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Complete System Construction In March 2004, Yangzi Petrochemical began to implement ERP management, and formulated the “Regulations for Material Plan Managementâ€, which clearly defined the preparation, review, reporting and management of the company's material requirements plan. However, the demand for work orders and delivery dates are inconsistent, and the demand is fragmented and changed frequently. The MRP (Material Requirement Planning) module of ERP runs the comprehensive balance of materials on a daily basis and cannot form bulk procurement advantages. In response to these problems, the company changed the previously-announced work order plan, which had been reported at any time and had a more prominent problem, to a monthly report, which clarified the specific time for monthly review and MRP operation. On the other hand, it was urgent for the production site. Demand materials shall be submitted at any time for manual operation of MRP at any time to ensure the supply of materials for production and overhaul.
Since the implementation of this provision, the existing problems have been solved one after another. Until 2006, the company’s declaration of material requirements plans exceeded the 99% pass rate and accuracy rate, eliminated the invalid orders in the ERP system, and scattered purchases became bulk purchases. Reduced procurement costs.
Strengthen training assessment In order to streamline the organization and meet the requirements of centralized management, Yangzi Petrochemical changed the original company and factory level management to company level management. In order to familiarize the procurement department personnel with the requirements and regulations of ERP materials management, YPC has organized two training courses successively to provide centralized training for the equipment directors and equipment personnel of the workshops. The relevant organizations of the ERP and procurement management have been organized and formulated in a targeted manner. 》Training materials, collating and compiling materials management plans, relevant management regulations of the headquarters of Sinopec, and ERP material codes. Through training, the front-line staff of the company has mastered the rules and regulations concerning the operation of the plan declaration in ERP and the management of materials, and has promoted the standardized operation of plan management.
At the same time, during the performance appraisal of each subordinate unit, Yangzi Petrochemical made an accurate, timely, and qualified rate of the material demand plan as a single assessment, the specification and completeness of the demand material description, the change of the demand plan, the completion of the control point, and the emergency plan. The application status of the declaration was strictly regulated and related assessment rules. The Department of Materials and Equipment integrated internal ERP operations and implemented a monthly ERP evaluation report, which was linked to bonuses to increase the level of employee ERP operations.
Early intervention in planning the source The planning of materials and materials is inseparable from the timely control of demand information. The implementation of ERP has made it easier to understand various kinds of information. However, to further improve the accuracy of the management of material plans, relevant management personnel should also be involved in planning sources at an early stage. Yangzi Petrochemical supplies management personnel participated in the company's production scheduling meetings and equipment work meetings, timely controlled the demand information of various materials, and made reasonable suggestions to provide fast and high-quality services for production; they actively involved in technical reform projects and other feasibility studies. To compile and grasp the actual situation on the front line, organize the design institutes and production plants to put forward opinions on procurement of materials, carry out procurement and ordering in advance for key equipment that requires a long time for manufacturing, and organize equipment personnel to deepen equipment installation scenes for equipment overhaul demand plans. Understand the problems that exist, so that the required supplies will be even more accurate, and the problems of disconnection between supply of materials and production and overhaul will be solved.
Yangzi Petrochemical: Making ERP Finer
“Fine†is a high value-added word in the petrochemical field. In order to further improve the ERP system and improve management efficiency, Yangzi Petrochemical has made the material plan through a complete system construction, intensive training assessment, and early involvement in the planning source. Management has become more refined.