Green investments in TOTAL M

Project facts

Project promoter:
Total M Ltd.(BG)
Project Number:
BG-INNOVATION-0090
Status:
Completed
Final project cost:
€109,792

More information

Description

The primary objective of this project is to empower Total-M Ltd. with a state-of-the-art production process monitoring system, driving optimization across their manufacturing operations. This advancement offers a unique opportunity to enhance the efficiency of input material usage and the operation of existing machinery. The integration of new software and hardware components is poised to be a game-changer for their manufacturing workflow, as it adapts in real-time to the pace of production, streamlining the execution of various orders, balancing machine and staff workloads, and drastically reducing waste and damage to essential raw materials.

At the core of this innovative solution is a specialized monitoring system, designed to meticulously track the time required for each operation within the production processes. It offers comprehensive insights into the duration of specific orders and the intricate web of materials within the supply chain. By doing so, it ensures seamless order coordination and optimized resource utilization. This system''s brilliance extends beyond mere observation; it actively maintains a database of residual materials, reintegrating them into the production cycle to maximize resource utilization. As a result, it promises a significant reduction in waste, curbs energy consumption, and facilitates cost reduction by fine-tuning production processes and material use, ultimately creating a more sustainable and efficient manufacturing ecosystem.

Summary of project results

Due to new construction (both housing and non-housing investment projects) in the last ten years, furniture production has increased significantly. This surge in construction activities has triggered a corresponding rise in the demand for furniture, as new buildings require furnishing. Developers and homeowners alike are constantly seeking contemporary and stylish pieces to complement their new spaces, thereby fuelling the growth of the furniture manufacturing industry.

With new technologies being continuously introduced, trends in furniture manufacturing are changing with an equally regular pace. Innovations such as computer-aided design (CAD) and robotic automation have revolutionized the production processes, making them more accurate and efficient. These advancements also enable manufacturers to experiment with new materials and designs, keeping up with the ever-evolving consumer tastes and preferences.

There have been more discussions lately about the relationship between customisation and finished products in the furniture industry as a whole. Customisation allows consumers to personalize their furniture according to their specific needs and preferences, thereby enhancing their overall satisfaction. What used to be considered a luxury is now becoming a successful business model. Previously, custom-made furniture was reserved for the affluent due to its high cost and exclusivity. However, with advancements in manufacturing technologies and production processes, customisation has become more accessible and affordable to the general public.

It is believed that customisation may become the standard in the future and some companies have expanded to offer custom furniture solutions. This trend reflects a growing desire for individuality and stronger price awareness. Consumers today are more conscious of their spending and seek value for money. Customised furniture not only meets their aesthetic preferences but also provides functionality tailored to their specific needs, making it a worthwhile investment.

That is why the company needs technological renewal to keep up with emerging trends and offer the most flexible solutions with efficient use of resources and minimal negative impact on the environment. The competitive landscape in the furniture industry is rapidly evolving, and companies must adapt to stay relevant. Investing in modern technologies will enable manufacturers to enhance their production capabilities, reduce costs, and improve product quality.

The aim of the project is to enable Total M Ltd. (later on shifted to FURNITURE DRAGI AD) to optimise its production process by implementing a system for monitoring the production process. This optimisation will provide an opportunity to use input materials and operate existing machinery more efficiently (thus cutting on energy consumption, residual or waste materials), to align more effectively the workload with the number and capacity of the workforce, to execute data-driven investment plans in the future by analysing historical data specific to FURNITURE DRAGI AD. By implementing such a system, the company can achieve greater operational efficiency, minimize waste, and ensure sustainable use of resources.

In this regard, the applicant is making concrete steps towards "Industry 4.0", which refers to industrial production through creation of a network of IT and communication technologies with a network of services and data, allowing the construction of a smart factory with digitised, self-regulating processes. Industry 4.0 represents the fourth industrial revolution, characterized by the integration of digital technologies into manufacturing. This will allow the applicant to focus more closely and respond timely to emerging trends and customer demand, while at the same time maintain environmentally sustainable production processes. By embracing Industry 4.0, FURNITURE DRAGI AD is positioning itself at the forefront of innovation, ready to meet the challenges and opportunities of the future.

