Qatar Steel implements Proficy Smart Factory MES to gain real-time visibility into their inventory while eliminating manual processes

Established in 1974, Qatar Steel is the Gulf Cooperation Council’s (GCC) first integrated steel plant and is ranked among the top four steel producers in the Middle East. Its core production processes include Direct Reduction (DRI) Plants, Electric Arc Furnaces (EAF), Continuous Casting, and Hot Rolling Mills. The company manufactures DRI/HBI, steel billets, and reinforcing bars (rebars). Qatar Steel serves both domestic and international markets, with a strong commitment to quality, innovation, and sustainability.

Their plant is fully integrated with four production units working seamlessly together.

• The first is the DRI, or Direct Reduction Plant, where they convert iron ore into solid iron.
• The second is the EAF, or the Electric Arc Furnace, where they melt steel with a combination of DRI and scrap metal.
• The third is the Continuous Casting Plant where they cast molten steel into billets.
• The fourth is where they convert the billets into the finished product in their Rolling Mill unit.

They also operate a well-equipped jetty facility that handles the import of raw materials and the export of finished product supporting their logistics and supply chain.

In 2003, they went through the significant milestone of implementing an ERP system. They digitized the enterprise functions such as the procurement, finance, HR, and manufacturing. However, their manufacturing module was not connected with their level-two system from the shop floor – causing their production data across their plant to be manually recorded via paper or Excel, and then manually entered into their ERP by someone at the end of their shift. This led to several issues, including data-entry errors resulting in incorrect values, inventory mismatches, inefficient KPI monitoring, delays in reporting and lack of real-time visibility, and challenges maintaining audit compliance.

It became clear they needed to implement a Manufacturing Execution System (MES). They partnered with Velotic to implement their Proficy Smart Factory MES and connect with their level-two system in order to fetch real-time production data without interference with the existing automation system. Then they would create a central data repository within their MES and use this data to update the ERP automatically. With this, they would be able to automate and digitize shop-floor operations to:

• Achieve real-time integration with ERP
• Enhance data quality and integrity
• Improve operational visibility
• Provide real-time visibility into inventory
• Eliminate manual data entry and paper processes
• Lay the foundation for scalable, smart manufacturing

They started with an initial proof of concept (POC) using Proficy Smart Factory MES and focusing on one production area to capture real-time material tracking and ERP integration for data accuracy, traceability, and timeliness.

From there, they launched a full-scale MES rollout and gradually expanded to all major production units which interfaced key production and quality checkpoints with the ERP.

Finally, they partnered with Qubris Manufacturing IT Solutions recently to upgrade Velotic’s Proficy Smart Factory MES – transitioning from a desktop to a web-based platform, implementing high-availability to maintain system uptime, and extending MES coverage to include ladle management and a system for product delivery to capture KPIs like yield, delay tracking, throughput, and energy use. Then they established product and heat-level traceability for compliance and quality assurance.

Image credit: Velotic

• Automated, validated data transactions to ERP systems.
• Real-time synchronization between shop floor and ERP.
• Data is cleansed and validated before posting, ensuring reliability.
• Live dashboards, reports, and alerts on key production KPIs.
• Reliable data enabled quicker response to production issues and planning decisions.
• The MES is modular and extendable to future plant upgrades, QA systems, and supply chain tracking.

For over a decade, Proficy Smart Factory MES has helped them reduce manual errors, improve traceability, and get faster responses on their shop floor.

“MES has brought a shift to the way we manage and monitor the production processes. Through the help of dashboards and KPIs, we can see the real inventory status and instant insights into what’s happening on the shop floor…it really has brought a significant value in terms of how you can better control your quality while also enhancing accountability and responsiveness.”

Senior Application Analyst at Qatar Steel

Qubris is a team of highly skilled technical consultants with over 25 years of experience in manufacturing processes. We specialize in integrating production lines with advanced Manufacturing Execution Systems (MES), delivering scalable, configurable software solutions that connects seamlessly with your ERP system.

Qubris supports national and international clients in building efficient, sustainable, and data-driven manufacturing operations. With deep expertise spanning from the shop floor to business processes, we unlock the full potential of IoT and big data for your business.