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VOL. 1F NO.

1
SPECIAL EDITION

Survey: MES Is
Manufacturers’
Secret Weapon
Industry Week survey of
best plants shows how
the power of MES helps
Food and Beverage Solutions from Rockwell Automation manufacturers develop
better productivity,
process improvement
and personnel
MAINTAINING
COMPETITIVE ADVANTAGE
Small Investments performance. Page 3

Keeping Track for


Compliance Pay Big Information Competitive
Advantage
with
regulations
(HACCP, The
Dividends New government
regulations, the demands
Bioterrorism of major customers, and
Act, etc.) as the need for improved
ost existing process plants are automated at the

M
well as ever- quality and consistency
changing consumer/retailer plant floor level. Small incremental investments make tracking and tracing
demands (e.g. Wal-Mart RFID) in information technology at the manufacturing solutions a must-have in
execution system (MES) layer that build upon the food and beverage
are impacting the food and
industry. Page 4
beverage industry. these plant floor automation systems can yield quick
Consumers are demanding paybacks. Simulation Cuts
products in a variety of Support for these IT additions can be very straightforward if Start-Up 75 Percent
flavors, sizes, and packaging Food equipment OEM
the MES solution matches and extends the current process
designs. Retailers are Span Tech used Rockwell
demanding just-in-time automation system.
Software’s Arena solution
deliveries. Plant Managers to design a new product
are trying to optimize and/or conveyor system virtually
increase production without before building it, ensur-
additional capital expense. ing ahead of time that
The pressure for food and product goals could be
beverage manufacturers to met and cutting start- up
perform in this environment is time by 75 percent.
intense, and your ability to Page 6
drive agility and flexibility in
your operations are evolving Optimizing
Brewing Processes
Photo courtesy: Canbra Foods

