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Unlocking business efficiencies through inventory data enrichment

Project Objective: Enrich, optimise, and validate inventory data

Client: Oil and Gas Operator

Asset: 2 oil sands facilities

Location: North America

Software: Effio™

The request

ABL’s materials management team were tasked with enhancing and standardising material masters and enriching existing Bill of Materials (BoM) data within the clients CMMS and creating new BoMs for critical equipment.

Client challenges

  • A corporate initiative was driving a data transfer from Maximo to SAP and the client needed complete assurance that their materials data was SAP compliant to assure a successful transition
  • Significant duplication of materials existed in the CMMS resulting in overstocking of $19M worth of spare parts that were not required
  • Equipment costs in the CMMS were inaccurate, meaning the budget for spares was dramatically different to reality
  • Historic spares were attached to equipment and clogged up the system, meaning it was difficult to determine which was the correct spare – resulting in valuable engineering time being wasted
  • The maintenance, warehouse and procurement team had an extreme lack of confidence in the CMMS data accuracy and would issue “free text” purchase order requests which were difficult to interoperate and resulted in the wrong spares being ordered
  • Spare parts for decommissioned equipment on the plant had BoMs assigned, which resulted in holding unnecessary spares and tying up money unnecessarily
  • No central repository for inventory data existed meaning time was wasted searching for data and documentation required to order the correct parts

How we helped

  1. Validated every single tag that had a BoM assigned to determine the correct materials
  2. Validated the spares that were in the CMMS with the OEMs and Vendors and where obsolescence existed, a replacement part was recommended
  3. Created individual item materials that did not exist in Maximo
  4. Standardised and enriched material records to be compliant with the International ISO 8000 standard – global standard for data quality and enterprise master data
  5. Set min/max stock level recommendations
  6. Provided ongoing advice on how to sustain inventory data excellence post project delivery, to avoid a costly intervention in the future by putting processes in place to mitigate the same issues reoccurring
  7. Created CMMS load sheets and issued to the client for implementation

ABL’s materials data management software, Effio™, was used by the project team to deliver this inventory data enrichment solution.

Effio™ is capable of replicating our clients’ CMMS environment and provides a user friendly, secure, collaborative, and accessible platform for analysing, enriching and assigning materials to equipment tags efficiently, consistently, and accurately.

Effio™ is used as the QA/QC tool by our clients to review and accept master data changes and is proven to save an average of 30% on time and project costs when compared to traditional methodologies.

The deliverables

  • OEM and Vendor Validated BoMs: 1900 unique BoMs validated by the OEM/Vendors delivered in SAP load files
  • Material Masters: Standardisation and enrichment of existing and new material master
  • Min/Max Stock Levels: Min/max recommendations for the materials within the 1900 BoMs
  • Obsolete Replacement Part Recommendations: A list of replacement parts and their associated data points where materials were obsolete
  • Processes for Sustaining Master Data Excellence: Consultancy advice for how to sustain inventory data excellence post project delivery

“Working with ABL has ultimately been successful. They were steadfast and hardworking at building out the BoMs in the scope of this project. Their program Effio helped simplify communication and track progress of the project through determining spares, QA and then getting them ready to upload into our CMMS.
The other thing that went well with ABL was daily communication with the project leader to iron out any roadblocks. During my time work with ABL we have accomplished a lot and I hope to work with them again in the future.”

Senior Reliability Engineer, Oil and Gas Operator

The value we delivered

Equipment Availability

The correct spares are now identified in the CMMS to minimise risk of downtime and avoid unnecessary maintenance backlog

Optimised Inventory Spend

Inventory stock levels have been defined to avoid running the risk of overstocking or not having access to critical spare parts

Avoid Unnecessary Expenditure

Access to the correct BoM data now helps the asset to avoid purchasing the wrong equipment or spare parts causing unnecessary expenditure.

Supported Data Transfer Excellence

The inventory data is now SAP compliant and can be “lifted and shifted” from Maximo to SAP successfully, which will reduce costs associated with data preparation and transfer requirements

Time Efficiencies

Enabled part sourcing to be more time and cost effective through access to reliable, accurate and readily available data.

Assures the planners have the information they need to source the correct parts in a timely manner without paying premium prices associated with last minute orders or delaying maintenance