Salzgitter. Service. Stahl. Digital.

17.06.2016 | Salzgitter Flachstahl GmbH


Salzgitter. Service. Steel. Digital.

Industrie 4.0 at Salzgitter Flachstahl

We find ourselves in the middle of a fourth industrial revolution, the digitalization and networking of the worlds of work and business. Digitalization is rapidly changing companies and business models, offering opportunities, and making new demands on people, machines and processes. On the occasion of the symposium "The digital future of the supply chain" held in Düsseldorf on May 23/24, Salzgitter Flachstahl management board member Dr. Sebastian Bross presented Salzgitter Flachstahl's point of view on this topic.  Under the heading "Optimizing processes - Seizing opportunities", Dr. Bross described the difficult market environment and the growing demands all along the value chain. "In addition to premium, increasingly individualized products, today our customers expect fast, flexible and, above all, transparent processes," Dr. Bross summarized. "Digitalization is accelerating the processes while simultaneously creating the basis for greater transparency, and is therefore an elementary component in our corporate strategy.
 
Within the context of this strategy, Salzgitter Flachstahl is promoting the exchange of digital data (EDI). For example, today, an EDI connection enables around 80,000 orders to be processed at Salzgitter Flachstahl fully automatically instead of manually. In many cases, delivery notes, letter of reference, and invoices are transmitted online or can be retrieved from a platform. Today, customers receive answers and information in the shortest span of time. "But it is no longer enough for us simply to technically optimize individual systems and workflows or to think and act only within narrow confines (department, plant, company)," is Dr. Bross's message. "Instead, we are looking for improvements that can be implemented beyond just a single area or company. We are increasingly including our business partners directly in the design of the value creation processes." For example, Salzgitter Flachstahl has successfully run a vendor management inventory procedure with one customer for years. Within this process, Salzgitter Flachstahl fully automatically supplies the stocks to the customer via range control. In a further example, an inter-company information platform was able to increase an end customer's satisfaction. Based on this platform, a supplied service center’s end customer provides early information that is used to control the Salzgitter Flachstahl production. "This allows us to ensure a constant service center material supply in spite of different modes of production even if the end customer's demand fluctuates. The end customer's manufacturing is supplied on an as-needed basis," Dr. Bross reported. 

In order to achieve further competitive advantages, Salzgitter Flachstahl is currently pushing the expansion of electronic data exchange and material tracking all the way through to customers. "Our goal is to track/trace our shipments in the way commonly applied in the parcel services today. We are therefore counting on support from our carriers, shipping firms, rail service providers, and warehouse keepers. The consistency, combined with intelligent monitoring, allows us to react purposefully in close to real time," according to Dr. Bross. "In the future, production and the supply chain will be coordinated more quickly and more flexibly, while expenditures and inventory levels will be reduced as a result. And all of this will be online and transparent for customers. Consequently, in the future too, we will always be offering our customers the greatest possible benefits.”