Cost as a target, performance as a must
Overview
With operations on three different continents, Valmet Tissue Converting S.p.A is a leader in designing and producing machinery for tissue paper and packaging.
Founded in 1966 as Fabio Perini S.P.A. and today part of the German Körber Group, the company has evolved from a one-man enterprise into a multinational thanks to a state-of-the-art R&D department, numerous patents, and the introduction of innovative technologies.
.
Challenge
Being a leading company in a global market and in a high-tech industry is a major challenge. Valmet Tissue Converting S.p.A is well aware of this and has always been looking to the future through ongoing research into innovative technologies.
The company has never been about simple machines but about genuine solutions designed to meet concrete customer needs. Alongside this, the belief that industrial cost management right from the design phase is one of the key success factors.
The people involved
Today, there are several corporate figures involved in cost management, each with different purposes, methods and levels of detail.
Objective: to develop products that have an optimised BOM and meet the performance required by customers, while also meeting the Target Cost.
Objective: to evaluate suppliers’ offers quickly.
Objective: to calculate the cost of each machine, starting with the analysis of individual components up to complex assemblies.
Behind Valmet Tissue Converting‘s success:
LeanCOST
○ Optimisation of the costing process by reducing the time spent on estimating highly complex components, assemblies and structures. LeanCOST automatically identifies characteristic product parameters by importing geometry directly from the 3D model.
○ Simulation of costs under different production scenarios. LeanCOST allows the purchasing department to visualise the details of production cycles and carry out a facilitated negotiation with the supplier, considering several alternative scenarios. A useful support for make-or-buy, localisation, re-engineering decisions within the Group.
○ Better management of corporate know-how. LeanCOST allows calculated data to be exported and entered into company systems (ERP). Structured and shared information is nowadays of great help to the decision-making process in order to gain a competitive advantage in the market.
○ Evaluation of the best design solution. With just a few clicks, LeanCOST allows you to understand in real time how the cost of what you are designing varies.
“A constant focus on cost reduction and optimization, which are extremely complex but crucial activities for ensuring a profitable margin for the company, would not be missing”.
Valmet Tissue Converting
Costing Manager