Magnitogorsk Iron & Steel Works, OJSC, looks to increase profitability and productivity by improving its sales & operations planning process with JDA Solutions

JDA Software Group, Inc., the supply chain company, has announced that Magnitogorsk Iron & Steel Works, OJSC, (MMK), one of the world's largest steel manufacturers, has selected JDA Supply Chain Planner to improve its sales & operations planning process. The benefits delivered through this new project will help MMK improve sales and profit, and optimise product mix considering existing and perspective logistics and production opportunities. GMCS, a JDA partner in Russia, is the appointed implementation partner.  

MMK used data obtained through a pilot based on JDA Supply Chain Planner to estimate the solution's potential for its supply chain efficiency and effectiveness improvements. GMCS, following the successful presentation of pilot results in contest, was chosen by MMK for the Supply Chain Planner implementation.

The project involves a step-by-step process. Project groups for ??? and GMCS have been formed and system design work has begun. It is expected that the MMK sales and operations planning system will be brought into pilot operation in July 2011.

"Diversification of produced goods, expansion of sales and supply markets, and profit optimisation are among key strategy tasks for our enterprise development. An integrated sales and operations planning process will support those activities," said Andrey Eryomin, acting director for strategic development of Magnitogorsk Iron and Steel Works Open Joint Stock Company. "The implementation of JDA Supply Chain Planner will help both to mitigate risks in connection with company's expansion and raise the existing planning process to a new, higher level."

"JDA Supply Chain Planner has proven its performance in the metals and steel industry worldwide, as well as in the Russian market. The solution helps companies increase sales and operations planning quality and improve their supply chain visibility. Its key benefits include profit margin and product mix optimisation, and increased asset utilisation," said Vitaly Solodovnikov, head of GMCS SCM Direction.

"We are delighted that MMK has selected JDA solutions to help improve supply chain efficiency and customer responsiveness. We look forward to supporting MMK in its ongoing mission to maintain long-term competitiveness in the global market," said Razat Gaurav, senior vice president, EMEA, JDA Software.