Priya Cement, the brand name of Hyderabad-based Rain Commodities Limited, has already used the solution and reduced its plant shutdown time (for one plant for a single shutdown) from 18 days to 13 days, enabling production of an additional 15,000 tonne of cement and $1.6 million (approximately Rs 6.4 crore) worth of sales.
Satyam's new solution is based on the Theory of Constraints (TOC) , which was developed by Israeli physicist Eliyahu Goldratt. The business value enhancement team of Satyam implemented a solution based on TOC's Critical Chain Project Management (CCPM) at Priya Cement to bring about these results, according to a Satyam press release on Tuesday.
CCPM has been proven to significantly reduce duration of projects. The uniqueness and practicality of CCPM methodology stems from the fact that it uses a 'system approach' and takes a 'holistic view' rather than focusing on individual functions and departments, the release added.
In addition to the work at Priya Cement, Satyam has used the solution to reduce shutdown times by 30 per cent at Shree Cement, a key player in north India, resulting in production of an additional 24,000 tonnes of cement and is prepared to apply this solution to other industries such as chemical process, petroleum refining and steel.
"What is exciting about the solution is that we have done this in an industry where the time taken per plant shutdown (16 to 18 days) remained unchanged for more than a decade. We are poised to do this in other industries as well," said Srinagesh Kumble, Satyam's global head (business value enhancement).