as core competencies. This


special edition of ValueStream Rockwell Automation has
offers you creative strategies
the depth of experience,
domain expertise,
that are being used by your
knowledge of hybrid
peers to meet traceability
industries, and global reach
requirements, leverage
"Since automating the process using RSBizWare Batch, we to meet the new challenges
investments to improve faced by brewers in today’s
operations, and increase the have been able to save $45,000 per year just by purchasing
ingredients in bulk,” said Rick Kurio of Canbra Foods. hyper-competitive markets.
flexibility and effectiveness of Page 7
production lines to meet the A recent project implemented by Canbra Foods shows how
demands of consumers and small, incremental MES investments can produce substantial Report Says
retailers. Challenge us to Manufacturers
benefits.
evaluate your unique Not Ready for Next
requirements and benchmark Power Failure
the best food and beverage CANBRA FOODS In spite of the experience
manufacturers as part of your Canbra Foods is Canada's largest fully-integrated oilseed of the big blackout of
operating strategy. I welcome crushing, refining, processing and packaging company. Its 2003, most businesses
your feedback. major products include cooking and salad oil, margarine, are not ready to face
Steve Eisenbrown another such outage -
shortening and a full line of proteins. Canbra is a leading sup- even though another
Senior Vice President
Rockwell Automation plier of canola products for the global food industry. At the power failure is next to
Automation, Control and company’s Lethbridge, Alberta facility, Canbra relies heavily inevitable. Page 8
Information Group on Rockwell Automation technology to control, automate and
ragmsnewsletter@ra.rockwell.com
Continued on page 2
Small Investments, continued from page 1 BizWare Batch would allow us to lever- All RSBizWare Batch recipes are incor-
monitor production. age Rockwell Automation’s Integrated porated into two Rockwell Software
Like many food and beverage manufac- Architecture and em- RSView® 32™ human-
turers, Canbra was looking for cost effec- ploy batch mobility and Eliminating manual machine interface soft-
tive ways to extend and increase plant au- standardization concepts ingredient addition ware servers located in
tomation. Rockwell Automation was able through ISA S88 stan- the plant control room.
reduced cycle time by
to implement an MES level solution for dards. This was impor- Three operator stations
tant because we were
Canbra that leveraged its existing plant au- one half hour per batch. leverage RSView to
tomation system and exhibited an excel- also seeking a common provide Canbra with a
lent return on investment. ground for our engineers to program, trou- window into the process at any stage of
bleshoot and maintain the system." production. Two other operator stations
BOTTLENECKS IDENTIFIED reside on the milk preparation process
The production process begins with RECIPES AUTOMATED and the crystallizer machine.
canola seed cleaning and crushing. The automated solution combines RS-
Canbra runs the resulting oil through a BizWare Batch with a Flexicon Corpora- RESULTS: SAVINGS
refining process involving a crystallizer tion bulk handling system that conveys, Automating the milk preparation process
machine, where it is made into a finished loads, unloads, weighs, feeds and with RSBizWare Batch helped minimize
product for packaging. In the refining processes bulk solid material. production bottlenecks, increase effi-
phase, Canbra blends the oil with a RSBizWare Batch controls all of the oper- ciency, provide a safer work environment
custom milk to create margarine products. ations of the bulk handling system through and save money.
Canbra’s original milk preparation Allen-Bradley® PLCs. For example, when "We have been delighted with the
process was mostly a manual operation, an operator picks a recipe from RSBizWare results to date," said Kurio. "Since au-
beginning with the addition of 33-pound Batch that calls for 200 pounds of salt and tomating the process using RSBizWare
bags of salt and 44-pound bags of whey 300 pounds of whey powder, the con- Batch, we have been able to save
powder into a pre-mixer. This labor- troller receives two setpoints. $45,000 per year just by purchasing
intensive process created production RSBizWare Batch then directs the bulk- ingredients in bulk instead of in 40-pound
bottlenecks, spillage and documentation addition system to operate two 15-foot- bags."
challenges. In addition, the pre-mixer high bulk-bag dischargers to dump the The RSBizWare Batch and Flexicon bulk
occasionally received inaccurate amounts whey powder and salt into two 8-cubic- handling systems also eliminated manual
of ingredients. Canbra sought an feet-capacity stainless steel hoppers. ingredient addition, reducing cycle time by
automated material handling system and From each hopper, material is transport- roughly half an hour per batch.
batch management software. ed to one of two mixing tanks via a flexi- In addition, using the ISA S88 batch
"Rockwell Automation supplies all of ble screw conveyor. standard, RSBizWare Batch collects
the manufacturing software in the Leth- "We chose RSBizWare Batch to write the data on each batch and compiles it into
bridge facility," said Rick Kurio, control recipes for the milk preparation process batch records. This allows Canbra to
systems coordinator, Canbra Foods. and to control the clean-in-place (CIP) identify process trends and deviations,
"Therefore, when we considered imple- process for each tank," said Kurio. "RS- as well as efficiently track ingredients
menting a batch management solution, BizWare Batch follows the ISA S88 model, for food safety audits.
Rockwell Software RSBizWare Batch™ providing us with a cut-and-paste approach "We’ve been able to achieve addi-
was a natural choice. In addition, RS- to easily develop and reconfigure recipes." tional savings through increased batch
accuracy," Kurio added. "On top of
that, worker safety has improved
Top Reasons to Add MES Functionality to the Plant Floor since they no longer have to handle
heavy bags of material."
The success of the Rockwell Automation
 1. Low cost incremental MES investments yield quick payback. solutions has prompted Canbra to ex-
plore integrating its oil blending system
 2. Support is straightforward if the MES solution matches and extends with the milk blending system to further
the current process automation system. streamline the production process.
"In the next three to five years we will
 3. MES solutions can be implemented quickly with minimal disruptions obtain even greater savings and efficien-
to plant floor automation systems and production. cies," said Kurio. "By incorporating the oil
preparation phase into the RSBizWare
 4. Incremental MES investments can target specific areas of concern, Batch system, we’ll have a seamless
such as worker safety, regulatory compliance and increased uptime. process for producing our margarine
products. We will look to Rockwell
Automation to help us get there." 

