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To browse Academia. Skip to main content. You're using an out-of-date version of Internet Explorer. Log In Sign Up. ICT adoption and e-business activity in , Case Study published in: The European Commission Being part of a wider innovation policy and investment scheme, the integration of the new system within the existing production processes resulted in higher machine utilization, greater process efficiency, and improved order throughput times.
Case study fact sheet Main business activity Business and packaging paper, converted packaging Primary customers Other businesses from various industries Most significant geographic market global Main e-business applications studied RFID use, supply chain management Key words production management, warehouse management, process efficiency Background and objectives The firm under study is a globally operating paper manufacturer and part of a bigger group which serves markets all over the world.
It has a total production capacity of more than 2 million tons of uncoated wood-free UCWF paper per year. The information is based on interviews with decision-makers who are responsible for managing both the implementation in the branches and the development of the new software.
The current project, and subject of this case study, focused mainly on the development of information technology and new processes, comprised eight sub-projects ranging from the optimization of product portfolios and cycles, to the launch of an integrated planning system. The funding for the supply chain elements of the wider program amounted to 8. A core element of this strategy was the early decision to develop an integrated new production tracking software system based on RFID technology.
This RFID-supported SCM system is described and assessed in terms of its functionality and impact on the realization of the business vision.
SCM in business paper production — How the systems are integrated In , an IT consulting company was engaged to develop a comprehensive mill management system for order handling, planning, production management, warehouse management, and bill of material handling management see Exhibit 1 below. The tailor-made solution was designed to optimize integration between the existing ERP system and various specialized systems in the mills e.
The decision to develop a tailored solution was taken only after extensive detailed talks with standard software suppliers determined that this was the only way to meet the business expectations. After nine months of software development, a small-sized paper production process A3 and A4 started operating on the basis of the new software in July In spring , all other paper formats bigger than A3 were produced by means of the new integrated IT software. However, the introduction of this new software system required substantial hardware investments into the production system, particularly for fully automatic reels in the master warehouse and a state-of-the-art automatic palleting centre.
System integration is organized as follows see Exhibit 1 below : The legacy system holds the original customer orders and all logistic information. The new production tracking NPT system then receives all necessary article information and transforms these data into flexible hierarchical bill of material BOM structure. This is a major requirement for loading customer orders into NPT. During the planning and production management, the customer order passes through various states tracking the production process.
All status changes are reported to the legacy system, thus supporting customer support and logistics. Additionally, the planned and concrete consumption of packaging materials are sent to the SAP system for further disposition of material requirements. Packing material orders and their delivery dates are sent back to warehouse management, goods receipts are booked in NPT and transferred back to the SAP system.
The production and transport systems are tightly coupled with NPT. When production of a specific order starts, NPT generates all necessary transport orders to supply the production lines just in time back stand materials, packaging materials needed for the production steps. Each machine unit in a machine line reports the actual production data for each customer order.
When an order is finished on a machine, NPT is informed of the completion. The last machine in the production process produces customer pallets palletizer.
The pallet information is reported to NPT, checked against tolerances and transferred to the full-automatic warehouse for finished goods. This solution provides online real time information and transparency for the whole production process.
Internal orders for the production of semi-finished material e. Order management modules display an in-depth view of all related order information such as the current status, the history of what has happened with the order, which form pallets have been produced when, by whom and based on which mother reels.
This information is available later on for backtracking over the various production steps on batch-level. Planning: The NPT planning mechanisms are based on the requested delivery date of customer orders and a production calendar shifts, planned downtimes etc.
Production plans are optimized by 1 merging similar orders e. Another step of the production planning is to plan the just-in-time-delivery of all needed input-material Bill of Material for production.
Furthermore, the planning modules allow lead-time calculation and detailed capacity planning. Production management supports the execution of production plans by usage of online work-order management. All machine-events production, changeover, waste, standstills are tracked in the production management. Warehouse management: The warehouse module provides lifecycle management for inventoried materials mother reels, semi-finished and finished form pallets, packing material.
This functionality can be extended by the use of specialized sub modules for a packaging materials, b item search, c RFID, and d transport. Bill of material BoM handling: Hierarchical BoMs provide information about the inventoried and non-inventoried components used to fulfill a production order.
