2 Manufacturing Company’s Challenges Companies are driven to find ways to:Increase production outputImprove product qualityReduce costPlant Operations are responsible for a company’s most critical assets, its production equipment. Reliable equipment will:Maximize production performanceMinimize scrap / reworkLower costCosts 4X more to fix broken equipment than to maintain it
3 How QAD EAM Supports Manufacturing QAD EAM is responsible for the management of the manufacturing assets including;The design, construction and commissioningOperations and maintenance (preventive and repairs)Replacement / upgrade of equipmentAsset Lifecycle Management
5 QAD EAM for Plant Operations The QAD EAM suite provides three solutions:Project Controls ManagementPlant MaintenanceMRO Supply ChainMRO InventoryMRO PurchasingPlant Operations
6 Project Controls Management Types: Capital, Prototype, Expense, etcOn-Time DeliveryProperly managed projects bring assets on line quickerWithin BudgetA manager must have visibility and control of spending against a projectPlant Operations
7 Plant MaintenanceGoal: Maximize manufacturing equipment utilization and minimize repair costsEquipment breakdowns directly contributes to loss production, missed shipment dates and increased costComprehensive preventive maintenance program and increased positive control of corrective maintenance results in improved equipment reliabilityPlant Operations
8 MRO Inventory Support Production Lower MRO Inventory By ensuring critical spare parts are on-hand when needed, production downtime can be minimizedLower MRO InventoryA better understanding of critical spare parts requirements will lead to right sizing inventory, minimizing investmentPlant Operations
9 MRO PurchasingGoal: Source critical spare parts from approved suppliers as quickly as possible at the lowest possible costImprove Purchasing Efficiency & ControlBetter purchasing control has helped companies reduce spending by sharing parts between sites and avoiding unnecessary purchasesPlant Operations
10 Fully Integrated with QAD Enterprise Application 2007 QAD Enterprise Asset ManagementFully Integrated with QAD Enterprise Application 2007
11 QAD Financials QAD EAM Downloaded / Updated via Automatically Master TablesCost CenterAccount / Sub-AccountProjectsBudgetsAccounting CalendarBill to AddressShip to AddressCurrency / Exchange RatesSuppliersTermsStandard ClausesACOUNTIGPRHSMaster TablesCost CenterAccount / Sub-AccountProjectsBudgetsAccounting CalendarBill to AddressShip to AddressCurrency / Exchange RatesSuppliersTermsStandard ClausesACOUNTIGPRHSDownloaded /Updated viaAutomatically
12 Purchasing Integration QAD EAMQAD eB2.1PurchaseRequisitionPurchaseOrderPurchaseOrderPO ReceiptPO ReceiptEAM PO’s can be receivedvia EAM or QADReceiptsPending VoucherMROInventoryUnposted GLUnposted GLExpense
13 Part F105 = 2 cycles per 5,000 parts = 10,000 cycles Production Driven Maintenance (PDM) Scheduling Preventive Maintenance Based on Equipment UsageQAD eB2.1QAD EAMTable: opt_histWork Center = L100Machine = 60Tool = T50Part = F105Qty = 5,000UOM ConversionPart F105 = 2 cycles per 5,000 parts = 10,000 cyclesEquipment (Press-A)Sub-component ASub-component BTool / Die (Die-10)EAM Equipment StructureEquipment MappingMFGPRO EAML = Press-AT50 = Die-10Create PM Work Orders
14 QAD Enterprise Asset Management Getting Results
15 BackgroundFormed in 1995 as joint venture between Monsanto and Akzo Nobel. In 1997, Monsanto spun off its investment in Flexsys to Solutia Inc.Flexsys is a chemical manufacturing company. Its products help cure and protect the rubber, increase durability and fatigue life, control color and provide heat resistance.Manufacturing plants in US, Brazil, UK, Belgium, France, Germany, Italy, Malaysia and Japan
16 Why Focus on Maintenance Prior to 2003, Flexsys had been focusing on eliminating waste by adopting “Oliver Wight Class A” standardsAlthough Flexsys achieved “Class A” certification, production performance remained below Class A levelsProduction output in relation to plant capacity was around 75%Class A levels required production output to be in excess of 90%One of the reasons was poor equipment reliability!
17 By the Numbers… Then and Now Production Scheduling Efficiency % 95%Overall Equipment Effectiveness (OEE) % 88%Maintenance related Down Time % - 15% <5%Reduction in Maintenance Budget 12%Percentage of Reactionary Repairs % 11%
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