Why is APS more critical today than a decade ago?
APS solutions have been more requested by industries in recent years compared to the early 2000s. It is not just the natural commercial growth that a product has as it consolidates in the market. We can even say that this type of growth is difficult by reducing the expressiveness of Brazilian industry in recent decades and the consequent decrease of this consumer market. It is more than that. Maybe the most weight factor in this account is the increase in supply chain volatility caused by both extraordinary events and the pandemic and the most globalized profile in the market, with greater interdependence among economic actors, which causes a small oscillation on the one hand, generates a large wave on other levels of the supply chain . Despite collaboration movements such as CPFR or technologies that transmit chain visibility, the whip effect ( Bullwhip Effect ) is a harsh reality. That is, it is not an isolated case due to the pandemic. We are talking about a basic law of physics applied to the market. A system that in the long run increases and warms, brings with it this entropic feature of greater disorder and randomness. And this increase in entropy gives a headache to those who need to plan their production and stocks. Oh! As if that were not enough, we still see a substantial increase in the volume of skus that industries have active, mass customization strategies, as well as the reduction of product life cycles (see fast fashion in the fashion industry and increasingly frequent launches in technology, just to bring easy examples) . . And here we have a difficult term to measure financially. An entrepreneur cannot compare, on the same, the attractiveness of an investment in machinery with an investment in agility. However, at the same time, we know that it generates a better level of service, a lead time reduction that improves the company's cash-to-cash cycle (the difference between cash outlet for raw material purchase and customer revenue entry) as we will enter our customers faster and probably receive before. Being more punctual and delivering faster than competition may not be in the company's DRE, but it is a competitive advantage in most industries. Advanced Planning & Scheduling ( ) solutions have been made to not only create efficient plans (with setups and waiting times), but also to update them and reprogram very quickly in the face of change, seeing the impacts throughout the production processes, in one Future horizon that may be months. These changes may be supply , production or demand . In terms of supply, our suppliers may not comply with their delivery times or deliver insufficient volumes of material . Production can also go through problems of rhythm variation, lack of labor, maintenance, among many other factors. Finally, demand can also vary greatly. PPCP area to receive an urgent demand from the commercial area and make changes in the short term production plan, but without identifying the real impacts in the medium term of these modifications on other products and processes. Therefore, at the end of the month, the goals are not achieved and it is not known the reason because PPCP has not been able to establish the causal relationship between events when it was still time, and now it is too late. robust APS solution them . Unpredictables (low forecasting ) will exist and, in many cases, will increase. As Mike Tyson said: "Everyone has a plan, until they take the first punch in the face." The good fighter is one who reacts quickly with a new plan, before taking a knockout.
And how can neo help your industry?
Neo Production Engineering is Siemens Smart Expert Partner and offers solutions with business analysis and implementation of APS software . We have created a new concept that values technological avant -garde and technical excellence, while we believe in human sensitivity, creative work and personalized and committed relationship. Between contact for the form below or our WhatsApp to learn more about our solutions and mark a personalized analysis for the needs of your business. Perform the sequencing of your production with who specializes in technological solutions.