These data are vital for identifying, rating and combining the necessary semi-finished and packaging materials for detailed planning and production management. The warehouse management module is based on radio frequency identification RFID system technology placed on both stationary and mobile readers fixed on staplers. By this, the firm built a general-purpose technology in order to support item search and the transport system. In practice, forklift drivers in the mills now receive transport orders to deliver the crates from the storage area to the packaging machines on an item-per-item basis.
The drivers not only drive the goods but also hand-scan barcodes on the crates to trigger the new RFID-based tracking system parcel data are transmitted via Wireless LAN Local Area Network to the storage management system.
The main advantage of this online-supported parcel delivery system lies in improved process and parcel control.
When interviewed, firm representatives identified the following benefits of the usage of the installed RFID-based NPT system: more accurate production planning, just-in-time delivery to production lines, exact booking of orders, lower search costs of items, improved incoming orders control, better inventory management, as well as better control of supply chain data and data tracking of produced paper rolls from the mill to the warehouse and on to the carrier.
Both works had year-old predecessor systems installed which needed to be upgraded. Therefore, the company decided to use these two works as test-beds for an applied RFID solution. Impacts and lessons learned 1 "Grammage" is a measure of paper weight based on the same square meter sheet of paper, regardless of paper grade. This is because only by the end of would the new strategy be fully operational and strengthen process integration for suppliers and customers alike.
These high-level impacts are visible on the following levels. Impact on individuals The firm reports a noticeable impact on increased specific skills requirements for workers.
Workforce used to handle paper-based orders prior to the implementation of the new system; now, people had to get accustomed to use computers and online technology. This created some pressure for workers to comply with the faster throughput times in the mills. According to the management, these requirements for complementary skills met some resistance among workers, particularly in the second mill.
This created resistance, and it took some time until the new working style was accepted. Impacts on business processes Another important impact of the newly installed NPT-software is the increased degree of automation. Management observed and report improvements of process efficiency and order throughput times. In comparison to older paper-based order management which took days in lead time from intake to fulfillment of order, online management has substantially shortened the time necessary for dealing with incoming orders.
This further increases the flexibility, efficiency, and subsequent value created by these time-saving processes. Organizational performance Concrete figures on the impact on business performance are not available. Some anecdotal evidence on the effects include the following general observations: Management reported performance benefits such as general efficiency gains and the optimization of batch size for production.
These efficiency gains are mainly attributable to the RFID-powered SCM information systems which allow the firm to adjust their production planning and effectively improved production accuracy.
Further efficiency benefits are gained by tracking manufacturing equipment usage, which has led to the elimination of manufacturing bottlenecks and to the enabling of smoother workflows.
In effect, machine performance, run times, and, consequently, machine utilization e. Critical issues The company's management identified two critical impact issues: initial investment costs and problems of managing the large amounts of data.
Furthermore, achieving the full potential of the RFID technology requires costly integration with existing enterprise systems. Moreover, it requires a redesign of business processes in all areas of the value chain where the technology is used.
In addition, management warned against the risk that RFID can easily become just another tool for "data collection", while missing targets in terms of its return on investment. To avoid this, software applications must be used which can be embedded into business processes. Only in this way can data be translated into managerially useful information. The firm claims that it has succeeded in meeting this challenge: the IT department successfully delivers useful information to management.
References and acknowledgements This case study was conducted by Paul Murschetz on behalf of the e-Business W tch. It is likely that many companies do no longer perceive this as an area of "ICT impact", since technology is so deeply embedded in production routines that it has become a commonplace. However, the most important anticipated impact of ICT for the future is probably that it enables companies to better link production processes with ordering and logistics and, thus, improve their supply chain.
Furthermore, intelligent systems support quality control already during the production process. The following case study on Nordic Paper demonstrates how ICT-based systems can help a company to reduce the amount of products with flaws that are delivered to customers, and at the same time to optimize the quantities of chemicals in production. Thus, the skillful use of ICT could also have a positive environmental effect. Related Papers. By Samuel Fosso Wamba. By Samuel Wamba.
