Overcome the Complexities of Metals Production Planning and Stay Ahead of Your Supply Chain
Navigating the Complexities of Metals Production
Demand & Sales Planning in metals production involves making difficult decisions across a complex supply chain. Long lead times, limited production capacity and changing demand patterns make the process even more challenging.
Addressing Stakeholder Conflicts
Different stakeholders—procurement, supply chain, sales and production planning - often have conflicting objectives and key performance indicators. For example, procurement might prioritize raw material grouping and planning would want long production campaigns, while sales may require higher inventory turnover and management often aims to minimize inventory levels. The challenge is to find an optimal trade-off within the sales planning triangle of sales revenue, production costs and inventory costs.
Optimized Collaborative Decision-Making
PSImetals Demand & Sales Planning provides a solution by enabling optimized, collaborative and informed decision-making. The system ensures efficient and transparent communications between all stakeholders in a multi-user environment.
The PSImetals Demand & Sales Planning application integrates three key functions:
PSImetals Demand Management
PSImetals Sales & Operations Planning
PSImetals Due Date Quoting
These functions work together to help metals producers generate optimized demand plans, supply plans and quota plans, aligning production requirements and capacity with business targets.
PSImetals Demand & Sales Planning empowers metals producers to balance demand and supply effectively, supporting profitable and reliable order fulfilment.
Balancing Stakeholder Objectives for Optimal Outcomes
Objectives
KPIs
Procurement
Group purchase to achieve orders for discounts
Price competitiveness & on time deliveries
Supplier lead-time
Accuracy on purchase orders and invoicing
Sales
Increase market size/share
Profitability
Customer satisfaction
Service level
High availability of finished goods
Earnings growth
Reliable order promising
Production planner
Reliable and up-to-date capacity plan
Fulfill delivery promises on time & in full
Inventory levels
Lead-times
Capacity utilization
Operations manager
Optimized throughput, maintenance, shifts, etc.
Produced tons ready for dispatch per month
Manage inventing turnover
Testimonials
Alejandro Laiño
Supply Chain Executive Director, Usiminas
The supply chain manager has the task of striking a balance between all these different requirements, objectives and KPIs in order to find the best course of action.
PSImetals Demand & Sales Planning provides a comprehensive solution to balance these conflicting priorities through optimized, collaborative and informed decision-making. By seamlessly calculating alternative demand and supply plan scenarios, supply chain managers can select the scenario that best fits their needs.
ATP Quota “What-if” Scenario Comparison
Features:
Benefits:
Integrated Demand Management, Sales & Operations Planning and Due Date Quoting
Real-time data integration for accurate demand forecasts
Collaborative tools for stakeholder communication
Flexible production planning and strategic outsourcing
Enhanced efficiency and reduced production costs
Improved customer satisfaction through reliable delivery
Optimized inventory levels for cost savings
Streamlined operations and better decision-making
PSImetals solutions are designed to meet the unique challenges of each metals manufacturing market segment, helping you achieve greater operational efficiency, improved forecasting accuracy and enhanced market responsiveness.
Multi-Plant & Vertically Integrated Producers
Managing a complex supply chain with multiple parallel bottlenecks exponentially increases the number of variables to control
These variables include product families, production routes, and inventory points, each with its own specific characteristics
Streamline complex supply chain networks and align production across multiple facilities to enhance efficiency and responsiveness
Independent Facilities /Decentralized Operations
Simplifying the production process allows for a streamlined Demand & Sales Planning process with fewer steps, while still emphasizing the important details to consider in each step
Optimize demand and sales planning for facilities operating independently, ensuring seamless coordination and alignment
Specialized Long & Tube/Pipe Producers
Campaign-based production with complex batching cycles and long repetition rate
Market sensitivity increases the complexity of forecasting demand accurately for each specialized product line
Service Centers, Value-added Processors & Specialty Manufacturers
Complex landscape of market dynamics makes it difficult to accurately forecast demand and establish stable prices
Agile and adaptive demand and sales planning process to handle the challenges of complex batching cycles and volatile market prices
Enhance inventory management and operational efficiency, ensuring timely supply of materials, providing real-time insights and data integration for better decision-making
A dynamic market requires flexibility and supply chain integration with both mills and customers
Different stakeholders involved in demand forecasting and sales planning often have conflicting objectives and key performance indicators. The challenge lies in finding an optimal trade-off within the sales planning triangle, balancing sales revenue, production costs, and material holding costs.
With deep expertise focused exclusively on the metals industry, we provide a solution that enables optimized, collaborative, and informed decision-making. Our PSImetals Demand & Sales Planning ensures efficient and transparent communication between all stakeholders in a multi-user environment.
