{"680297":{"#nid":"680297","#data":{"type":"news","title":"Optimizing Systems: A Strategy for Georgia Power\u2019s Material Management","body":[{"value":"\u003Cdiv\u003E\u003Cp\u003EFrom managing vast quantities of materials to ensuring timely deliverables, the logistics behind each transmission project is a complex puzzle.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EBut what if the pieces could fit together more seamlessly?\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EThat\u2019s the driving vision behind this latest project, \u003Ca href=\u0022https:\/\/expo.gatech.edu\/prod1\/portal\/portal.jsp?c=17462\u0026amp;p=413142918\u0026amp;g=413665329\u0026amp;id=417145331\u0022 rel=\u0022noreferrer noopener\u0022 target=\u0022_blank\u0022\u003E\u003Cem\u003E\u003Cstrong\u003EWired for Efficiency: Supercharging Material Management\u003C\/strong\u003E\u003C\/em\u003E\u003C\/a\u003E\u003Cem\u003E\u003Cstrong\u003E \u003C\/strong\u003E\u003C\/em\u003E\u2013 a comprehensive overhaul of Georgia Power\u2019s material ordering and inventory management.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EKnown as \u201cThe Power Hive\u201d, this senior design team assessed and developed an overall approach for transforming the utility giant\u2019s material process.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EAt the root of the transformation lies Georgia Power\u2019s unique estimating application, Teams, which creates detailed cost estimates and bill materials for transmission projects.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EHistorically, the application supports two types of units to break down complex transmission designs, but with an ever-expanding library, the need for a consolidated process became critical.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Ch5\u003E\u003Cstrong\u003EInnovative Systems for Seamless Integration\u003C\/strong\u003E\u0026nbsp;\u003C\/h5\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EThat\u2019s where the Approved Material List (AML) comes in: a carefully curated selection of materials designed to reduce complexity, lower costs, and improve the efficiency of the entire supply chain.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EWhile the AML offers a bridge to simplify the material selection process, integrating it into the systems posed as an exciting challenge for these industrial engineering seniors.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003Cdiv\u003E\u003Cp\u003EOne of the most exciting aspects of the project is their approach to the inventory management and substitution standardization process.\u0026nbsp; \u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EBy using data analytics \u2013 including models \u2013 the team conducted thorough cost-benefit analyses to forecast the financial impact for changes.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003E\u201cWe used four different types of stochastic and simulation models to develop a strategy that mitigates the potential risks while maximizing the full benefits.\u201d said Omar Nabulsi.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003ETheir methodology focused on phasing out existing inventory, ramping down new procurement, and alleviating waste \u2013 all while resolving discrepancies through acceptable substitutions.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EThrough this multi-faceted approach, the substitution standardization only drives productivity further. With machine learning, the team built a tool to help facilitate substitution mapping which allows users to search the material needed in the system.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EBy identifying which materials are essential to construction projects designed prior to the AML\u2019s implementation, the team can pave the way for a smooth transition to the new system.