16-20 November 2020

COVID Recovery,
Digital Maturity & the
Service Lifecycle Journey
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© Capgemini 2019. All rights reserved
INTRODUCTION
 Executive Summary Exemplary Engagements
Michael Wm. Denis brings thirty-two years of  Aerospace Airframe OEM – Lead Architect for
experience in industrial services industries with Maintenance, Repair & Overhaul and Digital
significant P&L responsibility in consulting, M&A Transformation strategies, business & operating
strategy, software development & delivery and models, capability & technology enablement
performance-based outsourcing. and value proposition analysis.
Coined the term Service Lifecycle Management  Defense Aeronautics OEM – Defined the clients
(SLM) as a business and technological capability Model Based Manufacturing / Model Based
in 2004, following years of field R&D and the co- Sustainment capability model, Digital Thread /
development of eight patents. Digital Twin architecture and delivery strategy.
 Content Software Vendor - Led the product
Deep operational experience in Autonomics and
development of a SaaS based Mobility Content
Sense & Respond Logistics, military terms for
and Compliance Management (MCCM) solution
Operational Technology (OT) and the Industrial
from business case to solution development, to
Internet of Things (IIoT).
pricing & marketing, to first implementation.
Focused on delivering performance and  Asia Airline & Engineering Company: Led a
subscription based XaaS solutions and servitized team called in to recover a five year failing SAP
business models to organizations seeking to implementation. Identified specific SAP
Michael Wm. Denis optimize profits of complex asset in capital
intensive, cash flow sensitive industries.
modules and custom code deficiencies and
created the risk mitigated recovery plan.
Principal, Aviation & Aerospace Author and columnist on business and technology  US Air Line Technical Operations: Multi-year
Capgemini America for Aviation Week, Aircraft Commerce, and ATE&M team member for the client’s “Next Generation
3475 Piedmont Rd NE magazines. MRO” process reengineering and technology
Atlanta, GA 30305 architecture initiative based on Best of Breed
+1 (678) 524-8289 MRO, ECM, SCP integrated to SAP backend.
[email protected]  UK Engine OEM: Lead consultant on the
Skills & Qualifications Service Innovation Strategy project for
Education  Gas Turbines Engineer, US Navy servitisation optimization focused to reduce
MS Decision Science, Robinson College, Georgia State University  Surface Warfare Officer, US Navy partner and competitor intermediation.
BS Nuclear Engineering, Georgia Institute of Technology  Service Lifecycle Management Architect  US Airline Mergers: Advised senior executive
 Enterprise Content Management Architect teams on two of the three largest airline
 Cloud Native Microservices Architect mergers to reach single operating certificate.
Capgemini Overview

ONE GROUP ONE TEAM ONE FOCUS

Group Revenue for 2019:
• Over 4,000 Dedicated A&D Personnel and
$20 billion 50 countries
Present in more than Multiple A&D Centers of Excellence Worldwide

North America 32% and more than 120 nationalities • ~€1B revenue per year in Aviation,
Aerospace & Defense
Rest of Europe 27%

France 21%
270,000+ people worldwide
• Broad and diverse client base:

UK & Ireland
Asia/Pacific & 8%
12%
working together as one team
Latin America

Recognized in 2020 as one of the World’s Most Ethical companies ® for the 8th year in a row
RECOVERY
COVID-19 impact on aviation & aerospace Capacity
V, U, and L recovery scenarios – four points:
Fear of Flying
Cost of Flying
Virtual Work
L Recovery

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Source: ©
JonCapgemini
Ostrower, The2019.
Air Current all rights
All rights reserved
reserved
COVID-19 impact on aviation & aerospace Supply Chain
V, U, and L recovery scenarios – four points:

First, aircraft and aeroengine OEMs and major

Tier 1 companies will shed noncore and
underperforming assets acquired or developed
over the last 20 years.

Second, we will see widespread failures and

some consolidation among smaller build-to-print
manufacturers, commonly known as Tier 3s

Third, there will be deleveraging of the significant

Tier 4 vertical integration plays enacted over the
last decade

Fourth, the cost of capital and access to capital

will differentiate winners from losers

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Source: Dr. Kevin Michaels, AeroDynamic
© Capgemini Advisory
2019. all rights
All rights reserved
reserved
M AT U R I T Y
E2E Product & Service Lifecycle Management Maturity
PLM&MOM Virtual: As Designed to As Manufactured SLM Physical: As Operated to As Maintained D/CX
S5000F
S5000F
Asset Performance Monitoring and Service / Product Feedback S2400/S2500
S2400/S2500
Product Design
& Engineering
SAE AS&QS
ISO 10303

SAE AMS
ISO 9000/140000
Manufacturing
Operations
Provisioning & Collaborative Planning & Purchasing Inventory, Supply Services Ops

