A win – win situation: Cost optimisation on both sides!

Silo management for grain mills and their customers!

In Germany alone there are more than 260 large flour mills, in Asia the grain market is significantly greater and a very important industry. All around the world the situation is similar: Well-planned routes and carefully calculated stock levels are vital to achieve max cost optimisation during the material delivery process, however these are more than often jeopardised by daily reality.

WPAlogo
UWT Level Instrumentaion is marketed in Ireland by Wolf Process Automation

Bakeries, the customers of the mills, often place their orders to late and the mills are faced with having to supply material immediately in order to avoid production stop at the bakeries. This leads to unnecessary logistics costs caused by multiple deliveries and ultimately to an increase in costs for sides, the supplier and the customer. This is obviously in no one’s interest. But why are we confronted with these “fire-fighting” situations and how can they be avoided?

Lack of storage management in bakeries
Even bakeries with multiple storage silos often do not have an automated level monitoring system to control their inventory levels. Therefore these stocks have to be checked manually on a regular basis and an order has to be triggered to the flour supplier on time. Due to unforeseen fluctuations in demand or simply by not having verified the stock levels sudden emergencies arise that lead to unplanned extra tours for the mill.

Just the installation of sensors for level monitoring in the silos of the bakeries would bring a partial improvement. In this context often the willingness to invest is lacking because “it´s working as it is” regardless of the fact that it is a very costly and inefficient way to do it. But the ideal solution would be that the mills take responsibility of the level monitoring centrally for their customers and offer this as a special service thus optimising their own material and delivery disposition and at the same time reducing the administrative effort involved.

Of course the cost question arises immediately – who should pay?! Or maybe does it pay for itself? In fact, closer analysis shows that the mill’s investment would amortise itself in a relatively short time due to the cost savings brought about by the optimised supply chain process.

Central-level measuring for mills
UWT GmbH are known in the industry as the expert for level measurement in bulk solids and have been providing made-to-measure solutions for many decades. With its long-term experience it has developed an economical and practical solution in the form of a central level-remote system for flour mills. This system works like this:

Lotsystem Nivobob® NB4200

Lotsystem Nivobob® NB4200

On each silo of the bakery the maintenance-free lot system Nivobob® 4000 is fitted for level monitoring. For easy mounting, just a standard 1.5 inch threaded socket in the silo roof is necessary. At the bakeries the level signals are bundled by the UWT software Nivotec® combined with a Wago WebController and the information received is passed to the Internet using an Ethernet connection via a routed IP address. The mill can securely access this information (password-protected) via any internet browser at any time of the day over a pre-defined IP address). It is possible to include any number of other customers in the visualisation system – without additional hardware or costs for the mill. If the priority is to keep installation at the bakeries to a minimum a GSM modem can be used to remotely access the data. In this case for the data transmission no Ethernet connection is required, but only a SIM card in the WAGO to pass the modem. This modem collects all level signals and sends them in an encrypted log via mobile phone over the Internet to the appropriate controller in the mill. As only small amounts of data are being sent is a low priced SIM contract sufficient for this purpose.

Current silo levels always comfortable available on your PC using visualization software Nivotec®

Current silo levels always comfortable available on your PC using visualisation software Nivotec®

The current silo levels can be displayed at the mill control center using the UWT Nivotec® visualisation software which can be accessed via the Internet browser on any Ethernet PC. The controller can see the real-time status of the silos because the visualisation controller is directly integrated into the Ethernet system.

Advantages and benefits of the level-remote system:
The benefit of the whole system is the simplification of the material disposition processes leading to a reduction of costs for all parties involved.

  • The installation of the system in the bakery as well as in the mill is straightforward and can usually be carried out by the mills own service engineers
  • Control cabinets only have to be set-up once; afterwards no additional IT support is necessary.
  • All silo levels can be visualised at the same time
    -> material planning security
  • The system can be dismantled at one customer and installed again at another  -> no new costs when customers change

The mill is able to hold the correct material in stock according to the customer’s material requirements and can optimise the logistical routes and schedules. Simply the availability of the required information which can avoid the need for express deliveries or empty runs can reduce the administrative effort dramatically. On the customer side, at the bakery, the task of manually checking the material level within the storage silos is eliminated and production bottlenecks due to a lack of material are history.

The material flow now follows a standard process with much greater planning security: Last but not least it naturally leads to a more harmonious working relationship and increased satisfaction on both sides which ultimately mean a stronger partnership between customer and supplier.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: