How does a company achieve maximum profit when labor and scarce materials are constantly fluctuating in price and availability? Determining the optimal combination of labor, materials and process can be difficult when the price for each fluctuates along with consumer demand. Gathering the actual consumption data from the operations model through realtime data collection and linking it to contextual financial data in their ERP is the vision of Cormetech as the 2011 MESA Metrics Makeover winner. This new model is expected to quickly become a best practice for cost validation and estimation in this engineer-to-order manufacturing process.
Their vision is realized in a proof point of an Enterprise Manufacturing Intelligence (EMI) tool linked together with a costing and profitability scenario analyzer to allow management and users to see the complete financial picture. This business case also represents a practioners example and alignment to the concepts and guidelines of MESA at large and the active metrics teams.