The cost of recovered paper continues to rise due to recent fuel price hikes, which have increased collection and transportation costs. Whereas the rapid increase in demand for recovered paper in Southeast Asia, making it necessary to manage recovered paper inventories to avoid wastage.
Against the backdrop of the above, in this initiative, we together Rengo Co., Ltd. Fukui Division Kanazu Mill (hereinafter “Kanazu Mill”) collect data through the Internet of Things (IoT) and use the collected data and Business Intelligence (BI) to digitalize the recovered paper yard (hereinafter “yard”). The goal was to achieve first-in, first-out (FIFO), which further enhances the recyclability of recovered paper through the digitalization of the yard.
To solve the problem, there were challenges in integrating two types of data with different structures, sensor data (unstructured data) and recovered paper inventory data (structured data), but we were able to solve them with the cooperation of the Kanazu Mill.
The introduction of BI increased the visibility of the structured data, clarified the traceability of raw materials, and made it possible to instantly trace which lot of recovered paper was at risk in the event of an emergency. In addition, the ability to visually grasp the condition of recovered paper has prevented the retention of deteriorated recovered paper, and the appropriate delivery of raw materials has improved the yield rate of products, leading to an improvement in product quality.
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