A palm oil mill’s profit is very sensitive to it’s OER output. Research has shown that OER is directly correlated to maturity of the FFBs. While you would like to pay a premium to fetch the volume, overpaying would make you lose money instead on a larger scale. Better knowledge of what is being supplied helps you pinpoint the correct pricing to remain competitive, reducing the risk of losing money.
Our solution scans the surface layer of all FFBs detected on the ramp, meaning the more spread out the FFBs on the ramp, the higher grading coverage our system can provide. This however does not require the FFBs to be spread out individually. More spread can be easily achieved through movements of the delivery trucks when unloading on the ramp.
Previous FFB grading systems were mostly based on spectral colour analysis, whereby strict enclosed environment were required to meet the specifications promised. Our model is designed to be deployed in the existing palm oil mills, which is usually open aired in the unloading ramp. We’ve engaged latest tech available in computer vision technology to generate credible, accurate results trained using MPOB grading manual standards and experienced graders.
The importance of Measurements
Palm oil industry is facing tremendous pressure due to land availability and labour shortages. Performance and quality are identified as the key focuses to improve profit.
To improve on performance and quality, we will need to begin by establishing credible measurement. Only when we have credible measurement in place can monitoring take place and tangible improvement targets be set.
Grading of the FFBs, if done properly, sets the baseline performance of the mill. It helps identify in a more precise manner on the losses in the milling processes, prompting actions in the high losses areas.
The value of Immediate Feedback Loops
Immediate feedback loops are known profoundly as an effective tool for changing behaviour. Provide people with information about their actions immediately, then give them an opportunity to change those actions, motivating them towards better performance.
In the case of palm oil supply chain, the focus especially on the plantation end is on quantity. However, focussing on both quantity and quality is the only way possible to uplift the income for all stakeholders. Immediately informing the suppliers on the quality issues of the FFB supply will prompt ‘corrections’ quicker, instead of pending disputes in the monthly meetings.
Information transmitted immediately will also prompt knowledge transfer to achieve alignments of judgement between buyer and sellers of the FFBs.