Vestas: Powering Quality in the Supply Chain

Feature by Bettina Wunderle

NORTHAMPTON, MA / ACCESSWIRE / February 28, 2024 / SAP

Foto: Accesswire

Problems with wind turbines are rare. But if one does catch fire or blades break and fly off in a storm, it tends to be headline news. This can not only damage the reputations of wind turbine manufacturers and operators, but also adds weight to arguments against wind power. And repairs are costly, too. Product defects are one possible cause, but how can manufacturers resolve quality issues when supply chains are so complex?

To address this challenge, Vestas, a major wind turbine manufacturer, launched a quality initiative powered by SAP solutions and SAP Business Network.

Pillars of the Energy Transition

Faced with the climate crisis, many countries around the globe are investing heavily in zero-emission renewables. China's 14^th Five-Year Plan is driving the market for renewable energy, as are the Inflation Reduction Act in the United States and the Green Deal in the European Union. In these parts of the world, wind energy is regarded as the pillar of the energy transition and is the largest source of renewable energy.

But the wind energy sector is highly competitive, experiences rapid innovation, and is prone to massive supply chain issues. Manufacturers must source raw materials, manage global logistics operations, and mitigate the risks of supplier dependency while still keeping pace with demand. They also need to be confident that all the components in their turbines meet rigorous quality standards and deliver performance and reliability. Quality control issues can result in faults, repairs, and - at worst - major failures.

As a market leader in wind turbines, Vestas Wind Systems, headquartered in Aarhus, Denmark, launched a large-scale quality initiative. Its 29,000 employees in 88 countries develop wind energy projects worldwide and manufacture, install, and service the turbines for them. The 85,000 turbines Vestas has installed to date generated 173 gigawatts of electricity and over 151 gigawatts under service as of September 2023. Several newly commissioned major projects will see that output increase significantly in the coming years.

"Collaboration with suppliers and partners is of crucial importance to Vestas when it comes to creating a sustainable future for the world by leading the global demand for onshore and offshore wind energy," Adeola Abegunde, director of Technology Area Lead Digital Procurement and Supply Chain at Vestas, says.