Reduce costs optimizing the indirect supply chain management, reducing stock, lead-time for order processes (PO - purchasing order) and bringing transparency and visibility for
MRO.
Implementation highlights:
.
Specialized personnel for investigation and tracking reports on every aspect of
the project
. Make working plan
. Fast implementation of Syteline and its use
Key benefits:
Fast results in a short period of time (6 months)
. Management's costs reduced by 10%
. Delivery rates are always higher than 97%
. Stock reduction of 2.5%
Teaming up with
Dongchang-SETECH:
Company A is a more than 1 billion investment company. It deals with a huge amount of
MRO. Dongchang-SETECH was approached to manage the MRO activities and the main goal was to reduce TCO's costs.
Despite the size of the company, Dongchang-SETECH could in a very short time investigate and assess its MRO activities, presenting an effective and efficient program.
How did we start?
The program was divided into 3 general phases, described as below:
Phase 1: General plant investigation
Phase 2: General preparation
Phase 3: Full operation of management and procurement services
What are the main services?
The main services, according to client's demand, were divided into 5 groups:
Group 1: On-site management
On-site management comprises all the activities related to the indirect materials. Dongchang-SETECH allocated top trained and specialized personnel to deal with all MRO issues.
Group 2: Inventory control
Group 3: On-site material logistics
Group 4: Purchasing and strategic sourcing
Group 5: Integrated Information Systems
Our IT department successfully operates Syteline and its data exchange with client's SAP.
Results
After 6 months of fully and smooth operation, Company A can clearly see the results.
Dongchang-SETECH has not only achieved, but exceed the original targets. Outsourcing MRO activities to
Dongchang-SETECH gave the client a cost reduction of almost 10% in the management operations. The purchasing lead-time was dramatically reduced and the stock was reduced by 2,5%.
Looking to the future
Due to the successful program implementation and operation, other plants from the same client are willing to outsource their MRO activities to
Dongchang-SETECH. Dongchang-SETECH will keep improving and constantly satisfying client's needs in order to expand and consolidate its business.