Description
In contract law, a warranty has various meanings but generally means a guarantee or promise which provides assurance by one party to the other party that specific facts or conditions are true or will happen.
Case Study: Global Warranty Implementation at General Motors
GM GWM Team May 5, 2008
SAPPHIRE 08 OR3364
Agenda
Global Warranty Project Overview
Mike Dessert
GM Information Systems & Services Global Sales, Service, and Marketing (GSSM) Chief Architect
Architecture Overview
Patrick Lyons
IBM Global Services Executive Architect
Deployment Overview
John Wyatt
GM Information Systems & Services Global Warranty Program Manager
SAPPHIRE 08 OR3364
GSSM is a complex business
Products
Approx. 140 Vehicle Products
Interaction
16,700 Retail Outlets 70 Parts Depots
Customers
Over 60 Million Active Customers
Over 25 Marketing Brands
108 Level 3 Business Processes
43+ National Sales Offices
Over 50 Languages
24 Time Zones
We sell vehicles built in Approximately 96 Marketing Support 181 Plants Call Center Dealer Support Operations Over 600,000 Aftermarket Parts & Accessories
GM Manufacturing Telematics GM ManufacturingSize Size & Complexity (e.g., OnStar, & Complexity ChevyStar) Consideration Awareness Shop 340K Contacts / Start Day Buy 12K Agents & Managers Repurchase Use Refer
Regionally Specific Market Dynamics
Numerous Country Specific Import and Privacy Laws
Business Resource Center Customer Assistance
SAPPHIRE 08 OR3364
Global operations are expanding
SAPPHIRE 08 OR3364
Communication challenges impact business results
Vehicle Vehicle designed/produced designed/produced here here
Using Using same same component component as as Latin America Latin America
Requires:
• • • •
Vehicle Vehicle sold sold here here
Component Component Supplier Supplier
Bringing data together Common data elements Common communication Common processes
Gains
• Lower Warranty • Reduced response time • Fewer resources pulling data/more resources using data • Improved products
SAPPHIRE 08 OR3364
Cost reduction is achieved by early identification and resolution of quality & warranty issues
Product Design
Engineering & Pre-production
Manufacturing & Production
Aftersales & Service
Objective: early insight reduces cost
POS
Cost of Quality
Design concepts to... A few to dozens... Dozens to thousands... Thousands to millions...
Quality Warranty
SAPPHIRE 08 OR3364
Global Warranty Program Overview
Global Warranty Management (GWM)
To deploy a global warranty solution comprised of a common system, processes, and governance based on leading business practices, globally common business rules, and local regulatory and market requirements
SAPPHIRE 08 OR3364
The new system enables the globalization of data
Warranty Vision: Commonize Quality Systems and Metrics Across
Current State: • 13 different claim payment systems • Approx. 122 different variations region to region between the systems • Incomplete part data region to region • Few customer and technician comments • Many manual processes for analysis No Common Baseline No Accurate Cross-Region Comparisons
SAPPHIRE 08 OR3364
the Entire Vehicle Development Process
Future State: • 1 claim processing, 1 information warehouse, and 1 analysis system globally • Similar data, same calculations • Data available on all parts replaced • Complaint, Cause, Correction comments on all claims • Automated analysis • By Part number • By Supplier New Common Baseline Possible to Provide Comparison Across Regions
Scope of GM’s Global Warranty Initiative
Global Warranty Claims Processing System Global Data Warehouse
Warehouse Storage Unstructured (WEB(WEB- Text) Warehouse Storage Structured
Global Analysis
Analytics Text Analysi s
Data Staging Support Structures Daily & Transient Files/tables
Ad hoc Reports
GART
Standard Reports
Managed Reports
Data Mining
• Process claims in one system globally • Information on all parts replaced as well as causal part • 3 C’s on all claims • Diagnostic Trouble Code • Claims paid daily • Ask additional questions to clarify conditions
• Consolidates regional warranty data • Captures as-built vehicle data – Trace data – Option content – Build, shipping and sales events • Consolidates dealer information
• Provides GM and Supplier problem solvers analyses to – Detect emerging issues – Define problem for root cause – Track results of problem fixes – Determine the right components/ suppliers to use • Measures quality status
SAPPHIRE 08 OR3364
Stakeholders use warranty data for many purposes
Program/ VL Teams Leadership
9 Quality Strategy 9 Profitability 9 Market Share 9 Program Quality 9 Vehicle line targets 9 Future programs
Vehicle Produced Vehicle Transported
BOM/Reuse/DFSS
9 Future Component Quality 9 DFSS selection/validation
VSSM
9 Validate Claim 9 Pay Dealers
Engineering
9 Parts analysis & Remediation 9 Design Quality
Validation
9 Estimate time to failure 9 Validate product durability
Quality
Vehicle to Dealership
9 Assess Quality 9 Early warning 9 Identify Issues
Plants
9 Plant Quality
Financial
9 Profitability 9 Reserve Analysis 9 Liability
Vehicle Sold
Supplier - WWP
9 Supplier Quality 9 Cost recovery 9 Parts analysis
Government Requirements
9 TREAD reporting 9 Safety analysis 9 Early warning
SAPPHIRE 08 OR3364
GSSM Architecture
SAPPHIRE 08 OR3364
Architecture Overview
Patrick Lyons IBM Executive Architect – GM GWM Project Team
SAPPHIRE 08 OR3364
Global Warranty Processes
Key Uses Cases: • Process a Warranty Transaction submitted by a Service Agent (Dealer)
– Claim Transactions – Customer Pay Transactions – New Vehicle Prep Transactions
• Return a part for inspection • Analyze Warranty Operations
– Daily operations: approve exceptions, pre-authorize, answer questions – Ongoing analysis: identify trends, ensure process adherence – Set processing rules: transaction types allowed, operation and part limits
• View Vehicle History
– – – – Vehicle description and build information Vehicle warranties with time and distance ranges Field Actions (recalls) Service History
• Provide Warranty Transaction data to Product Quality processes
