Our client is a large multinational company that makes paper and glass from recycled materials. The company’s new replacement paper manufacturing facility relies entirely on recycled paper for raw material feed. Most paper that can’t be used or is rejected in the paper making process is used as a soil conditioner. Some is sent to land fill.
Our client wanted to concentrate on the “mission critical” processes related to making paper but were distracted by the non-core task of managing the supply of materials handling equipment and people for feeding waste paper into the facility and loading trucks with reject material.
This extended to the transport of reject material to rural sites where the reject material could be used as a soil conditioner, or transported to landfill if reject material quality did not meet the required criteria.
Several suppliers had been engaged in these separate processes however the complications arising from so many parties involved in the supply chain was distracting our client from its core business of making paper.
Our clients goal was very clear. Keep raw materials flowing in and keep the reject material away. While logistics is a critical but non-core activity for the client, it is a core activity for SCE who became the single supplier.
SCE supplied front end loaders and operators for the operation of the raw material feed yard, a 24/7 operation, as well as suitable trucks and equipment for the loading and removal of the reject material.
- Increased accountability. SCE owned and operated all equipment. There was one company accountable for all activities feeding the plant and taking the reject material away.
- As a result, equipment reliability went up.
- No more suppliers blaming each other for not being able to get their job done.
- Best practice adopted in supply chain management
- Client went back to doing what they do best – making paper.