Asset Service
Operations

Service Consumption & Passenger Experience Management

Contracting Supplies Forecasting Demand Warehousing & Distribution & Fin Optimization
Autonomic Logistics S2000M / SPEC2000 / DLMS

Service Lifecycle Performance Based AI/ML (CBR & NLP)

Biz Ops MPS Contract Optimization & Mgt Diagnosis & Prescription
Logistics Support Analysis (LSA) Ops Control Center
Integrated Logistics Support (ILS) Contract, SLA & Warranty Condition Prediction with
CAD MRP/CAM Management Failure & Causal Weighting
FME(C)A MEA/MRD FRACAS Quality QMS, Reliability Event, Incident & Case AirportOps CrewOps
RMS & Safety SMS Management
CAE APS/FCS RCM MTA LORA
Prognosis, Health & Sensor, Faults & Condition
Performance Mgt Monitoring
TechOps FltOps
MRBR LSAR S3000L
PLM MES
S4000P S5000F / ATA 2400 & 2500 Autonomic Decisioneering ATA 2300

S1000D / iSpec2200 mBOM MES Manufacturing Instructions sBOM, IPCs, Technical Manuals, Tasks, Forms & Records

Product Contracts & SLAs Regulatory Forms & Certifications Service Contracts & SLAs Content Lifecycle Management (CLM)

S6000T Human Capital Management (HCM)

Skills & Certs Training Dev LCMS LMS Talent Mgt HR Mgt
SCORM

SX001G / SX002D Data Glossary, Data Definitions, Data Schemas, Data Interoperability

Redesign Respond Monitor Sense IoT

The Digital Thread
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Source: Capgemini 2016 (© 2005 cc by sa SLM
© Capgemini Aero LLC)
2019. All rights
All rights reserved
reserved
Service Lifecycle Management Core Capabilities
Supply Chain & Logistics Capabilities Continuous Airworthiness, Engineering & Maintenance Program Management
Material & Repair Collaborative Planning,
Logical HW/SW Physical HW/SW Regulatory Compliance
Provisioning & Contract Mgt Forecasting & Replenishment
Configuration Management Configuration Management Management & Reporting

Multi-Echelon Service Parts Material Warehousing,

Maintenance Program EO / AD / SB Planning and Fleet / Asset Performance
Optimization Distribution & Transportation
Management Scheduling Management

Material & Repair Material & Repair Financial Time, Cycles and Conditions Maintenance Engineering & Program & Dispatch
Planning & Scheduling & Operational Optimization Monitoring Technical Support Reliability Analysis

Analytic & Autonomic Capabilities Maintenance, Repair & Overhaul – Planning, Scheduling & Execution
Long Range Visit Planning,
Performance Based Contract Prognostics, Health & Station Capability Planning, Shop Long Range
Scheduling
Optimization & Management Performance Management Staffing & Tooling Scheduling & Routing Mgt
& Slotting

Contract, SLA & Warranty AI/ML (CBR & NLP) Maintenance Operations Hangar Visit Production Shop Visit Production
Optimization & Management Diagnosis & Prescription Control Planning & Control Planning & Routing Control

Shop, GSE & Tooling

Aircraft & Component Predictive Analytics Line / Ramp Maintenance Hangar Maintenance
Maintenance, Calibration &
Reliability Analysis (Failures & Causal Weights) Execution Execution
Control

Quality Management System Event, Incident & Case

Human Capital Planning, Human Capital Finite Human Factors Reliability &
(QMS) Management
Training & Certification Capacity Scheduling Talent Innovation

Safety Management System Sensors & Faults Condition

(SMS) Monitoring Technical Manuals & Policies Task Cards, SB, AD & EO Legal & Regulatory Forms &
Content Management Content Management Records Management

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Source: Capgemini 2016 (© 2005 cc by sa SLM
© Capgemini Aero LLC)
2019. All rights
All rights reserved
reserved
Sales, Inventory & Operations Planning (SIOP) Maturity
Collaborative Planning,
Forecasting & Replenishment
Operators forecast, plan and

S C
schedule: asset operations, Material & Repair
Planning & Scheduling
maintenance, repairs,
overhauls, modifications, tasks Logical HW/SW
which in turn require supplies. Sales Customers Configuration Management

Operator
Collaborative Planning,
Physical HW/SW
CPFR Configuration Management

Forecasting & Maintenance Program

Deterministic Supply Management
Replenishment Scheduling Demand
EO / AD / SB Planning and
EO (AD, SB, Mod) Tasks Scheduling
Life Limited Tasks
Time, Cycles and Conditions
Stochastic Supply Demand Monitoring

P(C|NR)*P(NR|R)
where Shop Visit Production
R= Routine Tasks Planning & Routing Control
NR = Non-Routine Tasks
C = Components & Materiel Hangar Visit Production
Planning & Control

Manufacturing & Maintenance Operations

Control

Sustainment Operations Task Cards, SB, AD & EO

Task Content Management
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© Capgemini 2019. All rights reserved
Sales, Inventory & Operations Planning (SIOP) Maturity

S
Suppliers
I
Inventory
O
Operations
S
Sales
C
Customers
Supplier Operator
CPFR Collaborative Planning, CPFR

Three maturity levels of

Forecasting & Digital Threads
SIOP: Replenishment Scheduling are the critical technical
Internal synchronization capability that ensures
data transport, quality
Customer collaboration and standardization
Supplier collaboration across an enterprise and
to / from customers &
suppliers.

