Case Study GEMÜ manages its supply chain across plant and national borders
Thanks to the “data hub” PSIpenta/ERP and PSIpenta/MES, the GEMÜ Group achieves almost 100% on-time delivery - on all continents.
The specialist in valve, measurement and control systems for fluids operates in a challenging environment. With locations in 50 countries across five continents, the GEMÜ Group relies on standardized processes and procedures to ensure the same high quality everywhere. In this context, digitalization is one of the core strategic issues – and PSI's ERP and MES solutions are of particular importance as a central “data hub”. Enhanced with modules for adaptive production planning and control, the system ensures reliable and optimized processes as well as almost 100% on-time delivery.
About the GEMÜ Group
The GEMÜ Group (GEMÜ) develops and manufactures valves, measurement and control systems for liquids, vapors and gases for a wide range of applications. These include both standard products and customized solutions. Founded in 1964 by Fritz Müller as an independent family-owned company, the owner-managed group of companies, headquartered in Ingelfingen-Criesbach, now has 27 subsidiaries and six manufacturing companies. With its innovative strength, the company is one of Germany's successful “hidden champions”. GEMÜ is even the world market leader in the field of sterile process solutions.
Challenges
GEMÜ is a global technology company with a worldwide network. When establishing and maintaining standard processes and procedures at locations in over 50 countries, many national peculiarities and laws must be taken into account, including tax requirements. The company also relies on centralized and precise master data maintenance to ensure that the supply chain in the sales and production companies functions reliably.
Production characteristics
- Production and distribution companies in 50 countries on all five continents
- Consideration of country-specific characteristics
- Sophisticated supply chain
GEMÜ objectives
GEMÜ aimed to create a central “data hub” with the introduction and gradual company-wide distribution of PSIpenta/ERP and PSIpenta/MES. All information, including that from other IT systems, was to be collected in this data hub. The aim was to establish standardized, consistent processes in all companies within the group, which would lead to a high level of transparency in the requirements, scheduling and inventory situation. This is the basis for the overarching goal: reliable determination of deadlines across plant and national borders, and thus the achievement of a high level of delivery reliability worldwide.
The main objectives
- Implementation of a central data hub in the sales and production companies
- Standardization of processes and procedures at all locations
- Transparent presentation of the demand, scheduling and inventory situation
- Determination of reliable delivery dates across plant and country borders
Solution
PSIpenta/ERP acts as a central data hub in GEMÜ's IT landscape, exchanging information with numerous other IT solutions, including warehouse management, export control and MES modules, an assembly and serialization dialog, a BI and various design solutions. To do this, the company uses the ERP suite worldwide in all its sales and production companies.
Realization
The PSIpenta/Multisite ERP module is essential for multi-plant control. It ensures that the supply chain functions across plant and national borders and that master data is maintained centrally – i.e. only once. Due to the international positioning, time data is also divided into a local portion and a portion used across plants.
The key to identifying and resolving bottlenecks or delivery delays is the adaptive production planning add-on module. GEMÜ uses this to simulate and check the complete order process for each product, for example, and to compare the determined demand with existing stock levels, planned receipts and issues, and available production capacities using the BOM plans, and to reserve immediately required resources.
In addition, the so-called backorder resolution takes place daily, for which PSIpenta continuously determines optimized sequences of production and procurement orders.
Last but not least, the system continuously calculates the optimal settings for the order-relevant scheduling parameters and automatically regulates the corresponding control variables, based on the company's objectives, current figures from the ERP system, historical analyses and reliable forecasts.
Result
Almost 100% on-time delivery
Reliable delivery date forecasts when orders are placed; optimal capacity utilization; high transparency across all company departments: GEMÜ has achieved almost 100% on-time delivery by using PSIpenta/ERP and supplementary modules.
The result:
- Close and transparent interlinking of all GEMÜ companies
- Optimal utilization of capacities
- Reduction of tied-up capital
- High data transparency and availability across all plants and national borders
- Almost 100% adherence to delivery dates
Thanks to the close and transparent integration of all GEMÜ companies in the ERP system, the company has been able to concentrate stock at certain continental hubs. For example, the company supplies all European end customers directly from its production and logistics center in Germany. This has allowed GEMÜ to reduce the stock held by the other ten European companies.
Another decisive factor for GEMÜ is the transparency in all departments, which is ensured by the optimized interaction between the ERP core and the adaptive modules. The information from the integrated extension modules automatically enriches all data in the ERP core and is thus immediately available to all users.
Conclusion
PSIpenta/ERP with integrated modules – above all for adaptive production planning and control – provides GEMÜ not only with consistent processes across plant and country borders, but also with the necessary transparency to maintain almost 100% delivery reliability and to optimally plan resources and capacities. This means that the family-owned company is well equipped to continue its long success story.
