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Rationalization of logistics processes in a selected waste recycling company – part 2

Article distinguished in the 4th edition of the “Pen of the Logistician” competition.

3. Analysis of logistics efficiency using the enterprise process map

The waste market includes a number of types, each of which is subject to a different method of disposal. The analyzed company deals with the recycling of metal waste using its own processing machines and equipment.
For the proper course of the production (processing) process, it is required to ensure the continuity of material supplies and efficient loaders that support the production process. Logistics handling requires striving to minimize inventory, although on the other hand, it is impossible to eliminate downtime resulting from, for example, climatic conditions or high price fluctuations on the market. Necessary maintenance and unplanned repairs also hinder the production process and cause downtime, which in consequence can lead to failure to fulfill a contract.

Thanks to a large storage yard, it is possible to create stocks that will allow production to be maintained at a constant level when there is a drop in purchase prices or unfavorable climatic changes affect the reduction of purchases. The produced goods are usually transported to the recipient on an ongoing basis, unless commercial terms state otherwise. By maintaining the rhythmicity of deliveries and sales of goods, it is possible to maintain the necessary material minimum and reduce the operating costs of loading machines, which, with a large accumulation of material, are burdened with “unnecessary” transshipment work. In order to achieve the desired goods corresponding to the standard and the recipient’s order as a result of the production process, it is required to ensure the appropriate input material.

3.1. Enterprise process map

Creating an enterprise process map results from the process approach to enterprise organization and the functions it performs. Process modeling is currently a researched and modernized field of analytics, seeking new rationalizing solutions in the area of the work of economic entities.
The mapping technique used in modeling logistics systems includes the relationships occurring in the logistics process between:

  • events and functions (activities, mini-processes) that trigger these events;
  • functions and events;
  • functions and entities (of the organizational structure) performing given functions;
  • functions and sub-functions (sub-processes) of a given function;
  • elements of the organizational structure and the information supply system in the implemented process;
  • events and the information system about the process”.
When examining purchasing logistics processes, a mapping technique was used, which allows for a detailed visualization of all components and the detection of cost-generating errors and shortcomings.

P99-15b.pdf