Tailored Software Solutions for Diverse Metals Production Needs
At PSI, we understand the unique challenges faced by each segment of the metals manufacturing market, including multi-plant & vertically integrated producers, specialized long & tube/pipe producers, service centers, value-added processors & specialty manufacturers, and independent facilities or decentralized operations. Based on this understanding, our solutions are tailored to help metals producers achieve greater operational efficiency, improve forecasting accuracy, and enhance market responsiveness.
Integrated Demand Management, Sales & Operations Planning and Due Date Quoting
Features
Real-time data integration for accurate demand forecasts
Collaborative tools for stakeholder Communication
Flexible production planning and strategic Outsourcing
Benefits
Enhanced efficiency and reduced production costs
Improved customer satisfaction through reliable delivery
Optimized inventory levels for cost savings
Streamlined operations and better decision-making
PSImetals Demand Management
Optimal Demand Fulfillment – From Demand Planning to Order Monitoring
PSImetals Demand Management seamlessly complements and integrates with Enterprise Resource Planning systems, providing advanced forecasting management and demand fulfilment monitoring features tailored to the metals industry. The Forecast Management functionality empowers planners to create and consolidate consensus demand plans using scenario-based analysis to support the Sales & Operations Planning process. Meanwhile, the PSImetals Demand Monitoring functionality ensures smooth operations by tracking quota consumption, coordinating sales and production orders and managing demand status across all order types. Thus keeping your production aligned and responsive to market needs.
Forecast “What-if” Scenario Analysis
PSImetals Sales & Operations Planning
Optimize Profits With Aligned Production and Market Demand
The PSImetals Sales & Operations Planning function aligns market demand with the production capabilities of steel and aluminum producers to ensure profitability. It evaluates demand based on capacity, costs and pricing to select the most profitable opportunities, optimizes production site selection and capacity allocation and strategically imports intermediate products such as slabs and coils to efficiently capture market opportunities.
S & OP Results Analysis
Benefits of Sales & Operations Planning
Achieve better on-time delivery rates
Calculate the optimal capacity allocation plan by considering production site alternatives, varying order/line production costs and selling prices
Leverage alternative production sites and import strategies for intermediate products
Achieve better stock level management for intermediate and final products through effective capacity planning
Balance capacity to avoid bottlenecks and shorten total lead times, enhancing overall efficiency
Sales performance management Adobestock/Pakin
Sales performance management Adobestock/Pakin
PSImetals Due Date Quoting
Streamline Customer Responsiveness With PSImetals Due Date Quoting
PSImetals Due Date Quoting provides customers with reliable delivery dates for new orders, leveraging the latest Sales & Operations Plan which allocates forecasted demand to available capacity and generates accurate available-to-promise quotas. Due Date Quoting can also support capable-to-promise checks, assessing alternative production routes and resource and material availability to ensure reliable delivery commitments. Once integrated into the Enterprise Resource Planning system, these quotes set the official due dates, guiding planning and customer interactions.
Demand Confirmation Overview
Benefits & Key features of Due Date Quoting
Quickly manage “on the spot“ customer requests
Enhance customer trust with accurate delivery timelines
Utilize various strategies to meet diverse customer needs
Efficiently handle customer inquiries and requests
Manage sales quotas and allocations effectively
Benefits
Key Features
Maintain clear visibility on quota consumption and adherence across different commercial segments
Ensure smooth operations with online service directly linked to your ERP system
Real-time and accurate delivery date quotes
The PSImetals Demand & Sales Planning application integrates three key functions
An Integrated Solution, the Powerful 3
PSImetals Demand Management
PSImetals Sales & Operations Planning
PSImetals Due Date Quoting
Download our brochure to explore how PSImetals DSP balances sales, production, and costs for efficient decision-making.
References
Top steel, aluminum, and copper producers globally, from large integrated plants to specialized manufacturers, trust PSImetals solutions for seamless business process integration and enhanced productivity.
Resources
Usiminas optimizes production with PSImetals 5.23
PSImetals Controls Smart Factory at AMAG
PSImetals at AMAG
Discover how PSImetals helped Usiminas enhance operational efficiency and delivery performance.
Learn how AMAG streamlined their IT landscape with a scalable PSImetals MES solution.
Discover how AMAG is revolutionizing aluminum production with PSImetals.
Elevate your operational efficiency and profitability with PSImetals production management solutions
Track demand fulfilment in alignment with Enterprise Resource Planning and generate future demand forecasts and consensus demand plans with Demand Management. PSImetals Sales & Operations Planning ensures alignment between market demand and production capabilities, optimizing site selection and capacity allocation to maximize profits. Streamline customer interactions with Due Date Quoting to provide accurate delivery dates and reliable service.
Steel Sheet Production Adobestock/wz
Steel Sheet Production Adobestock/wz
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How PSImetals Demand & Sales Planning Works
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Transform your metals production planning with PSImetals.
Oğuz Öztürk
PSImetals Product Manager
for Supply Chain Planning
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