Overview of Oracle Mobile Supply Chain Applications and Oracle Warehouse Management

Glenn Johnson Sales Consultant

August 27, 2001

e-Supply Chain Management

Supply Chain Logistics

Finance & HR

Customers
Service

Manufacturing

e-Supply Chain

Marketing & Sales

Internet Procurement Adv. Planning & Scheduling

Configuration & Order Mgmt.

Suppliers

e-Supply Chain Logistics

Supply Chain Logistics
Track & Trace Transportation Planning
iLoad Tendering

Velocity Real-time is the yardstick execution for performance systems (Mobile) Connectivity Internal throughout integration, supply chain is the external collaboration end-game Flexibility Configurable, equals Opportunity Open Service Information sets companies and apart from competition Adaptation

Reverse Logistics

Supply Chain Logistics

Inbound Logistics

SC Collaboration/ EDI

Value Added Services Outbound Logistics

Source: Report on Supply Chain Management, AMR Research Inc August 1999

Why Mobile Execution Systems ?

Coventional Systems
Record the Results

Execution Systems
Cause the Results

Eliminates: Latency, Redundancy, Inaccuracy

Delivers: Accuracy, Currancy, Efficiency Requires: Mobility, Usability, Reliability

Mobile (RF) systems with Auto-id (Barcoding)

Introducing Oracle Mobile Transaction Server

A Forms Server for industrial (barcode) devices connected via an RF LAN
Standards based

802.11, Telnet over TCP/IP 25+ devices certified from Symbol, Intermec and LXE

Device independent

Scalable

multiple, parallel servers

Telnet Mirroring capability

Supportable

Introducing Oracle Mobile Applications Framework

A development framework designed to create UIs suitable for these devices
Java based Device independent Intuitive UI Field level validation DFIs and 2D barcodes Multiple languages Extensible

Oracle Mobile Applications Architecture

Mobile Transaction Server RF Device RF Base Station (Router)

Application / Data Base

LAN or WAN
Telnet SQL Net

Standard Desktop Interface

Browser UI
Browser UI Browser UI Browser UI Browser UI

Manufacturing Quality Forms Server

Inventory
Shipping Receivin g

E-Business Suite

Introducing Oracle Mobile Supply Chain Applications

Mobile support for existing desktop applications
Mobile Browser UI UI
Mobile Browser UI UI Mobile Browser UI UI Mobile Browser UI UI Mobile Browser UI UI

Manufacturing Quality Mobile Forms Server Server

Inventory
Shipping Receivin g

E-Business Suite

Oracle MSCA

Oracle MSCA Functionality

Mobile Receiving

POs, transfers & returns, Cross-dock alerts, .

Quality collections, View specifications, Transfers, Misc. issues & receipts, Cycle counts, ... Issues, Moves, Completions, Scrap, Kanban, Ship confirm, Print shipping documents, ...

Mobile Quality

Mobile Inventory

Mobile Manufacturing

Mobile Shipping

Oracle Supply Chain Logistics Customer Advisory Board

Lucent Technologies Millipore Corporation Abbott Laboratories Motorola GE Medical Devices Timex Inc. Seagate Technologies Honeywell Penske Logistics Nikon LXE Sheldahl Teradyne Xilinx Exabyte Unisys Michelin

Traditional Bolt-on WMS Solutions

ERP System
ERP Schema ERP Techstack ERP Hardware ERP Vendor EPG Support ERP Release

Complex integration
Items, Customer, Vendors, ...

Bolt-on WMS

(EXE, Optum, HK, ) WMS Schema POs, Orders, Deliveries, ... WMS Techstack WMS Hardware Receipts, Shipments, Adjustments, ... WMS Vendor WMS Support Physical, Replenishment, ... WMS Release

Huge and ongoing integration costs Operational complexity Business process limitations

Introducing Oracle Warehouse Management

e-Fulfillment Warehouse Management delivered as part of the E-Business Suite Built-in, not Bolt-on Faster, Easier Implementation Strong WMS & Logistics Functionality Lower Cost of Ownership an Integral part of Oracles E-Business solution

Current, Fully Integrated Solution

E-Business Suite
Receiving
Order Mgt Manuf.

Inspection

Receipts

Pick Release

Issues

Completions

Quality
Putaway

Inventory

Costing

Returns

Shipments

Shipping

Current, Fully Integrated Solution - with Enhanced Execution Support

E-Business Suite
Receiving
Order Mgt Manuf.

Inspection

Receipts

Pick Release

Issues

Completions

Quality
Putaway

Inventory

Costing

Returns

Shipments

Oracle WMS

Shipping

but does your system let me determine

Where should I pick this order line from? Where should I put this receipt away to? Who is best qualified to perform this activity? What container should I use to pack this delivery? What is the best way to organize my picking wave? What label does this customer want on this delivery? How can I automatically adjust this all day-to-day, warehouse-to-warehouse, customer-to-customer, ?

and how can I do this without customization?

