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Archive for July, 2012

Real Growth is: Operational Excellence = Increase in Profit.

Your business must grow to survive. But to grow and compete effectively in today’s rapidly changing marketplace you must have a strong foundation that allows for quick, insightful decisions. ERP provides access to the data needed to gain that insight. A fully integrated ERP platform designed to grow with your business can increase efficiency, reduce costs and pro­vide better information for quicker reaction to changing market conditions. It’s the solid base on which to build an agile organization.

 Let me give you a case study of a leading Manufacturing company who wanted eresource to perform OPERATIONAL audit, they wanted eresource to know, what was going wrong when everything had the appearance of being right !. The audit was performed by the consultancy division of eresource Infotech.

Here is an example of a company which suffered heavily due to an outdated legacy system. Some time back the management of one of the Manufacturing Company in India has assigned eresource to perform an operation audit. Though everything seems to be working for the company the management knew it wasn’t fine with everything inside the company. But they couldn’t figure out where the problem was and who could be blamed. The company’s technology operations were running on a legacy system. The company had 5 branches in different places across the country, out of which 3 where manufacturing units. The company manufacturing 800 products and each product carrying close to 30 Bill of Materials (BOM).

Like I said earlier, though work moved smoothly they were faced with lot of service difficulties. Despite of high business potential deliverables were always late, which resulted in payment of huge penalties. High Level of inventory made a further hole in the pocket of the company.  Too much inventory not only eats up the working capital of a company and creates cash flow problems but it also needs additional space and people to manage it. Poor and inefficient production planning added further financial woes. Dispatches were not happening on time, Supply chain where always delayed, managing resources were difficult, but were managed. Despite of high demands, the supply was low.

First what we did was a detailed assessment of how they have worked. We spoke to everyone right from the Vice President to production operators. They were all carrying out their work satisfactorily and within the acceptable tolerance.  After going through a thorough study of their legacy system it was found that it the legacy system lacked in providing transparent strategic information.

Every department worked in isolation and has its own systems of data collection and analysis. So the information that is created or generated by the various departments, in most cases is available only to the top management (that too summary reports) and not to the other departments. So the end result was that instead of taking the organization towards the common goal the various departments end up pulling it in different direction. This is because one department does not know what the other does.  So unless and until all the departments know what the others are doing and for what purpose, these kinds of conflicts are bound to arise which ultimately will affect the normal functioning of the organization.

Our presentation of enterprise way of functioning enabled them to understand how an ERP solution will be useful for an organization and how the enterprise solution considers the entire organization as a single system and all the departments as its sub-systems. They have also been fully convinced of how information about all the aspects of the organization is stored centrally and is available to all departments.

Since the implementation of eresource ERP the organization has started working successfully in co-ordination with all departments and sections, which produces a good end result. eresource helped company gain operational excellence.

 My question to you is, is your business achieving Operational Excellence? 

Watch this space to know more about Operational Excellence”

Categories: Sudheer's Blog

“eresource la sakale olakthath” (everybody knows eresource)

July 13, 2012 2 comments

Like I said earlier, my work demands a lot of travelling and the latest addition to my travel list is Nashik. My last visit to Nashik has more reason to cheer with. This trip made me realize eresource is indeed the fastest growing ERP tool in India.

Being caught in the heavy traffic  on Mumbai-Nashik highway, you are never sure that you will be able to make it on time for the appointment.  But once you crawl out of traffic and start cutting through the Kasara Ghats, the mountain ranges in India’s west that also brings down the rains in Mumbai in middle of the year, it is an altered universe. As the land curves up and then plunges down into a valley, you are liberated. Almost three and half hours on the road and you’ve zipped into India’s Napa Valley—Nashik On route I could see kids playing jhattapatti. (I do not know an English name to refer that game.). it is a game played by kids in most part of Maharashtra. The game is like one of the players hits or touches another then that kid goes on to touch another kid, and so on. The game involves a lot of running barefoot, and sometimes you don’t know if the resounding slaps are coming from the feet on concrete, or from sweaty hands on skin. This reminded me of school days when we used to play Jhattapatti, dabaspice, Lagori.  Don’t ask me what it means, because that’s all I know. Anyways, let me come back to where I started, Nashik trip.

I finally reached Nashik at 11:00am. , one hour late than the scheduled appointment time.

End of our  meeting which lasted for more than an hour with detailed discussion and deliberations, I have realized that the customer was extremely unhappy with his previous ERP provider. He was very critical about not only the product but also the implementation methods also the other services. I would not name the vendor here because I honestly don’t remember the name of that vendor now. He named some ERP Vendor, to me that appeared like some local ERP vendor based out of Nashik.  He was complaining in his usual tone; “Tumhala bolu ka? Teh log evun paishe gyun gele, pan ERP kadhi implement zala nahin.. (They came, took the money and left, but the ERP was never implemented).

,I asked the customer in whatever little Marathi I could speak “Bara, tar tumhi aata eresource la kasa bulavla?” (I can understand, but can u tell me what prompted you to call us?  Customer said “eresource la log olaktoh aani sagalanya mahit aahe ke eresource chaan ERP product ahe.. Manoon tumhala bulavla.. (He said, everyone knows eresource, and everyone knows what a great product they make. That is the reason we called you.

An agreement to implement eresource ERP was signed at the end of the meeting.
In the last 8 years we hardly had any customer in Nashik, However, during the last five months we have succeeded in roping in three customers and for out of one of them the system already running live and work on others are in progress. I am glad eresource is delivering on time, on target and at the location.

After a lavish Maharashtrian thaali, courtesy the customer, I left Nashik and proceeded to Mumbai.  In a normal day I would have felt very dull after a heavy meal like the one that he has offered. But not on that that day,  I was fully energetic. I was pondering how important is one sentence, or one smile that can bring in your life? I have realized that how true it is that a word that can make your day. Yes. That day of mine was made by a word said by the customer – everybody knows about eresource  Yes, I am proud to be associated with eresource.  eresource is respected and recognized because of its experise, know-how and focus on quality.

Clouds were setting on the skyline of Nashik Mumbai  highway. Western ghats looks beautiful in rains. As I was approaching igatpuri, I could see kids were playing lagori in the nearby fields near their homes. I too was picked up liking of lagori during my school days, Lagori is a game played with seven tiles and a ball. There will two teams. As the games starts one of the members from one team throws a soft ball at the tiles which is kept one up on one. As ball breaks the brick tower, the other team gets the ball and throws at one of the players from the other team. But the team that broke the tile tower must build the tower without getting hit by the ball.

The game needs good physical excise. Building the tower, brick by brick, without getting hit by the ball thrown by your opponents is a game we play not only in field but also in life. I was thinking life is also a big game like the one that I have witnessed a while ago.  I feel happy and realize that challenges are faced in right manner when I hear someone say, eresource la sakale olakthath That makes my day.

Categories: Sudheer's Blog