SAPPHIRE 08 OR3364
Global Warranty Architecture Drivers
Key Architecture Requirements: • Support 100 million vehicles • Support 22,000 dealers across 71 countries • Accept transactions through three different channels:
– Batch file submitted from a Dealer Management System (DMS) – Interactive Web Service request from a DMS – Web application accessible through the GM dealer portal (Global Connect)
• Process a warranty transaction in 4-5 seconds, possibly 10-15 seconds for very complex transactions • Process up to 300,000 warranty transactions in a day • Respond to 2 million vehicle inquiries a day with a target response of 2 seconds • Support GM field staff that have the option of working in an offline mode (no network connectivity) • 24 hours a day, 7 days a week except for a weekly 6 hour maint window • SOX Compliance • Integrate to GM infrastructure and legacy systems
SAPPHIRE 08 OR3364
GWM System Context
Service Agent Interface -Service Agent Interface SAI: Web application SAI: Web application through the GM Dealer through the GM Dealer Portal (Global Connect) Portal (Global Connect) •Submit claims Contracts •Submit claims Contracts
Vehicle Vehicle Build Build
Dealer Dealer Mgmt Mgmt Systems Systems
SPOBARS MIC WM Toolkit: Provides Fleet SPOBARS MIC WM Toolkit: Provides vehicle history Fleet •View AC Delco •View vehicle history Service warranty admin. Capability Systems AC Delcowarranty admin. Service Capability Systems
Parts reports Parts •Displays •Displays reports •Manages parts return •Manages parts return •Manages service agent SAP ERP •Manages service agent SAP ERP contact contact Financials for
Financials for Dealer Payment Dealer Payment
Vehicle Vehicle Invoice Invoice
GWM (Global Warranty System)
SAI
Reporting, Analysis and Administration Reporting
Retail Retail Sales Sales
SAP ECC 5.0
Labor and Labor and Warranty Master Warranty Master Information Information
GMLID GMLID
WM Analyst
WM Toolkit
SAP ECC: SAP ECC: The heart of the GWM system The heart of the GWM system Recall • •Process warranty transactions. Recall Process warranty transactions. Campaign Campaign • •Retains 22 year’s worth of Retains year’s worth of transactional data Chevrolet Road transactional data Chevrolet Road Service (External • •Maintains 10 years of global Service (External Maintains 10 years of global System) master data (Vehicles, parts, master data (Vehicles, parts,System) warranty, etc) warranty, etc)
Customer Customer Satisfaction Satisfaction Survey Survey
Service Agent // Service Agent WM Analyst: Complex Supplier // Parts WM Analyst: Complex Supplier Parts warranty operations Information warranty operations Information analytics. Monthly analytics. Monthly back-end processing, CARD back-end processing, CARD delivered through WM Product Quality delivered through WM Product Quality Toolkit Data Warehouse DataToolkit Warehouse
SAP SAPR/3 R/3
SAPPHIRE 08 OR3364
GWM Logical Architecture
Warranty Ops
SAP client
Service Agents
DMS Batch DMS Interactive Web Interactive
GM Field Users / Corporate
Online Offline
Oracle Mobile Client WM Toolkit App
Local DB
Internet
Intranet/VPN
Global Exchange
Global Connect / Service Workbench
VSP
Dlr LDAP
Socrates
AWS
GPLD
BEA WebLogic
BEA WebLogic
Service Agent Interface
WM Toolkit
Cognos ReportNet
WM Toolkit Offline Sync (Oracle Mobile Server)
SAP ECC 5.0 / DIMP 5.0
SeeBeyond Inbound
GWM Repository
SAP Web AS 6.40
Veh / Part Inquiry Reporting Content
IS-AUTO VMS
FI/CO WTY MM SD
Trans Master DB
Outbound
Data Stage
WM Analyst (MVS)
SAP V4.x
SAP XI
CARD 3.0
Sabrix
SAPPHIRE 08 OR3364
GWM and SAP Functionalities
SAP Warranty Management ¾ Automatic claim processing ¾ Rule-based checks ¾ Automatic Pricing and Account determination ¾ Numerous actions ¾ Interface with Claimant/Reimburser ¾ Mass Processing of Claims
INPUT to SAP ¾ Master Warranty ¾ Customer Master ¾ Vendor Master ¾ Material Master ¾ Processing Rules ¾ Price Information ¾ Vehicles ¾ Warranty Transactions
SAP ECC 5.0/DIMP
Functionalities
Warranty VMS
¾Claim details
GWM Repository
MM
FI SD
CO
OUTPUT from SAP ¾ Warranty Transaction Results ¾ Vehicle Field Action Status ¾ Financial Postings
FI: Finance CO: Controlling SD: Sales and Distribution MM: Materials Management VMS: Vehicle Mgmt System
SAPPHIRE 08 OR3364
SAP Functionalities: Overview
Master Data – Material Master (MM)
Information on all materials that GM produces, stores, and sells. It is GM’s central source for retrieving material-specific data. Material Master records for GWM consist of: ? Parts ? Vehicles Ex: Merchandising Model Number ? Services (Net Items) ? Number Ranges
Master Data – Sales & Distribution (SD)
Information on customer (Service Agent) and pricing records for GWM consist of: ? Customer Master Ex: Name, address, sales area data, warranty control settings ? Customer Hierarchy Logically groups Service Agents for reporting and financial purposes ? Pricing Predefined system procedures used to calculate material and labor prices
VMS- Vehicle Management System
Maintains Vehicle information, including: ? VMS Vehicle Master ? VMS Vehicle Creation ? VMS Vehicle Status Part of DIMP – Discrete Industries Mill Products (DIMP) Solution
Finance – Controlling (FI-CO)
Information on Financials, including: ? General Ledger reports ? Profit Center reports ? Accounts Receivable reports
WTY – Process Transaction
Provides the capability to process a claim transaction using the action matrix and the rules defined in VSR (Validation/Substitution Rules)
Master Data Labor (Custom)
Stores Labor Operation data that is received from an external system (GMLID). This labor information is used during claim processing
WTY - Rules (VSR)
Provides the capability to manually turn GWM rules on and off in SAP. Also provides the ability for syntax checks for data consistency
WTY - Field Actions
Provides the capability to create Field Actions in SAP, including (but not limited to): ? Creating Field Actions ? Assigning Field Actions to a VIN ? Scheduling the release of Field Actions
SAPPHIRE 08 OR3364
Dealer Integration Strategy