2 ValueStream • Food & Beverage Solutions


Information Solutions

Improve Profitability with Investment in MES


n analysis of Industry Week via bi-directional communication." over six times higher for plants using

A Best Plant winners and final-


ist data over a four-year peri-
od (1998 – 2002) shows that
manufacturing execution system (MES)
implementation provides considerable
While an enterprise resource plan-
ning (ERP) system is sold as a
comprehensive manufacturing
system, very few plants have found it
to be effective in assisting plant
MES. Those using ERP found MES an
even greater boost to productivity.
One of the keys to improvement, as
many companies implementing Six Sig-
ma and other programs have discovered,
performance advantages. personnel. Among Best Plants using is having accurate, detailed data to identi-
Plants using MES have improved prof- ERP, the 59 percent with MES as well fy the root cause of problems. MES helps
itability by four times as much as those have improved profitability 4.3 times provide that type of production data.
not using MES. The analysis shows as much over 3 years – 413.3 percent Further, MES helps reduce errors that
that plants using MES outperform vs. 96.2 percent. ERP helps plan and waste materials as well as employee and
those that don’t – and improve plant oversee manufacturing, but improving production equipment time. Over 58 per-
performance faster – in all of three per- production execution requires cent of those with Six Sigma initiatives
formance areas: detailed functionality that only MES use MES as well.
 Productivity. Plants using MES have provides.
higher productivity and have improved Plants using MES have higher produc- MES CUTS COSTS
operational productivity more rapidly over tivity than those not using MES by all Nearly every manufacturing company
the previous three years. Plants with three measures included in the Industry has faced price pressures over the past
MES were able to reduce costs – includ- Week Best Plants survey: sales per few years. To maintain healthy profits,
ing those related to manufacturing, prod- square foot, sales per employee and costs must be cut. Again, those using
uct, and energy – more dramatically than value-add per employee. MES have managed to outperform those
plants not using MES. not using MES. While their customer
 Process Improvement. Plants with prices dropped more, their cost reduc-
Productivity growth over
MES have higher process capability and tions were also greater. This data sug-
larger yield gains. Furthermore, plants the prior three years ranges gests that companies in industries that
using MES have a greater reduction in from 70 percent higher to need to make regular improvements in
cycle times and are more advanced in over six times higher for costs and productivity to compete effec-
developing a true build-to-order model to tively – such as food and beverage –
plants using MES.
meet just-in-time demands. should consider MES.
 Personnel Performance. New Another aspect of productivity where
employees require less training in plants Naturally, productivity growth is a key MES appears to provide a significant
that use MES. Plants using ERP, Six driver of growth in profitability. Here boost is in a plant’s ability to reduce
Sigma, Lean Quality and demand flow again, plants using MES showed a clear energy consumption per unit of pro-
scheduling techniques all show benefits advantage over those not using MES. duction. All of the best plants man-
from using MES. Productivity growth over the prior three aged to cut energy consumption, but
years ranges from 70 percent higher to Continued on page 8
MES VS. ERP
The Manufacturing Enterprise Systems
Association, MESA International, defines MEASURE PLANTS USING MES
MES as "a dynamic information system Profit Improvement 400%+ higher gains – 3 years
that drives effective execution of manu- Productivity 84% higher revenue/square foot
32% higher value-add/employee
facturing operations. Using current and
10% higher sales/employee
accurate data, MES guides, triggers and
Productivity Improvement 630% greater improvement in revenue/sq ft
reports on plant activities as events 70% greater improvement in value-add/employee
occur. The MES set of functions manages 200% greater improvement in sales/employee
production operations from point of order Cost Reduction over 3 Years 34% greater cost reduction
release into manufacturing to point of Energy Consumption Reduction 57% greater energy reduction
product delivery into finished goods. Process Capability 11% better Cpk – 2 vs. 1.8
MES provides mission-critical information Yield Improvements 15% greater improvement
about production activities to others Cycle Time Reductions 37% greater mfg. cycle time cuts; 22%+ order-to-ship
across the organization and supply chain Employee Effectiveness 78% as much training needed

