Ukrainian IT-Enterprise is a market leader in implementing solutions for medium and large enterprises.
Over 30 years, the company implemented over 800 projects gaining considerable experience in 26 business areas. With 350 top-notch professionals, IT-Enterprise offers a powerful tool for reengineering and business processes optimization: full-featured ERP, MRPII, MES, APS, EAM, SCM, CRM system that covers all aspects of an enterprise or group of businesses.
What was the challenge?
Modern mechanical processing enterprise “FED” plant produces complex modules for the aerospace enterprises. Customers of the company are international specialized manufacturing companies. Despite the competition in the niche, Ukrainian enterprise has the advantage – high quality of products.
In the agreed terms and volumes, customers want to receive high-quality products produced according to the technological process and at the lowest possible price. To retain leadership in such difficult circumstances, the company undergoes continuous manufacturing processes, investing in the acquisition of new equipment, training plant personnel, and developing an enterprise management system.
What is the solution?
One of the ways to maintain the high quality of the enterprise’s work is to minimize the non-compliance with deadlines of the production orders. This task was solved at the “FED” plant using the tools of an integrated ERP system IT-Enterprise.
- With the help of the ERP system, the company optimized the operative equipment load (optimal MES planning) and implemented a search for “bottlenecks” using Goldratt’s Theory of Constraints.
- Thanks to the IT-Enterprise ERP system implementation, and more specifically, the operational production planning modules, the “FED” specialists revealed a “bottleneck” that they did not expect.
- The MES-planning system identified a “bottleneck” and undertook activities to eliminate it. Dates of orders were moved, taking into account the priorities of the plant, new equipment purchases were planned, personnel reserves to maintain the smooth operation of the site were formed.
- With the help of the MES-planning module, the company organized a regular analysis of the production program in order to find new “bottlenecks” in production.
What are the final results?
- With an automated production planning system, new “bottlenecks” were quickly identified. ERP system enabled company management to avoid disrupting important contracts with the world-leading aircraft manufacturers totaling $ 90 million.
- A detailed analysis of the production program allowed the management to avoid the purchase of new additional equipment on credit at 20% per annum. It enabled FED to choose the European lending program at 4.5% instead. The total effect over the 7 years of lending will be over 400 thousand dollars.