GWM offers multiple warranty transaction submission “paths,” each with its own benefits
DMS -- Batch
DSP Focus
DMS Online
• Use your own familiar DMS screens • Batch preparation and submission processed nightly
• Use your own familiar DMS screens • More real-time functionality than the DMS FTP Batch
Global Warranty Management System
DSP – Dealer Service Provider DMS – Dealer Management System
Web Interactive (Online)
• Quicker feedback on whether a transaction is correct • Perfect for Service Agents using paper Job Cards (ROs)
SAPPHIRE 08 OR3364
GWM DMS Interactive Architecture
*STAR – Standards Technology Automotive Retail
SAPPHIRE 08 OR3364
GWM DMS Batch – GM Exchange Architecture
SAPPHIRE 08 OR3364
Web – SAP Integration Architecture
The front end contains Business Services that use Java Connector Objects (JCO) for SAP ECC integration
SAPPHIRE 08 OR3364
SAI Overview
Field Agents will access a similar screen
Service Writers can access vehicle history and record information while talking with the customer
Warranty Administrators can submit warranty transactions and correct rejected transactions
Service Agents can easily view Parts Return information
Service Agents can view the same Warranty reports about its dealership that Field Agents access
Service Agents can access detailed Parts Return information, including requests and status, as well as print shipping labels
SAPPHIRE 08 OR3364
WM Toolkit Overview
WM WMToolkit: Toolkit
rovides ProvidesWarranty Warranty Administration Capability Administration Capability •Displays •DisplaysReports Reports •Manages •ManagesParts PartsReturn Return •Manages •ManagesService ServiceAgent Agent Contact Contact
SAPPHIRE 08 OR3364
Challenges
• Being one of GSSM’s early global systems initiatives • Additional effort required to work with inter-dependent systems that were not yet global. (e.g., Dealer Portal, Service Parts, Vehicle Information) • In many cases GWM pressure accelerated globalization plans for these other systems. In other cases legacy specific interfaces were built • Developing a single warranty process that works for the globe • Thirteen existing processes combined into one • Legal and regulatory requirements • Emphasize global input during process definition • Language, currency, hours of operation • Volume • 22,000 GM Dealers worldwide • 100 Million vehicles in scope between warranty, service contracts, customer pay transactions, and field actions • 2 Million vehicle history inquiries a day
SAPPHIRE 08 OR3364
Deployment Overview
John Wyatt GM IS&S – Program Manager
SAPPHIRE 08 OR3364
GWM Global Deployment: 2006-2010 Release Schedule
2006 Core - Pilot 2007 Full Functionality 2008 2009 2010
AP
• Japan • GM Korea • India • Thailand • GM China • Hong Kong • Indonesia • Singapore • Philippines • Taiwan
US / Canada
• US • GMCL
(includes SAAB and Saturn)
Europe
• GM Europe, SAAB
(LAAM, AP and Europe)
LAAM
• Brazil
LAAM
• Brazil
• Chevy Europe • IPC (NEWS)
Saturn
• Saturn US
• IPC • MIC • Fleet Commercial • AC Delco • SAAB – US
LAAM
• Egypt* • South Africa • SAAB
LAAM
• • • • • Chile Argentina Ecuador Venezuela Colombia
GM Europe Pilot
To be conf by GME: • Central Eastern Europe
(including SAAB, Opel, Chevy Europe)
AP
• Australia • New Zealand • SAAB • SGM
Mexico
• Mexico • GMIS
GMDAT Korea SGM Wuling
SAPPHIRE 08 OR3364
GWM Tentative Deployment Approach
Release 4 (Technical Go-Live October 2007 / User Roll-Out November – January 2008) • Mexico, GMIS – November 12th • Saturn US – December 3rd • LAAM: Chile, Argentina, Ecuador, Venezuela, Colombia – January 14th Release 5 (Technical Go-Live July 2008) • Japan, GM Korea, India, Thailand, GM China, Hong Kong, Indonesia, Singapore, Philippines, Taiwan Release 6 (Technical Go-Live January 2009) • United States: Fleet Commercial, Saab, ACDelco, MIC • Canada: GM (including Saturn, Saab) ACDelco, MIC, Fleet Commercial • IPC Release 7 (Technical Go-Live July 2009) • GM Europe Pilot ~ To be confirmed by GME: – Central Eastern Europe (including SAAB, Opel, Chevy Europe) • GMDAT Korea (leverage interfaces / feeds for Chevy Europe) • SGM Wuling Release 8 (Technical Go-Live January 2010) • GM Europe, SAAB (LAAM, AP and Europe), Chevy Europe, IPC (NEWS) • SGM Release 9 (Technical Go-Live July 2010) • South Africa • Egypt* • Australia • New Zealand
SAPPHIRE 08 OR3364
Release 6 NA IPC Country Scope
Country ALGERIA AMERICAN SAMOA ANDORRA ANGOLA AUSTRIA BELGIUM BHARAIN BULGARIA CAPE VERDE CYPRUS CZECH REPUBLIC DENMARK EGYPT ESTONIA ETHIOPIA FINLAND FRANCE FRENCH GUIANA FRENCH POLYNESIA GERMANY GREECE GUADALOUPE GUAM HUNGARY Country IRAN IRAQ IRELAND ISRAEL ITALY JAPAN JORDAN KOREA KUWAIT LATVIA LEBANON LIBYA LUXEMBOURG MALTA MAURITIUS MONGOLIA MOROCCO NETHERLANDS NEW CALEDONIA NIGERIA NORWAY OMAN POLAND PORTUGAL Country QATAR ROMANIA RUSSIA SAUDI ARABIA SENEGAL SLOVAKIA SLOVENIA SOUTH AFRICA SPAIN SWEDEN SWITZERLAND SYRIA TAHITI TUNISIA U.S.A. UKRAINE UNITED ARAB EMIRATES UNITED KINGDOM VANUATU WW - WORLD WIDE YEMEN
SAPPHIRE 08 OR3364
GWM Benefits (by User Group)
Home Offices
• Faster processing of warranty transactions • Validation and analysis of all parts instead of only “Failed Part” • Ability to require service agent to attach supporting documents or picture • Global common process
Quality & Reliability Engineers
• More rapid problem resolution • Text field for customer complaint, cause, and correction, instead of just codes • Improved and faster process for “parts return” • Receive causal part and all replaced parts
Call Center
• Text fields for customer complaint, cause, and correction, instead of just codes • Electronic access to Diagnostic codes
GWM
• Earlier intervention for potential buybacks • Fast and accurate process to approve warranty transactions • Warranty administration tools enable customizing empowerment levels based on Service Agent performance, including Labor Operation restriction at Service Agent level
GM Field Agents
Service Agent
• Quicker payment decisions • Faster resolution of rejected transactions • Ability to analyze warranty business using the same tools GM uses • All GM brands handled through the same system in the same way
