Inventory Control. Adds transparency to your bulk inventory and optimizes your business operations

Transcription

1 Inventory Control Adds transparency to your bulk inventory and optimizes your business operations

2 Optimize inventories with Endress+Hauser! Endress+Hauser is a leading supplier of industrial measurement and automation equipment, providing services and solutions for industrial processes the world over. We offer comprehensive process solutions for flow, level, pressure, analysis, temperature, recording and digital communication across a wide range of industries. Our solutions allow processes to be optimized with respect to economic efficiency, safety and environmental protection. Automation solutions from Endress+Hauser will help you to optimize your production, logistics and maintenance processes. Our solutions are accurate, reliable and durable and are based on open standards, ensuring cost-effective implementation. Endress+Hauser s Inventory Control Solutions offer products, systems and services for all parts of the supply chain. Starting with the measurement of bulk inventory on site, through data collection and transmission, up to the integration into enterprise resource systems. We deliver online information about the availability and demand of bulk inventories and accept responsibility for all levels of integration. This enables our customers to collaborate with internal and external suppliers in order to optimise inventory levels and improve delivery performance.

3 Inventory your company s best-kept secret? What is the value of automated Inventory Control Solutions? By sharing online inventory data not just internally but also externally, the true potential of your supply chain can be unlocked and your efficiency, quality and profitability transformed. Are you carrying too much stock today and tying up capital? Do your suppliers know precisely what you will need from them tomorrow? Are you ready to replenish your customers stocks with the right quantity at the right time? When you rely on Endress+Hauser to measure, and constantly communicate this data to every link in the supply chain, the results can be remarkable. Inventory Control helps you develop the savings potential in your bulk solids and liquids in a targeted manner. What can you achieve? Let our customers tell you: More transparency in processes along the supply chain Reduction of inventory while increasing service levels Higher availability with less risk Better forecasting and demand planning Early detection of delivery shortage, minimization of delivery fluctuation Better utilization of resources due to elimination of administrational tasks Improved customer relationship due to highly integrated logistical processes (VMI/SMI)

4 Maximizing supply chain effectivity The competitiveness of a company can be significantly influenced by the choice of the appropriate inventory strategies. When excess stock is kept, deliveries can be processed at any time, however, inefficient processes are covered up and costs become increasingly difficult to control. Keeping your inventory low reduces costs, but can affect your delivery performance. While companies strive for the right balance of inventory stocks they are confronted with changing customer requirements, uncertainties of demand and supply, as well as ever increasing market demands. In order to ensure competitiveness, processes must be continually optimized and supported by up-to-date information. It is only on the basis of up-to-date and transparent inventory data along the value creation chain that the planning and replenishment processes can measure up to the demands of the market. The unknowns that logistics personnel face with warehousing and delivery schedules are usually compensated for by keeping a higher safety stock. The objective, however, should be to reduce inventory by applying a time-conscious and integrated inventory management process, which would make the prognosis for demands more accurate, and maximise the degree of service. Impact on ROCE Supply chain management impacts the Return On Capital Employed (ROCE) in all relevant areas ROCE Operating profit Capital employed Operating revenue Operating expenses Cash Accounts receivable/payable Inventory Fixed assets Impact of Supply Chain Management Customer service Logistics efficiency Pipeline management Cash-to-cash cycle time Inventory control strategics Asset deployment/utilization

5 Collaboration strategies along the supply chain fuel growth and success With continued, accelerating change, companies can achieve significantly more through collaboration. This means the sharing of business information rapidly and effectively with suppliers and customers and perhaps even suppliers suppliers and customers customers. Collaboration brings major benefits for all the companies involved. An effective enterprise collaboration solution must provide the technical systems links for people to work together in distributed, cross-organizational teams. Effective communications must be enabled across distance, time zones, and company borders, encouraging team members to discuss, analyze and review information collaboratively. Collaboration is the key Expand your horizons, by expanding the borders of your company through collaboration. The question is who can your company collaborate with? The answer is relatively simple: your best suppliers, and your best customers. Collaboration increases revenues and profits for all the participants. Industry experts and businesses that have implemented collaborative techniques claim that collaboration is a key enabler, allowing companies to react more quickly to changes in supply and demand. In the next few years your enterprise will be collaborative, or it won t exist at all. Jim Pinto Founder of Action Instruments Technology, Futurist, Angel Investor, Speaker, Writer, Industrial Automation Commentator, Analyst and Consultant Meeting is the beginning Cooperation is progress Collaboration is success Henry Ford Founder of the Ford Motor Company

