Transformer device manufacturer uses Opcenter APS to increase capacity utilization and improve response to customers
Siemens Digital Industries Software solution Opcenter APS enables Narayan Powertech to raise inventory turns by 15 to 20 percent.
Narayan Powertech Pvt. Ltd. designs and manufactures customer engineered instrument transformers for the energy and utilities sector. The company was founded in 1996 and has a presence in 43 countries. It is an International Organization for Standardization (ISO) 9001, 14001 and Occupational Health and Safety Assessment Series (OHSAS) 18001 company.http://www.narayanpowertech.com/
- Vadodara, Gujarat, India
- Opcenter, Opcenter APS
- Industry Sector:
- Energy & utilities
Narayan Powertech Pvt. Ltd. (Narayan Powertech) designs and manufactures custom-engineered instrument transformers for the energy and utilities market. The company was founded in 1996 and has a presence in 43 countries. It is an International Organization for Standardization (ISO) 9001, 14001 and Occupational Health and Safety Assessment Series (OHSAS) 18001 company.
Narayan Powertech has significant manufacturing and design experience, which has enabled the firm to participate in the smart grid, optical sensor and energy management sectors. This expertise has allowed Narayan Powertech to transform its relationships with customers from being just a supplier to a strategic partner. They have been growing at 20 percent compound annual growth rate (CAGR), in part due to the diversification provided by their digitization and sensor technology products.
The firm’s products include medium-voltage transformers, low-voltage transformers, bushing-current transformers, fault-pass indicators and Rogowski, cast-resin components and current and voltage sensors.
Facing technical and business challenges
The company had major technical challenges with production efficiency, delivery deadlines and synchronizing the value chain. The company was also faced by business challenges, included producing and delivering a dynamic mix of large- and small-order quantities; a hybrid mix of make-to-order and engineer-to-order products; high-product variants with new diversified product developments; dynamic customer demand and rush orders as well as a lower percentage of make-to-stock items.
Additionally, the company was facing issues related to inconsistent data maintenance, manual and Excel spreadsheet software based planning and scheduling systems, lack of proactive solutions and long production meetings. The methods adopted to deal with ongoing issues were inadequate because of the dynamic rescheduling required to handle a high product mix, rush orders and capacity constraints; limitations of the in-house custom ERP system, which was insufficient to carry out finite capacity scheduling, and time-consuming systems prone to human errors.
Narayan Powertech was in need of a better predictive planning systems that could help them deliver on time as well as allow the company to balance the efficient utilization of their resources. With product portfolio diversification, the customer delivery requirements become stringent. The challenge was to meet the demand with the existing resources and manpower.
Choosing the right partner and product
Narayan Powertech found SNic Solutions to be an excellent partner because of its sound domain knowledge, shop floor practices and experience. As system integrators, SNic Solutions, a Siemens Digital Industries Software partner, could swiftly configure and customize Opcenter APS to meet the specific requirements of Narayan Powertech. Narayan Powertech chose Siemens Digital Industries Software’s Opcenter APS over other software because of its significant product capabilities. The aim of installing Opcenter APS was to provide:
Proactive predictive planning and scheduling instead of reacting to problems
Proactive communication with customers on delivery dates
Accurate delivery dates to customers
Accurate machine loading plan
Demand-centric identification of bottlenecks in advance
Supply demand synchronization
Visibility into a single plan across different departments
Effective resource utilization
By implementing Opcenter APS, Narayan Powertech sought to improve customer confidence and position themselves as a key strategic partner and an end-to-end solution provider.
Further, by using Opcenter APS, Narayan Powertech reduced the average customer lead time from four weeks to 2.5 weeks, and customer response time from three days to one day.
“Our sales have increased and we have gained strategic advantages,” says Chirag Shah, managing director of Narayan Powertech. “In these type of projects and implementations, you need to choose the right partners and SNic has very good knowledge of manufacturing and shop floor practices. Along with their knowledge of ERP systems, background and expertise, they enable us to integrate our planning software very efficiently and quickly. This has led us to become strategic partners with our customers rather than just suppliers and has helped us achieve 20 percent CAGR growth.”
“Opcenter APS is helping us meet our global customer requirements, such as reducing lead times, improving resource utilization, identifying bottlenecks and predicting accurate resource requirements,” states Sandip Shah, director of Narayan Powertech. “By using Opcenter APS, we have improved our on-time deliveries by more than 95 percent. We have used better inventory returns and resource utilization to improve our productivity by 15 to 20 percent. Our communication with customers and between management and operations has also improved significantly.”
“By improving our on-time deliveries by more than 95 percent, we have given our customers more confidence in our ability to handle more product variants and deliver on time,” says Hardik Brahmbhatt, senior planning engineer.”