ERP Case study for Electrical - Electronics
Product - Manufacturing Industry.
Power Electronics Industry - ERP Implementation by Jyotindra Zaveri.
Standard products (yet configurable as per
specific customer’s requirements).
ERP Case study of UPS and Inverter manufacturing company with “After
sales service division”.
The company is ISO 9001 certified for its quality standards and is an
exporter to many countries, including
Southeast Asia, Africa, Mid East, Eastern Asia,
etc. Major Products Includes: Online UPS Inverters up to 400 KVA.
Solar/Wind Hybrid Solutions. Customized Power Backup Solution.
Emergency Lift Operating Systems.
This enterprise is a leader in making UPS
and Inverters. The owner is a very dynamic and a true entrepreneur had
the vision of becoming a global player. The management decided to
deploy ERP software for business management.
The special module that was thought of was the ‘Service module’.
This takes care of the after sales service, warranty management
service call management, service reports, spares used in the field for
repairs, and so on. Their major customers are individual companies,
banking sector, builders, etc.
Supply chain Management
LED, IC, Diode
ISSUES & CHALLENGES:
Variety of application load of the product, as well as the changes in
end user requirements is a big challenge that management was facing.
With the legacy
system, the Bills of Material (BOM) could not be drilled down to the
level of the material required for manufacturing a certain quantity.
This led to higher inventory levels. The head of production department
was planning mostly based on assumption, resulting in dead inventory.
The product is sold under warranty. Now, the service division will take
care of after sales service. The challenge is to give the service in
quickest possible time and keep track of the customer’s complains.
Spares used under warranty or under AMC. Spares to be billed and so
Some production is carried out based on advance planning and then
configured as per the specification. Here number of batteries and
battery make, technical specs are captured and stored for proper
Serial number capturing and storing them in the ERP database is
important for future reference during the after sales service.
History card is linked with work order, name of customer, and gives
vital information such as serial number.
HOW ERP CAN ADDRESS THESE ISSUES:
·ERP has given a comprehensive and integrated solution, with modules
for, Purchase processing, sales Order Receipt Information processing -
ORI link with sales invoice, production, inventory management. User
friendly GUI was given to prepare the Bill of Materials (BOM) master.
UPS company’s internal team was drawn from the ‘task force’, experience
users and end users. This played a crucial role in implementation of the
new system, as faster decisions making was possible. Serial number is
With a knowledgeable and motivated ERP coordinator, internal team and
ERP implementer and programmers, the implementation was completed
By implementing following ERP Modules:
Accounts module –
VAT / Sales Tax module
Inventory Management module
BOM – Bill of Materials module
CRM module (Customer relationship management) and pre-sales