WO2013112460A1 - Product management system - Google Patents

Product management system Download PDF

Info

Publication number
WO2013112460A1
WO2013112460A1 PCT/US2013/022523 US2013022523W WO2013112460A1 WO 2013112460 A1 WO2013112460 A1 WO 2013112460A1 US 2013022523 W US2013022523 W US 2013022523W WO 2013112460 A1 WO2013112460 A1 WO 2013112460A1
Authority
WO
WIPO (PCT)
Prior art keywords
module
master database
components
database module
mixtures
Prior art date
Application number
PCT/US2013/022523
Other languages
French (fr)
Inventor
Farrokh F. Radjy
Original Assignee
Radjy Farrokh F
Priority date (The priority date is an assumption and is not a legal conclusion. Google has not performed a legal analysis and makes no representation as to the accuracy of the date listed.)
Filing date
Publication date
Application filed by Radjy Farrokh F filed Critical Radjy Farrokh F
Publication of WO2013112460A1 publication Critical patent/WO2013112460A1/en
Priority to US14/139,734 priority Critical patent/US9254583B2/en
Priority to US14/140,264 priority patent/US9082147B2/en
Priority to US14/734,734 priority patent/US9519930B2/en
Priority to US14/990,722 priority patent/US9840026B2/en
Priority to US15/191,340 priority patent/US9836801B2/en

Links

Classifications

    • GPHYSICS
    • G06COMPUTING; CALCULATING OR COUNTING
    • G06QINFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q10/00Administration; Management
    • G06Q10/08Logistics, e.g. warehousing, loading or distribution; Inventory or stock management

Definitions

  • Input module 12 transmits to master database module 11 by communication line 21 data for storage in the form of mixture formulations, procedures for making the mixtures, individual ingredients or components used to make the mixture, specifics about the components, the theoretical costs for each component, the costs associated with mixing the components so as to make the product or mixture, the theoretical characteristics of the product, acceptable tolerances for variations in the components used to make the product, the time for making and delivering the product to the site and costs associated shipping the product.
  • the order can include the delivery site as well as the delivery date for the product .
  • Alert module 17 can also transmit final reports concerning the products to site module 16 and thereby allow the seller and the customer a way of managing the product .
  • Feedback provided throughout the production process, as illustrated above, allows the user and the manufacturer to manage costs and quality of the products. This is especially true given the alert aspect of the present Invention.
  • the customer or the manufacturer has the ability to make a decision not to continue the production or delivery of the product because the product has fallen outside of acceptable tolerances.
  • the concrete would be delivered to the customer site in San Francisco and the customer would have the ability to transmit information concerning the delivered concrete back to the master database module 11.
  • the site module 16 can also be used to provide the master database module 11 with actual heat of hydration measurements from the fresh state through the hardening process, and strength characteristics of the concrete after it is hardened.
  • the purchaser of the concrete in Los Angeles can monitor, on a real time basis, the concrete which is poured in his construction site in San Francisco without having to physically be in San Francisco.

Abstract

The product management system uses a single master database module to tie an input module, a sales module, a production module, a transport module, an alert module, and a site module, and receives feedback from the production module, the transport module, and the site module so as to manage cost and quality of the product manufactured in the plant and delivered to the customer.