Finance
• Faster GL Processing • More thorough and flexible financial reports are available • Easy to audit with better traceability to transaction documents
SAPPHIRE 08 OR3364
GWM Release 6 Scope Boundaries
Estimate Metrics
Location: Primary Location – GLTC Flint, Michigan, US Release 6 Business Units: North America GM Corporate: AC Delco, VSSM Car, VSSM Fleet, US SAAB, MIC Canada: Car, SAAB, MIC, ACDelco International Product Center: 45 Countries Technical Requirements: ? Conversions and Interfaces ? Enhancements ? Contingency Minor Enhancements ? R6 DMS Integration:
•25 US DMS •10 Canadian DMS •1 IPC DMS - Kerridge to support Kroymans and IPC
Legal and Regulatory Requirements within the above boundary conditions ? Architectural scaling of application to meet R6 volumes ? Redesign of Vehicle characteristics to support Release 6 data volume ? Redesign of Material Characteristics to support Release 6 data volume ? Update GWM – Global Playbook to current file structures/field mapping ? Sabrix Tax Integration specific to GWM excluding SAP functionality gaps and hardware or software support ? Build maintenance screens for Z-tables with controls and help ? Refine claims processing action matrix. Items to improve:
•Performance – reduction of database commits •Maintainability – Simplify action matrix where appropriate •Improve error handling
SAPPHIRE 08 OR3364
Deployment Development Priorities
• • • •
Conversions and Interfaces Legal and Regulatory Requirements Architectural scaling of application to meet volumes Additional Object Candidates from list
SAPPHIRE 08 OR3364
Deployment Team Structure (Plan/Define)
GWM Global Team US Release 6 Canada
IPC
Global Playbook Release Focused
SAPPHIRE 08 OR3364
32
Project Phases
PLAYBOOK
DESIGN
BUILD
TEST
DEPLOY
Group 1 Governance Board Approved Changes (if any) identified in the Locales
Locale -specific Interfaces and Conversions
Central team implements and deploys updates
Update Specifications Code, Unit Test Regression Test
Group/Local UAT
…
Group N Governance Board Approved Changes (if any) identified in the Locales
Global UAT
Performance Test per instance
Deploy Deploy
Block Pt
Group/Local UAT Locale -specific Interfaces and Conversions Break/Fix identified by Sustain
SAPPHIRE 08 OR3364
33
Lessons Learned
Key Lessons Learned Early involvement of Business Units is critical Data is on the critical path project timeline Project and Program Management process need to be clearly defined and socialized Internationalization is complex In a global system environment, any changes to the system may have downstream impact DMS requires significant communication and coordination activities Testing needs to be an integrated activity
Actions Implemented
?Web conferences are held regularly to ensure the core team understands the BU processes and data and so the BU understands the expectations and requirements ?Business is involved in all aspects of the testing and cutover activities to ensure that technical activities coincide with business validation ?To support effective data preparation, detailed templates and Net Meetings held with local BUs to ensure correct understand to complete correctly the first time ?Data loads begin as soon as possible
project leaders and teams clearly understand expectations and regular tracking meetings held weekly to monitor progress and communicate
?Dashboards ?Emphasize global objectives for standardization of technology and processes in communications and decisions making processes ?Identify core team members focused on translation activities and resources ?Regression ?Production
?Ensure
testing is required changes are communicated to key stakeholders by the sustain team ?Business decisions need to be made in alignment with Global Direction
?Regular communications (conference calls and emails) are used to address questions/concerns ?Specifications are provided with significant lead time for DSPs to respond and resolve questions
functional teams (including the Business Units) provide input to testing scripts Tracker meetings are held twice daily during UAT for cross functional teams to communicate and address issues/defects
?Mercury
?Cross
*Note: is aa sample of some key lessons learned and actions implemented. comprehensive Lessons Learned list *Note: This This is sample of some key lessons learned and actions implemented. AA comprehensive Lessons Learned list is developed by all teams for each deployment and is incorporated in future project plans for continuous improvement. is developed by all teams for each deployment and is incorporated in future project plans for continuous improvement.
SAPPHIRE 08 OR3364
Data-Specific Lessons from Previous Releases
?
Statement of Work – make sure that legacy system vendor is under contract to supply data loads for analysis phase Representation, Support, and Accountability from all stakeholders is necessary for Data Analysis and Cleansing Activities Attention from all stakeholders on the results discovered during data profiling. Positive and/or negative effects will surface during testing phases if the Data Analysis and Cleansing Activities are not taken seriously Extracts provided for Data Analysis and Cleansing should be in the formats as specified in Functional Specifications Estimating data loads for production as well as delta loads so that we can continue reduce the time needed away from production users to do the conversion runs Cut Over PMO with BU involvement for data loads
SAPPHIRE 08 OR3364
?
?
?
?
Q&A
Questions?
SAPPHIRE 08 OR3364
Thank you!
SAPPHIRE 08 OR3364
Access SAPPHIRE ’08 Orlando Online
Watch video recordings, download audio files in MP3 format, and view the slides from all keynotes and presentation sessions.
www.sap.com/us/sapphire
doc_935674370.pdf
In contract law, a warranty has various meanings but generally means a guarantee or promise which provides assurance by one party to the other party that specific facts or conditions are true or will happen.