ValueStream • Food & Beverage Solutions 3


Tr a c k a n d Tr a c e

Keeping Track for Competitive Advantage


ew requirements to track and quality and consistency and no reduction with tracking and tracing systems are

N trace all materials used in food


and animal feed manufacturing
can be costly and time con-
suming for food and beverage manufac-
turers. When faced with such demands,
in costs. This path can also result in sub-
stantial additional expense when govern-
ment regulations become more stringent
or when supplier requirements change.
The second path is to install a tracking
as follows.
Manufacturers striving to improve the
responsiveness of their supply chains
can meet the demands of the retailers
for on-time delivery and accurate infor-
the first questions many food industry ex- and tracing system that does more than mation on deliveries (RFID on pallets).
ecutives ask is why tracking and tracing just meet government requirements. Food Failure to respond to these demands
must be done. There are several reasons: and beverage manufacturers can install will result in lost contracts with retailers
 Government regulations (see sidebar tracking and tracing systems that meet and wholesalers.
on p. 5). As of December 12, 2003, food existing and anticipated demands from
and beverage companies have between suppliers and government agencies, A tracking and tracing solution
six and eighteen months to comply with reduce inventory, reduce final product
the Bioterrorism Act. Compliance can costs and improve quality and consistency.
tracks actual usage so the
only be attained with a tracking and Regulations affecting the food and safety stock can be reduced,
tracing system. beverage industry continue to evolve in freeing capital and reducing
 Supply chain responsiveness to the direction of regulations in the operating expense.
meet the demands of the retailers for pharmaceutical industry, which require
on-time delivery and accurate information pharmaceutical companies to generate a
on deliveries. complete batch record and meet the Tracking material usage at the manu-
 Improved inventory management: requirements of 21 CFR Part 11. facturing plant enables food and bever-
reduction of inventory, waste and over- Implementation of a well-designed age companies to manage inventory
production associated with safety stock. tracking and tracing application positions more accurately at the plant level. At
 Improved quality and consistency. food and beverage companies to meet many plants, inventory usage is deter-
 Protecting brand equity. potential regulations. mined based on standards. Actual in-
All of these reasons mean that an Food and beverage manufacturers are ventory is reconciled to the business
intelligently implemented tracking and now investigating tracking and tracing ap- system every week or month by taking
tracing system can translate to a plications and how they need to respond a physical inventory. To ensure that
competitive advantage for a manufacturer. to the governmental regulations for trace- there is adequate inventory on hand,
ability. Smart companies are looking at food manufacturing companies need
IMPLEMENTING ways to leverage these applications to im- to carry additional inventory as a safety
SYSTEMS prove operations and achieve a quantifi- stock.
Food and beverage manufacturers can able return on the investment. A tracking and tracing solution en-
implement tracking and tracing in one of ables the company to track actual us-
two basic ways. The first is to spend the ADVANTAGES age, so the safety stock can be re-
minimum amount necessary to comply Compliance with government regula- duced, freeing capital and reducing
with government regulations. This path tions is discussed in the sidebar (p. 5). operating expense.
will provide little or no improvement to Additional benefits that can be gained When it comes to quality and consis-
tency, the challenge for the manufactur-
ing company is to have enough correlated
Why Track and Trace?
data to allow it to analyze operations and
 1. To comply with regulations and mandates make improvements. The tracking and
tracing applications collect all the key data
 2. To increase supply chain responsiveness for each process step, including raw
material used, operating conditions,
 3. To improve inventory management personnel and quality of the product.
Batches or products that had excellent
 4. To improve quality and consistency yield and quality can be reviewed to
understand optimal conditions.
 5. To protect brand equity Similarly when a bad batch or product
is produced, the operation can be