Description

PRODUCT MANAGEMENT SYSTEM
Background of the Invention
This invention relates to a product management system for producing products made from mixtures of components wherein a consumer orders the product based on stored data relating to cost and physical characteristics of the product prior to the product being made. This invention is applicable to a number of industries, such as, the food manufacturing industry, the paint industry, the fertilizer industry, agricultural chemical industry and the ready mix concrete industry.
Prior Art
In a number of industries, consumers order a product based on a specification and subsequent to their order, the product is made from a plurality of components. Once the product is made, it is shipped by the manufacturer to the consumer. In these types of industries where an order is placed prior to manufacturing, orders are based on expected characteristics and costs of the product. When the product is made at a later date, it is important that the product be made and delivered according to the expected characteristics and costs. The reality is, however, that changes often occur during the manufacturing and shipping process because of unavailability of components, additions of too little or too much of the components as compared to the recipe, or entirely wrong components due to errors or malfunctions, or because of unforeseen changes that occur. Thus, individual components are at times incorrectly batched, or knowingly or unknowingly replaced with assumed equivalent components because the raw materials are not available or other reasons. One well known example is the use of sucrose or high fructose corn syrup in soft drinks. The use of one of these sweeteners is typically dependent upon the cost and availability of the sweetener at the time when the soda product is manufactured. The same is also true in the ready mix concrete industry where different types of cement and Pozzolanic cementitious materials, or chemicals, and different types of aggregates are not necessarily available in all parts of the world, or not accurately batched or switched purposefully or due to errors. Furthermore, in the ready mix concrete industry, it is common for changes in the mixed composition to occur during transport because of the addition of water and/or chemicals due to weather or length of the transport to the site where the ready mix concrete is poured. The same holds true during the batching process of concrete including adding too little or too much of the critical components water and cementitious, or the cementitious part to include for example too little or too much fly ash or other pozzolans such as slag.
Furthermore, in many of these industries, the sales, purchasing of raw materials, manufacturing and shipping processes are conducted independent of one another. Thus, the customer often receives a product which is somewhat different than they ordered.
There is a need for communication between the sales, purchasing, manufacturing and shipping departments so as to insure the cost and quality of the product which is delivered to the customer meet recipe and other specifications.
Summary of the Invention
The present Invention is a product management system directed to products made from a mixture of individual components where the consumer orders the product prior to its manufacture. The invention allows the user to manage costs and the quality of the product from the point of order through its manufacturing and the delivering of the product to the user's site. The invention uses a master database which communicates with the sales, purchasing, manufacturing and shipping units to monitor and control costs and quality of the product. The invention ties the sales, purchasing of raw materials, manufacturing of the product and shipping of the product to the customer together to allow for the management and control of cost and quality of the product. The invention allows for different ownership of different data while allowing others to use the data so as to perform their function. Thus, a user may own the mixture data but allow the manufacturer to use the mixture data in order to make the product. Such ownership is accomplished by having a single gateway to add data to the system and by using a single master database.
By using a single master database which stores all of the data relating to the mixture, the components to make the mixture, the method to make the mixture, specifics about the products to include its costs, methods of shipment as well as costs associated with each one of these items, the quality and costs are managed during production.
Furthermore, changes made at any point during the manufacturing process are transmitted to the master database so that a record is maintained on the product. This allows real time costs and real time quality control of the product. Thus, variations are minimized between budget goals and operations, both theoretically and actually. The invention also provides for alerts when the actual values vary from the theoretical values. Thus, if one component is replaced with an equivalent, the master database is notified and an alert can be generated if the replacement component is not within specified tolerances. Or if one or more components are batched in the manufacturing process in amounts exceeding specified tolerances as compared to the target, theoretical amounts for each component, then an alert will be issued.
By tying the sales, purchasing of components and raw materials, formulations of mixtures, production of the mixtures and products and the shipping of the products, together through a master database, the costs and quality of the product is managed .
In the invention, actual and theoretical data is captured and stored in the master database. Comparisons between theoretical and actual values are made and alerts are generated where the actual falls outside the tolerances set by the theoretical . Such alerts are done in real time because each of the separate units of purchasing, manufacturing and transport provide feedback to the master database.
Broadly, the product management system of the present invention can be defined as comprising: a master data module having stored therein mixtures, components used to make the mixtures, amounts of each of the components in the mixtures and a first cost associated with each of the components; an input module in communication with the master database module and transmitting the mixtures, the components, amounts of each of the components in the mixtures, and first cost to the master database module; a sales module in communication with the master database module, the sales module receiving displays of the mixtures, the components, amounts of each of the components in the mixtures, and the first costs, and the sales module
