Илим-Гофра (Первое в России внедрение передового западного решения для управления гофрозаводом Илим-Гофра)

Premises to implementation

The increased number of orders on production and the increased production volume of finished goods became one of the basic reasons which induced to begin the project on implementation of a production system on JSC Ilim-Gofra. For ensuring effective activity the enterprise needed the modern automated control system for production considering features of production of corrugated packaging.

In the conditions of growth of production volume it became obvious that:

1. The used planning tools are ineffective:

• Planning is conducted almost manually, using preconfigured by Excel – tables.
• The tool for planning works unstably and is not upgradeable.
• Extremely labor-intensive process of planning, all decisions are made by the scheduler, there is no possibility of automatic optimization.

2. There is a need of creation of the corporate IC ERP systems:

• Formation of detailed production schedules is necessary.
• Execution needs tracking of the fact.
• Data acquisition on use of raw materials and materials is necessary.

3. The existing level of customer service does not meet modern market demands:

• The tool for control of execution of orders in the stated terms is necessary.
• It is required instruyemnt for tracking of the movement of orders on production.

Objectives

• The customer formulated the following project objectives:
  • increase in level of customer service;
  • cost optimization when cutting on materials – to raw materials;
  • reduction of cost value of finished goods due to reduction of waste when cutting;
  • planning of loading of capacities;
  • calculation of materials requirements on the coming month;
  • data recording on the actual development;
  • formation of the timely, authentic and "transparent" management reporting for different levels of users;
  • interrelation (integration) of a new system with SAP.

Ozhidemy results:

• Decrease in labor input and influence of a human factor in planning process.
• Increase in efficiency of response to changes in the plan.
• Transfer of the complete information about the plan and technical parameters of the developed products on jobs (paperless production).
• Exact control of results of execution of tasks in workplaces:
  • a possibility of time supervision of work, stops and equipment downtimes with classification of the reasons;
  • a possibility of quantitative and high-quality control of defects throughout process of production of products;
  • work in progress control;
  • accurate quantitative accounting of development on transactions.

• Operational submission of collected information in a convenient form for acceptance of management decisions and the subsequent analysis.

"The purposes of this project based on the OMP system are as follows: the first is an increase in efficiency of receipt of real costs (on planned regulations) on production in an accounting system (based on SAP). The second is an exception of "a human factor" at the cost accounting. The third – ensuring access to information on production and production costs in real time", – Pirogova Irina, the director of information technology of the Ilim group explains. - All this will allow us to control level and to improve a cost structure for increase in profitability of production. And, at last, we will be able to plan and optimize operation of the corrugator and pererabotochny lines with the smallest losses for production".

OM Partners choice

A choice was made for benefit of the solution OMP developed especially for producers of corrugated packaging. The flexibility of a system and openness for the centralized development became also important factor in selection process of the solution.

Solution

A system is used at several levels:

1. Department of planning

• Scheduler. Tasks – volume scheduling. Restriction on capacities.
• Planning engineer. Tasks – creation of cutting charts, operational planning.

2. Production

• Operators of work centers. Tasks – execution of the plan and registration of the actual development and other accompanying indicators.
• Storekeepers of raw-material storage. Tasks – a raw materials holiday in production on tasks.
• Storekeeper of a warehouse of stamps and cliche. Tasks – selection of stamps and cliche on tasks.
• Shift foreman. Tasks – control of execution of plans on work centers.

3. Sales department, economical department

• Sales manager. Tasks – control of completion dates of orders.
• Economist. Tasks – the plan-fact analysis of productive activity.

At the plant the following solution modules of OMP were implemented:

• OMP Master Planner is used for planning from requirements, management of requirements, lacing of bottlenecks of production, calculation of dates of start in production (the principle of "Pulling').
• OMP Corrugator Optimizer is necessary for mathematical optimization of operation of the corrugator, production of several brands of a corrugated cardboard, accounting of limited power of processing.
• OMP Scheduler is used for scheduling of production for the corrugator and machines of processing and also for updating of the diagram of production and control urovnyaraskryt reduction as it does not meet above.
• OMP Corrugator Station/Link provides to personnel an immediate access to the created plan, data loading about required settings of the corrugator in its controller, automatic data acquisition from the equipment (start time and the ends of reconfiguration, work stops, the made quantity, etc.).
• OMP Conversion Station/Link is used for visualization of necessary production information (the schedule of operation of units, queue of orders, order parts, etc.), automatic registration of characteristics of operation of the equipment (duration of readjustments of the equipment, equipment stops, runtime of tasks), input of quantity of the made products.

Integration with ERP- a system

1. Seamless bilateral data exchange:

• From the system of SAP in OMP: orders / change, technical requirements, stocks (paper, semi-finished products, finished goods.
• From the OMP system in SAP: current production schedule, loading of capacities, information on accomplishment of production orders, detailed information on production work.

2. Easy setup and adaptation of interfaces.

3. Resistance to exchange of a large number of data with other applications.

4. The format and structure of data which systems exchange is defined in advance that guarantees completeness and integrity of the interface.

Problems / Difficulties

During the project there were objective difficulties:

• Difficulty of receiving and structuring correct normative reference information and technical parameters of the equipment.
• Complexity of setup of the interface with SAP as the project of SAP was in an implementation stage.
• Considerable loading of personnel fundamental obligations and, as a result, insufficient involvement of users into process of implementation and testing of a new system.

All these problems were solved due to accurate coordination of actions, approval of contractors, terms and formats of issue of result, and also due to strict control of execution of assigned tasks from a managing personnel of customer company.

"I consider that with consultants of SCM Engineering company we had enough friendship. The goodwill, desire to deal with problems, rapid response in difficult situations of process of implementation – valuable qualities of consultants, we are grateful to them for it and we hope for further cooperation". – Irina Pirogova, the director of information technology of group tells Ilim.

Results

Thanks to a modern production system the service level of clients of the enterprise significantly raised: time of execution of orders is reduced while the accuracy of their execution increased. In the first months after start of a system reduction of number of expired client orders was mentioned considerable (by 3-4 times). On the one hand, it was promoted by increase in level of management, with another, the change of the relation of users to the duties which happened in process of use of a system.

Today all production process "ILIM Corrugation" in details is reflected in the automated control system for production of OMP.

Staff of sales office of the enterprise places in a corporate system of SAP the orders taken at clients who automatically are reflected in the OMP system. Planning department specialists daily adjust the schedule, in view of loading of the equipment, make cutting charts for the corrugator and detail schedules of production for lines of processing. The planned production orders automatically are reflected in the automated workplaces of lines of processing and are loaded into the corrugator controller. The configured feedback with the corrugator and lines of processing allows to consider precisely all subtleties of production process – time when the equipment worked, stood idle or was readjusted, the speed of operation of the equipment, quantity of suitable products, defects, a pallet, etc.

Production managers using a system have a possibility daily of on-line to obtain information for operating control of expenditure of resources. Along with it the sales office always has an opportunity to obtain the last minute information about production, in particular, sales managers can calculate more exact terms of accomplishment of orders. Actually it occurs in real time.

The economical department of the plant is also an active user of a system. A system became the primary source of the most up-to-date and reliable data on all necessary production indicators: using an OLAP cubes the staff of economical department builds necessary reports according to the requirements to the provided data. Information obtained from a production system allows the management of the enterprise to see a real picture of efficiency of the plant.