Case Study: Global Warranty Implementation at General Motors
GM GWM Team May 5, 2008
SAPPHIRE 08 OR3364
Agenda
Global Warranty Project Overview
Mike Dessert
GM Information Systems & Services Global Sales, Service, and Marketing (GSSM) Chief Architect
Architecture Overview
Patrick Lyons
IBM Global Services Executive Architect
Deployment Overview
John Wyatt
GM Information Systems & Services Global Warranty Program Manager
SAPPHIRE 08 OR3364
GSSM is a complex business
Products
Approx. 140 Vehicle Products
Interaction
16,700 Retail Outlets 70 Parts Depots
Customers
Over 60 Million Active Customers
Over 25 Marketing Brands
108 Level 3 Business Processes
43+ National Sales Offices
Over 50 Languages
24 Time Zones
We sell vehicles built in Approximately 96 Marketing Support 181 Plants Call Center Dealer Support Operations Over 600,000 Aftermarket Parts & Accessories
GM Manufacturing Telematics GM ManufacturingSize Size & Complexity (e.g., OnStar, & Complexity ChevyStar) Consideration Awareness Shop 340K Contacts / Start Day Buy 12K Agents & Managers Repurchase Use Refer
Regionally Specific Market Dynamics
Numerous Country Specific Import and Privacy Laws
Business Resource Center Customer Assistance
SAPPHIRE 08 OR3364
Global operations are expanding
SAPPHIRE 08 OR3364
Communication challenges impact business results
Vehicle Vehicle designed/produced designed/produced here here
Using Using same same component component as as Latin America Latin America
Requires:
• • • •
Vehicle Vehicle sold sold here here
Component Component Supplier Supplier
Bringing data together Common data elements Common communication Common processes
Gains
• Lower Warranty • Reduced response time • Fewer resources pulling data/more resources using data • Improved products
SAPPHIRE 08 OR3364
Cost reduction is achieved by early identification and resolution of quality & warranty issues
Product Design
Engineering & Pre-production
Manufacturing & Production
Aftersales & Service
Objective: early insight reduces cost
POS
Cost of Quality
Design concepts to... A few to dozens... Dozens to thousands... Thousands to millions...
Quality Warranty
SAPPHIRE 08 OR3364
Global Warranty Program Overview
Global Warranty Management (GWM)
To deploy a global warranty solution comprised of a common system, processes, and governance based on leading business practices, globally common business rules, and local regulatory and market requirements
SAPPHIRE 08 OR3364
The new system enables the globalization of data
Warranty Vision: Commonize Quality Systems and Metrics Across
Current State: • 13 different claim payment systems • Approx. 122 different variations region to region between the systems • Incomplete part data region to region • Few customer and technician comments • Many manual processes for analysis No Common Baseline No Accurate Cross-Region Comparisons
SAPPHIRE 08 OR3364
the Entire Vehicle Development Process
Future State: • 1 claim processing, 1 information warehouse, and 1 analysis system globally • Similar data, same calculations • Data available on all parts replaced • Complaint, Cause, Correction comments on all claims • Automated analysis • By Part number • By Supplier New Common Baseline Possible to Provide Comparison Across Regions
Scope of GM’s Global Warranty Initiative
Global Warranty Claims Processing System Global Data Warehouse
Warehouse Storage Unstructured (WEB(WEB- Text) Warehouse Storage Structured
Global Analysis
Analytics Text Analysi s
Data Staging Support Structures Daily & Transient Files/tables
Ad hoc Reports
GART
Standard Reports
Managed Reports
Data Mining
• Process claims in one system globally • Information on all parts replaced as well as causal part • 3 C’s on all claims • Diagnostic Trouble Code • Claims paid daily • Ask additional questions to clarify conditions
• Consolidates regional warranty data • Captures as-built vehicle data – Trace data – Option content – Build, shipping and sales events • Consolidates dealer information
• Provides GM and Supplier problem solvers analyses to – Detect emerging issues – Define problem for root cause – Track results of problem fixes – Determine the right components/ suppliers to use • Measures quality status
SAPPHIRE 08 OR3364
Stakeholders use warranty data for many purposes
Program/ VL Teams Leadership
9 Quality Strategy 9 Profitability 9 Market Share 9 Program Quality 9 Vehicle line targets 9 Future programs
Vehicle Produced Vehicle Transported
BOM/Reuse/DFSS
9 Future Component Quality 9 DFSS selection/validation
VSSM
9 Validate Claim 9 Pay Dealers
Engineering
9 Parts analysis & Remediation 9 Design Quality
Validation
9 Estimate time to failure 9 Validate product durability
Quality
Vehicle to Dealership
9 Assess Quality 9 Early warning 9 Identify Issues
Plants
9 Plant Quality
Financial
9 Profitability 9 Reserve Analysis 9 Liability
Vehicle Sold
Supplier - WWP
9 Supplier Quality 9 Cost recovery 9 Parts analysis
Government Requirements
9 TREAD reporting 9 Safety analysis 9 Early warning
SAPPHIRE 08 OR3364
GSSM Architecture
SAPPHIRE 08 OR3364
Architecture Overview
Patrick Lyons IBM Executive Architect – GM GWM Project Team
SAPPHIRE 08 OR3364
Global Warranty Processes
Key Uses Cases: • Process a Warranty Transaction submitted by a Service Agent (Dealer)
– Claim Transactions – Customer Pay Transactions – New Vehicle Prep Transactions
• Return a part for inspection • Analyze Warranty Operations
– Daily operations: approve exceptions, pre-authorize, answer questions – Ongoing analysis: identify trends, ensure process adherence – Set processing rules: transaction types allowed, operation and part limits
• View Vehicle History
– – – – Vehicle description and build information Vehicle warranties with time and distance ranges Field Actions (recalls) Service History
• Provide Warranty Transaction data to Product Quality processes
SAPPHIRE 08 OR3364
Global Warranty Architecture Drivers
