Radio-GPS helps ACC cut operational cost in UP plant

The company deployed RFID & GPS in logistics operations under pilot project

Cement major ACC Limited has reported almost 5 per cent savings in operations cost at its Tikaria plant in Amethi following implementation of Radio Frequency and GPS based logistics management.

The company had deployed Radio Frequency Identification Device (RFID) and Global Positioning System (GPS) in logistics operations under a pilot project.

Since, transportation accounts for 30-35 per cent of cement retail price, the project was aimed at improving operational efficiency, cutting delays and improving vehicle turnaround.

“Typically, a truck, which earlier took 4-5 hrs for loading until it exited our gates, now turnarounds in about one-and-half hours. This enables their faster movement to destination, thus saving on fuel cost and saving time both for the factory and the truckers,” ACC vice president (central logistics) Tushar Rameshchandra Dave told Business Standard.

He claimed ACC Cement had pioneered this advanced logistics technology in the domestic cement industry.

While, RFID tracks the historical data of the truck and time taken from Gate In and Gate Out, GPS tracks their movement outside the plant.

“These savings helped us offset to some extent the rising fuel prices lest they would have been passed on to the customers,” he added.

“Together, RFID and GPS ensure better visibility of trucks, providing for better logistics management and supervision,” ACC director logistics (north) Deepak Gulati said.

The technology was implemented at the Tikaria plant in March 2012 and was later introduced at two more units located in West Bengal and Karnataka. The company intends to implement the technology in all its 16 plants in 2 years.

The company has already put GPS devices in 1,000 odd trucks at the three plants and the remaining 9,000 trucks pan-India would be covered in phases.

ACC Limited, which was formerly The Associated Cement Companies Limited, is now a part of the global Holcim Group.