Industry: Dairy Products
Companies which, like Züger Frischkäse AG, manufacture many different products in small batches, need lean processes. An industry-specific ERP system helps them with that. Christof Züger had already realized this 20 years ago – and has transformed his company in Switzerland into a globally successful niche player.
Better meet customer needs with IT
By introducing the CSB-System, the CEO has positioned the information technology at the cream cheese company so that it can better fulfill the customer requirements. “We offer our customers what the industry giants cannot do,” says Christof Züger. For example, Züger supplies easy-to-handle convenience products like cheese cubes and slices or heart-shaped mozzarella. Besides conventionally manufactured products, the customers can choose from an organic product line as well as small product series. Overall, Züger processes the milk of its 400 suppliers in about 700 different products, some of them in very small batches. There are 2,500 packaging components, seven production departments and three high-bay storage facilities.
Add to this Switzerland’s expensive production conditions. Their impact must not weigh too heavy on the prices, especially in the international business. Under these conditions, a professional IT infrastructure is a must for Züger. To keep the processes at the factory as lean as possible, the cream cheese specialist integrated all company areas in a network – with the ERP system by CSB.
Permanent digital optimization
Establishing the information technology as a “business enabler” started early on in the company’s history. At the same time, this constituted a vital step for the further success of the then five-strong team. Aided by the ERP software, Züger is able to control the processes in administration and production in an optimal manner. All data from milk acceptance to the different processing stages, inventory management and picking and delivery is captured in the system so it can be processed immediately. The real-time data has also enhanced the planning: For example, Züger uses Coverage Planning to assure the availability of materials and capacities. As a result, the operational processes can be steered so that the orders are delivered at minimal cost and at the requested date. In picking, Züger achieved 50 percent time savings while minimizing the error rates by combining high-bay storage facilities and mobile data capture. With CSB-Document Steering, Züger benefits from defined standard processes and a better overview of returns.
After about 20 years in operation, the outcome for the cream cheese specialist is very positive. The micro-business has evolved into a globally successful niche player with a staff of 250 employees. “Only with the growth in the ERP system, were we able to portray the organic growth of our company and to keep efficient structures,” Züger reports.
Digitization continues to play a central role
For Christof Züger the further digitalization of the company remains a top-floor issue: “We have installed a lot here in Oberbüren in order to live a kind of Industry 4.0. This has many benefits for us, but also for our customers. Right now, we are upgrading our German branches to CSB, with the same logic we have here in Switzerland.” At the main plant in Oberbüren, the maintenance module is also planned to be implemented in order to facilitate early maintenance and repair of the machinery pool. It also helps to get a clear overview of weak points and costs. In the future, goods receiving is planned to be handled with hands-free terminals so the data is transferred to the ERP system even faster. With the Business Intelligence solution, Christof Züger intends to enhance the transparency of his company and, for example, better analyze the complex data sets from production and logistics. His goal: Making the right operational and strategic decisions, and making them even faster.