6 Evolution to a cross-company collaboration model In the past, companies have recognized the amount of potential that exists in the optimization of an integrated flow of goods along the value-added chain. The integration of the entire supply chain must be regarded as a control cycle crossing the borders of the company. At the end of such an integration process, transparent, flexible and integrated business processes beyond company borders must be possible. Thus, allowing a win-win situation for all companies involved. Materials management/purchasing On-hand Stock Monitoring (Inhouse) Monitor stock performance Improve replenishment Reduce stock levels Marketing and sales Vendor Managed Inventory (VMI) Provide value-added service Tighten customer relationship Improve sales planning Supplier Managed Inventory (SMI) Outsource replenishment Consignment stock, pay on consumption A company s supply chain can be split into three parts Inbound Receiving of raw materials from suppliers, that is warehoused in the receiving storage location. Inhouse Intermediate storage of semi-finished products. Outbound Delivery of finished products, either directly to a customer or to a distribution center.

7 Vendor Managed Inventory (VMI) as an integral part of collaborative and demand driven supply chain. The automation and efficient management of business processes must not be confined to the company alone. By collaborating with business partners, more efficient business models can be evolved. One such model is Vendor Managed Inventory (VMI), where the supplier is responsible for the replenishment and delivery of the material to the customer. The close collaboration necessary for VMI requires a high level of trust and understanding between the partners. Responsibilities and competencies must be clearly regulated. If this readiness exists, then VMI certainly offers great potential for optimization along the supply chain. Classical process Customer Inventory management Material disposition Purchase ordering Supplier Transportation planning Material disposition Order entry VMI process Customer Automated inventory management Supplier Inventory management Transportation planning Material disposition Prerequisites for successful implementation Process Well-developed and stable processes High data quality Reliable Inventory Control Solution Soft skills Qualification of participants - Understand win-win - Process design Willingness to cooperate with suppliers and/or customers Trust in the business partner Common quantitative and qualitative objectives and KPIs. Motivation The motivating factors for both partners to run a VMI business model are: More transparency in processes along the supply chain Reduction of inventory to lower the employed capital Reduction of safety stock, higher availability with less risk Better forecasting and demand planning Better control of downstream process in production and inventory management Early detection of delivery shortage, minimization of delivery fluctuation Better utilization of resources; avoid spikes in production and distribution Fewer disturbances of processes through changes in orders Improved customer relationship due to highly integrated logistical processes Reduced transportation costs Less Process costs due to elimination of - Material planning and disposition - Order processing and tracking - Inventory monitoring and management

8 Inventory measurement With Endress+Hauser, there are no compromises in inventory measurement. Only reliable instrumentation provides reliable measurements to optimize your storage and supply processes. For over 50 years, Endress+Hauser has designed and developed process instrumentation. We are not only at the heart of the market worldwide with our products, but also determine the pace of innovative engineering. Take any process material, solid or liquid, or process condition, hazardous area or sanitary environment, and you will see that Endress+Hauser has the know-how and instrumentation to meet your application requirements. Field devices Endress+Hauser offers a full range of instrumentation for measuring bulk solids and liquids. Mass or volume in tanks, silos, pipes and pipelines can be calculated from measuring various parameters, such as level, temperature, pressure and flow. Instrumentation is also available for special applications, such as overfill protection and leakage detection. Chemicals Certificates and approvals, including ATEX, SIL, FM and CSA Food FDA and EHEDG approvals, meets 3A standards Primaries Dust-proof housings, built to resist corrosion, abrasion and extreme temperatures ATEX approved Water / waste water Approved for use in fresh and waste water applications

9 Tank farms and terminals In the oil and gas industry, Endress+Hauser provides high accuracy radar and servo level gauges, average temperature and water bottom instrumentation for inventory control and custody transfer applications. Typical applications include fixed roof tanks, floating roof tanks, spheres and bullets. Oil and Gas Meets international standards such as API, ISO, SIL and IP International and local Weights and Measures approvals for custody transfer applications (e. g. NMi, PTB)

