Lanner Group, Inc.

Xugong Group Construction Machinery Co. Selects WITNESS to Optimize New Loader Factory

China’s Largest Construction Machinery Manufacturer Turns to Process Simulation to Validate and Optimize Productivity.


Houston, TX -- (SBWIRE) -- 01/13/2012 -- Lanner, a provider of simulation software proven to maximize performance and optimize resources, announces that Xugong Group Construction Machinery Co., Ltd:, China's largest manufacturer of construction machinery, has selected WITNESS by Lanner to optimize production throughput at its new loader factory in Xuzhou in the Jiangsu province.

In response to increased demand from the market, Xugong commenced a project to build a new loader factory in 2010. Given the scale of investment channeled into the facility, and greater complexity incurred through increased throughputs and a wider range of vehicles in production, Xugong needed to ensure that the best possible decisions were made to optimize the performance, productivity and profitability of the plant. Relying on the experience of key personnel was simply too risky, therefore the company selected WITNESS simulation software from Lanner.

Using WITNESS, Xugong was able to create a model of the factory and achieve a detailed, comprehensive understanding of how the facility would operate - factoring in all processes, variables and interdependencies. The model uploads details of a range of processes, including the cutting of raw materials, sheet metal, welding, painting, and final assembly, into one overarching model to look at how different production rules impact each stage of the manufacturing process. Using the information from the model, the construction machinery leader is able to optimize throughput at the factory.

"The WITNESS generated model of our new loader factory has played a key role in helping us to fully understand the dynamics of the facility before it is actually built. Using the software, we can validate the new factory throughputs, identify bottlenecks and verify the new factory layout design," comments Mr. Zhou Tian Lei, New Loader Factory Project Manager, Science & Technology Division of Xugong's parent company XCMG.

"WITNESS's reputation as a tool for supporting best practice, particularly in the global engineering and construction machinery industry, meant that we had absolute confidence that it would help us to make the best decisions to maximize production in our new loader factory. Simulation is the best way to identify the production issues, evaluate initial designs and validate decisions."

David Jones, CEO, Lanner, comments "This application of WITNESS represents the largest project of its kind in China to date and cements Lanner's footprint into the China market."

He continues, "As the global economy continues to remain turbulent, businesses in all sectors recognize that they cannot afford to take risks associated with poor decisions. Simulation is a means of de-risking decisions, ensuring the most productive, profitable approach to new initiatives, and establishing a solid platform for growth."

About Lanner
Any business can use the proven simulation software and services delivered by Lanner to maximize its performance and optimize the use of resources. Lanner is an international company with headquarters in the UK. Its simulation software has delivered answers for commercial businesses and government organizations since 1979, helping them move toward operational perfection. Lanner's customers include some of the largest and most successful organizations in the world and its technology is embedded within leading software vendors' products. For more information, visit, or follow on Twitter @Lanner.

About Xugong Group Construction Machinery Co., Ltd
Xugong Group Construction Machinery Co., Ltd. operates as a subsidiary of Xuzhou Construction Machinery Group Inc (XCMG). Since its establishment in March 1989, XCMG has always been a leader within Chinafs construction machinery industry. At present, XCMG ranks in the Top 7 in the global construction machinery industry, 123rd of Top 500 enterprise in China, and 53rd of Top 500 manufacturing industry in ChinaDXCMG is a large-scale enterprise group in Chinafs construction machinery industry, with the largest scale and most diverse series of products.

The annual operating income of XCMG has increased to Yuan 66 billion in 2010 from Yuan 386 million since its foundation, ranking it number one in China's construction machinery industry.