4 ValueStream • Food & Beverage Solutions


reviewed and compared to excellent each product. Because of the lack of provide much of the raw data to give a
batches to understand the key reason data, they use standard costs devel- more complete view of the actual cost
for the difference. Based on these oped using data over an extended pe- of manufacturing the product. The ap-
analyses, companies can alter their riod of operating history. The compa- plication collects data on actual usage,
standard operating procedures to nies are challenged to be the low-cost waste/scrap, the amount of labor
optimize production. producer and must compare the cost deployed and operating conditions.
of manufacturing at each of their Based on this data, companies can
BETTER COST ANALYSIS manufacturing facilities and the cost more clearly understand their costs
Manufacturing companies seek to un- of a co-manufacturer. and make better decisions to reduce
derstand the cost of manufacturing Tracking and tracing applications can manufacturing costs. 

REGULATIONS FORCE COMPLIANCE


 The Bioterrorism Act of 20021
The U.S. Food and Drug Administration published in the Code of Federal Regulations (CFR) the requirements for the implementation
and enforcement of the Bioterrorism Act on December 12, 20032. Following publication, food and beverage companies have
between six and 18 months to comply with the legislation. While there are limited exemptions, the law is intended to be broadly
applied to all persons that manufacture, process, pack or hold, transport, distribute or receive regulated food product. With FDA
authority over about 80 percent of the U.S. food supply and over 500 new inspectors to begin enforcement of applicable civil and
criminal penalties, this law is destined to have significant impact on the food and beverage industry. Under this act, food and bever-
age companies must comply with the following regulations:
• Registration - Domestic and foreign food facilities that manufacture, process, pack or hold food for human consumption in the
United States must register with the FDA.
• Prior notice - Food importers must notify the FDA at least one day before a shipment arrives in the United States, disclosing the
contents and estimating the arrival time.
• Detention - Failure to comply with registration results in detention of product.
The FDA will shortly publish in the CFR the final rule for tracking and tracing requirements:
• Four-hour rule - Upon request, companies have four hours to respond to FDA inquiries. Small companies will have 12 months after
issue of the final rule to comply with this provision and large companies will have 6 months.
• Maintenance of records - Companies must maintain a record of the products manufactured and materials used in the manufactur-
ing process.

 European Union Regulations


EU Regulation 178/20023 establishes the European Food Safety Authority and specifies the basic conditions for safeguarding food. Two
provisions merit particular attention: the requirement that it should be possible to trace food and feed at all times; and the requirement
that unsafe products should be withdrawn from the market. Article 18 of the regulation states the following requirements:
• Traceability must be guaranteed at all stages of production;
• Businesses must be able to identify from whom they have received any products used or to be used;
• Businesses must be able to identify to whom their products have been supplied;
• Businesses must have in place tracing systems and procedures;
• Tracing information must be made available to the competent authorities on demand;
• Products must be adequately labeled or identified.
Articles 19 and 20 of the regulation require producers of food and feed to withdraw unsafe products from the market.

 RFID
In June 2003, Linda Dillman, CIO of Wal-Mart announced that the top 100 suppliers to Wal-Mart would be required to use Radio
Frequency Identification (RFID) tags on their cases and pallets by January 2005. While not a regulation, the mandate has companies
scrambling to comply.
Outside of retail, several industry groups are driving their own requirements. The Department of Defense (DoD) held a
meeting in 2003 with over 200 of its suppliers to explain its RFID strategy. The potential impact of such requirements on
manufacturers could be even bigger than the Wal-Mart initiatives. The U.S. Department of Homeland Security recently
showed how RFID technology could speed the movement of people across boarders while reducing the threat of terrorism. In
addition to these entities, suppliers of customer relationship management software, IT, and Web services are all gearing up
to meet the RFID challenge.