10 Inventory data acquisition By providing access to measured inventory data, Endress+Hauser creates the basic precondition for optimizing storage and supply processes. Measured data can be accessed and made available worldwide within the shortest possible time. Endress+Hauser makes full use of Internet technology: an on-site Web-server and data transmission unit, provides worldwide access via private and public communication networks. Only a commercially available Internet browser is needed for inventory monitoring. Different transmission methods, such as Ethernet, modem and GSM/GPRS may be used and combined as desired, depending on the available infrastructure on site. Fieldgates Fieldgate FXA320 provides worldwide connectivity to ma devices, and Fieldgate FXA520 to HART devices via: Ethernet TCP/IP: LAN, Intranet or Internet Telephone lines (analog): Public Switched Telephone Networks (PSTN) Mobile communications (GSM/GPRS): Wireless via cellular phone Both Fieldgate FXA320 and FXA520 retrieve measured values and set-up parameters, managing them in an internal database. They not only transfer current measured values, they can also be used to monitor device status, gather information and alert the responsible standby personnel, if required via or SMS. Fieldgate FXA720 connects worldwide to PROFIBUS devices via: Ethernet TCP/IP: LAN, Intranet or Internet Fieldgate FXA720 is available with one, two or three channels, each allowing the connection of up to 125 PROFIBUS devices. It can be configured to operate as a transparent Ethernet/PROFIBUS DP gateway or to scan the devices connected to it. In scan mode, the measured values and status of each connected device can be read from the embedded Web-server with any Web-browser. In gateway mode, host applications such as SupplyCare, have direct access to connected devices ma HART PROFIBUS 10

11 Tankvision - flexible, functional and profitable As a standardized platform for collaboration, the Tankvision System is highly modular, resulting in a scalable solution adaptable to your needs. The system is truly PC software independent; you are no longer dependent upon patches and updates. Level and other measured and calculated data, such as temperature, mass, pressure, density, rate of flow as well as gross and net standard volumes are displayed at the local operator workstation. Full API/ASTM compliant calculations ensure accurate and real-time measurement of your liquid hydrocarbon stock for inventory control and custody transfer. Features Volume correction Historical trending Oil movement capabilities What if tank calculations External alarm management Remote systems support Online configuration and diagnostics Overfill protection 11

12 Inventory monitoring and management SupplyCare - Online inventory data for material management and logistics With SupplyCare Enterprise you can: View the current product levels in your tanks and silos at your desk Assign warning and alarm limits to all monitored inventory data Send or receive notification, e.g. that replenishment is necessary Export inventory data in universal or standardized format View trends, historical data and events Manage tanks, groups of tanks, customers and products Assign specific viewing rights to suppliers, vendors and internal users Standard functions Tank monitoring Inventory acquisition (current value) Inventory management (set points, limits) Unit conversion Tank linearization Tank history (2-90 days) Linear trend Tank management Tanks and grouping of tanks Definition of customers and products Assignment of user to tank Event management Event notification Electronic signature Event history User management User profile (myproperties) Role and access assignment Export Data transfer via CIDX (Chemical Industry Data exchange) Download of measurement data (CSV export) Data acquisition Fieldgate configuration Scheduling Together with measurement instrumentation and telemetry, SupplyCare is the logical step to bringing business intelligence to the entire solution. Data generated by SupplyCare are based on the CIDX standard. This allows tank master data, including Tank Partners and Location Details, along with B2B reports to be easily integrated into your ERP system for effective planning. 12

13 SupplyCare - the flexibility you need Each layer of Endress+Hauser s Inventory Control Solution is based on open standards, ensuring seamless implementation and integration. Just as important, it gives you long term protection of your investment. This also applies to our SupplyCare software. No matter if you start with a system that is hosted by Endress+Hauser or if you run it in your IT environment, you have always the flexibility to change from one to another or even a combination of both. SupplyCare Hosting SupplyCare Hosting SCH30 is resident on Endress+Hauser s own network. It is hosted on a redundant server infrastructure operated by Endress+Hauser Infoserve, a certified SAP hosting partner. With global IT support and local agents, you can be confident in the availability and quality of service that you will receive. Information flow Manufacturer (vendor) SupplyCare Application Server hosted by Endress+Hauser GSM / GPRS Customer Login to SupplyCare Internet Hosting SupplyCare Enterprise SupplyCare Enterprise SCE30 is installed in your enterprise and offers all basic functions required for inventory management. You can choose to configure the software yourself or have it engineered and installed by our IT experts. SupplyCare user SupplyCare Enterprise Database Connection manager ma Customer Intranet Modem connection Ethernet/Internet connection GSM connection 13

