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samsung.png“Samsung Total expects to achieve more than $5 million in annual savings as a result of the deployment.” —Young-In Yoon, Vice President, Samsung Total’s Base Chemical Production business unit




The chemicals maker closed a blind spot between planning and execution with help from AspenTech

Like many manufacturers that struggled through the recent economic turmoil, Korea-based Samsung Total Petrochemicals helped offset sagging sales by focusing on efficiency. In Samsung Total’s case, that meant improving inventory visibility.

In 2009, the company set about to improve operations by bridging two of its IT systems: one for planning and selecting feedstock, and the other dedicated to optimizing production operations. At the time, the company managed its production scheduling in spreadsheets, which could not accommodate the complex process models Samsung Total needed. As such, neither system could provide the inventory visibility that would help the company analyze what-if scenarios based on feedstock changes.

If inventory visibility could be improved and plant operations could predict feedstock changes, Samsung Total officials reasoned, they could optimize daily operations based on the feedstock usage plan, and adjust production schedules to maximize profitability.

Enter the aspenONE Planning & Scheduling product from Aspen Technology. Samsung Total enlisted the software to create what it calls the BOSS, or Basechem Operation Scheduling System, at its Olefins and Aromatics plants in Daesan, Korea. The new scheduling system can gather vast amounts of information to generate a detailed two-week schedule for each site’s entire raw material operations. Daily updates to planning, production, and logistics are implemented in the field. The new scheduling system is also very powerful, accounting for all scheduling results, with all events shown in a Gantt chart, and all results displayed on a trend chart.

In the wake of the implementation, Samsung Total has improved its scheduling efficiency by a quantum leap, according to the company. In contrast to its previous Excel-based scheduling methods, the BOSS system provides powerful information that has allowed Samsung Total to improve inventory visibility and ultimately increase profitability.

“A trusted partner, AspenTech’s planning and scheduling solution has helped us optimize margins by establishing tightly integrated planning and scheduling business operations,” says Young-In Yoon, vice president of Samsung Total’s Base Chemical Production business unit. “Based on the initial results, Samsung Total expects to achieve more than $5 million in annual savings as a result of the deployment.”