Key Architecture Requirements: • Support 100 million vehicles • Support 22,000 dealers across 71 countries • Accept transactions through three different channels:
– Batch file submitted from a Dealer Management System (DMS) – Interactive Web Service request from a DMS – Web application accessible through the GM dealer portal (Global Connect)
• Process a warranty transaction in 4-5 seconds, possibly 10-15 seconds for very complex transactions • Process up to 300,000 warranty transactions in a day • Respond to 2 million vehicle inquiries a day with a target response of 2 seconds • Support GM field staff that have the option of working in an offline mode (no network connectivity) • 24 hours a day, 7 days a week except for a weekly 6 hour maint window • SOX Compliance • Integrate to GM infrastructure and legacy systems
SAPPHIRE 08 OR3364
GWM System Context
Service Agent Interface -Service Agent Interface SAI: Web application SAI: Web application through the GM Dealer through the GM Dealer Portal (Global Connect) Portal (Global Connect) •Submit claims Contracts •Submit claims Contracts
Vehicle Vehicle Build Build
Dealer Dealer Mgmt Mgmt Systems Systems
SPOBARS MIC WM Toolkit: Provides Fleet SPOBARS MIC WM Toolkit: Provides vehicle history Fleet •View AC Delco •View vehicle history Service warranty admin. Capability Systems AC Delcowarranty admin. Service Capability Systems
Parts reports Parts •Displays •Displays reports •Manages parts return •Manages parts return •Manages service agent SAP ERP •Manages service agent SAP ERP contact contact Financials for
Financials for Dealer Payment Dealer Payment
Vehicle Vehicle Invoice Invoice
GWM (Global Warranty System)
SAI
Reporting, Analysis and Administration Reporting
Retail Retail Sales Sales
SAP ECC 5.0
Labor and Labor and Warranty Master Warranty Master Information Information
GMLID GMLID
WM Analyst
WM Toolkit
SAP ECC: SAP ECC: The heart of the GWM system The heart of the GWM system Recall • •Process warranty transactions. Recall Process warranty transactions. Campaign Campaign • •Retains 22 year’s worth of Retains year’s worth of transactional data Chevrolet Road transactional data Chevrolet Road Service (External • •Maintains 10 years of global Service (External Maintains 10 years of global System) master data (Vehicles, parts, master data (Vehicles, parts,System) warranty, etc) warranty, etc)
Customer Customer Satisfaction Satisfaction Survey Survey
Service Agent // Service Agent WM Analyst: Complex Supplier // Parts WM Analyst: Complex Supplier Parts warranty operations Information warranty operations Information analytics. Monthly analytics. Monthly back-end processing, CARD back-end processing, CARD delivered through WM Product Quality delivered through WM Product Quality Toolkit Data Warehouse DataToolkit Warehouse
SAP SAPR/3 R/3
SAPPHIRE 08 OR3364
GWM Logical Architecture
Warranty Ops
SAP client
Service Agents
DMS Batch DMS Interactive Web Interactive
GM Field Users / Corporate
Online Offline
Oracle Mobile Client WM Toolkit App
Local DB
Internet
Intranet/VPN
Global Exchange
Global Connect / Service Workbench
VSP
Dlr LDAP
Socrates
AWS
GPLD
BEA WebLogic
BEA WebLogic
Service Agent Interface
WM Toolkit
Cognos ReportNet
WM Toolkit Offline Sync (Oracle Mobile Server)
SAP ECC 5.0 / DIMP 5.0
SeeBeyond Inbound
GWM Repository
SAP Web AS 6.40
Veh / Part Inquiry Reporting Content
IS-AUTO VMS
FI/CO WTY MM SD
Trans Master DB
Outbound
Data Stage
WM Analyst (MVS)
SAP V4.x
SAP XI
CARD 3.0
Sabrix
SAPPHIRE 08 OR3364
GWM and SAP Functionalities
SAP Warranty Management ¾ Automatic claim processing ¾ Rule-based checks ¾ Automatic Pricing and Account determination ¾ Numerous actions ¾ Interface with Claimant/Reimburser ¾ Mass Processing of Claims
INPUT to SAP ¾ Master Warranty ¾ Customer Master ¾ Vendor Master ¾ Material Master ¾ Processing Rules ¾ Price Information ¾ Vehicles ¾ Warranty Transactions
SAP ECC 5.0/DIMP
Functionalities
Warranty VMS
¾Claim details
GWM Repository
MM
FI SD
CO
OUTPUT from SAP ¾ Warranty Transaction Results ¾ Vehicle Field Action Status ¾ Financial Postings
FI: Finance CO: Controlling SD: Sales and Distribution MM: Materials Management VMS: Vehicle Mgmt System
SAPPHIRE 08 OR3364
SAP Functionalities: Overview
Master Data – Material Master (MM)
Information on all materials that GM produces, stores, and sells. It is GM’s central source for retrieving material-specific data. Material Master records for GWM consist of: ? Parts ? Vehicles Ex: Merchandising Model Number ? Services (Net Items) ? Number Ranges
Master Data – Sales & Distribution (SD)
Information on customer (Service Agent) and pricing records for GWM consist of: ? Customer Master Ex: Name, address, sales area data, warranty control settings ? Customer Hierarchy Logically groups Service Agents for reporting and financial purposes ? Pricing Predefined system procedures used to calculate material and labor prices
VMS- Vehicle Management System
Maintains Vehicle information, including: ? VMS Vehicle Master ? VMS Vehicle Creation ? VMS Vehicle Status Part of DIMP – Discrete Industries Mill Products (DIMP) Solution
Finance – Controlling (FI-CO)
Information on Financials, including: ? General Ledger reports ? Profit Center reports ? Accounts Receivable reports
WTY – Process Transaction
Provides the capability to process a claim transaction using the action matrix and the rules defined in VSR (Validation/Substitution Rules)
Master Data Labor (Custom)
Stores Labor Operation data that is received from an external system (GMLID). This labor information is used during claim processing
WTY - Rules (VSR)
Provides the capability to manually turn GWM rules on and off in SAP. Also provides the ability for syntax checks for data consistency
WTY - Field Actions
Provides the capability to create Field Actions in SAP, including (but not limited to): ? Creating Field Actions ? Assigning Field Actions to a VIN ? Scheduling the release of Field Actions
SAPPHIRE 08 OR3364
Dealer Integration Strategy