transmitting orders of the mixtures to the master database module from a user of the sales module; a production module in communication with the master database module and associated with a production facility, the production module receiving orders for the, mixtures, the production facility makes the mixtures and the production module transmitting changes made to the mixture during making of the mixture to the master database module; a transport module in communication with the master database module and associated with a transport vehicle, the transport vehicle receiving the mixture from the production facility and transporting the mixture to a site, and the
transport module transmitting changes made to the mixture during transport of the mixture to the site to the master database module; and an alert module in communication with a master database module and receiving alerts of unacceptable changes to the mixture from the master database module and forwarding the same to the user.
Preferably, in the system of the invention, the input module transmits acceptable tolerances of the mixtures to the master database module and the master database module stores the acceptable tolerances, the master database module generates the unacceptable change alerts based on a comparison of acceptable tolerances and the changes.
It is also preferred in the system of the invention that the input module transmits performance characteristics of the mixture to the master database module, the master database module stores the performance characteristics, and the sales module receives from the master database module the performance characteristics and displays the performance characteristics to the sales module. It is also preferred in the system of the invention that the input module transmits to the master database module, second costs associated with mixing the components to make the mixture and third costs associated with transporting the mixture to the site. The master database module stores the second and third costs and the sales module receives from the master database module and displays the second and third costs.
It is furthermore preferred that the system of the invention have a purchasing module in communication with the master database module and is associated with a raw materials supply facility, the purchasing module receiving orders for the raw materials used to make the mixture from the master database module and transmit to the master database module actual costs of the components purchased; and the master database module compares the actual costs of components purchased to a theoretical cost of components and transmits an alert to the alert module if the actual costs of the component exceed an acceptable tolerance for the theoretical costs of the components, purchased raw materials are sent to the production facility.
These and other aspects of the present invention may be more fully understood by reference to one or more of the following drawings. Brief Description of the Drawings
Figure 1 is an overview of the system of the invention;
Figure 2 is a decision process of the production facility based on available raw materials at the plant;
Figure 3 is a decision process in the master database module when purchasing new raw materials; Figure 4 illustrates the alert process when an equivalent component is substituted at the plant for the exact component; and Figure 5 illustrates the decision process of the master database module when changes are made during transport of the product to the user's site. Figure 6 illustrates the decision process of the master database module when changes are made during production . Detailed Description of the Invention
Figure 1 illustrates product management system 10 having master database module 11, input module 12, sales module 13, production module 14, transport module 15, an optional site modules 16, an alert module 17 and an optional purchasing module 18.
Master database module 11 is suitably a server equipped with a screen and keyboard. Modules 12-18 are suitable CPU units with screens for displaying and keep displaying data and keyboards for inputting data to the module.
Each module 12-16 and 18 transmits data to master database module 11 by communication lines 21-26, respectively. Master database module 11 transmits data to modules 13, 14, 17 and 18 by communication lines 31-34, respectively. Alert module 17 transmits alerts to customers by communication line 35 to site module 16. Suitable communication lines include the internet or other conventional means used by computers to communicate such as telephone lines and wireless methods.
Master database module 11 stores data inputted from modules 12-16 and 18.
Input module 12 transmits to master database module 11 by communication line 21 data for storage in the form of mixture formulations, procedures for making the mixtures, individual ingredients or components used to make the mixture, specifics about the components, the theoretical costs for each component, the costs associated with mixing the components so as to make the product or mixture, the theoretical characteristics of the product, acceptable tolerances for variations in the components used to make the product, the time for making and delivering the product to the site and costs associated shipping the product.
Typically, the data transmitted by input module 12 to master database module 11 and stored in master database module 11 is historical in nature. Such historical data is used by the sales personal through sales module 13 to make the sales of the product .
Sales module 13 receives historical data in the form of a menu by communication line 31 from master database module 11 relating to the products or mixtures that are managed by system 10, the components that make up those products/mixtures, the theoretical costs associates with the components, making the mixture and delivery of the mixture, times for delivery of the mixture and theoretical characteristics and performance specifications of the product.
From the menu, the customer chooses the products they wish to order and sales module 13 transmits by communication line 22, master database module 11 an order for the product. The order can include the delivery site as well as the delivery date for the product .
In some industries, it will be recognized that the customer may input specialty products into system 10. Such input can be accomplished through input module 12. Based on the order inputted to master database module 11, master database module 11 places an order for production of the product to production module 14 by communication line 32. This order to the production module 14 includes the mixture or product to be made, the components to be used to make the mixture or product, the specifics about the individual components, the method to make the mixture and the delivery dates.
