Material wait times cut in half to save $75 Million with Octave Loop Material Readiness

Introduction

The client used Loop Material Readiness on two projects in Alberta, Canada. One is a sustainment project on operation facilities, consisting of a wastewater treatment plant and a booster pump house.

Jobsite challenges

  • Crews were 5% less productive due to waiting on materials

  • Contractor claims on late material were estimated to cost the project $10 million

  • No way to create material withdrawal requests (MWRs) and pick lists across multiple commodities

  • Material status updates had to be tracked across multiple documents, increasing the likelihood of error

How was Loop Material Readiness used?

  • Warehoused materials always visible by using active RFID tags and gate readers

  • Tablets were used to locate materials in up to 4 feet of snow

  • Multiple materials could be added to a single MWR and pick list, reducing transaction time

  • Eliminated the need for multiple documents and reduced errors

Results

  • Reduced material wait times by 50%, leading to an estimated savings of $75M

  • Decreased material location time, increased receiving accuracy and eliminated re-procurement costs, leading to estimated savings of $10M

  • Increased mod yard efficiency, estimated to save $4.5M

  • Reduced time to create MWRs and pick lists

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