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Evolving market conditions in today’s world – increased variability, volatility and complexity – require more agility than ever for metals supply chains. The bottom line is that future supply chain ROI maximization will not so much be driven by unit cost minimization but by the promotion and protection of flow of materials and information. This implies revisiting today’s MRP and ERP systems by introducing new “pull oriented” planning concepts and new KPIs/metrics to measure flow performance.
Modeling Metals production becomes more challenging due to the constant increase of diversification on one hand and higher quality requirements on the other. At the same time globalization drives the metals industries towards modern ERP “standards” that by default are designed for assembly production. All attempts to model metals production by BoMs are failing as soon as the constantly increasing number of materials let the maintenance effort explode. A team of experts in metals production together with mathematicians and IT specialists developed a production modeling tool that allows custom fitted order dressing for metals industries.
Besides modern equipment and sophisticated process automation systems effective steel production requires a production management system which is coordinating the production processes on the shop floor and integrating those with the commercial processes. Implementation time has direct influence on the return of investment of such a system. The product driven project methodology, a new project execution approach developed by PSI, recently lead to a successful implementation of a complex production management system for a Plate Mill line within six months.