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ERP Case study for OEM electrical manufacturing industry.

Manufacturing as per contract of original equipment manufacturer. Make to order.

BACKGROUND:

  • Original Equipment Manufacturer (OEM) supply or Making as per the customer order (make to order).

  • Unlike FMCG products, here all activities such as production, purchase, sales is linked to the customer's purchase order (sales order).  ERP is deployed successfully in many such engineering companies.  Here is a success story of a company that is a leader in manufacturing high quality motors and alternators for electrical industry.

  • At the same time ERP can take both kinds of automation standard products as well as customized products manufacturing company.

ISSUES & CHALLENGES:

  •   Smoother and faster process flow

  •   Decentralization of task & decision

  •   Increased transparency and better control

  •   Protection/ Security of data

  •   Wastage, scrap, rejection

  •   Integration of all departments

  •   Cost control

  •   Productivity through elimination of duplication

  •   Inventory of raw materials 

 

HOW ERP CAN ADDRESS THESE ISSUES:

ERP pre-sales and sales module helps managing marketing activities by capturing sales enquiry, preparing quotation, sales order, sales schedule, sales invoice, etc.

 

By using the following ERP modules above challenges are met:

 

1.      Security module

2.      Accounts module General Ledger Accounts

3.      VAT / Sales Tax module

4.      Excise module

5.      Inventory Management module

6.      Purchase & Pre-purchase module

7.      MRP - Material Requirement Planning module / Supply Chain Management (SCM)

8.      ISO 9000 Quality check module

9.      BOM Bill of Materials module

 

10.  Production module (Assembly Production and Process Production)

11.  Automatic email alerts module

12.  Sub-contractor IN module.

13.  Cost sheet module    preparing estimate

14.  Order Fulfillment module Sales Accounting - (Shipping)

15.  CRM module (Customer relationship management) and pre-sales module.

 

KEY BENEFITS:

 

Machine Master and Process Master are linked to Work order.  The Production Planning module is linked to sales order and Bill of Material master.  User is able to track stage-wise production.

 

When the work order will be prepared then the user (from production section) will do the daily planning according to machines that are available to him and according to work order quantity and the process that has to be done.

 

Select the work order number for which the planning is to be done.

 

      When you select the work order number, item code and work order quantity gets defaulted automatically.

      Then select machine name for the respective process that has to be done.

 

In the process drop down the process defined in the work order which are required will get defaulted. The user has to select process one by one and then define its plan quantity and shift and click on add button.

 

      In Production entry, user can enter the time required for manufacturing a given item i.e. start time & end time.


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Home About ERP Backup Campus ERP Crossword Puzzle 1 Crossword Puzzle 2 CXO DNS ERP DNS Source Doctor ERP ERP Audit trail ERP Modules list 1 of 2 ERP Modules list 2 of 2 ERP Book excerpt eManufacturing ERP Library ERP Testimony ERP CASE STUDIES ERP flow diagram ERP levels IMPLEMENT ERP Mobile Apps MIS News eCommerce ERP Paperless Office RFID SAP Year Ending

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