News: Drax optimizes UK renewable fuel supply with Quintiq
March 2, 2017 - Quintiq, a Dassault Systèmes company and global leader in supply chain planning and optimization (SCP&O), announced today that it has revolutionized planning processes at energy company, Drax, the UK’s largest producer of renewable power. Delivered on time and within budget, Quintiq’s planning and optimization solution enables Drax to plan and optimize its entire supply chain through a single, integrated system.
Planning the global transportation and storage of millions of tons of compressed wood pellets annually is a complex process that was previously done using spreadsheets. This planning method was unable to support the business goals of the energy firm as it sought to diversify and grow its operations. Having converted to a predominantly biomass-fueled electricity generator, Drax needed a solution that would handle not only its current supply chain puzzle, but also have the flexibility to scale up as its operations grew.
Together with global supply chain consultancy, Crimson & Co, Drax searched for a planning system for the cost-effective purchase, storage and management of the biomass and coal needed for the operation of the power station. As part of the process, there was a stringent selection exercise encompassing case studies and reviews of live supply chain planning solutions, site visits and data analysis and scenario testing to compare the systems and solutions providers.
Crimson’s stringent selection process yielded one name: Quintiq. Within three months of inking the deal in January, Quintiq had developed a prototype that showcased a 95% working system for ports. After a smooth implementation process, the full solution went live in September 2016. Planners at Drax can now schedule the movements of marine and inland logistics, monitor fuel and stock demand, handle spot buys and spot sells, and monitor for potential outages through Quintiq. The intuitive and user-friendly interface allows all KPIs to be displayed on one screen. The system can also generate and perform what-if analysis on alternative scenarios in real time.
The project went very smoothly. Quintiq's deep understanding of our planning challenges resulted in a transparent and collaborative implementation process.
Graham Backhouse, Head of Supply Chain & Logistics, Drax
“Quintiq presented us with a 100%-fit solution that fulfills all our requirements.” said Owen Tucker, project lead at Drax. “It is flexible and extremely configurable. This flexibility is especially important as it allows us to accurately model rules, cost structures and constraints. The implementation has been really smooth with strong communication and cooperation.”
"We are extremely happy with the results," said Graham Backhouse, Head of Supply Chain & Logistics at Drax. "The project was completed on time and within budget – it went very smoothly. Quintiq's deep understanding of our planning challenges resulted in a transparent and collaborative implementation process. At every step of the way, they offered concrete proof of the ability of their system to improve our supply chain, to make us more cost-efficient and maximize our profits."
“The complexities of supply chains coupled with external circumstances mean organizations can no longer rely on legacy approaches to planning," said Dave Alberts, Director at Crimson & Co. "SCP&O systems are proven to reduce overall costs and provide greater ability in supporting complex decision making."
“This partnership with Drax is testament to the power and flexibility of the Quintiq solution,” said Francois Eijgelshoven, General Manager EMEA-Russia at Quintiq. “Quintiq has helped change Drax’s operational reality and give them immediate benefits that will only expand as time goes on. Quintiq will enable Drax to achieve its vision of becoming a world leader in sourcing and providing sustainable and renewable power.”
Drax Group plc plays a vital role in helping change the way energy is generated, supplied and used as the UK moves to a low carbon future. Drax operates the largest power station in the UK and supplies up to 8 percent of the country's electricity needs. The energy firm converted from burning coal into becoming a predominantly biomass-fuelled electricity generator. In addition to being one of the largest producers of renewable powers in the UK, Drax also holds the distinction of being Europe's single largest decarbonization project. Its 1,400-strong staff operate across three principal areas of activity – electricity generation, electricity sales to business customers and compressed wood pellet production.
About Crimson & Co
Crimson & Co is a global supply chain consultancy that thinks differently. It stands shoulder to shoulder with clients as it develops outstanding supply chains, using deep operational experience and broad-based business skills to challenge, guide and implement. Its strength is its consulting team, which it nurtures with care, and it has an approach and culture that its clients believe is unique. The company was founded in 2003 as a breakaway from one of the major consultancies and its scope spans supply chain strategy, planning, procurement, manufacturing, logistics and customer channels. It operates on all continents, with offices in London, Atlanta, Mumbai, Melbourne, São Paulo and Singapore, and typical clients are blue-chip organizations such as Sony, Diageo, Carlsberg, BAT, GSK, Tesco and Merck. For more information, please visit www.crimsonandco.com.
Every business has its supply chain planning challenges. Some of those challenges are large. Some are complex. Some seem impossible to solve. Since 1997, Quintiq has been solving each of those challenges with a supply chain planning & optimization software system. Today, approximately 12,000 users in over 80 countries rely on Quintiq software to plan and optimize workforces, logistics and production. Part of Dassault Systèmes (Euronext Paris: #13065, DSY.PA), Quintiq has offices in the Netherlands, the USA and around the world.