Atlas Copco Construction Tools’ production in Kalmar, Sweden used to be planned in SAP. To be able to better cope with capacity shortages and the Takt-oriented way to control the assembly lines, Atlas Copco Construction Tools has implemented iPlanner from InSync as their planning tool. The implementation project has been carried out by Optilon.
A few words with Maria Jäderberg, Logistics Manager, Atlas Copco Construction Tools:
What results have you seen so far?
Our factory’s delivery performance is much better, the number of inventory errors has gone down and we can better handle the important spare parts orders. The biggest change however is that our production plan is now much more correct. People working on the shop floor can sense that the plans are realistic with regards to our capacity. We used to need twice as many planners and still couldn’t do exactly what we wanted; now we feel that it would be impossible to plan the factory without iPlanner.
What would you say is unique about iPlanner?
It’s a very flexible tool that can be customized to fit the organization and its activities. That’s a big advantage. You can even do changes without the use of consultants which is very cost efficient. With other software and ERP systems you often feel obliged to change the process to fit the system. iPlanner on the other hand can help us plan the factory the way we want to.
Atlas Copco Construction Tools (AC CTO) is a division within Atlas Copco’s business area Construction and Mining Technique. AC CTO develops, manufactures and markets hydraulic, pneumatic and petrol driven breakers and drills, hydraulic boom systems, light compaction equipment for soil and asphalt and equipment for work in concrete. The products are sold to most markets in the world under several brands. AC CTO’s production is in Europe, Africa and Asia. Its Swedish production sites are situated in Kalmar and in Karlskrona. The factory in Kalmar manufactures products to be shipped to the European distribution center in the Netherlands as well as directly to customers all over the world.
Prior to using iPlanner, manufacturing order generation and production planning was carried out in the SAP business engine. The factory suffered from problems such as moving bottlenecks and bad visibility of the actual capacity, especially for the assembly line, something that is very typical for factories with a combination of workshops and assembly lines.
Optilon proposed and implemented a solution based on iPlanner from InSync where manufacturing order proposals are generated and replanned every night based on material availability and available capacity in the machining workshop and the assembly lines. The assembly lines are controlled by a defined Takt-pace, controlling how many products should be produced per day, a solution that is customer specific for AC CTO and a good example of iPlanner’s flexibility. Since manufacturing order generation is carried out in iPlanner, that functionality in SAP has been turned off.
To be able to visualize the plans and the situation for the entire organization, Optilon has also implemented Tableau at AC CTO for Supply Chain Visualization, something that has been very well received by the organization.
Optilon creates business advantage through solutions based on leading supply chain applications. Optilon takes a holistic approach to planning and optimization for companies within both manufacturing and trade, implementing market leading solutions and processes. Optilon uses its expertise to choose among the leading and most innovative applications on the market. Supply Chain Planning and Factory Planning is a focus area where Optilon has chosen to work with InSync.
InSync is a global software company that provides best of breed supply chain applications for complex manufacturing environments. Its software iPlanner enables a cross functional workflow to synchronize, analyze and reconcile various plans (sales, operations, marketing etc) and make adjustments through a collaborative process. It also enables manufacturers to optimize the production plan by simultaneously considering all constraints (material, capacity, lead time, maintenance schedules etc.) using InSync’s Concurrent Constraint Optimizer (CCO).