OEM Supply – Automotive Parts Manufacturing Industry Case study for ERP in an Industrial Spring manufacturing company. Made to order. BACKGROUND: Original Equipment Manufacturer (OEM) supply or Making as per the customer order. Unlike FMCG products, here all activities such as production, purchase, sales is linked to the customer's purchase order (sales order). DNS ERP is deployed successfully in many such electromechanical engineering companies. Here is a success story of a company that is a leader in manufacturing high quality springs for 'automobile' sector. At the same time DNS ERP can take both kinds of automation – standard products as well as customized products manufacturing company.
Supply chain management Spring items Assy Oil Dipstick Bearing Brass Sheet Extension Cam Extension Cam HY 605 Galvanized Wire HSS Bit 17 X 17
ISSUES & CHALLENGES: • • • • • • • • • • • •
Smoother and faster process flow Efficient distribution of information 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 Delivery performance Automatic integration of key business processes, such as sales, purchase, production, QC, accounts, excise, etc.
OHNS Dia 20x500 Spring Steel Wire Gr-2 Stainless Steel Wire Straighten Wire
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OEM Supply – Automotive Parts Manufacturing Industry HOW DNS ERP CAN ADDRESS THESE ISSUES: DNS 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. 2. 3. 4. 5. 6. 7.
8. 9.
Security module Accounts module – General Ledger Accounts VAT / Sales Tax module Excise module Inventory Management module Purchase & Prepurchase module MRP - Material Requirement Planning module / Supply Chain Management (SCM) ISO 9000 – Quality check module BOM – Bill of Materials module
10. Production module (Assembly Production and Process Production) CRM module (Customer relationship management) and presales module. 11. Automatic email alerts module 12. Payroll and HR module 13. Cost sheet module – preparing estimate 14. Order Fulfillment module – Sales Accounting (Shipping)
KEY BENEFITS: Machine Master and Process Master (tempering, cutting, hooking, etc.) 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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