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ERP case study - Chemical Manufacturing Industry.

  • Background:

    • The ERP for the chemical industry is software that addresses the following key issues important to the chemical industry: To compete in world markets today, chemical industries should provide well-organized customer service, control costs in all operational areas, comply with regulatory requirements, and optimize machine utilizations such as reactors. ERP links various functions pertaining to process manufacturing industry.

  • ERP Issues & challenges:

    • To achieve operational excellence, process manufacturers must be able to keep control over cost structures while meeting customer expectations.

    • Improve performance and increase profitability with integrated, comprehensive solutions that protect your people, process and assets, while reducing cost and improving productivity.

    • Some chemical manufacturers produce and sell consumer products such as soap, bleach, and cosmetics, most chemical products are used as intermediate products for other goods, that is to OEM customers.

    • Many plants are located in different geographical locations. Head office is raising Purchase Order in place and the factory located in another place is receiving material.

    • Tolerance and purity % information should be captured in transactions.

HOW ERP CAN ADDRESS THESE ISSUES:

By deploying following  ERP modules issues are addressed:

 1.       Security module

2.    Accounts module – General Ledger Accounts

3.    VAT / Sales Tax module

4.    Excise module

5.    Inventory Management module

6.    Purchase & Pre-purchase module

7.    MRP - Material Requirement Planning module / Supply Chain Management (SCM)

8.    BOM – Bill of Materials module

 

9.    Remote access - multiple locations

10.  Sales module.

11.  Automatic email alerts module

12.  Payroll and HR module

13.  Cost sheet module – preparing estimate

14.     Order Fulfillment module – Sales Accounting.

 

  • ERP KEY BENEFITS:

    • ERP Software is used for fully integrated Business Management.

    • Enhanced productivity as users handle more business challenges in the same time frame.

    • Multi-location: Head Office and factory are located far apart. Transactions entered in factory are saved on the ERP Server installed in the Head Office.

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