Enterprise resource planning systems in the aluminium conversion industry

Abstract

Several publications have reported the benefits of enterprise resource planning (ERP) systems in different types of companies, in such areas as healthcare systems and government organisations. In this research, emphasis is put on the relevance of ERP principles in the specific area of the aluminium conversion industry (ACI), which has not (to the authors’ knowledge) been addressed in the related literature. The processes involved (e.g. casting and rolling), their constraints, and the particular structure of products, are such that the relevance of certain ERP principles (e.g. use of MRP concepts) may appear questionable. Our article aims at identifying important benefits, but also limitations and problems, which may arise when implementing ERP in ACI companies. We identify specific features of ACI that are likely to cause problems, and quickly recall some important principles of ERP and MRP systems. We show that if benefits can indeed be expected, in certain cases important limitations exist, mainly due to the use of MRP concepts, which can significantly affect the production planning of these companies. We conclude that, depending on the commercial strategy of the ACI companies concerned, specific developments may be required in ERP in order to fully fulfil their needs. Several major research perspectives are proposed.

Keywords:

• Production planning
• Enterprise resource planning
• Material Requirement Planning (MRP)
• Process industry
• Aluminium

Acknowledgments

Frédéric David is a research engineer in industry. He received his PhD in Computer Science from the Blaise Pascal University of Clermont-Ferrand, France. His research interests include supply chain management, production planning and control, and information systems. He is a member of the LIMOS laboratory of Clermont-Ferrand (UMR CNRS 6158).

Henri Pierreval is a professor at the French Institute of Mechanical Engineering (IFMA) of Clermont-Ferrand, France, where he leads the research group in manufacturing systems. The design, modelling and operation of manufacturing systems and of networks of production systems are the main focuses of Dr. Pierreval's research. This research often involves industrial collaborations. He is the author or co-author of numerous journal articles in these areas. He participates in national and international research collaborations and is on the editorial board of a number of scientific journals. His research activities are carried out within the LIMOS laboratory of Clermont-Ferrand (UMR CNRS 6158).

Christophe Caux is associate professor at the French Institute for Advanced Mechanics where he mainly teaches Production Management and Operations Research. He holds a Master's degree and a PhD in Computer Science from the Blaise Pascal University of Clermont-Ferrand, France. His research interests include manufacturing systems scheduling, cell manufacturing, production and supply chain management. Christophe Caux is the author or co-author of a number of journals and conferences in these areas. He is a member of the LIMOS laboratory of Clermont-Ferrand (UMR CNRS 6158).