Presentation on theme: "Business Analysis Identify Long Chain “Buy/Make/Sell” Business Processes Identify Business Requirements and Metrics 137 Critical Requirements Map Business."— Presentation transcript:
1 Improving Manufacturing Efficiency and Profitability- A case study in Plantelligence
2 Business AnalysisIdentify Long Chain “Buy/Make/Sell” Business ProcessesIdentify Business Requirements and Metrics137 Critical RequirementsMap Business Requirements to Technology Vendors
4 MTO Project Objectives Develop Full Suite of Integrated Manufacturing Business Processes (MES)Integrate Long Chain Business Processes that Encompass SAP, MES, and DCSDevelop a Standardized Configuration that enables Replication of Best Business PracticesDetermine Value of MES Integration
5 Scope of MTO Project Customer SAP Fisher Provox Collaborative ForecastingCapability to PromisePlanningOrderFulfillmentCustomerSchedulingData ValidationMaterialBalanceOrderPlacementOperationDirectivesBalance ModelsProduction TransactionsProcess RecipesBatchRecordPlanned vs.ActualCertificateOf AnalysisAdv. ProcessControlProcessHistoryProcessAnalysisReal-time Quality ManagementProcessSimulationProcessOrdersMRPRegulatory ControlsSAPInvoice CustomerResourceConsumptionEngineeringWorkflowFisher Provox
6 MTO Project Completion Plantelligence ™ v1.0 was commissioned in May 1999 at Equistar Chemicals’ High Density Polyethylene facility located in Matagorda, Texas.
8 Annual Pre-Tax Operating Income Plantelligence Value CreationAnnual Pre-Tax Operating Income
9 Value Creation - Production Improved troubleshooting capabilities leading to faster root cause identificationand elimination.
10 Increased margins due to accurate product costs improving scheduling. Value Creation - Average Sales PriceIncreased margins due to accurate product costs improving scheduling.
11 Establishing and daily monitoring of Real Time KPIs. Value Creation - Variable CostEstablishing and daily monitoring of Real Time KPIs.
12 Rapid identification of raw material loss sources. Value Creation - FeedstockRapid identification of raw material loss sources.
13 Automation of work processes. Value Creation - Fixed CostsAutomation of work processes.
14 Example Manufacturing Process - Today Daily inventory updateMonthly reconciled consumption, production and cost reportsBusiness ManagementE R PDevelops standard costsBusiness StaffNo daily economic dataCosts reported on a monthly basisPlant ManagementShift logs and morning report, includes production, quality, safety and environmental dataAdvanced Process ControlData HistorianData manipulation Data validation Data entryOperations
15 Manufacturing Vision With Plantelligence Business ManagementAutomatic production reportingGreater visibility of work in progress (for CTP)Actual consumptions for MRP and product costing (for PTP)Operational benchmarking and institutionalization of best practices - Process Excellence SustainerPerformance against benchmark (for KPI’s)Customer technical support (for CRM)Facilitate alignment of plant teams for improvement opportunitiesIntegration CapabilitiesAccurate decisions based on validated real-time informationE R PBusiness Agility Improved decision making with more timely and accurate informationBusiness StaffActual consumption on a daily basis by product batchAutomatic classification to the highest margin productAlarming and prompting for assignable causeBatch records that include process variables, lab data, batch number, rail car number, and other relevant business dataPlant Performance Real-time response to operational variability due to more timely, accurate and contextual informationPlant ManagementProduction ManagementKPIProduction AccountingOperationsERP IntegrationAdvanced Process ControlKPIBusiness Process IntegrationData Historian