1 www.fda.gov/oc/bioterrorism/bioact.html; 2 FDA News Release P03-18, October 16, 2003; 3 Official Journal of the European Communities 1.2.2002 L31/1

ValueStream • Food & Beverage Solutions 5


S p a n Te c h L L C

Simulation
Reduces
Start-Up Time
75 Percent
imulation is a tool that can be

S used in many process automa-


tion projects to reduce risk,
save money and compress the
Photo courtesy: Span Tech LLC

project cycle. Simulations are created by


building a model of the proposed
process, usually by using PC-based
software packages.
Simulation can provide a proof-of-
concept in advance of major project A simulation of Span Tech’s proposed frozen-pancake conveyor system allowed
corrections in the design phase of the project, where they were significantly
expenditures. It can also be used to cheaper to implement.
provide a cost/benefit analysis and a
risk assessment for different design the freezer in six controlled streams. dynamically and increased customer con-
approaches. Next, the system needed to stack the fidence," said Rainer Dronzek, president
Span Tech LLC in Glasgow, Ky., makes pancakes six high and merge the stacks of Simulation Modeling Services. "It also
chain-curving conveyors for clients in the onto a single-file conveyor. assured Span Tech that its design solu-
food, packaging, pharmaceutical and Product damage directly attributable to tion would work, and it showed what
manufacturing industries. Its clients want the new system could not exceed 0.2 kind of improvements would result in the
to cut time spent handling product and percent, and the system needed to have a manufacturing process."
reduce labor costs, product damage and runtime efficiency of 96 percent or better. The Arena-driven simulation convinced
downtime. the pancake manufacturer that this was a
A frozen pancake manufacturer asked MINIMIZING RISK viable project, and Span Tech completed
Span Tech to develop a conveyor system Before embarking on the project, Span the design phase.
that would reduce the number of jams Tech wanted to minimize the risks asso-
that occur when multiple lines of pan- ciated with taking it on. Using Rockwell SAVING TIME
cakes merged into a stacking area. Software’s Arena simulation software, The new conveyor system met customer
With the existing conveyor system, Span Tech created an initial design con- goals. With Arena, Span Tech optimized
pancakes exited the freezer randomly cept to help calculate product manufac- the process virtually. Because all the
distributed. Span Tech determined that turing variables. process changes and tweaks were done
the pancakes needed to emerge from According to Leo Schroeder, president online, the start-up took only four weeks
of Span Tech, "We chose Arena because instead of months.
Top Benefits of Simulation we needed to determine project variable The result was a manufacturing
specifics and minimize risk. We wanted process that decreased pancake product
 Provides a proof-of-concept before to know before contract acceptance if damage within requested parameters.
major project expenditures. we could achieve project goals." The solution also reduced the number of
 Provides a cost/benefit analysis and a Span Tech first prepared an AutoCAD employees required to monitor pancake
risk assessment for different design layout of the project and sent it to production from four people to one.
approaches. Simulation Modeling Services in Lisle, "Developing the simulation took more
 Reveals design flaws early, when Ill. Simulation Modeling prepared a time at the beginning of the project, but it
costs for correction are low. schematic with flow rates, frequencies saved considerable time during installa-
 Reduces installation and start-up and product distribution. This informa- tion, start-up and debugging," Schroeder
time. tion was then used to program an said. "Costs for corrections made in the
 Shows how a retrofit will work within Arena simulation. design phase of a project are miniscule
an existing process. "Arena’s simulation capabilities allowed when compared to making corrections
the manufacturer to see the operation during start up". 
6 ValueStream • Food & Beverage Solutions
Focus: Brewing Industry

Common Infrastructure
Optimizes Brewing Processes
lobal hybrid industries such as and services to optimize brewing