Production module 14 is located at a production facility for manufacturing product in accordance with the order.
Production module 14 has stored data as to the specifics of the individual components or raw ingredients on hand at the facility. The manufacturing facility can then go forward and make the mixture/product if the exact components or ingredients are on hand. If the plant does not have on hand the exact components needed to make the mixture/product, then the production module 14 has two options. The first option is to send an order by communication line 32 to master database module 11 to purchase the exact component. The second option is to replace the exact component with a known equivalent component and to send the master database module 11 notification by communication line 23 of the replacement. Such a replacement may change the cost of the raw materials and/or the characteristics of the mixture/product which is finally made. Figure 2 illustrates the two options and the decision process made by production module 14.
If a purchase order is placed from production module 14 to master database module 11, then master database module 11 places an order by communication line 34 to purchase module 18 to purchase the needed components or raw materials. Purchase module 18 transmits by communication line 26 the specifics of the components that it has purchased and the estimated delivery date to the plant or manufacturing facility as well as the costs associated with the component. Purchase module 18 is associated with a raw material/component supply facility.
If production module 14 exercise options 1 or 2, then master database module 11 compares the new components, either the one replaced by the plant or the one purchased by the purchase module 18 for costs and/or performance in the final mixed product. If the replacement falls within acceptable tolerances both for performance characteristics and cost, then production is continued. If the cost or characteristics of the raw ingredients fall outside acceptable tolerances, then master database 11 transmits an alert by communication line 33 to alert module 17 and alert module 17 transmits by communication lines 35 an alert to the customer. As shown in Figure 1, the alert from alert module 17 is transmitted by communication lines 35 to site module 16. Figure 3 illustrates the alert with respect to the purchasing process and Figure 4 illustrates the alert process when the plant replaces an exact ingredient with a known equivalent .
Production module 14 receives recipe and components instruction from the database module 11 for manufacturing product. But it is not unusual that batched amounts of each component as compared to the theoretical recipe amounts show variances due to statistical or control factors.
Fig 6 alerts process performed; when the quantity variances are outside the specified tolerances, alerts are transmitted and obtained recipe and cost variances from targets sent to the master database.
The plant after manufacturing the product uses a transport to move the product/mixture to the customer's site. Such transport includes trucks, trains, planes, and ships. Such transports are equipped with transport module 15. Transport module 15 transmits by communication line 24 to master database 11 information concerning the transport. The information concerning the transport can include changes which are done to the mixture or length of travel or temperatures or other events that occur during transport. For example, in the ready mix concrete industry it is common for the truck transporting the mixture from the plant to the site to add water and/or chemicals during the transport process. Such addition of chemicals or water is transmitted to master database module 11 by communication line 24. Also in ready mix concrete industry measuring and transmitting concrete temperature during transport is advantageous since such data can be a) interpreted as a maturity value per ASTM cl074; b) in combination with reference heat of hydration data interpreted as degree of hydration attained during transport; c) the data thus obtained in combination with reference strength and heat of hydration data interpreted as pre-placement strength loss due to pre-hydration prior to discharge of concrete at project site.
Such information which is transmitted by transport module 15 to master database module 11, is then analyzed by master database module 11 to determine whether the changes that are made are within acceptable tolerances. If they are not within acceptable tolerances, then an alert is issued. The alert process performed by the master database module 11 concerning the transport is illustrated in Figure 5.
The customer's site or location is preferably equipped with a site module 16 which transmits by communication line 25 information about the mixture of product that is delivered to the site back to the master database module 11. Such information can include the actual performance of the product delivered such that master database module 11 can store the actual performance and provide the customer with a report concerning the product .
Site module 16 also receives the alerts from alert module 17 by communication line 35.
It will be recognized that the function of alert module 17 can be part of master database module 11 or it can be a separate module .
Alert module 17 can also transmit final reports concerning the products to site module 16 and thereby allow the seller and the customer a way of managing the product . Feedback provided throughout the production process, as illustrated above, allows the user and the manufacturer to manage costs and quality of the products. This is especially true given the alert aspect of the present Invention. At any of the alerts, the customer or the manufacturer has the ability to make a decision not to continue the production or delivery of the product because the product has fallen outside of acceptable tolerances.
With respect to many industries, it will be understood that there can be a plurality of production modules, a plurality of transport modules, and a plurality of site modules. For example, in the ready mix concrete industry, the master database module 11 could be housed at a server in Pittsburg, Pennsylvania. The sales force could be located in Los Angeles, California, where the sales module 13 is physically located. Sales could be made in Los Angeles for a site in San Francisco, California. Thus, the master database module 11 outputs an order to a production module 14 which is located at a ready mix plant in the vicinity of San Francisco, California. It is also possible that an individual production plant in the vicinity of San Francisco cannot handle the volume of the concrete that is needed for the job site in San Francisco. In such a case, the master database module 11 would output to a plurality of plants, each having production module 14 the necessary orders for fulfillment. Thus, a plurality of production modules, one in each of the various plant exists. The plants then transport through their trucks the ready mix concrete to the customer site in San Francisco. These trucks would each have the transport module associated therewith. Any one of the plants may not have the specific components that have been ordered for the concrete. Thus, there may be adjustments made at the plant to the concrete mixes and these adjustments transmitted back to the master data base module. Such adjustments would then be processed through the decision process as illustrated in Figure 4 or if material had to be ordered through the decision process illustrated in Figure 3.
