"...Enabling TimkenSteel to move from processing 100 items per week to over 13,000 in the same amount of time." Wow!
Another amazing customer story! Thanks for your help with this, @Meg_Hermes! You are a rockstar!
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Introducing Business 4.0
How TimkenSteel took Industry 4.0 – a traditionally technical concept – and used it to revolutionize supply chains and reliability
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Challenge:A historic global supply chain crisis brought on by the COVID-19 pandemic shed light on the inefficiencies of traditional procurement practices. Change agents at TimkenSteel saw it as an opportunity to rip off the proverbial Band-Aid and “lean up” through what Supply Chain and Commodity Modeling Manager Nicholas Galbincea calls an “optimization mentality.”
Solution:TimkenSteel has since implemented “Business 4.0” – an initiative led by Galbincea that applies the principles of Industry 4.0 to procurement strategies for steelmaking commodity inventory. JMP® statistical discovery software became a critical partner in the company’s transformation as it provided a lean solution to automate and consolidate entire workflows into one end-to-end platform.
Results: Within the last three years (2020 – 2022) the modeling and inventory tools Galbincea built have saved TimkenSteel approximately $7,300,000 – a figure he anticipates will only grow as he continues to build additional models and tools in other areas of the business. These savings are attributed to the inventory models that Galbincea has built for optimization of electrodes, ingot molds, and MRO inventory. In addition to financial value for the MRO inventory modeling, the process determining item reorder point (ROP) and economical order quantities (EOQ) has been dramatically streamlined, enabling TimkenSteel to move from a manual process of reviewing each item individually to an algorithmic based analysis allowing all MRO items to be reviewed in minutes. “I built the models, reviewed the logic with our VP of Engineering, Manufacturing Excellence, & Reliability (Andrew Bissot), Reliability team and other Procurement team members (Val Johnson, John Weekly & Steve Murphy), and after several iterations and lots of debugging, we saw them work and profit the company,” Galbincea reflects. “To me, that's awesome. That’s making a difference.”
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Read the full story here: TimkenSteel | JMP
