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Fengheng Electromechanical

Customer Brief:

Fengheng electromechanical is a typical multi-species, small batch, all of which are mainly processed by incoming drawings and basically do not have their own products (95% are non-standard customization), these operating characteristics bring great challenges to the operation management. At the same time, the upstream Hikvision, Dahua, Xinhuasan and other large customers are in 24-hour production mode, the JIT delivery requirements and assessment of semi-finished supporting parts are very strict. The order delivery rate and order fulfillment rate are related to the payback assessment. Therefore, they can only choose to sacrifice inventory to guarantee order delivery which results in frequent warehouse overflow, piling up of semi-finished products at the workshop site, and difficulties in finding goods for finished products. In addition, the company's information level is rather low, with only simple ERP import, export and inventory management, lacking the most important planning collaboration system, and almost all important links are depending on personal experience. The company's top management fully realized that it was necessary to improve the company's operation and management by means of digital technology, to take the industrial Internet platform as the data base, to comprehensively improve the company's digital capability, and to comprehensively improve the planning management and supply chain synergy system.

Project Achievement

After the project implementation, through refined management of planning coordination, timely procurement rate, material yield rate, process yield rate, semi-finished product completion rate, etc., the overall level of digital management of the enterprise has been improved.
The production lead time of the enterprise has been shortened by 5-8 days, the on-time delivery rate of customer orders has increased by 5%, and the level of work-in-process inventory in the workshop has been reduced by more than 20%.

Project Scope

Master Data Normalization Management
Standardization and planning of basic data are the foundation for all management and optimization. This case divides master data into topics such as materials, planning, procurement, quality, cost, and inventory, with a focus on the following optimization.
Based on the management experience, reasonable inventory planning strategies are applied to different materials such as raw materials, auxiliary materials, and packaging materials, and an inventory control model is optimized based on "safety stock + replenishment strategy + replenishment parameters" to improve inventory availability and lay the foundation for JIT delivery response.

Standardization of materials, BOM, process, loss rate, standard working hours, and standard cost rate are achieved, and BOM is optimized to reduce complexity, laying the foundation for automated planning and scheduling and refined cost accounting.

Product Lifecycle Management Through the implementation of PLM system, R&D source management and control are achieved for balancing electromechanical, especially the standardization and normalization of process management, and the construction of a referenceable process standard library. Design drawings can be docked with upstream customer CAD or CORE electronic design drawings. Standardized control of drawings and documents is achieved and integrated with the MES system, realizing SOP standard operation paperless management. R&D project process management is achieved, supporting APQP project key task node progress management and collaboration.

Digital Workshop Management By implementing MES manufacturing execution system, full collaboration is achieved among different processes such as upstream and downstream processes/workshops, equipment maintenance, and quality management through work order management, and MES production, material requisition, intermediate warehouse, packaging, and warehousing are integrated with ERP system.
In terms of equipment management, standardized equipment management processes are established, and a preventive maintenance platform is built to reduce equipment failure rates and maintenance costs. Specific implementation contents include: equipment ledger management, planning management, operation monitoring, inspection, periodic maintenance/repair/check, problem recording and tracking processing, and spare parts inventory management. The OEE indicators of core key equipment are comprehensively monitored and improved.

Collaborative Planning and Management

By introducing Advanced Planning and Scheduling (APS), the information linkage among sales, planning, and production execution modules is established, and a collaborative production plan and manufacturing system for production execution is created, achieving the closed-loop monitoring and exception management of planning and execution between APS and Manufacturing Execution System (MES). It also enables the impact data of customer order delivery commitments, rush orders, and order changes on relevant series to be tracked, and supports various planning management modes such as push, pull, push-pull combination, and automatic replenishment of safety stock. Digitizing the above processes enhances the company's production planning and procurement management level, which helps to reduce the inventory of raw materials, semi-finished products (sheet metal middleware), and finished products.

5-8 days

Production Lead Time


On-time Order Delivery Rate




In-progress Inventory

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