WMS Rules Engine

Allows you to control Oracle WMS operations via flexible, user defined business rules
Customization without coding Any data combination may be used Designed for business users, not programmers Visible, Upgradable Seeded examples, Testing and debug modes Used throughout Oracle WMS

Flexibility with a low cost of ownership

Directed Picking and Putaway

Suggest optimal locators for picking & putaway via user defined business rules in Rules Engine
Optimizes the use of storage locations Minimizes inventory fragmentation Controls hazmat and co-mingling restrictions Reduces obsolescence

Defining Rules - Restrictions

20

Automated Task Dispatching

Assign tasks to the optimal, qualified resource and send them directly to that users RF device
Move Orders Line 1 Line 2 Line 3 ... Task Queue Task 1 Task 2 Task 3 ...

Eliminates manual, parallel systems Correctly matches skills and equipment to tasks Minimizes travel time and dead-heading

LPNs - License Plate Numbers

A mobile locator used to identify and transact against any set of inventory

=
Inventory

|| || | ||| ||| ||
A23595P

Supports infinite levels of nesting Perform mass, complex operations with a single scan Improves efficiency, accuracy and tracking Fully integrated with ASNs

LPN Content Visibility

Inbound Flow
ASN received ASN not received

Oracle pre-Packs LPN based on ASN Receive by LPN or ASN

Receive by PO

Inspect Container
Inventory

Pack Container into LPN

Warehouse

Directed delivery to Inventory locations or Cross-dock location

Inbound Flow
Login & select Org Receive PO via LPN Drop to Receiving area Putaway to Bulk Inquiry by LPN

Task Sorting and Sequencing

Grouping/Splitting of tasks by a variety of Pick Methodologies to optimize overall process
Cluster pick, by Order, by Zone, Bulk, Paperbased, Pick and Pass/Label Picking, User defined Will merge tasks for Bulk, Split tasks for capacity Minimizes pickng path

Cartonization
Automate packing container selection based on the characteristics of the item and shipment

Automates selection of the correct container Minimizes the number of containers used

Cartonization

Task Exceptions
Lauch corrective action workflows for any task not completed as expected
Cycle Count Discrepancy Enter Reason Code Workflow Customer Service Quality inspection ...

Trigger corrective actions (counts, inspection, ) Increases inventory accuracy Assist in user performance tracking

Outbound Flow
Orders

Pick Release
Create Allocations

Drop material

Assign Task type

Cartonize Split/Merge tasks Queue Task Accept next task Load material

Outbound Flow
Login & Request tasks Specify current zone Accept next task (a pick) Perform pick from Bulk Enter Short-pick reason Drop to Staging area

Cost Groups
Represents accounting / ownership of an inventory balance, independently from location
Old Sub-Inventory New Sub-Inventory (Physical Zone)

Cost Group (Financial)

Reduces inventory fragmentation Permits and controls co-mingling of inventory Automatic assignment via the Rules Engine

Advanced Materials Management

Additional features designed to support complex inventory needs
Material Status

Lifecycle status of an Item instance (Serial) or Item lot e.g. Raw, Immature, Rework, Refurbished, Used, ... Can control which transactions are valid Additional to Item Type which is for whole product

Sub-lot support (split and merge) Lot and Serial Genealogy Lot and Serial Attributes

User definable, updateable, searchable, ...

WMS Control Board

A general purpose workbench for managing Oracle WMS status and activity
View pending workload across the organization Manage exceptions Review, reassign and reprioritize queued tasks Create new tasks Perform mass updates Display in tabular or graphical representation

WMS Control Board Task Detail

WMS Control Board Status by Employee

Compliance Labeling
The selection of the right label format, and then requesting that to print
Label selection performed by the Rules Engine Open interface (XML) to 3rd Party label

being tested with BarTender and Loftware

Flexible, Automated Open, Device independent

Automated Material Handling Equipment Integration

Open interfaces (XML) to dispatch tasks to ASRSs, Conveyors, etc.
Leverages existing Task Management capabilities

Tasks dispatched to equipment controller instead of RF gun

Open, Device independent

Value Added Services

Ability to perform light manufacturing within the Warehouse
Fully integrated with Discrete Manufacturing Kitting, dekitting, light assembly Mixed-mode manufacturing Multi-level bills-of-material

Key Oracle WMS Advantages

Integral Part of E-Business Suite Highly Flexible Strong Functionality

Lower Cost of Ownership

Product Release Timelines

Oracle MSCA

Available Now $2,995 per named user, 5 seat mimimum Available Now $6,995 per named user, 15 seat mimimum

Oracle WMS

Customers Implementing WMS

Agilent Live in the Spring

Qualcomm Live Feb 2002

Total WMS users 420 Receipts transactions per month 26000 Ship transaction per month 120000 Manufacturing jobs per month 70000 Number of Warehouses 5 Total WMS users 30 Receipts transactions per month 8000 Ship transaction per month 20000 Manufacturing jobs per month Number of Warehouses 2

Total WMS users 15 Receipts transactions per month 676 Ship transaction per month 1317 Manufacturing jobs per month 556 Number of Warehouses 3

Hafele Live Nov 2001

Analysts Comments
The impact of Oracle's descent into WMS is significant as the company gains a competitive advantage over traditional WMS vendors in two distinct areas -- integration and supply chain execution. The fact that Oracle can provide complete integration between its ERP, E-Business suite, and WMS products puts best-of-breed competitors at a severe disadvantage. Oracle has designed the solution as extremely flexible for the endCurrentanalysis.com user to modify. , J.Jenkins. July 19, 2001

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