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ERP Case study: Engineering Manufacturing Industry 
 
Project based engineering Manufacturing Company

Background:
Engineering: India has progressed very well in the engineering sector.
Exports also have progressed significantly. To manage the growth one
needs ERP solution.

This company manufacturers industrial heating systems. OEM plus


Stock and sale of standard industrial Infra Red (IR) lamps and modules
with complex electronic controls panels. Domestic as well as Export
Bill of Materials (BOM)
sale. They have implemented the ISO 9001:2000 (QAS, Australia) to all
is made for large
system having company activities ranging from enquiry processing to product validation
hundreds of with the aim of exceeding customer expectations at every stage.
mechanical, electrical
items.

ISSUES & CHALLENGES:

This manufactures industrial heating systems and its components. The


ERP Software team is associated with users for over four years. They
have designed and implemented an ERP package for efficient resource
development, timely delivery and improved quality. This has resulted
into enhanced quality and service for our customers, job satisfaction for
employees and cost savings for the company.

Many of the heating systems manufactured by this company are


customized designs meant to achieve one or more specific goals.
Coordination of design and an error free manufacturing process to
exceed customer satisfaction is only possible through a meaningful and
user friendly inter-connected database.

Creating a 12 digit item code by the drawing department is a serious


bottleneck in the functioning of many companies. ERP has given an ‘an
auto-codification’ ERP module that has speeded up the process to great
extent.

www.dnserp.com                                                  J. Zaveri  Page 1 
 
 

ERP Case study: Engineering Manufacturing Industry 
 
Supply china HOW ERP CAN ADDRESS THESE ISSUES:
management of items
give Just-in-time Well-versed with excise procedures with reports like RG1, RG23, PLA as
(JIT) inventory per Indian laws. 'Project workbench' report gives project wise (sales
management
order wise) details of each project. ERP software allows sharing of
Electrical items information among most departments in a company, for a user who is
having the necessary log-in and password.
Fuse

Fan The issues are addressed by deploying following modules:

Cables & switches 1. Security module


10. Production module
2. Accounts module –
(Assembly Production
Electronic items General Ledger Accounts
and Process Production)
3. VAT / Sales Tax module
CRM module (Customer
4. Excise module
PCB relationship
5. Inventory Management
management) and pre-
module
Mechanical items sales module.
6. Purchase & Pre-
11. Automatic email alerts
purchase module
SS Plate module
7. MRP - Material
12. Cost sheet module –
Requirement Planning
Nuts preparing estimate
module / Supply Chain
13. Order Fulfillment module
Management (SCM)
Bolts – Sales Accounting -
8. ISO 9000 – Quality
(Shipping).
check module
14. Auto-codification of item
9. BOM – Bill of Materials
code
module
15. Resource matrix
module.

KEY BENEFITS:

ERP focuses on the following for the engineering industry: Knowledge of


'Best Practices' in the Engineering Industry. Solutions for discrete and
repetitive manufacturing. Engineering change management. Ability to
handle export document like the ARE-1, ARE-3, etc.

For an SME company, this ERP package is a welcome transformation. It


has provided online operations through computers, in all aspects of
business and is expected to contribute to increased profitability and a
Standard products
better reputation in the ever changing global market.

Users believe all SMEs can position their organizations to benefit from
ERP system, which is designed to meet the unique requirements, in
order to achieve both top line and bottom line growth.

www.dnserp.com                                                  J. Zaveri  Page 2