G brewing, food and pharmaceu-


tical require that global au-
tomation suppliers possess
key attributes, including global reach,
domain expertise, adherence to industry
processes from raw material receiving to
final product delivery. It also delivers solu-
tions for energy, warehouse and asset
management.
At the heart of each of these applica-
Key Attributes of Global
Automation Suppliers
 Global reach

 Domain expertise
standards, seamless integration with tions is a common information infra-
enterprise-wide computing systems and structure designed using international  Adherence to industry standards
the ability to perform discrete and standards around a collaborative frame-
process control with a single platform. work. Rockwell Automation’s "Virtual  Ability to perform discrete and
With a history rooted in manufacturing, Brewery" is the basis upon which these process control with a single
Rockwell Automation and its partners are solutions are designed. It is a set of platform
positioned to deliver what the brewing brewery best practices, design tem-
industry requires. plates and brewery object libraries that  Seamless integration with
Global reach means combining a world- simplify engineering and ensure opti- enterprise wide computing
wide supply chain with around-the-globe mum brewery performance. systems
service. Domain expertise is vital be- Rockwell Automation uses a method-
cause no automation supplier can help ology called Manufacturing Assess-
you solve your manufacturing problems ment & Planning Services (MAP) to architecture capable of real-time control,
without an in-depth understanding of help customers define their company communication and visualization; and an
your industry. vision, develop a integrated control and information data-
Adherence to Rockwell Automation’s "Virtual gap analysis and base that is both backward-compatible
industry standards
Brewery" is a set of brewery best provide a proj- and capable of forward migration.
helps promote ect-by-project Rockwell Automation’s FactoryTalk™
standardization of practices, design templates, and ROI projection. technology complements the Integrated
application soft- brewery object libraries. Rockwell pro- Architecture and pulls together the data
ware and network vides a priori- model that exists in the control system
hardware at all manufacturing locations. tized multi-year implementation plan layer, allowing it to be used to its full
Seamless interconnection with enter- and a path to the future that can be potential in the MES information layer.
prise-wide computing systems allows used as a core component to your
manufacturers to monitor production manufacturing strategy.
"If we can merge our process
costs worldwide from a central location Rockwell Automation’s Integrated
and shift production on a dynamic basis Architecture™ is a single plant-wide and discrete manufacturing
to the most efficient sites. platform and enabling foundation upon operations, we will generate
Finally, process automation controllers which its brewing optimization solu- great efficiencies for our
that can perform discrete and process tions are built.
corporation," said Thinus van
control from a single platform simplify One of the clear benefits of Integrat-
implementation, on-going operations ed Architecture is the execution of Schoor, manager of automation
and maintenance. both process and discrete operations for South African Breweries
within the Logix controller framework. (Pty) Ltd.
BEST PRACTICES "If we can merge our process and dis-
Market forces are contributing to merg- crete manufacturing operations, we
ers, acquisitions and consolidation of the will generate great efficiencies for our The suite of Rockwell Software prod-
global brewing industry. The top ten corporation," said Thinus van Schoor, ucts provides a comprehensive solution
brewers now control over 50 percent of manager of automation for South to manage and control plant assets in
the market. These brewers will demand African Breweries (Pty) Ltd., a real time to deliver significant operational
that their automation supplier possesses Rockwell Automation customer. benefits, complemented by an extensive
these five attributes. Integrated Architecture offers users a solutions toolkit that drives enhanced
Rockwell Automation delivers products choice of open technologies; an ROI from existing business systems. 

