SIBUR, Russia's largest integrated petrochemical company, has successfully implemented a digital model for production scheduling and end product distribution using DELMIA Quintiq software from Dassault Systèmes. DELMIA Quintiq is a world leader in Supply Chain Planning and Optimization (SCP&O).
The application has replaced disparate planning tools and practices and allowed to manage the supply chains more effectively. The new planning model was developed for five plants, including ZapSibNeftekhim, which has tripled SIBUR's production capacity of base polymers. In total, the company's five plants produce more than 200 types of polymer products, which are distributed across 40 warehouses and shipped to 180+ points of sale around the world.
Since the initial project with the base polymers business unit, SIBUR has also rolled out the solution in the plastics and synthetic rubber divisions. The planning system has thus additionally covered five more plants, with their respective distributed networks and production specifics.
Modernization of sales chains began at SIBUR in 2018. The company needed an integrated solution with flexible configuration capabilities, a user-friendly interface, and a high-end ability to generate production and distribution plans that optimize SIBUR’s business goals.
The main advantage of DELMIA Quintiq is that it uses an advanced KPI-driven algorithm allowing the development of an optimal plan for production, shipments, and product sales, considering the specificity of petrochemical technologies. In addition, the solution provides an opportunity to shape a stock replenishment plan based on customers’ needs. Finally, DELMIA Quintiq enables the intelligent planning of operations to minimize machine downtime and maximize productivity.
Such an ambitious Business Transformation project has required careful change management and an iterative improvement approach, to help all relevant stakeholders gradually adapt to the new solution, and engineer and put in place more modern internal processes enabled by the new solution, including the collection, verification, and maintenance of the critical data that the system needs to make accurate calculations. Starting from a Minimal Viable Product (MVP) that already enabled SIBUR to achieve planned inventory reductions and move to a new rolling scheduling process, the solution was progressively enriched and further deployed, to finally reach full production operation at the beginning of 2021.
"Previously, we had many disparate plans, each of which existed in their own system or Excel files. With DELMIA Quintiq, we had a fully integrated solution that has brought order and scenario analysis capability. We were the first in the petrochemical industry to use this application and we can recommend this solution to other companies in this field. We plan to further develop this product and use it for supply chain planning and other operations," said Ljana Barahoeva, SCP Systems Development Manager at SIBUR.
“Dassault Systèmes is proud to assist SIBUR in its pursuit of a leadership position in the international market. The petrochemical industry in Russia has doubled its volume in the last three years, and SIBUR wants to improve its competitiveness, for which we are ready to offer our expertise and technology," said Alexey Ryzhov, Managing Director Russia & CIS at Dassault Systèmes. – As SIBUR's plans become more and more ambitious, DELMIA Quintiq is ready to support them every step of the way with a powerful integrated planning solution designed to meet the changing needs of the growing business."