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EOnce Georgia Power fully implements and manages this strategy, it has the potential to increase the company\u2019s value by the following:\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cul\u003E\u003Cli\u003EReducing $22.5 million dead stock, and $45.6 million non-AML\u0026nbsp;\u003C\/li\u003E\u003C\/ul\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cul\u003E\u003Cli\u003EMinimize the cost of non-AML materials by $21 million annually\u0026nbsp;\u003C\/li\u003E\u003C\/ul\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cul\u003E\u003Cli\u003EDecrease 1,000 hours of labor or $65,000 of adoption costs\u0026nbsp;\u003C\/li\u003E\u003C\/ul\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003EIn doing so, Georgia Power would not only be able to streamline its material operations, but they\u2019d be setting a new standard for utilities and large-scale infrastructure projects across the state.\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E\u003C\/div\u003E\u003Cdiv\u003E\u003Cp\u003ECreating a smarter, more agile supply chain that anticipates needs rather than reacting to them is the key to driving long-term efficiency and cost-savings.\u0026nbsp;\u0026nbsp;\u003C\/p\u003E\u003C\/div\u003E","summary":"","format":"limited_html"}],"field_subtitle":"","field_summary":[{"value":"\u003Cp\u003EGeorgia Power\u0027s \u0022Wired for Efficiency\u0022 project, led by the senior design team \u0022The Power Hive,\u0022 focuses on overhauling material ordering and inventory management to reduce complexity and costs. By integrating the Approved Material List (AML) and utilizing data analytics, the project aims to create a more agile and efficient supply chain, potentially saving millions annually.\u003C\/p\u003E","format":"limited_html"}],"field_summary_sentence":[{"value":"Georgia Power\u0027s \u0022Wired for Efficiency\u0022 project aims to streamline material management, reduce costs, and enhance supply chain efficiency through innovative systems and data analytics."}],"uid":"36284","created_gmt":"2025-02-06 20:10:57","changed_gmt":"2025-02-06 23:51:51","author":"chenriquez8","boilerplate_text":"","field_publication":"","field_article_url":"","location":"Atlanta, GA","dateline":{"date":"2024-12-10T00:00:00-05:00","iso_date":"2024-12-10T00:00:00-05:00","tz":"America\/New_York"},"extras":[],"hg_media":{"676231":{"id":"676231","type":"image","title":"Senior Design Team Power Hive, Georgia Power","body":null,"created":"1738872668","gmt_created":"2025-02-06 20:11:08","changed":"1738872668","gmt_changed":"2025-02-06 20:11:08","alt":"Senior Design Team Power Hive, Georgia Power","file":{"fid":"259967","name":"IMG_4338-2.jpg","image_path":"\/sites\/default\/files\/2025\/02\/06\/IMG_4338-2.jpg","image_full_path":"http:\/\/hg.gatech.edu\/\/sites\/default\/files\/2025\/02\/06\/IMG_4338-2.jpg","mime":"image\/jpeg","size":737191,"path_740":"http:\/\/hg.gatech.edu\/sites\/default\/files\/styles\/740xx_scale\/public\/2025\/02\/06\/IMG_4338-2.jpg?itok=QkC7bFIE"}},"676232":{"id":"676232","type":"image","title":"Senior Design Team Power Hive, Georgia Power","body":null,"created":"1738872755","gmt_created":"2025-02-06 20:12:35","changed":"1738872755","gmt_changed":"2025-02-06 20:12:35","alt":"Senior Design Team Power Hive, Georgia Power","file":{"fid":"259968","name":"IMG_0363.jpg","image_path":"\/sites\/default\/files\/2025\/02\/06\/IMG_0363.jpg","image_full_path":"http:\/\/hg.gatech.edu\/\/sites\/default\/files\/2025\/02\/06\/IMG_0363.jpg","mime":"image\/jpeg","size":710770,"path_740":"http:\/\/hg.gatech.edu\/sites\/default\/files\/styles\/740xx_scale\/public\/2025\/02\/06\/IMG_0363.jpg?itok=nUyPjNr0"}}},"media_ids":["676231","676232"],"groups":[{"id":"1242","name":"School of Industrial and Systems Engineering (ISYE)"},{"id":"1243","name":"The Supply Chain and Logistics Institute (SCL)"}],"categories":[{"id":"144","name":"Energy"}],"keywords":[],"core_research_areas":[{"id":"39541","name":"Systems"}],"news_room_topics":[],"event_categories":[],"invited_audience":[],"affiliations":[],"classification":[],"areas_of_expertise":[],"news_and_recent_appearances":[],"phone":[],"contact":[{"value":"\u003Cp\u003ECamille Carpenter, Communications Manager, chenriquez8@gatech.edu\u003C\/p\u003E\u003Cp\u003EDima Nazzal PhD, Director of Professional Practice, dima.nazzal@gatech.edu\u003C\/p\u003E","format":"limited_html"}],"email":[],"slides":[],"orientation":[],"userdata":""}}}