CASE STUDY

How a Steel Fabricator Cut Downtime 40% and Saved $10M with Predictive AI

Summary

  • Company: $80M steel fabricator, 400 employees.

  • Wrong Starting Thought: “We just need sensors to monitor equipment.”

  • Why That’s Wrong: Sensors alone create false alarms, conflict with existing ERP systems, and can actually increase downtime.

  • WhatIf Approach: Strategy-first roadmap. Step-by-step rollout → predictive maintenance → supply chain AI → scheduling AI.

  • Results: $2M ROI in 90 days, $10M ROI in one year, 40% less downtime.

    • Company: $80M steel fabrication firm.

    • Problem: Unplanned equipment downtime was costing $100K per day.

    • Win: $10M ROI and a 40% reduction in downtime.

    • Transformation: Shifted from constantly reacting to machine failures to predicting and preventing them — running the plant proactively.

  • Challenges:

    • Machines breaking mid-job, leading to emergency repairs.

    • Lost contracts due to missed deadlines.

    • High labor costs from constant firefighting.

    Hidden costs: $12M annually in penalties and wasted labor.

    If nothing changed: More lost contracts and damage to the company’s reputation.
    If they only added tools: Just adding sensors floods the team with alerts, most of which aren’t useful, creating more work instead of less.

    • $2M ROI in 90 days

    • $10M ROI in one year

    • Downtime reduced by 40%

CLIENT FEEDBACK

“We went from repairs running us to us running the plant.” – COO

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