During the transport of the ready mix concrete from the various plants, the transport modules 15 in each of the trucks would transmit to the master database module 11 any changes made to the mixture. The master database module 11 would then go through the decision process in Figure 5. In a similar manner, changes occurring during production in module 14, would result in the master database going through the decision process in Figure 6.
Finally, the concrete would be delivered to the customer site in San Francisco and the customer would have the ability to transmit information concerning the delivered concrete back to the master database module 11. The site module 16 can also be used to provide the master database module 11 with actual heat of hydration measurements from the fresh state through the hardening process, and strength characteristics of the concrete after it is hardened. By providing the feedback from the various modules to the master database module 11, the purchaser of the concrete in Los Angeles can monitor, on a real time basis, the concrete which is poured in his construction site in San Francisco without having to physically be in San Francisco.
Furthermore, the customer in Los Angeles can monitor the costs on a real time basis associated with the concrete which is delivered to the site in San Francisco.
Furthermore, the ready mix concrete producer can associate in real time concrete performance variances from specified expectations, and correlate such variance to actual batched versus the expected specified recipe. These capabilities make this invention valuable for affecting consistent, low standard deviation production batching from the mix recipe baseline, and thus producing concrete that has a consistent strength performance with low standard deviation. Using ACI 318 statistical quality criteria, it can be shown that each 1% cement or water variance from the mix design theoretical recipe value can result in a cost impact of around $0.2 to $0.4 per cubic yard. Since data show that such variances can range from 2% to 10%, the cost impact range becomes from $0.4 to $10 per cubic yard annually, which is a very large percentile of the average profit of the ready mix concrete industry, which is on the order of $l/cubic yard.
Such an integrated process allows for the management of the overall ready mix concrete industry and allows the customer control over their construction site.
CONCRETE CONSTRUCTION & MANUFACTURING EXAMPLES
Examples are for three different market segments:
A. Ready Mix Concrete
B . Contractors
C. State Authorities
CLOSED LOOP SOLUTIONS OVERVIEW
CLOSED LOOP SOLUTIONS™ - THE UNDERLYING CONCEPT
Each operation has a set of theoretical goals and obtained physical or actual results
Practically all operational IT architectures include a
collection of disparate information systems that need to work together
CLS is an information technology solution that enforces:
Data Integrity across linked or associated disparate information systems (Ready Mix Example: Mix costs & formulae to have data integrity or be the same across mix management, sales, dispatch, batch panels, and business systems) Closed Loop Data Integrity, meaning that the operations' goals and its actual physical results match within tolerances
(concrete batch & mix BOMs (Bill of Materials) closely match)
FOUR TYPES OF CLS FOR DIFFERENT MARKET SEGMENTS
I. Ready Mix Producers: Closed Loop Integration® (CLI):
1) CLI has been implemented as a CLS application for many Ready Mix Producers in the US and Canada.
2) CLI applications are real-time, two-way interfaces with production systems
3) The main purpose of CLI is to enforce data integrity between batches in trucks and parent mix designs; CLI closes the loop between the mix management and production cycles.
II. Ready Mix Producers: Closed Loop Sales Management (CLSM) :
1) CLSM Will be introduced during 2012 as a CLS
application for Ready Mix Producers in the US and Internationally .
2) The main purpose of Closed Loop Sales is a project- based workflow for the industry sales process, tracking actual versus target profitability, This application closes the loop between actual and target profitability factors. The key benefit is maximizing profitability.
III. Contractors: Closed Loop Quality & Cost :
1) This solution for the Contractor market segment will the same as the Closed Loop Quality application, except that it would also include concrete delivered cost management
2) The main purpose of Closed Loop Quality & Cost is a real time enforcement of placed concrete obtained specs and performance to the applicable project specs , plus monitoring placed versus as-purchased cost - This application Closes the loop between both the delivered versus specified project concrete performance and cost.
IV. State Authorities: Closed Loop Quality:
1) This solution will be developed for the Authorities market segment as a modification of the CLI production driven Ready Mix application
2) The main purpose of Closed Loop Quality is a real time enforcement of placed concrete obtained specs and performance to the applicable project specs. This application Closes the loop between the delivered versus specified project concrete performance .
APPLICATION EXAMPLES DETAILS
[A] READY MIX CONCRETE PRODUCERS - CLS TYPE : CLOSED LOOP INTEGRATION for real time, production level, consolidated mix management I . Ready Mix Key Needs :
1) Consolidate critical mix, cost, and quality data in a single database
2) Minimize quality issues 3) Utilize materials efficiently
4) Real time information visibility - customized by user profile
Ready Mix Economics & its Management - (see next slides for details) :
1) 50% to 70% of cost of business (COB) is cost of
materials (COM)
2) A 1% increase in COM translates to more than a 10% profitability drop
3) Thus, production level materials management is crucial to profitability
Figure imgf000024_0001
To meet quality, materials utilization, and information
visibility needs:
