The supply chain in the tile industry has some unique features that set it apart from other manufacturing sectors. Historically, most tile production processes have used a make-to-stock approach to planning, which was driven more by high minimum batch sizes than actual stocking policies.
This choice reduced setup costs, but at the same time generated excessively high inventories and warehouse coverage, resulting in operational rigidity.
The critical issues of traditional planning in ceramics
The ceramics industry has always relied on large batch production to optimise the output of semi-finished products from kilns. While this allowed for efficiency, it also led to:
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oversized warehouses and high costs
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lack of flexibility in responding quickly to market demands;
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long and inefficient delivery times.
Today, with the increase in the variety of formats, finishes and customised requests, this model is no longer sufficient. Companies need new supply chain strategies for ceramics that can balance production efficiency and responsiveness to demand.
The digital evolution of the ceramic supply chain
A significant boost came from the introduction of production planning and scheduling software in the ceramics industry, tools capable of integrating planning (MPS), finite capacity scheduling (APS) and production control (MES).
These solutions, developed using Industry 4.0 logic, have led to concrete benefits:
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reduction in finished product stocks, while maintaining minimum efficient batches for semi-finished products;
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optimised warehouse management, with dynamic stock levels and safety stocks calculated based on real demand
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multi-constraint scheduling, which reduces set-up times and improves plant productivity;
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real-time production monitoring and what-if simulations to evaluate alternative scenarios.
Oversize formats and tiles: a new challenge for planning
The rapid spread of oversized formats and ceramic tiles has revolutionised the sector’s supply chain. These surfaces have introduced the concept of semi-finished products: large tiles stored in warehouses and subsequently processed in small batches or individual pieces according to customer requirements.
This allowed to follow with a hybrid model:
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make-to-stock at the raw slab level;
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make-to-order at the finished product level.
The benefits are significant: less stock, shorter delivery times, greater flexibility in managing demand.
Results achieved with advanced solutions
Ceramics producers that have adopted advanced planning systems have seen significant improvements in the ceramics supply chain:
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a reduction in inventory costs and capital tied up in plant;
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optimisation of ceramic processes and increased plant productivity;
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better management of setup times and costly handling equipment;
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automatic alignment with factory systems and faster decision-making.
Moving to a more flexible and sustainable supply chain
Although the ceramic industry introduced these tools somewhat later than other sectors, today the digitalisation of the ceramic supply chain is a key factor in competitiveness.
Solutions such as Compass360 support manufacturers in managing planning, scheduling and procurement in an integrated manner. The aim is to make the supply chain more efficient, sustainable and capable of responding quickly to new market challenges: large formats, reduction of stocks and ever-higher service levels.