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SUCCESS STORY

Tata Steel Reimagines Supply to Profit by 60%

TCS initiates a multi-year, multi-process change management effort.

 
Client
Tata Steel Europe
Industry
Metals Industry
Services
Steel, Wire Products, Flat Steel Products, Long Steel Products

Challenge

Tata Steel hit by inconsistent supply chain and costly production.

Tata Steel Europe discovered that the maturity levels of their supply chain and product costing processes were inconsistent across the Tata Steel Group compared to competitors.

They wanted to balance market demand against their manufacturing capability and to manage inventory through the cycle of changing market dynamics.

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Solution

TCS augments Tata Steel’s processes to boost business value and customer engagement.

We leveraged their existing development work where applicable in reporting factory and legacy systems integration. We streamlined the process design, project management and business consultancy functions to allow appropriate levels of evolution, revolution, and harmonization for Tata Steel to manage the required change.

Our teams automated Hot metal till coil production creating visibility of cost of production and profitability. We added a SAP module to integrate route and product feasibility during sales order creation. We also enabled multi-drop and multi-leg shipments to facilitate a robust dispatch process.

TCS automates processes right from hot metal till coil production.

Additionally, we changed Tata Steel’s order fulfillment strategy from ‘make to order’ to one of ‘make to stock’ where appropriate.

Benefits

Tata Steel improves revenue, reduces inventory, and satisfies customers.

Tata Steel reduced inventory through better stock planning and visibility resulting in a 60% revenues increase. With more manufacturing resources available, profit was boosted by 10% and customer dissatisfaction reduced by 45%.

60%

revenue stream improvement

45%

reduction in customer dissatisfaction

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