3 PHASE E2E (ENTRY TO EXIT/FLOW) EDMS
Our Process: 3 Phases of Parallel Activity
- Consolidated Print Room
- Scan & index
- Identify drawings by department, line, and component
- Identify duplication in part numbers by component
- Verify applicable spares
- Compare similar components across facility/facilities for potential common spare parts
Research indicates significant cost savings in inventory and spare parts.
BENEFITS OF 3 PHASE E2E (ENTRY TO EXIT/PROCESS FLOW) EDMS
- Using incorrect/inconsistent information leads to mistakes
- Mistakes can lead to Safety incidents
Our work to ensure correct information is used supports safety goals
- Reduction in labor and material cost
- Improved work efficiency for Engineering and maintenance
- Utilizing common, consistent information results in savings by:
- Reduce overhead time to prepare job work orders
- Improving KIT accuracy by providing complete kits with accurate spares, BOM, OEM, SMP & up-to-date engineering drawings
- Improving outage efficiency by providing correct information for planned outages
- Reduce unplanned downtime by getting the right part to the right place quickly and the first time
- Reduce re-engineering cost by using accurate information
- Reduce waste on fabricated parts by eliminating outdated information - no more over buying
- Eliminate ordering emergency spares at premium cost by managing spares parts inventory
Will help lower cost/ton and improve margin
- Receiving, managing and distributing spares efficiently
- Improved reporting/tracking of parts spend
- Accurate min/max and reorder points based on actual usage
- Improve workflow and auto reorder
- One catalog for parts utilized across company
PHASE III: Evaluation & Analysis
By identifying common components across multiple pieces of equipment, we can significantly reduce inventory and spares.
This will result in improved cash flow and lower operating costs for spare parts
Please Note: Cranes are used as an example because every facility has multiple cranes.
This process is not limited to cranes and can be applied to all equipment and spares.
Spare Parts Evaluation of Cranes
Utilized the intelligence built in the E2E Phase II database and we can determine
Example for Cranes
Utilized Min/Max provided by supplier
Crane Spares Analysis and EDMS Project
| Hypothesis #1 = Maintain 320 spares per crane @ average cost of $2500/spare part: | ||||||
|---|---|---|---|---|---|---|
| Min of 2 | Min of 4 | |||||
| # | $ | # | $ | |||
| Per Crane | 640 | $1,600,000 | 1,280 | $3,200,000 | ||
| 18 Cranes | 11,520 | $28,800,000 | 23,040 | $57,600,000 | ||
| Hypothesis #2 = Maintain 160 spares per crane @ average cost of $2500/spare part: | ||||||
|---|---|---|---|---|---|---|
| Min of 2 | Min of 4 | |||||
| # | $ | # | $ | |||
| Per Crane | 320 | $800,000 | 640 | $1,600,000 | ||
| 18 Cranes | 5,760 | $14,400,000 | 11,520 | $28,800,000 | ||
| Hypothesis #3 = Maintain 107 spares per crane @ average cost of $2500/spare part: | ||||||
|---|---|---|---|---|---|---|
| Min of 2 | Min of 4 | |||||
| # | $ | # | $ | |||
| Per Crane | 214 | $535,000 | 428 | $1,070,000 | ||
| 18 Cranes | 3,852 | $9,630,000 | 7,704 | $19,260,000 | ||
POTENTIAL SAVINGS OPTIONS (IN THEORY):
| Option #1 = Maintain 9 sets of spares for 18 cranes: | ||||||
|---|---|---|---|---|---|---|
| Min of 2 | Min of 4 | |||||
| # Spares/Set | Total Spares | $ | Savings | Total Spares | $ | Savings |
| 320 | 5,760 | $14,400,000 | $14,400,000 | 11,520 | $28,800,000 | $28,800,000 |
| 160 | 2,880 | $7,200,000 | $7,200,000 | 5,760 | $14,400,000 | $14,400,000 |
| 107 | 1,926 | $4,815,000 | $4,815,000 | 3,852 | $9,630,000 | $9,630,000 |
| Option #2 = Maintain 5 sets of spares for 18 cranes: | ||||||
|---|---|---|---|---|---|---|
| Min of 2 | Min of 4 | |||||
| # Spares/Set | Total Spares | $ | Savings | Total Spares | $ | Savings |
| 320 | 3,200 | $8,000,000 | $20,800,000 | 6,400 | $16,000,000 | $41,600,000 |
| 160 | 1,600 | $4,000,000 | $10,400,000 | 3,200 | $8,000,000 | $20,800,000 |
| 107 | 1,070 | $2,675,000 | $6,955,000 | 2,140 | $5,350,000 | $13,910,000 |
| Option #3 = Maintain 2 sets of spares for 18 cranes: | ||||||
|---|---|---|---|---|---|---|
| Min of 2 | Min of 4 | |||||
| # Spares/Set | Total Spares | $ | Savings | Total Spares | $ | Savings |
| 320 | 1,280 | $3,200,000 | $25,600,000 | 2,560 | $6,400,000 | $51,200,000 |
| 160 | 640 | $1,600,000 | $12,800,000 | 1,280 | $3,200,000 | $25,600,000 |
| 107 | 428 | $1,070,000 | $8,560,000 | 856 | $2,140,000 | $17,120,000 |
Why is this important?