GWM offers multiple warranty transaction submission “paths,” each with its own benefits
DMS -- Batch
DSP Focus
DMS Online
• Use your own familiar DMS screens • Batch preparation and submission processed nightly
• Use your own familiar DMS screens • More real-time functionality than the DMS FTP Batch
Global Warranty Management System
DSP – Dealer Service Provider DMS – Dealer Management System
Web Interactive (Online)
• Quicker feedback on whether a transaction is correct • Perfect for Service Agents using paper Job Cards (ROs)
SAPPHIRE 08 OR3364
GWM DMS Interactive Architecture
*STAR – Standards Technology Automotive Retail
SAPPHIRE 08 OR3364
GWM DMS Batch – GM Exchange Architecture
SAPPHIRE 08 OR3364
Web – SAP Integration Architecture
The front end contains Business Services that use Java Connector Objects (JCO) for SAP ECC integration
SAPPHIRE 08 OR3364
SAI Overview
Field Agents will access a similar screen
Service Writers can access vehicle history and record information while talking with the customer
Warranty Administrators can submit warranty transactions and correct rejected transactions
Service Agents can easily view Parts Return information
Service Agents can view the same Warranty reports about its dealership that Field Agents access
Service Agents can access detailed Parts Return information, including requests and status, as well as print shipping labels
SAPPHIRE 08 OR3364
WM Toolkit Overview
WM WMToolkit: Toolkit
rovides ProvidesWarranty Warranty Administration Capability Administration Capability •Displays •DisplaysReports Reports •Manages •ManagesParts PartsReturn Return •Manages •ManagesService ServiceAgent Agent Contact ContactSAPPHIRE 08 OR3364
Challenges
• Being one of GSSM’s early global systems initiatives • Additional effort required to work with inter-dependent systems that were not yet global. (e.g., Dealer Portal, Service Parts, Vehicle Information) • In many cases GWM pressure accelerated globalization plans for these other systems. In other cases legacy specific interfaces were built • Developing a single warranty process that works for the globe • Thirteen existing processes combined into one • Legal and regulatory requirements • Emphasize global input during process definition • Language, currency, hours of operation • Volume • 22,000 GM Dealers worldwide • 100 Million vehicles in scope between warranty, service contracts, customer pay transactions, and field actions • 2 Million vehicle history inquiries a day
SAPPHIRE 08 OR3364
Deployment Overview
John Wyatt GM IS&S – Program Manager
SAPPHIRE 08 OR3364
GWM Global Deployment: 2006-2010 Release Schedule
2006 Core - Pilot 2007 Full Functionality 2008 2009 2010
AP
• Japan • GM Korea • India • Thailand • GM China • Hong Kong • Indonesia • Singapore • Philippines • Taiwan
US / Canada
• US • GMCL
(includes SAAB and Saturn)
Europe
• GM Europe, SAAB
(LAAM, AP and Europe)
LAAM
• Brazil
LAAM
• Brazil
• Chevy Europe • IPC (NEWS)
Saturn
• Saturn US
• IPC • MIC • Fleet Commercial • AC Delco • SAAB – US
LAAM
• Egypt* • South Africa • SAAB
LAAM
• • • • • Chile Argentina Ecuador Venezuela Colombia
GM Europe Pilot
To be conf by GME: • Central Eastern Europe
(including SAAB, Opel, Chevy Europe)
AP
• Australia • New Zealand • SAAB • SGM
Mexico
• Mexico • GMIS
GMDAT Korea SGM Wuling
SAPPHIRE 08 OR3364
GWM Tentative Deployment Approach
Release 4 (Technical Go-Live October 2007 / User Roll-Out November – January 2008) • Mexico, GMIS – November 12th • Saturn US – December 3rd • LAAM: Chile, Argentina, Ecuador, Venezuela, Colombia – January 14th Release 5 (Technical Go-Live July 2008) • Japan, GM Korea, India, Thailand, GM China, Hong Kong, Indonesia, Singapore, Philippines, Taiwan Release 6 (Technical Go-Live January 2009) • United States: Fleet Commercial, Saab, ACDelco, MIC • Canada: GM (including Saturn, Saab) ACDelco, MIC, Fleet Commercial • IPC Release 7 (Technical Go-Live July 2009) • GM Europe Pilot ~ To be confirmed by GME: – Central Eastern Europe (including SAAB, Opel, Chevy Europe) • GMDAT Korea (leverage interfaces / feeds for Chevy Europe) • SGM Wuling Release 8 (Technical Go-Live January 2010) • GM Europe, SAAB (LAAM, AP and Europe), Chevy Europe, IPC (NEWS) • SGM Release 9 (Technical Go-Live July 2010) • South Africa • Egypt* • Australia • New Zealand
SAPPHIRE 08 OR3364
Release 6 NA IPC Country Scope
Country ALGERIA AMERICAN SAMOA ANDORRA ANGOLA AUSTRIA BELGIUM BHARAIN BULGARIA CAPE VERDE CYPRUS CZECH REPUBLIC DENMARK EGYPT ESTONIA ETHIOPIA FINLAND FRANCE FRENCH GUIANA FRENCH POLYNESIA GERMANY GREECE GUADALOUPE GUAM HUNGARY Country IRAN IRAQ IRELAND ISRAEL ITALY JAPAN JORDAN KOREA KUWAIT LATVIA LEBANON LIBYA LUXEMBOURG MALTA MAURITIUS MONGOLIA MOROCCO NETHERLANDS NEW CALEDONIA NIGERIA NORWAY OMAN POLAND PORTUGAL Country QATAR ROMANIA RUSSIA SAUDI ARABIA SENEGAL SLOVAKIA SLOVENIA SOUTH AFRICA SPAIN SWEDEN SWITZERLAND SYRIA TAHITI TUNISIA U.S.A. UKRAINE UNITED ARAB EMIRATES UNITED KINGDOM VANUATU WW - WORLD WIDE YEMEN
SAPPHIRE 08 OR3364
GWM Benefits (by User Group)
Home Offices
• Faster processing of warranty transactions • Validation and analysis of all parts instead of only “Failed Part” • Ability to require service agent to attach supporting documents or picture • Global common process
Quality & Reliability Engineers
• More rapid problem resolution • Text field for customer complaint, cause, and correction, instead of just codes • Improved and faster process for “parts return” • Receive causal part and all replaced parts
Call Center
• Text fields for customer complaint, cause, and correction, instead of just codes • Electronic access to Diagnostic codes
GWM
• Earlier intervention for potential buybacks • Fast and accurate process to approve warranty transactions • Warranty administration tools enable customizing empowerment levels based on Service Agent performance, including Labor Operation restriction at Service Agent level
GM Field Agents
Service Agent