1) Optimize mixes to performance and cost goals in the Quadrel consolidated database using mix optimization tools.
2) Implement Closed Loop Integration (CLI) for the production level management of optimized mixes; use Quadrel iAlerts for alert notification of out-of -tolerance batches.
3) Use CLI to ship concrete to mix baselines for implementing production level, real time cost and quality management. The CLI process in effect uses mixes as a budgetary tool for both quality and cost control.
Figure imgf000025_0001
[B] CONTRACTORS - CLS TYPE: Closed Loop Cost & Quality For real time, consolidated concrete cost and quality management I. Contractor Key Concrete Related Needs:
1) Consolidate all aspects of concrete related data across all projects in a single database.
2) Ensure obtained quality meets specs in order to minimize quality issues and avoid project delays
3) Track & match up contracted volume & cost versus actual delivered volumes & costs
4) Real time information visibility - customized by user profile
II. Basic Contractor Economics:
1) Concrete cost and quality related schedule delay can amount to around 16% in profit loss, (details in next slide)
2) Thus, production level concrete quality and cost management are crucial to contractor profitability
III. Closed Loop Solution to meet quality, cost management, and information visibility needs:
1) Implement Closed Loop Cost & Quality (CLCQ) for the real time management of obtained versus a) spec'd performance and recipe factors, b) Actual versus budgeted cost and volume factors; use Quadrel iAlerts for alert reporting & notification of all out-of- tolerance monitored variables. 2) For each project, consolidate quality & engineering team, tests, concrete deliveries & poured volumes, cost, project mix designs and specs, project documents, in a single Quadrel database; do this across all of the contractor's projects in one or more countries - makes possible sharing and learning cross project experience
3) Use CLCQ to maintain quality, enforce meeting specs in real time, enforce budgetary cost & volume goals, and create real time, production level visibility including alerting reports.
Contractor Concrete Economics
1. 10% to 20% of a project cost is concrete cost; in the
Middle East this number is probably closer to 20%
2. Since contractor margin is on the order of 1% to 5%, a 1% change in concrete cost results on average in about a 8% profitability drop
3. Additionally, it's import to avoid schedule slippage due to quality issues:
1. Each delay day is roughly 0.2% to 1% of total project cost - assume 0.2%
2. Each delay day due to concrete quality for a $100 mil project will cost $200,000, or roughly an 8% drop in profitability
4. Concrete cost and quality schedule delay can total to
around 16% in profit loss. 5. Thus, Production level quality and cost management are crucial to contractor profitability, and the related cost factors can be managed by the proposed Closed Loop Solution
[C] STATE AUTHORITIES - CLS TYPE: CLOSED LOOP QUALITY or real time, consolidated concrete quality management
I. State Authority Key Concrete Related Needs:
1) Consolidate all aspects of concrete related data
across all projects in a single database including mix specs and designs, batch data, and test data, as well as the required QC/QA plan
2) Make possible data access, input, and sharing cross projects, and by project-based entities
3) Ensure obtained quality and performance meet specs in order to minimize quality issues and avoid project delays ..
4) Tracks & match up contracted costs & volumes versus actual values
5) Real time information visibility - customized by
project & user profile I. State Authority Economics - Costs of poor quality and
reduced longevity (details next slide) :
1) Assume: $100 mil structure; 30,000 m3 concrete @
$100/m3 delivered
2) Concrete quality related schedule delay costs can
amount to $70 , 000/delay day 3) Poor quality future repair costs can amount to $120,000 per 1% increase in strength CV
4) If the building service life is reduced by one year due to poor quality, then a revenue loss of around $1.25 mil. can result.
5) Thus, production level, real time quality and cost
management is crucial to the owner economics
6) These significant cost factor can be managed by the proposed Closed Loop Solution
III. To meet quality, cost management, and information
visibility needs:
1) For each project, consolidate concrete production volumes, project mix designs and specs, an tests in a single Quadrel database. Also, include the QA/QC plan,
2) Make possible data access, input, and sharing across projects. Restrict access by project and user profile. Include: State officials, Engineers/Architects,
Contractors, Test Labs, and Ready Mix Producers
3) Implement Closed Loop Quality (CLQ) for the real time management of obtained versus spec'd performance and recipe factors; use Quadrel iAlerts for alert
notification of out-of- tolerance batches. Reconcile tests against QC/QA plan.
4) Create real time, production level visibility
including alerting reports. State Authority Concrete Economics
Assume a $100 mil structure requiring 30,000 m3 concrete ® an average of $10Q/m3 delivered.
1. Suppose that :
1) The owner wishes to amortize the $100 mil cost during a 10 -year period, which amounts to a monthly rate of $833,333, and wishes to lease the building for the same amount
2) The owner takes a 30 year mortgage @ 5% interest amounting to a monthly payment of $535 k.
3) This leave a monthly cash flow of around $300 k, or $3.6 mil/yr
2. Poor Quality Cost Factors include:
1) Each delay day results in an opportunity cost of roughly $70,000, or around 2% of annual cash flow
2) If poor quality goes unnoticed, and is repaired at a later date, each 1% increase in the 28-day strength coefficient of variation from its ACI 318 design base, can result in future repair costs of $120k, or around 7% of the annual cash flow.
3) If poor quality goes unnoticed, and is not treated, each one year reduction in the service life can amount to $3.6 in lost revenues. Annualized over the first 10 years, this changes the monthly cash flow to around a loss of ($60,000) 3. Concrete poor quality costs without a reduction in the service life can amount to around 9% of cash flow; with service life reduction, the cash flow can turn negative.
4. Thus, Production level quality management is crucial to the owner economics, and the related cost factors can be
managed by the proposed Closed Loop Solution
The invention, as described herein, may be embodied in other specific forms without departing from the spirit or central attributes of the invention and it will be understood that the claims are intended to cover modifications, alternative constructions and equivalents that fall within the spirit and scope of the invention as expressed by the claims.

