Case Study

Lift trucks operate in extreme conditions at Tata Steel IJmuiden

By Gian Schiava

May 2013

High expectations in the village of steel

Lift trucks operate in all kinds of environments. In operations where they unload just two lorries a week they can, as you may imagine, last for decades. But how do they operate in extreme environments where demands are high? Any additional services to encourage customers to invest?

Gian Schiava visits the challenging Tata Steel site in the Netherlands and finds out…

Your eureka editor has practically been a neighbour of this global steel company without really knowing the company well. In the Netherlands it is perhaps better known by the former name ‘the Hoogovens’ and everybody in this region knows somebody who works there. We were asked to take a closer look at their site in IJmuiden near Amsterdam in the Netherlands and learn more about their materials handling operation.

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The production fleet, which operates 24/7, mostly employs the Cat® EP50N.

A village of steel

Tata Steel in IJmuiden turns out to be a huge steel production site. Larger than a small village, it covers 750 acres and has its own roads and harbours, which are directly connected with the North Sea. The site is part of the Tata Steel Group and is engaged in the production, processing and distribution of steel products. Each year, Tata Steel IJmuiden processes approximately 4.5 million tonnes of coal and 9 million tonnes of ore. Through its sea port 2.5 million tonnes of quality steel is shipped to customers around the globe while a further 1.5 million tonnes passes by barge through the North Sea Canal to destinations in Europe. An additional 2.9 million tonnes of high grade steel is transported by road and rail to customers all over the world. Those are dazzling numbers, but it’s only on arriving at the site that the scale and scope of this impressive operation really become apparent.

“Each year, Tata Steel IJmuiden processes approximately 4.5 million tonnes of coal and 9 million tonnes of ore.”

Steel Packaging

Our first meeting is with Ed van Heese, manager transport maintenance & coil packaging, at the Steel Packaging business unit. Ed has a long tradition of working with Crepa, the Dutch Cat® lift trucks dealer. He explains the origins of this relationship: “Many, many years ago, Crepa was a different operation, but they already understood that the lift truck business is much more than just selling machines. Our company was, in their eyes, a customer with extreme demands. But I can honestly say they learned from our advanced maintenance philosophy while we benefitted from their specific machine knowledge. And in an open relationship we grew together.”

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2.9 million tonnes of high grade steel is transported by road and rail to customers all over the world. Image courtesy of TATA Steel.

Ed takes us on a quick tour round his production site. We see raw steel being processed into a thinner and thinner end product before being treated with tin or chrome, depending on the application. The end result is delivered in many different thicknesses and finds its way into automotive, food & beverage and other industries. Ed continues: “The main difference with many companies is that we have a 24/7 operation. This puts a high demand on the lift trucks as they can be in continuous use. They are deployed in various steps of the production process, and that means we do not accept downtime. Crepa has engineers permanently located on-site who largely look after the planned maintenance.”

“The main difference with many companies is that we have a 24/7 operation. This puts a high demand on the lift trucks as they can be in continuous use.”

Driving along with Ed in his golf car, we begin to understand the role of the lift trucks. An infinite number of steel coils are waiting for shipment, and goods are being transported from one site to another. The fleet at Tata Steel is diverse. All trucks up to 7 tonnes are electric machines and were chosen because of their low emissions. Tata deploys internal combustion trucks up to 40 tonnes, but those giants operate outdoors and electric alternatives for these roles simply do not exist. The production fleet, which operates 24/7, mostly employs the Cat® EP50N, chosen in cooperation with Tata Steel’s overall Vehicle & Transport Management department. “Safety is a major issue here at Tata Steel,” Ed says. “We breathe safety. Our standards are high and we expect that same dedication from our suppliers on site.”

“The production fleet, which operates 24/7, mostly employs the Cat® EP50N, chosen in cooperation with Tata Steel’s overall Vehicle & Transport Management department.”

The overall perspective

However, Ed did mention that the choice of truck was also made without consulting the truck drivers and this triggers our curiosity. We sit down with Ronald Jansen, fleet manager, and his team. It turns out Tata has a team of no fewer than six people managing the site’s vehicle contracts. Three of those are dedicated to the contracts for over 300 industrial vehicles, amongst which are the lift trucks. Ronald explains their goals. “We treat the various business units as internal clients and do our best to balance specific desires with the best possible buying efficiency. Our overview of what is happening on the site and our knowledge of vehicles has given us such an experience that we can get the best bang from our buck. In reality, it is not just about finding the right solution, but also to find it within time. Sure, we especially like to look at things from the perspective of Total Cost of Ownership. It means we not only look at machine performance, but also at how the product meets our high safety and operational standards. In the case of the Cat forklifts, we wanted things like a continuously working warning light, special seats and slower tilting and lifting speeds. But we always start with a great standard product, as changes can also be costly and reduce flexibility.”

Ronald continues: “Our overall perspective also allows us to see where there are peaks and lows in vehicle demand. We can mediate between business units to lend each other vehicles. In this way, we can be very cost effective and add a clear value to our service.”

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Steel is delivered in many different thicknesses and finds its way into automotive, food & beverage and other industries. Image courtesy of TATA Steel.

Make yourself at home

“Our visit is not complete without a chat with the people from Crepa. In total there are four personnel on site; three engineers and one battery specialist. They maintain not only the Cat machines, but also the other types of trucks and vehicles that work on the site. The operation requires excellent maintenance planning, but also a good overview of parts consumption and when they are needed. In addition to this team there is a dedicated account manager for Tata Steel, who attends each work meeting. Tata Steel turns out to have high expectations from its suppliers in terms of forward thinking and anticipating possible problems. Jan Duursma, 1st district engineer at Crepa, says: “Tata Steel prioritises the continuity of its steel production process and expects us to contribute to that. We love this industry and are continuously challenged by the great variety of machines we have to keep on the road.”

A quick goodbye and I am driving away from IJmuiden. Today we saw an incredible operation where professionalism, forward planning and dedication are vital to keep it running smoothly.

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