this "automated" transportation form.
Leaders in dealing with change and implementing automation.
Noord Natie (terminals) - Antwerp. This 500-year old terminal operating company is in the forefront of change and is
the leader in "mechanized automation for handling various cargoes".
ECT (terminals) - Rotterdam. This terminal operator is clearly the leader in improving and applying terminal
"intermodal container handling systems technology" for the present and the future. This lead in adapting to change
and efforts at continuous improvement as contributed to keeping Rotterdam the largest port in the world.
Opinion · Automated facilities will have to fight similar battles dealing with resistance to change.
But yet again, the same goods condition and time to market are playing a significant role. The inventory cost and
time value of money are now critical elements to ALL parties in the process: vendors, customers, internal, etc.
Those that accept change and go forward on all cylinders to implement necessary and appropriate actions to
participate in the future will be in it. Those that continue to resist, as the old general cargo ship owners of
yesterday, end up in the history books.
That is the only place you will find them because they went out of business. They went out of business because they
did not change, were not flexible, and did not "automate." They were not even in the running. They waited too late.
They didn't "get on the bus."
I would like to share a personal experience with you. In 1988, I was in Hong Kong on business. It had been over
twenty years since I had been there in the 60's. As we were crossing the water in a water taxi (boat), I asked "What
happened to all the sailing sampans?" whereas the young Chinese man escorting me to a meeting responded.
"Everyone uses motors these days."
My response was "Well, I really liked the sailing sampans. They always were so romantic in the sunsets." At this,
my young companion responded, " You are old-minded." The moral to the story is "Do not be old-minded!!"
You cannot hang on to sailing ships, general cargo vessels, sailing sampans, nor should you hang on to old business
manufacturing, practices or processes these days....we cannot be old-minded. And even if we are, we must change
or we too will end up as only history. So, get on the bus!! You can start by asking yourself one question...the one
below.
· Do YOU believe "change" is inevitable as business environments naturally change over time due to fundamentals
such as new technology introductions, demographics, etc.?
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Business and mechanized automation is inevitable!
Status Quo is NO longer acceptable due to capital-intensive products and facilities.
"Consolidation" of vendors, suppliers, will continue and automated players will win.
Those that lead will not have to follow or play catch-up (if they can).
DON'T MISS THE BUS!!!
It isn't easy to "catch the bus"!
New methods can create uncertainty and some fear.
New trials create risks to careers and the status-quo.
Not many will risk the burden of responsibility for taking the lead in improvement efforts.
The task of venturing into the future is for professionals who have vision and guts for it.
Experience and solid understanding are required for successful implementations.
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Exciting New Developments for Use (ref SAP R/3)
The Business Framework is the new strategic product architecture for the industry-leading R/3
business solution. For business on the Internet - SAP AG will deliver the foundation for Internet applications with 3.1
of its R/3 System. More than 25 R/3 Internet Application Components will be shipped with R/3 3.1.
R/3 Release 4.0 will provide powerful enhancements for market-driven global supply chain management, include
new comprehensive retail and public sector industry solutions, and deliver new components of the Business
Framework architecture.
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The Question
(and this is only MIS stuff!...it doesn't address MST evolutions along with continuous improvement in operating
techniques that developed, made, and delivered Plattner's product to the market better, faster, and cheaper than
competitors)
Do you get the gut feeling that something is going on here? Two giants teaming up to reach millions of internet
users (potential direct customers and sophisticated investors and buyers) today and the future (millions of new)
users of tomorrow. Do you have the feeling that this information super highway is being widened for more traffic
than any major freeway? Do you get the feeling that you had better locate your business next to the new busy
highway? Or are you content to let the traffic and customers go shopping along the freeway and you just want to
stay in town?
Well, partner, America's small and medium size towns are full of empty buildings and forgotten businesses as a
result of a new interstate by-passing the town. This analogy is appropriate for what is happening now, not next year
or the next decade, but right now!! Can you see it? I certainly hope so! For the sake of your company and possibly
your very own future.
The question remains ...where would your company been in all of this? Does it remind you of the shipping guys
who sat back and refused to change and become part of the intermodal revolution/evolution? Who made a
transaction? Sea-Land, who is still going strong, or ...yes, you guessed it... forgotten companies that folded their
tents such as U.S. Lines, Pacific Far East Lines, States Lines, Seatrain, American Mail Lines, American Export Lines,
etc., etc...just to continue to use the marine analogy of those who did not get on the bus.
Someday you will be able to carry the power of a mainframe in your briefcase (maybe you already are!). Will it be
you carrying that briefcase or your competitor? Did your firm or the "other" firm enlarge its marketing capabilities
and integrate its business into the global supply chain? Think about it... and think hard! 2000 is coming soon! (See
The Year 2000 Problem).
Remember - Management must plan for the future. Are you?
Thank you for visiting the site. I hope it was informative. Have a great day!
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To Catch the Bus...What to do?? Send me an e-mail if you would like to explore the answer.
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