Claims

WHAT I CLAIM IS :
1. A product management system comprising: a master database module having stored therein mixtures, components used to make the mixtures, amounts of each of the components in the mixtures, and a first cost
associated with each of the components; an input module in communication with the master database module and transmitting the mixtures, the components, amounts of each of the components in the mixtures, and the first cost to the master database module; a sales module in communication with the master database module, the sales module receiving displays of the mixtures, the components, amounts of each of the components in the mixtures, and the first costs and transmitting orders of the mixtures to the master database module from a user; a production module in communication with a master database module and associated with a production facility, the production module receiving orders for the mixtures, the production facility making the mixtures and the production module transmitting changes made to the mixtures during making of the mixtures to the master database module ; a transport module in communication with the master database module and associated with a transport vehicle, the transport module transmitting to the master database module changes made to the mixture during transport; and an alert module in communication with the master database module and receiving alerts of unacceptable changes to the mixture.
2. The system of Claim 1 wherein the input module transmits acceptable tolerances of the mixture to the master database module, the master database module stores the acceptable tolerances, the master database module generates unacceptable change alerts based on a comparison of the acceptable tolerances to the changes.
3. The system of Claim 1, wherein the input module transmits performance characteristics of the mixture to the database module, the master database module stores the performance characteristics, and the sales module receives from the master database module the performance characteristics and displays the performance characteristics.
4. The system of Claim 1 wherein the input module transmits to the master database module second costs associated with mixing the components to make the mixture and third costs associated with transporting the mixture to the site, the master database module stores the second and third costs, and the sales module receives from the master data base module and displays the second and third costs.
5. The system of Claim 1, further comprising a purchasing module in communication with the master database module and associated with a raw material supply facility, the purchasing module receiving orders for components to be used to make the mixture from the master database module and transmitting to the master database module actual costs of components purchased and characteristics of components purchased, the master database module storing the actual costs and characteristics of the components purchased and comparing the actual costs and characteristics of the components purchased to the theoretical costs and characteristics of the components in the mixture and transmitting an alert to the alert module if the actual costs or actual characteristics exceed acceptable tolerances for the theoretical costs or characteristics of the components.
PCT/US2013/022523 2012-01-23 2013-01-22 Product management system WO2013112460A1 (en)

Priority Applications (5)

Application Number Priority Date Filing Date Title
US14/139,734 US9254583B2 (en) 2012-01-23 2013-12-23 Systems, methods and apparatus for providing comparative statistical information for a plurality of production facilities in a closed-loop production management system
US14/140,264 US9082147B2 (en) 2012-01-23 2013-12-24 Systems, methods and apparatus for management of a closed loop production system for use in the production of a formulation-based product
US14/734,734 US9519930B2 (en) 2012-01-23 2015-06-09 Systems, methods and apparatus for management of a closed loop production system for use in the production of a formulation-based product
US14/990,722 US9840026B2 (en) 2012-01-23 2016-01-07 Systems, methods and apparatus for providing comparative statistical information for a plurality of production facilities in a closed-loop production management system
US15/191,340 US9836801B2 (en) 2012-01-23 2016-06-23 Systems, methods and apparatus for providing comparative statistical information in a graphical format for a plurality of markets using a closed-loop production management system

Applications Claiming Priority (4)

Application Number Priority Date Filing Date Title
US201261589640P 2012-01-23 2012-01-23
US61/589,640 2012-01-23
US201261591313P 2012-01-27 2012-01-27
US61/591,313 2012-01-27

Related Parent Applications (1)

Application Number Title Priority Date Filing Date
PCT/US2013/041661 Continuation-In-Part WO2013173764A1 (en) 2012-01-23 2013-05-17 Quality control and cost management system for cementations mixtures

Related Child Applications (3)

Application Number Title Priority Date Filing Date
PCT/US2013/041661 Continuation-In-Part WO2013173764A1 (en) 2012-01-23 2013-05-17 Quality control and cost management system for cementations mixtures
US14/139,734 Continuation-In-Part US9254583B2 (en) 2012-01-23 2013-12-23 Systems, methods and apparatus for providing comparative statistical information for a plurality of production facilities in a closed-loop production management system
US14/140,264 Continuation-In-Part US9082147B2 (en) 2012-01-23 2013-12-24 Systems, methods and apparatus for management of a closed loop production system for use in the production of a formulation-based product

Publications (1)

Publication Number Publication Date
WO2013112460A1 true WO2013112460A1 (en) 2013-08-01

Family

ID=48873836

Family Applications (1)

Application Number Title Priority Date Filing Date
PCT/US2013/022523 WO2013112460A1 (en) 2012-01-23 2013-01-22 Product management system

Country Status (2)

