1. Copyright © 2003 Americas’ SAP Users’ Group How Intel Learned APO Joan O’Connor Intel Supply Applications Training Manager May 20,2003

2. Objective  Share how Intel Corporation used the concept of “boot camp” training to proliferate the knowledge of modeling in SAP’s APO-SNP module.  Focus of this presentation will be on the training of APO  No technical setup beyond training tools will be discussed

3. Agenda  Introduction – “The Problem”  Bootcamp  History  Basic Background on APO  Master Data  The Model  Solving the Solver  Assessments  Summary

4. Introduction  Our 1st implementation of APO was in Sept., 1999  The training went well without a hitch Only 2 modelers (who were involved with testing) End-user impact was only to read reports Modelers handled all master data and troubleshooting  Our 2nd implementation was due in Jan., 2000  Four trainers involved in writing training material  Trainers had no mastery of software  Relied on Business Analysts from the project to glean content for training material Introduction Bootcamp Assessments Summary

5. Introduction Bootcamp Assessments Summary The Problem  For the 2nd implementation, a larger product line was chosen  Increase in modelers (not all involved in testing)  Target audience was now overseas  Few Software Experts Across Project  Core Business Analyst team worked twelve hour days to setup and trouble-shoot model  Of 30+ people on the project, only 5 had software mastery  Training team unable to get subject matter experts’ time to develop content  Testing team unable to meet testing benchmarks  Implementation was cancelled

6. The Training Problem  The software was not intuitive  Trainers became confused on the master data setup  Relied on copy of production model for training purposes  Trainers unable to explain outcome of solver  SAP training classes were too generic Introduction Bootcamp Assessments Summary

7. Bootcamp - History  Post-mortem zeroed in on main crux of problem – the entire project team had limited software knowledge of APO  Hired SAP consultant to lead trainers in creating a “Bootcamp” class  Consultant led team, suggested framework for the class master data instruction followed by modeling and troubleshooting daily summary hour where students recapped information class to last 4 weeks strict adherence to schedule certification test at the end of the course Introduction Bootcamp Assessments Summary

8. Bootcamp – History (cont’d)  SAP Consultant was our contact to software developers  He acted as conduit to SAP experts when we had questions  Sometimes there was a delay in response from the SAP folks which encouraged our trainers to master the software on their own  Key learning: Trainers assigned to bootcamp class creation had to have strong analytical skills  Of the 4 original trainers on 2nd implementation project, only one worked on bootcamp. One other was chosen for her analytical ability and a third was chosen for manufacturing expertise. Introduction Bootcamp Assessments Summary

9. Structure of the Class  Prerequisite web course on introduction to APO  Prerequisite web course on master data  Master Data Bootcamp Class  Create models  Run solver to test Master Data setup  Advanced Modeling Bootcamp Class  Different business scenarios  Exploration of Solver Introduction Bootcamp Assessments Summary

10. Basic Background on APO  APO is an analysis program used to determine the best constrained based schedule for our factories  It uses demand, parameters, capacity and a solver to project the optimum supply schedule APO Customer Order Supplier Capacity and other parameters from Factories Marketing Demand Supply Schedule Introduction Bootcamp Assessments Summary

11. 1) Need for Master Data  APO needs the supply chain to be modeled in order to solve. To set up this model, master data had to be entered.  Some master data like locations were a one time setup  Almost everything else required weekly changes Location PPM Resource Product Master Data included factory location, names of products, resource capacity and Production Process Models that link all the aforementioned together. Introduction Bootcamp Assessments Summary

12. Teaching Master Data  We broke up the master data training into three modules:  Products  Resources  Production Process Model (PPM)  To save time, we created a web course that explained the fundamentals of setting up each of these master data items and made the course a prerequisite. Introduction Bootcamp Assessments Summary

13. Master Data as Prerequisite  Using our own Learning Management System, we could keep track of who took the class and whether or not they finished the web course.  Only students who completed the prerequisite could attend bootcamp.  Bootcamp was a hands on class where we reinforced what the student learned in the web course.  The students created their own models by entering all the master data Introduction Bootcamp Assessments Summary

14. 2) The Model  The trainers tried to teach the students how to model using the production model of the 2nd implementation.  This supply chain required master data setup of at least 400 PPM’s. This was the production model for the 2 nd implementation. A11 T33 A06 A23T93 T66 T31 A13E-VSL WMYA CR01 WMNB E-VFAB VDL 866 850 800 866 850 800 866 850 800 866 850 800 Introduction Bootcamp Assessments Summary

15. Training the Model  It is essential to keep the model simple when introducing the topic  This model required 4 PPM’s  It still allowed us to compare effects on schedule due to capacity issues or transportation priorities  It also allowed us to show effects of down binning This is the model we used for bootcamp. Fab 1 Fab 2 AssyTest 866 850 800 VDL Introduction Bootcamp Assessments Summary

16. 3) The Solver  Before the bootcamp class, the trainers could not explain the outcome of the solver  This was key to acceptance of the software by the end- user  Our current business practices require us to reconcile and track the fluctuations in scheduling. To explain that the solver was a “black box” was considered unacceptable. Introduction Bootcamp Assessments Summary

17. Training the Solver  Ideally the solver class was given a few weeks after the student had taken the master data class  The solver class was made up business scenarios involving the changes in demand, resource capacity and transportation priorities. Introduction Bootcamp Assessments Summary

18. Using Scenarios with the Solver  We explained how the solver worked then had the student predict the outcome before we ran the solver: Introduction Bootcamp Assessments Summary

19. Explain the Terminology  SAP used terminology in their Planning Tables that was not familiar to our users  We spent time defining the terminology and created a cheat sheet for their use. Introduction Bootcamp Assessments Summary

20. Assessments  The students fulfilled the master data prerequisite by passing a final quiz on the web course.  The student could take the course and the quiz as many times as they wanted but we insisted on a passing grade as the ticket in. Introduction Bootcamp Assessments Summary

21. Review by Assessment  For the advanced modeling class, we quizzed the students at the start of the class to review the navigation  The students filled out a worksheet and checked their own answers. If they had errors, they received help or were advised to retake the class at a later date.  The last scenario was done at their desks following the last day of the class. We ran a phone conference follow up session to check results. Introduction Bootcamp Assessments Summary

22.  In the first year we introduced APO Bootcamp, we taught over 300 students. This resulted in a saving of over $1 mil. in the first year of this program  We also customized the course using real product names, resources and locations common to Intel which made it easier for the students. Introduction Bootcamp Assessments Summary

23. Key Learning  Trainers must be analytical  Some trainers will not be able to teach this class, regardless of presentation skills  Use a simple model  Teach the concepts using a simple model with minimal master data requirements  Spend a lot of time on the Solver  Use scenarios specific to your company or industry  Explain the language of solver  Have students predict outcome before solving Introduction Bootcamp Assessments Summary

24. Copyright © 2003 Americas’ SAP Users’ Group Thank you for attending! Please remember to complete and return your evaluation form following this session. Session Code: 4806