Digitalisation To Transform Steel Market

After going through three industrial revolutions that brought significant technological developments over a period of more than rwo centuries, the world is currently witnessing the fourth Industrial revolution, which is technology adoption by the world’s factories at a whole new level.

- Tamajit Pain

The world has moved from point to point connection to analog to digital and now to intelligent connectivity, Satyen Shah, Associate VP, Sales and Marketing, IT and Digital transformation, JSW Steel Ltd, said while speaking at the Indian Steel Markets Conference on February 25.

Preparing for a digital future

“There is a paradigm shift in the way we source, produce, market, sell, and provide support and service. Digital revolution is now landscaping the way we engage with stakeholders.

Digital capabilities need alignment with organisational goals be it internal (processes and value chain, structure, people and culture) or external (supply chain, direct customers and end customers),” Shah said.

Digitalisation opportunities in the steel value chain

Demand forecasting

Demand forecasting can be done through machine learning model based on integration of a range of forward indicators. The analytical forecast will act as the starting point upon which key insights from customer testing are laid prior to discussion or planning meetings.

Capacity forecasting

A machine learning model that generates probabilistic view of capacity, highlighting risk and opportunity. The capacity forecast application is used by planners to select the monthly tons per shift figure, which is entered into the client planning system.

Inventory optimisation

The optimum inventory level is entered into the planning system as the target buffer volume, spare capacity therefore converted into inventory up to the target level.

Dashboard