Manufacturing has long been touted for showing far greater efficiency gains than other industries. Credit can be attributed to the need to stay competitive, the ability to standardize, and technology made available to this large and broad industry.
We are now seeing that same focus moving from the manufacturing floor to the facilities in which the manufacturing occurs, and the drivers are not unlike those that propelled the initial wave of efficiency improvement in the industry.
Competition is great, there are better technology solutions to manage capital programs throughout the entire lifecycle of an asset, and demand keeps growing. US demand for durable goods increased consistently for nine months beginning mid-2020, and jumped 3.4 percent in January 2021, according to the Wall Street Journal.
Watch our on-demand webinar with Ivan Saavedra Maufras of Vesta industrial real estate: Capital program management: lessons from manufacturing.
“The pandemic reminded manufacturers about the fragility of relying on labor, access to physical space, and centralized factories halfway around the world to produce goods,” notes a story in Forbes. Manufacturers are utilizing modern technology, from sensors and machine learning to robotics, to reduce risk and keep the industry moving forward.
These new methods and technologies bring the concern of the manufacturing facilities to the forefront.
How should organizations best prioritize the facilities they build and retrofit? How can they execute these projects in the most efficient manner possible, and then maintain these complex, automated systems with maximum efficiency and minimal risk?
Even some of the most sophisticated organizations have operated without comprehensive capital program management solutions in place. But that’s changing.
Vesta, an industrial real estate owner, developer, and property manager, provides facilities across 13 states in Mexico to some of the world’s largest automotive, aerospace, and medical device manufacturers.
In alignment with the quality and safety reputations of these leading manufacturers, their demand for excellence in their facilities is unmatched. Vesta recognized what standardized processes and systems meant to their own success, which in turn benefited their manufacturing clients.
The company brought in Ivan Saavedra Maufras to reimagine the company’s processes and technology and take the company to a new level.
Maufras conducted a thorough internal assessment before going to the market to evaluate solutions, and ultimately select and implement a full suite of Oracle solutions including Oracle’s Primavera Unifier to manage their extensive and distributed portfolio of buildings. The project manager’s goals were simple: consistency, control, and performance.
Standardizing processes and systems allowed Vesta to reach its goals and continue to grow. Maufras and his team initially analyzed their functions, including cost, schedule, scope management, risk, and reporting.
Then they worked with their implementation partner, Gaea, and stakeholders throughout Vesta to define the structure and implement the ultimately flexible solution, Primavera Unifier, to truly transform how the organization runs its business.
All aspects of capital programs generate huge volumes of data. But without the right systems data is a burden rather than a valued asset. Just imagine continuous access to the information that you need when you need it. That includes getting alerts warning of a potential risk ahead.
This is how organizations can make informed decisions and be proactive. “People want information right away and that is what Primavera Unifier can provide,“ says Maufras.
A few of Vesta’s results are:
It isn’t easy for owners to be involved in the numerous details throughout all of their projects and locations, but involvement is key to ensuring capital programs align with organizational goals. Having the right technology lets owners best use the data mentioned above and keep abreast of and in control over all aspects of capital program activities.
It is important to set up flexible systems across your entire portfolio. That allows you to have the visibility you need, the ability to compare projects, and easily leverage learnings across your portfolio while still meeting project specific needs.
Read more about how Vesta leveraged Oracle’s suite of technology solutions to develop a new business model.
Watch our on-demand webinar to learn how Vesta is optimizing their capital programs and providing predictable conditions to their tenants, some of the world’s largest manufacturers. Nov. 4, 2:00 p.m. ET/11:00 a.m. PT. Register here.
Oracle Construction and Engineering, the global leader in construction management software and project portfolio management solutions, helps you connect your teams, processes, and data; empower better decision-making; and synchronize activities across the project and asset lifecycle. Drive efficiency and control in project delivery with proven solutions for project controls, construction scheduling, portfolio management, BIM/CDE, construction payment management, and more.