Case Study

Becoming a world leader in the business of earth moving equipment

Hyundai Heavy Industries

Korean company uses Teamcenter and NX to develop better equipment more quickly

High-end earth movers

Hyundai Heavy Industries (HHI) operates a global business network in each of its six business divisions: Shipbuilding, Offshore & Engineering, Industrial Plant & Engineering, Engine & Machinery, Electro Electric Systems and Construction Equipment. Overall, HHI employs 26,000 people. The Construction Equipment Division, which began operations in 1985 and employs 1,200, has grown into a world-class construction equipment producer. The division has developed 54 vehicle models in product categories such as excavators, wheel loaders, forklifts and skid steer loaders.

The division has a manufacturing capacity of 19,000 units a year at its Ulsan factory in Korea and has three additional manufacturing plants in China. It also has overseas subsidiaries in the United States and Belgium as well as at Jiangsu and Beijing in China. There are sales offices in the United Arab Emirates and Chile. Economically and ergonomically designed and with superb functionality, HHI’s construction equipment is marketed through 436 authorized distributors in 92 countries. HHI has a vision of becoming one of the top five worldwide suppliers of construction equipment by 2010.

PLM for growth

HHI Construction Equipment (HCE) is using product lifecycle management (PLM) technology from Siemens PLM Software to achieve this vision, which is especially challenging today as the supply of construction equipment exceeds demand. Realizing that bringing new products to market quickly is fundamental to success, the division saw PLM functionality as meeting four critical needs: design process optimization; integration of the entire product lifecycle; visualization for faster and more accurate validation; and improved collab-oration between HCE and its suppliers.

HCE chose Siemens PLM Software technology because of the company’s leadership position in this industry as well as its broad product lineup and best practices. Other reasons for going with Siemens PLM Software included the integration between Siemens’ NX™ digital product development software and Teamcenter® digital lifecycle management software, and the capability and extensibility of both offerings. The solution was implemented by a 16-member team with half of the members from HCE and half from Siemens PLM Software Korea. The Teamcenter implementation methodology was used. Full implementation was preceded by a six-month pilot project involving three models: an excavator, a wheel loader, and a forklift truck. In the project, models that were already in mass production were redesigned to evaluate the validation capabilities of the new approach. The PLM technology was successfully implemented by the target date.

Improvements in design and data management

Today, HCE’s PLM implementation includes 110 licenses of NX and 250 of Teamcenter. The company designs its vehicles in 3D, making use of existing CAD data from a library of 35,000 standard parts. Part classification, made possible by Teamcenter, has increased part re-use. NX analysis software is used for early simulations of product performance (structural and motion analysis), and human modeling software permits ergonomic optimization. Digital mockups are used for design reviews. Complex design tasks such as arranging moving parts or routing hydraulic piping are much easier now that interferences can be detected virtually.

Teamcenter serves as the backbone of HCE’s global R&D collaboration. It manages bills of material, engineering changes and product variants as well as technical documentation and specifications. Bills of material are automatically extracted from NX assembly models and are synchronized with the in-house BOM system. Bills of material for product variants are configured using Teamcenter’s variant management capability. Teamcenter’s workflow functionality manages processes such as engineering change.

Siemens PLM Software technology is currently being used in the design of a new series of equipment (the 9-series). Management is expecting that the use of Siemens PLM Software technology will reduce the development cycle for this series, as well as establish a revitalized design process that expands the company’s product line-up. In the near future, HCE will be implementing more advanced Teamcenter collaboration functionality as well as Siemens PLM Software’s digital manufacturing solution, Tecnomatix® software.

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