Manufacturing &
Sustainment Operations
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© Capgemini 2019. All rights reserved
Digital SLM Analytics Capability Maturity Model
Autonomic Asset
Performance
Advanced Operations Capabilities Optimization
Increasing Financial Value ($$$)

Advanced Supply Chain Capabilities Prognostic Asset Autonomic Logistics

Health Management
Autonomic
Service Resource
CBR Diagnostics & Execution (CR) operations is the
Task Prescription self-learning,
Digital Twins & Prognosis is the autonomous and
Task Prediction Service Resource prediction of likely
Planning (CP)
automatic decision
outcomes given a support & execution
Digital Thread & Service Resource Case Based diagnosis and capability - from the
Remote Condition Forecasting (CF) Reasoning diagnosis prescription. The point of operations
Monitoring
Predictive is an AI method that “health’ of an asset is through the entire
Maintenance uses learns “causality” of the delta of its service support
Condition monitoring
algorithms (TS, BA, failure modes and physical functional ecosystem - that
(remote or on board)
AI, …) on parametric degradation CMFP∂∆ condition CMFP∂∆ to simultaneously
is the capability to
capture structural data CMFP∂∆ to given a specific CMSP its logical or as- optimizes operation
and functional data forecast degradation to determine the designed conditions of an asset, as well
(parametric data, or failure and prescription options CMFL∂∆. Aircraft level as its revenue,
fault codes) and criticality (FMECA) of for various prognostic health is a profit, cost or
deliver it to central components in RCM operational outcomes function of installed economic
processing nodes or CBM programs (prognoses) components ΣCMSP performance, given
various trade offs
Increasing Operational Value (Actionable Time / Reliability / Operational Risk Reduction)
TS: Time Series; BA: Bayesian Analysis; AI: Artificial Intelligence; ML: Machine Learning; RCM: Reliability Centered Maintenance; CBM: Condition Based Maintenance; CBR: Case Based Reasoning; 13
CF: Collaborative Forecasting; CP: Collaborative Planning; CR: Collaborative Replenishment © Capgemini 2019. All rights reserved
JOURNEY
Digital Enterprise Service Lifecycle Management Transformation Journey

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© Capgemini 2019. All rights reserved
Digital Enterprise Service Lifecycle Management Transformation Journey

Without enhanced connections

across transport channels
(radio, satellite, internet, …)
and protocols, both basic
transactional operations and
advanced analytics are
negatively impinged.

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© Capgemini 2019. All rights reserved
Digital Enterprise Service Lifecycle Management Transformation Journey

Integrated sustainment
and the maturity of SLM
analytics & optimization
capabilities are a
function of the market
strategies and business
model(s) selected.

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© Capgemini 2019. All rights reserved
Digital Enterprise Service Lifecycle Management Transformation Journey

Synchronization of Blockchain is
customer and supplier the highest
sustainment operations ROIC digital
via collaboration thread
capabilities is essential capability to
to increased margin advance
regardless of business customer &
strategies or revenue supplier
model(s). collaboration

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© Capgemini 2019. All rights reserved
Digital Enterprise Service Lifecycle Management Transformation Journey

Capability rationalization and

maturity selection of any digital
SLM transformation journey
starts with the market
assessment, business
strategy(ies) definition and
articulation, revenue model
development and target
operating model architecture.

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© Capgemini 2019. All rights reserved
Digital Enterprise Service Lifecycle Management Transformation Journey

Driving real world / physical value through digital world / virtual capabilities
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Q&A
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 About Capgemini
A global leader in consulting, technology services and digital transformation,
Capgemini is at the forefront of innovation to address the entire breadth of clients’
opportunities in the evolving world of cloud, digital and platforms. Building on its
strong 50-year heritage and deep industry-specific expertise, Capgemini enables
organizations to realize their business ambitions through an array of services from
strategy to operations. Capgemini is driven by the conviction that the business value
of technology comes from and through people. It is a multicultural company of over
200,000 team members in more than 40 countries. The Group reported 2018 global
revenues of USD $16 billion.

Learn more about us at

People matter, results count. www.capgemini.com

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Copyright © 2019 Capgemini. All rights reserved.

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