STEAG Power Minerals accelerates logistics with leogistics Dispomonitor
STEAG Power Minerals GmbH, a 100% subsidiary of STEAG GmbH, with its numerous subsidiaries and regional partners, is the European competence leader in the recycling of by-products from coal-fired power plants. As a service provider to industry and the construction industry, the company focuses on two business segments: The takeover of power plant by-products as well as the production and supply of building materials, abrasives and industrial minerals. Our tasks also include supplying power plants with secondary fuels and absorbents for flue gas cleaning.
STEAG Power Minerals GmbH set itself the goal of making its business more efficient. To this end, the European competence leader in the recycling of power plant by-products wants to simplify, standardize, automate and accelerate its workflows.
This includes the entire order planning, from quotation to invoicing. In order to optimize this area throughout, the company was looking for an integrated complete solution for its two business areas of power plant by-products and abrasives. To implement the project, STEAG Power Minerals relied on the support of SAP logistics partner and solution provider leogistics GmbH from Hamburg.
It replaced obsolete island systems, integrated a modern order planning monitor into the central SAP ERP system and extended the SAP standard with additional functionalities. STEAG Power Minerals is thus able to register its first successes after only a short time.
STEAG Power Minerals set itself the goal of coordinating and unifying the two main business areas of power plant by-products and abrasives logistically more efficiently. This had far-reaching consequences for the company's IT system landscape. Until then, this consisted of an SAP ERP system in the power plant by-products division and individual software in the abrasives division.
The service provider also used SAP Process Integration (PI) to exchange information and data with the contractual power plants. Due to the heterogeneous IT landscape, the processes in disposition were therefore very different. It was difficult to efficiently coordinate and implement workflows. Different functions in the systems and a lack of transparency in the process flows made coordination complicated. For this reason, STEAG Power Minerals aimed for an overall solution for both business areas in order to optimize order scheduling and combine all business processes - from incoming orders to logistics processing to freight billing - in one powerful tool.
The TOP project (Technology Optimization Processes) was launched for this purpose. TOP's goal was in particular the standardization of both system and process worlds for more transparent logistic and accounting processes. This particularly affected freight billing, as freight costs account for the largest share of an order at STEAG Power Minerals. Cost reduction is of particular relevance here, as STEAG Power Minerals does not have its own fleet or shipping company, but commissions a large number of external freight forwarders and shipping companies. By unifying the processes and systems of the power plant by-products and abrasives divisions, the company pursued the goal of improving general data availability and data access as well as optimizing the communication chain. The overall objective was to automate, simplify and thus accelerate the work processes.
In order to achieve the goals set and to standardize the systems and process worlds in the two business segments, the project team first had to replace the old individual software in the abrasives area and the existing disposition tool in the power plant by-products area. The next step was to merge the business areas in a central SAP ERP system. The objective was clear: all information should flow together in a central disposition tool. The company wanted to make its order planning more effective and transparent with a customer-specific order planning monitor. In addition, all sales activities were to be integrated into the system so that all sales and customer data could be accessed continuously and directly. For this purpose, it was necessary to introduce SAP CRM and to connect the power plants via an IDoc interface. In addition, a uniform modern user interface (Web UI) was to be introduced to ensure user-friendliness. STEAG Power Minerals' abrasives plant in Lünen was also to be integrated into the new system landscape, which required the introduction of a check-in/check-out function in the processes.
This function makes it possible to register means of transport when they enter the plant premises and assign them to the pending shipments for loading (check-in). The registered means of transport are then used to weigh the loaded trucks when they leave the plant, to create delivery documents and to check them out. With the help of Check-In/Check-Out, factory traffic can be monitored and the loading and handling of the means of transport can be fully integrated and designed effectively.
Thus leogistics was able to fulfil all customer-specific requirements, establish new structures and realise the unit set as its goal without any problems. For this purpose, the consultants at leogistics GmbH used an integrative approach that made it possible to link all the necessary SAP modules with each other and optimize them according to customer requirements. This included the applications SAP CRM, SAP SD, SAP LE, SAP MM, SAP FI, SAP CO as well as SAP BI in order to be able to carry out targeted reporting. In addition, the leogistics tools CheckIn and Freight Cost Upload provided key functionalities that enabled STEAG Power Minerals to streamline its own logistics processes and make them more efficient.
At the same time, the consultants began developing and configuring the system. This allowed them to perform several integration tests at an early stage to ensure that all components were coordinated and harmonized with each other. This made it possible for leogistics to meet all industry-specific challenges and implement them as quickly as possible. However, it was not only necessary to integrate and optimize all business processes into the new SAP ERP complete solution. In addition, the project team had to integrate all production sites, such as the abrasives plant in Lünen, the scales and the cooperating power plants, into the complete system in order to be able to communicate reliable and exact quantity feedback. These are particularly important for STEAG Power Minerals, which is why virtual inventory management had to be integrated in all silo facilities. This inventory management forms the basis for the entire order disposition.
A further special requirement was the order processing as an order process. Although external suppliers transport the goods, STEAG Power Minerals is solely responsible for transport. For this reason, third-party processing must be included in materials planning. In addition, there were technical requirements that are usual for a waste disposal company. This included improving the communication flow with business partners, power plants and forwarders. These were to be provided with information via e-mail and fax that was not standard in the document flow.
leogistics fulfilled all special requirements with the introduction of the complete solution for the Power Plant By-products and Abrasives business units. For this purpose, leogistics' consultants implemented all necessary SAP applications in the existing SAP ERP group system. In this context, they also introduced a container management solution tailor-made for STEAG Power Minerals. This enables more efficient container accounting through continuous location determination and container movement data. In addition, the integration of virtual inventory management in all silo facilities provided a solid basis for future order planning.
This was decisively improved by the development of an order dispatching monitor. leogistics set the course for this.