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Mayskaya mining company optimizes logistics

28.04.2015

Mayskaya mining company optimizes logistics
Logika BPM (I.T. Group) has accomplished the project to optimize logistic flows for the Mayskaya mining company. The logistics process model designed as part of the project will enable efficient management of all procurement procedures – from ordering to shipping products to various business units.

Mayskaya is one of the top gold mining companies in Magadan region. The company carries on a complete cycle of gold production, including exploration, mine development and enrichment of gold concentrate.

Operations by Mayskaya rely on a broad variety of vehicles, machinery and equipment, which require continuous maintenance and repair, so logistics is considered to be one of the key processes in the company, which needs closer attention to improve its efficiency.

The main objective of the BPM project for Mayskaya mining company was to design a “to-be” logistics process. Mayskaya’s experts worked together with consultants of BPM Logika to develop 11 models describing the logistics process throughout its chains – from creating requests by structural units to fulfill their production needs and formulating a procurement plan to releasing goods from the warehouse, ensuring the requests are met, concluding contracts, accepting goods in the warehouse and other logistic has detailed sub-processes.

As a result of the project, the “process owner”, the Logistics Department, now has guidelines in the form of the ARIS model which specifies communication between various service units throughout the process, such as key functions, their incoming and outgoing documentation, employee roles and IT systems that support the logistics process.

In addition, I.T. Group’s 1C consultants examined the integration quality of the logistics process modeled based on 1C: Enterprise 8, Mayskaya’s main information system. They also reviewed the process documentation in the information system, assessed potential functional improvements of the 1C: Enterprise 8 standard version and formulated proposals for the use of standard reports to monitor the process execution.

“At the end of the project, we have received a detailed model for logistic flows of our companies, which describes all stages of this complex process,” says Galina Pazushko, Head of Mayskaya Organizational Development. “In the future, this will allow us to ensure that all steps in the logistics process are implemented in a timely manner, starting from formulating needs and to issuing goods delivered by suppliers from the warehouse to our structural units. And, most importantly, this will make it possible to monitor and optimize inventory and purchase volumes.”

“Earlier, Mayskaya’s managers worked with not the logistics process itself or its results, as they were unable to see the entire thing. They rather managed individual tasks within the process and results of using the applications which automated these tasks,” says Mariya Kamennova, CEO Logika BPM. “There is no possibility to improve processes on a systematic basis in such a situation. For this reason, we always recommend that our customers visualize such complex and costly processes such as logistics in a graphical model, so that process owners understand how they can be improved.”


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