The project aimed to optimize its production process by implementing a customized system for monitoring production processes. ​ The key activities and outputs of the project included:

  1. Implementation of the Monitoring System: The core activity of the project involved the integration and implementation of a customized system designed to monitor the entire production process. This system included advanced sensors, data collection devices, and software capable of real-time monitoring and analysis. Comprehensive training sessions were conducted for all staff members to ensure they were proficient in operating the new system. The training covered everything from basic operations to advanced troubleshooting and data interpretation.

Outputs:

  • Innovative Technology Applied: The implementation of the production process monitoring system marked a significant technological advancement for FURNITURE DRAGI AD. This system provided real-time insights into every aspect of the production process, enabling the company to make data-driven decisions that improved efficiency and product quality.
  • Waste Reuse Measure: One of the key outputs of the project was the development and implementation of a measure to re-use residual materials generated during the production processes. This measure not only reduced waste but also contributed to the company’s sustainability goals by promoting the circular use of materials.
  • Energy Efficiency Measure: The project also included the implementation of a measure aimed at increasing energy efficiency across the production processes. By optimizing the use of machinery and equipment and reducing energy consumption, the company was able to lower operational costs and minimize its environmental footprint.
  • Enhanced Workforce Management: The monitoring system allowed for better alignment of workloads with the number and capacity of the workforce. This optimization ensured that employees were utilized more effectively, reducing bottlenecks and improving overall productivity.
  • Data-Driven Investment Plans: With the historical data collected by the monitoring system, FURNITURE DRAGI AD could execute more accurate and data-driven investment plans. This strategic planning enabled the company to allocate resources more efficiently and make informed decisions about future investments in technology and infrastructure.
  • Environmental Sustainability: The project’s focus on reducing waste and increasing energy efficiency contributed significantly to the company’s commitment to environmentally sustainable production processes. By embracing these practices, FURNITURE DRAGI AD positioned itself as a leader in sustainable manufacturing within the furniture industry.
  • Industry 4.0 Implementation: By adopting Industry 4.0 principles, the company integrated digital technologies into its manufacturing processes, creating a smart factory with digitized and self-regulating systems. This integration allowed FURNITURE DRAGI AD to stay ahead of industry trends, respond quickly to customer demands, and maintain a competitive edge in the market.

 

By implementing these activities and achieving these outputs, FURNITURE DRAGI AD has significantly enhanced its production capabilities, operational efficiency, and sustainability, setting a new standard in the furniture manufacturing industry.

The project achieved several significant results, benefiting various stakeholders:

  1. Increased Competitiveness:

    • For FURNITURE DRAGI AD: The company saw an estimated increase in annual turnover and an increase in net operational profit. The implementation of the production process monitoring system optimized production, reduced waste, and improved energy efficiency.
  2. Environmental Impact:

    • For the Environment: The project led to an estimated annual saving of 9.01 tons of CO2 and better waste management, with an estimated saving of 400 tons of waste annually. This aligns with the company''s goal of minimizing negative environmental impacts and moving towards a "zero emission" status.
  3. Operational Efficiency:

    • For the Company and Employees: The new system optimized the workload of machines and staff, leading to more efficient use of resources and smoother workflows. ​ Employees benefited from additional knowledge and skills to operate the new system.
  4. Customer Satisfaction:

    • For Clients: Clients benefited from shorter delivery times and more precise final products, enhancing customer satisfaction and potentially increasing customer loyalty.
  5. Shareholder Benefits:

    • For Shareholders: The shareholders benefited from increased revenues and profits due to the optimized production processes and improved market competitiveness. ​
  6. Industry Impact:

    • For Competitors: The innovative solution implemented by FURNITURE DRAGI AD could inspire competitors to adopt similar technologies, potentially raising the overall standards within the furniture industry.

Overall, the project had a positive impact on the company''s operational efficiency, environmental sustainability, and market competitiveness, benefiting the company, its employees, customers, shareholders, and the broader industry.

Information on the projects funded by the EEA and Norway Grants is provided by the Programme and Fund Operators in the Beneficiary States, who are responsible for the completeness and accuracy of this information.