Country Link
CO (1) CO7101196A2 (en)
WO (1) WO2013112460A1 (en)

Citations (5)

* Cited by examiner, † Cited by third party
Publication number Priority date Publication date Assignee Title
US20020147665A1 (en) * 2001-04-05 2002-10-10 Tillery Jeffry Alan System, methods, and apparatus for facilitating providing a quote
US20030145043A1 (en) * 2002-01-30 2003-07-31 General Electric Company Comprehensive system and method for facilitating communication between a supplier and a retailer
US7092893B2 (en) * 2003-01-28 2006-08-15 Praxair Technology, Inc. Control of liquid production of air separation plant network
KR20080072955A (en) * 2005-11-29 2008-08-07 더 보잉 컴파니 Methods, systems, and computer integrated program products for supply chain management
JP2011063955A (en) * 2009-09-15 2011-03-31 Seiko Epson Corp Management method, communication device, and transport equipment

Patent Citations (5)

* Cited by examiner, † Cited by third party
Publication number Priority date Publication date Assignee Title
US20020147665A1 (en) * 2001-04-05 2002-10-10 Tillery Jeffry Alan System, methods, and apparatus for facilitating providing a quote
US20030145043A1 (en) * 2002-01-30 2003-07-31 General Electric Company Comprehensive system and method for facilitating communication between a supplier and a retailer
US7092893B2 (en) * 2003-01-28 2006-08-15 Praxair Technology, Inc. Control of liquid production of air separation plant network
KR20080072955A (en) * 2005-11-29 2008-08-07 더 보잉 컴파니 Methods, systems, and computer integrated program products for supply chain management
JP2011063955A (en) * 2009-09-15 2011-03-31 Seiko Epson Corp Management method, communication device, and transport equipment

Also Published As

Publication number Publication date
CO7101196A2 (en) 2014-10-31

Similar Documents

Publication Publication Date Title
US9519930B2 (en) Systems, methods and apparatus for management of a closed loop production system for use in the production of a formulation-based product
US9840026B2 (en) Systems, methods and apparatus for providing comparative statistical information for a plurality of production facilities in a closed-loop production management system
US9776455B2 (en) Systems, methods and apparatus for providing to a driver of a vehicle carrying a mixture real-time information relating to a characteristic of the mixture
US20160203430A1 (en) Systems, methods and apparatus for dynamic management of a closed loop production system and production of a formulation-based product
US20150213459A1 (en) Systems, methods and apparatus for providing a graphical representation of statistical performance and benchmarking data for one or more production facilities in a closed-loop production management system
Patel et al. Construction materials management on project sites
CN110766528A (en) Client credit self-evaluation factory real-time intelligent analysis management system
US20120221379A1 (en) Facility control system (fcs) to manage assets and products
US20090150208A1 (en) Method and apparatus for integrated inventory and planning
Madhavarao et al. A critical analysis of material management techniques in construction project
Du et al. Production planning conflict resolution of complex product system in group manufacturing: a novel hybrid approach using ant colony optimization and Shapley value
Pan et al. Enhancing construction project supply chains and performance evaluation methods: a case study of a bridge construction project
US20160379318A1 (en) Systems, methods and apparatus for management of a closed loop production system for use in the production of a formulation-based product
US20160203567A1 (en) Systems, methods and apparatus for transmitting to and receiving from a communication device information relating to a batch of a product produced in a closed-loop production management system
Škerlič et al. A model for managing logistics costs throughout a product’s life cycle: a case study of a multinational manufacturing company
WO2013112460A1 (en) Product management system
Khaminich et al. Managing the Product’s Creation of an Innovation-Oriented Engineering Business
Agudelo Supply chain management in the cement industry
WO2016115115A1 (en) Systems, methods and apparatus for providing to a mobile communication device a graphical representation of comparative performance data for one or more production facilities in a closed-loop production management system
WO2016210359A1 (en) Providing comparative statistical information in a graphical format for a plurality of markets
Mohammadi et al. A mixed integer programming model formulation for solving the lot-sizing problem
Equere et al. Dearth of automation: the consequences in Nigeria construction industry
Polat A semi-systematic literature review on supplier selection in construction projects
Antonov Automation warehouse handling processes at the seaport as part of an integrated scenario supported by the 3pl operator
Chakraborty et al. A study of vendor management inventory with reference to TATA STEEL

Legal Events

Date Code Title Description
121 Ep: the epo has been informed by wipo that ep was designated in this application

Ref document number: 13740753

Country of ref document: EP

Kind code of ref document: A1

NENP Non-entry into the national phase

Ref country code: DE

WWE Wipo information: entry into national phase

Ref document number: 14159998

Country of ref document: CO

122 Ep: pct application non-entry in european phase

Ref document number: 13740753

Country of ref document: EP

Kind code of ref document: A1