How ebizframe ERP Transformed Distillery Manufacturers
About the Client
The client was the first company which was set up by Lexcel Group. It is one of the largest distillers and has a successful track record of manufacturing 14 brands of wines and spirits over the years. Their state of the art distillery is on par with the best in the business. Their production process follows all the industry standards. They have a wide range of pack sizes ranging from 3 cl to 100 cl that are packed in Glass bottles, pet bottles and sachets. To ensure that there is no compromise on the hygiene standards, they use automatic fillers, cappers & labellers.
After a thorough evaluation, the client went ahead with ebizframe ERP, an ERP solution from Eastern Software Systems Pvt. Ltd. The client was impressed with ebizframe ERP’s mobility and scalability, and its state-of-the-art modules like Finance, Material Management, Manufacturing and Planning, Sales and Distribution, etc. Also, the prospect of a drastic reduction in the man-hours due to the automation of the production cycle, expedited the acquisition.
Pre-ERP Implementation Scenario
Prior to the implementation,multiple managers were dedicated to manage Treasury, Financial Accounts, Inventory Accounts and Audit. Materials Management was not up to the mark as it was labor intensive, which brought in inaccuracy and human-errors. There was always a surplus of materials which invariably lead to wastage, as a result of which the productivity of the company plummeted. Also, as there was no automated system in place, a serious deficit of real-time information existed.
Employees were unable to access the real-time information pertaining to the status of Purchase Orders (PO), Inventory Levels, the actual vs. planned usage of materials, etc. There was too much dependency on manual labor and spread sheets, which led to the duplication of orders, duplication of vendor invoices,vendors’ short and over payment. The Manufacturing and Planning Process wasn’t very refined either as no Material Planning was being done. Also, the Preventive Maintenance & Scheduling was a challenge as it was being done manually.
As far as the Sales and Distribution was concerned, there was no availability of historical data which hampered a perfect sales forecasting. Moreover, direct invoicing was being done without any delivery reference. The absence of any automated mechanism, made the tracking of the credit limits very difficult and time-inefficient. Also, there was a lack of proper accountability of Sales Returns, and the consolidation of Branch-wise Sales use to be difficult.
Opted Modules of ebizframe ERP
• Material Management
• Manufacturing and Planning
• Sales and Distribution
Post ebizframe ERP implementation Scenario
As ebizframe ERP Software is now in place, the transactions are done in real time; hence a proper evaluation and tracking of the company’s financial health can be done. Also, the reconciliations have been eliminated as the checks and balances are now based on pre-adjusted business rules.
The Inventory Control & Procurement is now centralized. Automatic alerts arebeing generated once the buffer stock levels go down. Historical Data is being used effectively for Planning Inventories. Inventory Planning has now become more flexible and can be done in accordance with Budget and Sales Forecasts.
Material Procurement Process is now automated, based on pre-defined parameters. As the role of the manual element is minimized, the occurrences of data duplications have been eliminated. With the help of ebizframeERP’s MRP tool, Production Scheduling is now being done effortlessly. Also, the WIP stock is now generated automatically,based on the Daily Production entries, which was not the case earlier.
The Credit Limit are tracked very easily, which has led to the elimination of bad debts. System based Sales Return Process has become completely systemized and users can now track the batch level. Also, as the Sales Organisation is now managed centrally from HO, the monitoring of the consolidation process has become much more convenient.
Benefits derived after implementing ebizframe ERP
• Real Time Visibility of Financial Health
• Manpower cost reduced by 25%
• Real time access to the Inventory across the Group Factories with optimized stocks
• Reduced wastage saving up to 32%
• Sales Accuracy increased by 12%
• Improved User Efficiency and Traceability