InnoVites for Cable
The precise management of materials, the tracking of materials’ market price, and the effective management of information relating to cable lengths, customer orders and individual fiber specifications are unique characteristics of the cable industry. The effective management of these characteristics requires a specialized software solution that understands the unique nature of the cable industry and is designed to address the issues today’s cable manufacturing companies face. InnoVites for Cable is designed specifically for the cable industry and is built on the rich and stable foundation of Microsoft Dynamics AX ERP software. Contact us if you want to receive the comprehensive White Paper on InnoVites for Cable which describes all cable-specific features of the solution.
Length management is a critical factor throughout the cable manufacturing process and must be managed at multiple levels of production. A telecom operator will not accept two drums with lengths of 200m and 100m when the order was for one 300m long cable. Further, having two 100m lengths in stock will not meet an order requirement for one 200m long cable. Today’s cable manufacturers must be able to control and transfer length-related information across the whole production process to be sure that the right lengths are produced and eventually purchased.
Appetite for capital
The cable manufacturing industry involves taking a number of very expensive raw materials and processing them into highly specialized finished goods with a moderate margin. This makes the industry particularly hungry for capital and makes the management and control of working capital integral to success. Today’s cable manufacturers need to have complete visibility and control over inventory levels and Work In Progress (WIP) and must borrow from LEAN manufacturing principles so that working capital can be optimally managed.
The price volatility of metals such as copper and aluminum, combined with the fact that they often represent 80 per cent of the value of the finished goods, means that very specific and tight controls are required to minimize risk and exposure. With metal prices changing on a daily basis, cable manufacturers must protect themselves against unfavorable price changes by reflecting the actual cost of raw materials in the price of the finished goods, or by managing the return on risk if they fix their price of copper at the time of order. Today’s cable manufacturers need systems that track processes and enable changes to be reflected in the final order value, depending on the nature of the agreement with the customer.
Due to the high cost of raw materials, cable manufacturers must always be sure that the exact length of cable required by the customer is produced using the smallest quantity of raw materials possible. Cable manufacturers must also be sure that the reels on which the raw materials are stored are optimally used to reduce waste. They must be able to manage the reels so that the right lengths of strands are available and are positioned in front of the right machines. Today’s cable manufacturers must implement LEAN manufacturing principles combined with sophisticated and accurate measurement and tracking systems to ensure margins are properly managed.
Find the fiber
Cable manufacturers have to be able to track and record a host of detailed information relating to the specifications of the raw materials used in any manufactured cable. In fiber optic cables, which involve hundreds of single fibers, the manufacturer must be able to track and trace the information relating to an exact fiber. As any order might consist of thousands of different strands made into different lengths of the varying types of cable, today’s cable manufacturers require very detailed tracking systems that can be readily accessed by an efficient tracing system.