- Beneficiary name: Allance Ltd.
- Project title: "Capacity Expansion Development at Allance Ltd."
- Contracted support amount: 67,690,000 Ft (sixty-seven million six hundred ninety thousand forints).
- Support intensity (%): 45%
Project Content Description
With the implementation of the project, our company modernised its sheet metal processing equipment (replacing our outdated, inaccurate equipment), expanded its machining capacity, and entered the market with a new related activity by commissioning the powder coating equipment. This enables us to perform all the manufacturing tasks required for the production of logistics systems demanded by potential clients today. Cutting, sectioning, bending sheets, and powder coating (painting) products. The ERP software manages almost all of the company's administrative processes. It ensures the planning, management, and feedback of our processes, thereby enabling us to operate a more efficient production. This is why the GINOP-1.2.1-16-2017-00649 project was important to us.
Investment Equipment
- Powder Coating Technology: Enables us to surface treat (paint) the products we manufacture, thereby delivering higher added value to the customer. The equipment is capable of powder coating parts up to 6 metres long, giving us a particularly strong market position.
- First MCV 1000 Vertical Machining Center: Suitable for productive machining of parts made of cast iron, steel, and non-ferrous metals. With the commissioning of the equipment, we have significantly increased our machining capacity and capability.
- Dener CNC 4000/13mm AS Guillotine Shear: By replacing outdated (commissioned in 1992) equipment, we have achieved increased manufacturing accuracy and productivity with this machine. Moreover, instead of the previous 3-metre machining length, we can now undertake work up to 4 metres in length.
- Dener Smart XL 4000/220t CNC Press Brake: By replacing outdated (commissioned in 1990) equipment, we achieve increased manufacturing accuracy and productivity with this machine. In sync with the guillotine shear, we can now undertake work up to 4 metres in length instead of the previous 3 metres.
- IT Equipment (Tablets, PDA, Barcode Printer): Acquiring these tools allows us to monitor and manage production processes. These devices (stationary and portable tablets, warehouse PDAs) support the work of management, engineering, office, production, and logistics staff. The label printer ensures the identification and traceability of raw materials, semi-finished products, and finished products.
- ERP Software: We have introduced a customized, integrated enterprise and production management software. The system enables us to manage all administrative processes. The introduction of the software supports our sales, procurement, and production activities. We can plan, manage, monitor, and evaluate our production. With the software, we have an advanced, highly automated intelligent production management and decision support system, as well as a complex enterprise ERP system that supports logistics processes and international sales.
Description of Results
The planned equipment and intangible assets were procured and commissioned into production as part of the project. By the time the project was physically completed, the acquired manufacturing equipment - painting equipment, vertical machining center, guillotine shear, press brake, and IT tools - were operational and in production.
The commissioning of the powder coating equipment represents a portfolio expansion for us. While previously our clients took over the parts we manufactured without surface treatment and then took them somewhere to be painted, we can now perform powder coating for them as well. This allows us to easily secure some of the contracts since we handle these tasks on-site, saving our clients transportation and handling costs.
Considering that the powder coating facilities in our vicinity can only paint smaller parts, Allance Ltd. has gained a significant market advantage with its curing chamber longer than 6 metres. With this advantage, we can uniquely paint larger parts in our region.
With the installation of the vertical machining center, we have a modern machining tool. The equipment has significantly increased the company's machining capacity, enabling market expansion. Given that our company intends to establish a modern machining hall in 2020/2021, this equipment allows us to accept jobs we previously couldn't due to size precision requirements.
The introduced enterprise management software, together with the IT tools, provides a solution to a major problem, making our production plannable, manageable, and controllable.
With the software, we can calculate our quotes more accurately, significantly increasing our competitiveness considering the installation of more productive equipment and the expanding portfolio. We can prepare our quotes faster, improving customer satisfaction.
The enterprise management system ensures complete management of orders received based on our quotes. We can digitally consolidate the manufacturing drawings, supplier orders, manufacturing instructions, and other information related to the orders.
We can plan our production processes. We can see what raw material requirements an order formulates and what personnel and machine resources it requires. Knowing this, we can allocate our resources and significantly increase the utilisation of our production.
We can track the planned process with the acquired IT tools. We know exactly who is performing what manufacturing process with which tool at any given time. After completing a given order, we can compare the planned cost budget in the quotation phase with the cost budget planned after the order and the actual costs incurred. The results of these investigations help determine the company's development, where we need to change to ensure the company's market competitiveness and productivity are as good as possible.
Executing the investments entailed several additional (approx. 20 million HUF) investments. We allocated a separate hall section for the powder coating equipment, acquired new compressors, rebuilt our utility network (water, gas, electricity), and expanded our industrial air network.
As a further result of the investment, our company expanded the number of employees. We added several new colleagues to our team to operate the painting equipment and handle the increased internal logistics tasks.
Through acquiring new equipment and increasing the workforce, our company has expanded with new production activities and made the applied technologies and work processes more efficient and precise. In the future, the company will be able to offer more competitive bids for larger production series, resulting in higher revenues in both domestic and international markets.
Planned project completion date: December 31, 2019
Project identification number: GINOP-1.2.1-16-2017-00649
Allance Ltd.