14 Worldwide service and support In order to offer an effective Inventory Control Solution, you need a partner that provides a full-range solution, from inventory measurement to inventory management. You need the appropriate equipment at your customer s site for gathering the right inventory information and communicating it effectively. You need a partner that provides a safe, secure connection to inventory information on a professional infrastructure. You need a partner with a global service support network, with local contacts providing on-site support at a moment s notice. Find the right balance How much service do you need? Most process instruments have no moving parts. As such, modern automation equipment needs little servicing in terms of oiling and repairs. Some processes are quite tough, however, and with abrasion, aggressive chemicals and sticky substances, even our instruments need maintenance or spare parts from time to time. In addition, every modern process plant requires calibration and recalibration, legal certification, constant improvement of efficiency and technology migration. How much service do you want? Plant maintenance teams know their process and equipment by heart. They can take care of daily tasks better than anyone else. Nevertheless, some maintenance and service jobs have to be carried out at longer intervals and often they are highly specific - such as the calibration of flow meters. It can be a lot more efficient to get outside experts to perform specific tasks. It is a question of company and plant policy how much maintenance is performed internally and how much service work is left to external specialists. The right balance of services As a supplier of field instrumentation and automation solutions for over fifty years, we constantly work with our customers to ensure that we competently support you in all situations. Be it trouble shooting, emergency spares, calibration or straightforward advice, we pride ourselves on understanding what you require of us and have evolved our organisation such that it is aligned to help you achieve your operating objectives. Your task is to deliver optimum product quality in a safe and profitable way. Ours is to support you with just the right balance of services to ensure you achieve this with the maximum of process uptime, the optimum amount of maintenance and the minimum of cost. This is the guarantee that we offer all our partners. A full service portfolio Endress+Hauser offers a broad range of services focussed on industrial measurement and process automation. From highly specific tasks like commissioning or calibration to full maintenance packages like our comprehensive Instrument Management Solutions (IMS), our service support is well structured to supply whatever is required. Choose what you want and get what you need! 14

15 At Endress+Hauser, customer service does not end with the sale Our network of service engineers spans the globe, ensuring that wherever you are based, you can benefit from our technical expertise and support. Our service departments offer comprehensive maintenance contract agreements, Instrument Management Solutions (IMS), workshop repairs, spares management, on-site commissioning, trouble shooting, small installations and a technical service helpline providing telephone advice and support. Training: investing in people In today s competitive marketplace, it is vital that companies invest in their employees to ensure continuing success. A key component is a program of effective and professional training. Endress+Hauser can help you satisfy this requirement by offering sound, professional advice for all your training needs. Our training programs can be tailored to meet your specific requirements. Customer service at a glance Commissioning and installation Project management Preventive maintenance Spare parts Training Helpdesk On-line documentation 15

16 Inventory control at a glance Features Reliable instrumentation to measure silo and tank inventory Worldwide access to measured inventory data Individual visualization of inventory data with the software of your choice Option to host at Endress+Hauser or run the system in own environment Integration of inventory data into your ERP or SCM Use of open standards at each level Worldwide service and support of your measuring system Benefits Secure inventory data to optimize storage and supply processes Data available to authorized users worldwide and at any time Current, accurate overview to allow for quick and reliable decision making Fast implementation, no infrastructure or know-how required Freedom to switch from Endress+Hauser hosting to internal hosting Joint evaluation with book data to optimize logistical processes Long term protection of investment Endress+Hauser takes the responsibility for your inventory control projects at each level so that you can fully concentrate on your business Step-by-step model Inventory monitoring and management Inventory data acquisition Inventory measurement Endress+Hauser provides Inventory Control Solutions based on open standards at each level, step-by-step from simple monitoring up to a highly integrated solution in your ERP/SCM system. Instruments International 12.06/I.I. Endress+Hauser Instruments International AG Kaegenstrasse Reinach Switzerland Tel Fax info@ii.endress.com FA003S/04/en/ HD/INDD CS2