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01-09-2007
Customers & PartnersEmerson Network Power and MaNeM, a synergy renewed Employing a Lean Manufacturing approach since 2001, Emerson Network Power has also chosen Joinet MaNeM on-demand software, already used to interact with strategic suppliers, to optimise its communication with DSV, the Rotterdam-based Group responsible for logistic management. Emerson Network Power™, a division of the US multinational Emerson™ based in St. Louis (Missouri, USA), is the world’s Business-Critical Continuity™ leader thanks to a comprehensive platform of solutions and services for uninterruptible power supply, precision conditioning and connectivity, designed for data centres, telecommunications networks and industrial/medical applications. The company mission is to develop innovative highly personalised, flexible solutions that meet organisations’ growing need to protect their technological infrastructure against all the risks that might interrupt their continuity of operation. Emerson Network Power’s head offices for Europe, the Middle East and Africa are located at Piove di Sacco (PD, Italy); those offices are flanked by branches in Milan and Rome. The European HQ – the production plant for precision conditioning units and also the site of R&D, service, marketing and sales activities – and its 2 peripheral sales branches employ over 400 people. Distribution-related logistic activities, completely outsourced to the DSV Group, are located near Rotterdam in Holland. With MaNeM, “lean manufacturing” reaches all the way to the warehouse. As of 2001 Emerson Network Power interacts with its strategic suppliers, located as far away as China and Taiwan, through MaNeM, the on-demand supply chain software developed by Joinet. By integrating data, via a common interface, from the different IT systems of all those involved in the production chain, this solution has streamlined and automated the entire order cycle. Thanks to support from MaNeM, Emerson Network Power has inaugurated a “Lean Manufacturing” model that focuses on a greater transparency in the workflow of information on goods that are transiting and in consignment and a reduced need for inventory on hand without penalising actual stock availability. The excellence achieved in this sector has shown that companies need to optimise, on the basis of this model, warehouse management too. This means planning incoming and outgoing goods flows more intelligently through improved communication with the logistics provider DSV, another key player in the supply chain. “MaNeM has, once again, proven to be the ideal ‘intermediary’ support, capable of getting our ERP JD Edwards to dialogue with DSV’s, without any need for costly personalisation of relative managerial support”, says Michele Martiradonna, DPG Sales Manager for Emerson Network Power. Goods handling: smooth and continuous-flow. The process of implementing MaNeM began in December 2006 and was completed quickly, by the end of January 2007. The project took into account DSV’s strategic need to be promptly updated vis-à-vis all purchase orders so as to allow for more precise planning of container collection, to programme priorities and to inform Emerson Network Power accordingly. MaNeM provided an efficient response to these needs, allowing the display, about a month prior to their arrival in the warehouse, of all the data concerning items in the containers shipped from China and Taiwan: a function that has also proved to be strategic as regards management of unexpected variables (e.g. stock damage). MaNeM has also been employed on the outbound side so as to optimise and speed up goods shipping and delivery time and modes. “After taking orders made by customers of Emerson Network Power via MaNeM, DSV withdraws the requested stock. The platform then produces the code numbers relative to the goods to be handled and automatically informs TNT of the shipments to be executed. Simultaneously, it creates order-relative invoices and e-mails them to customers the following morning. Finally, Emerson Network Power receives confirmation that the goods have been shipped and can display their progress along the transportation route to destination”, explains Michele Martiradonna. Moreover, MaNeM’s capacity to provide daily data on stock on hand can be compared with the bookkeeping stock produced by the Emerson Network Power ERP and used to identify any discrepancies and resolve them. “MaNeM gets us into the warehouse ‘personally’ and overcomes all the complexities caused by distance, fast turnover of stock and its value; it also minimises the differences during physical stock-taking”, points out Michele Martiradonna. Another advantage lies in the fact that MaNeM allows the company to trace and control serial numbers so as to ensure that the shipped item coincides with the one described in the order, blocking shipment where there are inconsistencies. Another on-line activity managed via the software is the precise calculation of the quantity and type of spare packaging to be loaded into the containers in the event that the packaging used during shipment is damaged. “This feature yields a dual advantage: on one side customer service is improved and on the other there is a reduction in costs associated with the tricky claims procedures that derive from delivery of wrong goods or deliveries with damaged packaging”, continues Michele Martiradonna. The extended integrated network: a continuously evolving process. Thanks to the immediate sharing of precise, complete data, DSV also found MaNeM to be a useful tool in overcoming problems associated with the use of e-mail and phone calls. “Because MaNeM provides us with secure, documented information we shall also, in the future, be able to define Key Performance Indicators with which to monitor the effectiveness and efficiency of logistics services”, points out Michele Martiradonna. Positive results achieved with MaNeM, boosted even further thanks to close support from Joinet during the start-up phase, have led Emerson Network Power to consider extending it to other areas. “UPS systems need to undergo work every 5-6 months in order to have their internal batteries recharged: with MaNeM we can obtain detailed information on when the batteries in stock are due to expire and so gain a clearer understanding of which UPS units turn over more slowly; this would allow us to set up promotional campaigns in the market to sell them more quickly and so avoid costly recharges”, explains Michele Martiradonna. To manage outgoing goods, Emerson Network Power also aims to integrate TNT transport services into the MaNeM project; for incoming flows, instead, it also intends to involve Maersk, a company that handles containerization and transport to the warehouse of orders from Far East suppliers. This ability to see ‘upstream’ purchase orders is strategic to Maersk as it allows them to make better use of ship and container capacity and maximise the quantity of goods transported, thus optimising use of time and resources. “Thanks to MaNeM, our logistic processes are now much more ‘rational’; waste and human error have been minimised and we have steadier through-warehouse flow as opposed to peaks and troughs. The evident advantages confirm the central role of MaNeM in the creation of an ever-more extended and integrated network - a network synonymous with competitiveness and quality of service yielded to the customer”, concludes Michele Martiradonna. |
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