Integrating Plant Maintenance and Supply Chain Processes and Data to Improve Efficiencies, Reduce Costs and Increase Production.
BHP Group Is the world’s largest diversified resources company with approximately 41,000 employees working in over 100 operations in 25 countries. As a premier global company, occupy significant positions in major commodity businesses, including aluminum, energy coal and metallurgical coal, copper, manganese, iron ore, uranium, nickel, silver and titanium minerals, and have substantial interests in oil, gas, liquefied natural gas and diamonds.
CHALLENGES
- Aligning Plant Maintenance demands with supply chain operations to leverage common and predictable end-to-end processes
- Capturing accurate failure details and repair information in SAP to help reliability engineers identify root causes to defects and take corrective actions and increase production
- Purchasing decisions and engineering parts movement not accurately recorded in SAP
- Inventory accuracy was incorrect and visibility limited
- Free text purchases were greater than material part number purchases
- Repairable process riddled with manual checks and controls making an audit trail impossible
- Unable to implement effective purchasing, sourcing and automation to meet plant maintenance requirement
- Plant Maintenance not functioning within the system (SAP) reducing ability to improve efficiencies in processes and manage by exception
SOLUTIONS
- Education on specific subject areas within maintenance and supply chain with a focus on master data, PM notification and planning, work order processing, execution and reporting and recording
- Improved process and information integration between maintenance, scheduling, supply chain and production operations
- Setting data groups and priorities within the supply chain and maintenance groups focusing on improving efficiencies leveraging SAP capabilities
- Established Process Aligned Teams to improve communication, accountability and manage exceptions
- Set operational KPI’s aligned with strategic business performance
- Engaged Reveal and the oVo® methodology to align processes and information flow within maintenance and supply chain
BENEFITS
- Across five global sites (USA,Trinidad, Pakistan, UK-North Wales, and Australia) a cost avoidance of $4M was achieved
- 99% on time and accurate transaction within the system, with a manager watching the exceptions
- 25% accuracy improvement in inventory which increased consumer confidence in the system, and reduced work around and free text purchase
- 50% reduction in free text purchase
- A revised repairable process with the ability to track and prompt next steps from within the SAP system
- The ability to set one standard for measurements for all global sites in the global management dashboard