MAGAZINE №2 (73) April 2016


CATEGORY Corporate logistics industrial companies Logistics production Modern concepts and technologies in logistics and supply chain management Planning the supply chain 


The article provides an overview of the current state of the steel industry in the world and in Russia in particular. It was noted that over the past decade the supply chain leading steelmakers have gone through a series of transformations that have radically changed the requirements for their management. A study of the evolution of supply chains of ferrous metallurgy companies are provided, analysis of the factors that demonstrate large-scale shift in the global steel markets is presented. The paper examines the structure of a typical supply chain of a ferrous metallurgy company. The generalized model of the supply chain, including mining and metallurgical complexes based on the upgraded SCOR notation is proposed.
Increase in attention to the creation and development of partnerships/strategic alliances between players of metallurgical market and the joint efforts of customers and producers to stimulate growth and innovation opportunities is highlighted. The main features of metallurgical production are analyzed in terms of their planning: the main bottleneck of production, production cycle, volatility of metallurgical processes, production campaigns. The analysis of the key challenges for the steel companies for the coming years are presented: the excess of supply over demand, a large amount of excess capacity. The following areas of improvement are proposed: cost minimization, differentiated service for customers, standardization and transparency of processes and operations in the supply chains, the development of new technological products, reducing emissions. The appropriate improvement tools are proposed: methodology change based on the principles and processes of Supply Chain Management as well as IT tools to support planning of supply chains of steelmakers – Advanced Planning and Scheduling systems for Metals. On the basis of practical experience estimates of planning processes organization impact in accordance with best practices and appropriate information support to key performance indicators of companies are provided.


Published in Supply chain planning

MAGAZINE №6 (71) December 2015


CATEGORY   Corporate logistics industrial companies  Modern concepts and technologies in logistics and supply chain management Planning the supply chain Information Technology in Logistics and SCM 


The paper examines the characteristics of Advanced Planning and Scheduling systems (APS systems). The various definitions of APS systems are analyzed. It is pointed out that the analysis of the experience of these systems implementation leads to the conclusion about a number of deficiencies that do not allow them to solve specific range of tasks in a demanding planning environment. The key characteristics of demanding planning environments are systematized. Their presence limits the possibility of successful implementation of the standard APS systems. These characteristics include the technological processes uniqueness; high complexity and scope; limited ability to describe and low predictability; high volatility and change sensitivity. The key features that allow to classify the new generation of APS systems are formalized. The definition for APS systems of new generation is proposed. The comparative analysis of the several generations planning systems (MRP II, APS I, APS II) is provided. Finally, examples of implementations of the new generation APS systems at Trinicke Zelezarny, Czech Republic; Timken Steel, USA; VSMPO-AVISMA Corporation, Russia are provided.


MAGAZINE №4 (69) August 2015


CATEGORY Controlling Corporate logistics industrial companies Supply Chain Management 


Practical aspects of reorganization of management system of a company based on SCOR model is provided in the article. Experience of Russian metallurgical company – pipe producer is used an example. The development program of the company is analyzed. It is highlighted that there is a need for organization of effective management system which is in accordance with contemporary conditions.

The key stages of improvement with description of achieved results are analyzed including: development of strategic card of goals based on balanced scorecards principles; modelling of key business processes and their optimization according to strategic goals including definition of efficiency merits and comparison analysis with world leaders; reforming of organizational structure including personnel trainings, motivation system preparation based on KPIs; information system implementation. 

As part of the development of the target process model consolidating business processes necessary to ensure compliance with the basic operations are defined. It is highlighted that each process has a definition based on the elements of the upgraded model of Zachman Enterprise Architecture Building. 

It was noted that the introduction at pipe producer modern software modules of planning and scheduling (Advanced Planning and Scheduling - APS) allowed moving to the construction of multi-level supply chain management processes, providing a unique competitive advantage of the company.

In conclusion, there are the results achieved in the whole pipe company, recommendations for the implementation of improvements. 



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