• Quicker payment decisions • Faster resolution of rejected transactions • Ability to analyze warranty business using the same tools GM uses • All GM brands handled through the same system in the same way
Finance
• Faster GL Processing • More thorough and flexible financial reports are available • Easy to audit with better traceability to transaction documents
SAPPHIRE 08 OR3364
GWM Release 6 Scope Boundaries
Estimate Metrics
Location: Primary Location – GLTC Flint, Michigan, US Release 6 Business Units: North America GM Corporate: AC Delco, VSSM Car, VSSM Fleet, US SAAB, MIC Canada: Car, SAAB, MIC, ACDelco International Product Center: 45 Countries Technical Requirements: ? Conversions and Interfaces ? Enhancements ? Contingency Minor Enhancements ? R6 DMS Integration:
•25 US DMS •10 Canadian DMS •1 IPC DMS - Kerridge to support Kroymans and IPC
Legal and Regulatory Requirements within the above boundary conditions ? Architectural scaling of application to meet R6 volumes ? Redesign of Vehicle characteristics to support Release 6 data volume ? Redesign of Material Characteristics to support Release 6 data volume ? Update GWM – Global Playbook to current file structures/field mapping ? Sabrix Tax Integration specific to GWM excluding SAP functionality gaps and hardware or software support ? Build maintenance screens for Z-tables with controls and help ? Refine claims processing action matrix. Items to improve:
•Performance – reduction of database commits •Maintainability – Simplify action matrix where appropriate •Improve error handling
SAPPHIRE 08 OR3364
Deployment Development Priorities
• • • •
Conversions and Interfaces Legal and Regulatory Requirements Architectural scaling of application to meet volumes Additional Object Candidates from list
SAPPHIRE 08 OR3364
Deployment Team Structure (Plan/Define)
GWM Global Team US Release 6 Canada
IPC
Global Playbook Release Focused
SAPPHIRE 08 OR3364
32
Project Phases
PLAYBOOK
DESIGN
BUILD
TEST
DEPLOY
Group 1 Governance Board Approved Changes (if any) identified in the Locales
Locale -specific Interfaces and Conversions
Central team implements and deploys updates
Update Specifications Code, Unit Test Regression Test
Group/Local UAT
…
Group N Governance Board Approved Changes (if any) identified in the Locales
Global UAT
Performance Test per instance
Deploy Deploy
Block Pt
Group/Local UAT Locale -specific Interfaces and Conversions Break/Fix identified by Sustain
SAPPHIRE 08 OR3364
33
Lessons Learned
Key Lessons Learned Early involvement of Business Units is critical Data is on the critical path project timeline Project and Program Management process need to be clearly defined and socialized Internationalization is complex In a global system environment, any changes to the system may have downstream impact DMS requires significant communication and coordination activities Testing needs to be an integrated activity
Actions Implemented
?Web conferences are held regularly to ensure the core team understands the BU processes and data and so the BU understands the expectations and requirements ?Business is involved in all aspects of the testing and cutover activities to ensure that technical activities coincide with business validation ?To support effective data preparation, detailed templates and Net Meetings held with local BUs to ensure correct understand to complete correctly the first time ?Data loads begin as soon as possible
project leaders and teams clearly understand expectations and regular tracking meetings held weekly to monitor progress and communicate
?Dashboards ?Emphasize global objectives for standardization of technology and processes in communications and decisions making processes ?Identify core team members focused on translation activities and resources ?Regression ?Production
?Ensure
testing is required changes are communicated to key stakeholders by the sustain team ?Business decisions need to be made in alignment with Global Direction
?Regular communications (conference calls and emails) are used to address questions/concerns ?Specifications are provided with significant lead time for DSPs to respond and resolve questions
functional teams (including the Business Units) provide input to testing scripts Tracker meetings are held twice daily during UAT for cross functional teams to communicate and address issues/defects
?Mercury
?Cross
*Note: is aa sample of some key lessons learned and actions implemented. comprehensive Lessons Learned list *Note: This This is sample of some key lessons learned and actions implemented. AA comprehensive Lessons Learned list is developed by all teams for each deployment and is incorporated in future project plans for continuous improvement. is developed by all teams for each deployment and is incorporated in future project plans for continuous improvement.
SAPPHIRE 08 OR3364
Data-Specific Lessons from Previous Releases
?
Statement of Work – make sure that legacy system vendor is under contract to supply data loads for analysis phase Representation, Support, and Accountability from all stakeholders is necessary for Data Analysis and Cleansing Activities Attention from all stakeholders on the results discovered during data profiling. Positive and/or negative effects will surface during testing phases if the Data Analysis and Cleansing Activities are not taken seriously Extracts provided for Data Analysis and Cleansing should be in the formats as specified in Functional Specifications Estimating data loads for production as well as delta loads so that we can continue reduce the time needed away from production users to do the conversion runs Cut Over PMO with BU involvement for data loads
SAPPHIRE 08 OR3364
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Q&A
Questions?
SAPPHIRE 08 OR3364
Thank you!
SAPPHIRE 08 OR3364
Access SAPPHIRE ’08 Orlando Online
Watch video recordings, download audio files in MP3 format, and view the slides from all keynotes and presentation sessions.
www.sap.com/us/sapphire
doc_935674370.pdf