By sushil choudhary. By Chitrangana eCommerce Consultant - India. Download pdf. Remember me on this computer. Enter the email address you signed up with and we'll email you a reset link. Need an account? Click here to sign up.
In cases where these groupings correspond with major groups, the major group heading is also in italics. The assembly of products from component parts is considered to be Manufacturing, except in cases where the activity is appropriately classified under Construction. The assembly and installation of machinery and equipment in mining, manufacturing, commercial and other business establishments is classified under the same group of Manufacturing as the manufacture of the item installed. Excluded is the assembly on site of prefabricated, integral parts of bridges, water tanks, storage and warehouse facilities, railway and elevated pedestrian bridges, and lift, escalator, plumbing, sprinkler, central heating, ventilating, air-conditioning, lighting and electrical wiring systems for buildings and mines and all kinds of structures which are construction activities if undertaken as a specialised activity. Establishments specialising in the installation of household appliances, such as stoves and ranges, refrigerators, washing machines and driers, are classified under the appropriate retail trade group.
Alimex – Cantilever Racking
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A few years ago, management at Provan, a small metalworking subcontractor in Genk, Belgium, found that they had become victims of their own success. Provan manufactured stoves for a major customer in Europe. The added complexity of production operations would also lengthen their lead times which would further add to the work-in-process WIP and storage space for semi-finished parts. All this increased space would come at a significant cost in Belgium.SEE VIDEO BY TOPIC: I Tried Unique Japanese Vending Machines In Tokyo
Article in wallpaper. In the creative environment of the former railway freight yard Godsbanen, raumlabor set the scene for the Rising Architecture Week with an installation created using an assembly of acoustic panels and carpets. As part of Aarhus hosting the European city of culture, the biennial Rising Architecture Conference moved from Copenhagen to the freight halls in Aarhus. Visiting the factories we were inspired by the storage of raw materials. Storing semi finished products and goods is part of every industrial production process and is strongly defined by pragmatic solutions based on the continuos optimization in the use of space and resources. The efforts to minimize both duration and use of energy for all the activities that relate to the movement of materials during the industrial process, are driven by the attempt to reduce production costs, but they are also a conscious and sustainable use of ressouces. Observing these processes from a phenomenological point of view, we see that striving for efficiency generates ephemeral architectural structures. Piles and stacks of organized material, with their amazing range of different three dimentional patterns and rhythms, always attract our attention. The collaboration with Troldtekt was proposed by The Architecture Project, the organizer of the Rising Architecture conference.
Insulating field for Industry - Industrial insulation supplies
There are many articles written on this subject by various experts but one thing that I felt was missing was aligning the SAP concept with the real business scenarios or case study. My intent for writing this article is to try and explain the SAP concepts of product costing with the relevant business case. Please note I am intending to cover the business process and align the same with SAP concepts.
Sign In. Join Free. Inquiry Basket. Get Apps. Post Sourcing Request. Yuyao Dingsheng International Trade Co. Zhejiang, China. Business Type:. Main Products:. Management System Certification:.
To browse Academia. Skip to main content. You're using an out-of-date version of Internet Explorer. Log In Sign Up. ICT adoption and e-business activity in , Case Study published in: The European Commission
To browse Academia. Skip to main content. You're using an out-of-date version of Internet Explorer. Log In Sign Up. Darlyne Minette. I also declare that this work has not been submitted for any degree or examination in any other university except for the permission references from other sources which have been duly acknowledged.
Rack system central in automated HVL sheet metal work center
Ningbo Universal Tools Co. With a total investment of 6 million U.
The Duluth Works was an industrial steel and cement manufacturing complex located in Duluth, Minnesota , in operation to The complex was operated by the United States Steel Corporation. Officially, the plant's purpose was to supply the growing Midwest with steel finished products. Unofficially, they were built as part of a " gentleman's agreement " between U.
How do I ensure automatic supply and removal of sheet metal in my innovative laser cutting installation? Many companies like to outsource a question of this complexity, but HVL Metaalbewerking from Liessel chose to solve this themselves. It resulted in the development of a fully automatic, vertical warehouse that is controlled directly from their ERP system.
Вот и хорошо,-- ответил Олвин. -- Я прибуду в Эрли как можно быстрее.