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ERP case
study - Chemical Manufacturing Industry.
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Background:
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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.
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ERP Issues & challenges:
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To achieve operational excellence, process
manufacturers must be able to keep control over cost structures while
meeting customer expectations.
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Improve performance and increase
profitability with integrated, comprehensive solutions that protect your
people, process and assets, while reducing cost and improving
productivity.
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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.
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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.
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Tolerance and purity % information should
be captured in transactions.
HOW ERP CAN ADDRESS THESE ISSUES:
By deploying
following ERP modules issues are addressed:
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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
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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.
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ERP KEY BENEFITS:
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ERP Software is used for
fully integrated Business Management.
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Enhanced productivity as
users handle more business challenges in the same time frame.
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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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