Manufacturing
Global Manufacturing Group
Multi site
The client
Bringing supply chain efficiency to a global manufacturing group
This global manufacturing client is a market leader in industrial lubrication products, with facilities across Europe, the US and India. Over the past several years the client had been driving internal process improvements but were also looking to drive new levels of process efficiency.
The challenge
Updating a 25-year old ERP system
Across their facilities, the client was utilising a 25-year-old ERP system to manage customer orders, shop orders and inventory. Printed work order sheets were issued to the production floor with updates keyed back into the ERP from job cards and timesheets were submitted daily on paper.
This manual, out-dated system presented many challenges for the client, including:
- Limited management and KPI reports
- Poor visibility on how process was performing real-time
- Poor visibility on material availability for shop orders
- Tools and gauges often missing, resulting in delays in starting jobs
- Parts often missing to complete orders
- Issues meeting shipment dates
- Escalations across functions was a daily occurrence
- Difficult to increase factory capacity
The solution
Automating existing ERP systems in the manufacturing industry
WrxFlo reviewed the current ERP system. While it had extremely limited reporting, it functioned well and continues to be supported by the vendor. Replacing ERP systems is very costly and disruptive for any business, so we opted to integrate with this system.
WrxFlo connected its Work Order Management module to ERP to deliver a fully functioning and modern factory management execution system that provides real-time updates across all functions to allow them effectively to run a paperless manufacturing process
WrxFlo then provided the following:
Automated real-time time reporting from the ERP, including:
- Key metrics
- Component availability for orders
- Part shortages that need to be ordered by procurement
- Part pick status of shop orders
- Status of parts needed by week/day to fulfil customer orders
WrxFlo implemented a shop order management system to manage:
- Shop orders and order prioritisation
- Tools and gauges
- Labour tracking & earned vs paid hours
- Material pick lists and status
- Engineering Drawings
- Product Quality
- Engineering Change Notices (ECNs)
Business outcomes:
- In 2 clicks -> 120/130% positive to eng standard on a product leading to a price adjustment winning the largest deal in company history
- Productivity increase by 40%
- Sustainability – 99% reduction in paper process (on way to 100%)
- ZERO business impact during implementation
The result
Winning new contracts due to efficiency improvements
As a result of process efficiency improvements coupled with more detailed data insights, the client found a number of benefits, including:
- Winning contracts for new business as the live visibility on product cost allowed price adjustments downwards to win new business.
- Since the implementation, the factory has hit record revenues as orders are much easier to manage through the process.
- All management metrics are available in real-time: Order status, material status, OEE (Overall Equipment Effectiveness), performance by job, machine, and operator.
- Zero impact on factory operations during the implementation.
- Fraction of the cost of implementing a new ERP system.
- 40% capacity improvement, sustainability practices reduced by 99%, cost per unit reduced by 20%, and customer delivery improved by 98%.