ValueStream • Food & Beverage Solutions 7


Power and Energy

Risks Reinforce Need to Prepare MES article, continued from page 3


there is a 57 percent difference.
Plants not using MES achieved a 12.3
percent reduction compared to a 19.3
report with an unwieldy CrainTech.com, says that the findings of percent reduction for those using

A title — "An Analysis of the


Consequences of the
August 14 2003 Power
Outage and Its Potential Impact on
Business Strategy and Local Public
the survey "reinforce the belief that even
for some events that occur as infrequent-
ly as once every few decades, the risk is
still substantial enough to warrant the in-
vestment of resources to protect against
MES.
This reduction can most likely be at-
tributed to MES core capabilities such
as a unified plant-wide view of produc-
tion that leads to greater overall effi-
Policy" — has some disturbing news. their occurrence." ciencies, operator support to reduce
In spite of the near inevitability of The survey also found that: errors and waste, and detailed data to
another major regional power failure,  Two-thirds of the business surveyed track down root causes when a prob-
most businesses are not ready to face lost at least a full business day due to lem arises.
one. And the risks are great. the August 2003 blackout.
The report, prepared by a partnership of  Nearly half said lost employee pro- Process plants using MES
Mirifex Systems LLC, the Weatherhead ductivity was the largest contributor
School of Management’s Center for to losses suffered because of the
reduced energy consumption
Regional Economic Issues and NE Ohio blackout. 9.8 percent compared to a 5.5
 As a consequence, over one-third percent reduction for those that
said they’d be somewhat or very did not.
Losses Per Hour likely to invest in alternate energy
of Downtime systems.
(U.S. Dollars)  Production/manufacturing and cus- In process and mixed mode indus-
tomer sales/service were the areas tries, where energy consumption is
of business hardest hit by the often a larger cost, the reduction is
blackout. even greater. Process plants using
 More than half the businesses sur- MES achieved a 9.8 percent reduction
From APC Currents, August, 2004. APC, www.apc.com.

veyed say that currently the greatest in energy consumption per unit of
risks to business operations are production, while those not using MES
cyber-crime and utility outages. achieved a 5.5 percent savings in the
 Nearly half will invest more in risk previous three year period – a 78
■ 80% $50,000 or less management, business continuance percent difference.
■ 9% $50,000 - $100,000 and/or disaster recovery in the future. In an era where return on assets (ROA)
■ 9% $100,000 - $250,000  More than a third felt it was some- and operating costs are critical metrics of
what or very likely that the region’s company financial health, top executives
■ 2% $250,000 - $500,000
image would suffer as a result of the will be looking for ways to enhance pro-
blackout. ductivity. This study of best plants shows
A quarter of the businesses surveyed
lost more that $50,000 per hour of  Over one-third of firms surveyed that MES enhances the rate of perform-
downtime — at least $400,000 for an have no risk management or disaster ance improvements that production facil-
eight-hour day. recovery plans in place.  ities can achieve. 

ValueStream is published by Rockwell Automation. Editorial content is developed by Putman Media Custom Media Division.
For more information on Rockwell Automation visit www.rockwellautomation.com

For more information on Rockwell Automation Food & Beverage Solutions, call (1) 800.223.5534 x1763 or (1) 952.946.4041.
Or visit www.rockwellautomation.com/food or www.rockwellautomation.com/beverage

Corporate Headquarters: Rockwell Automation, 777 East Wisconsin Avenue, Suite 1400, Milwaukee, WI, 53202-5302 USA,
Tel: (1) 414.212.5200, Fax: (1) 414.212.5201

Headquarters for Allen-Bradley Products, Rockwell Software Products, Global Manufacturing Solutions, and ValueStream Food & Beverage Solutions
Americas: Rockwell Automation, 1201 South Second Street, Milwaukee, WI 53204-2496 USA, Tel: (1) 414.382.2000,
Fax: (1) 414.382.4444

Trademarks: Allen-Bradley, Arena, Integrated Architecture, FactoryTalk, Rockwell Automation, Rockwell Software, RS-
Bizware Batch, RSView, RSView32 are trademarks or registered trademarks of Rockwell Automation. Trademarks not
belonging to Rockwell Automation are property of their respective companies.

8 ValueStream • Food & Beverage Solutions

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