Based on discussions with industry leaders and domain experts, the course explains the topic of constructing a compelling business plan with a defendable ROI business justification for MOM Solutions. Exchange ideas, ask questions, and get answers! Understand how other companies attack the issue of justifying plant and corporate investments in MOM projects and learn what tools and processes help.
Explained are how to quantify the form of operations process, its inefficiencies, its solution alternatives/compromises, benefits, and plant migration path. Also discussed are risk management and mitigation strategies, solution competition (internal and external), impact to decision makers, business drivers, and the overall capital approval process.

The session concludes with explicit examples of successful justifications. The audience will be armed to understand and address the competition (internal and external) for scarce resources that exists in today’s manufacturers.

End user, vendor and integrator need to work together to build the flexible Smart Manufacturing manufacturing plant to enable the developing “pull” economy. Together, we need to justify the MOM solution to the business leaders as the technology for fast market response and even market creation. Together, quantify the inefficiencies, risks, rewards, migration path, alternative/compromises, competition (internal/external), decision makers, business drivers, and approval process, than it gets simple.

  • Discuss key business elements used to justify MES/MOM projects.
  • Identify the solution competition (internal and external), impact to decision makers, and business drivers.
  • Identify the overall capital approval process and the basic financials for the IT business justification.
  • Describe the ROI benefits equations and risk mitigation strategies.
  • Describe the difference between the macro and detailed ROI approaches.
  • Understand the role of strategic intangible benefits.
  • Introduction
  • Justification Components
  • Basic Financials
  • ROI Modeling
    • Macro ROI Approach
    • Detailed ROI Approach
  • Examples
  • Conclusions and Wrap-Up

Test and Exercises:
1. In-Course Formative Assessment Test: 10 Questions, Open notes in discussion, Answers recorded in Test Form
2. Out-Course Summative Assessment Test: 10 Questions, Open notes in self study, Answers recorded in Test Form

Course Prerequisites:
None

Reference Materials:
MESA Guidebook: Lean Manufacturing Strategic Initiative Guidebook: Second Edition