Case Study : Custom ERP Development

Situation

One of the largest steel distribution company with operations in US and Canada installed an off-the-shelf ERP system to streamline their production and cut inventory losses. Given the standard features of the system, it failed to optimize their operations and the company was losing approx. 3% of its gross profit in losses

Task

The client was facing operational challenges and huge financial losses due to the inefficient ERP system. They need a solution. The problem needed to be solved as soon as possible.

They approached e.Soft for a Custom ERP.

Some of the client's problems were

  • They placed orders with their vendors in metric tons of steel, but took delivery as finished steel pipe products. Hence they required a calculation engine to ensure the order quantity matched with the delivered quantity
  • They required a customized credit system
  • They wanted accurate inventory measurement in weightage, footage and number of pipes

Action

With more than 17 years of experience in developing custom ERP solutions, e.Soft’s techno-consultants were up for the challenge! Given our experience, we were able to anticipate many of the business challenges and started to add value even before understanding the specifics of every problem

We followed our proprietary ADIT methodology to deliver maximum value to the client.

Analyze

e.Soft's experienced techno-consultants worked with various client stakeholders to understand business specifics and the specific needs of the various departments. Once we had all the requirements, we defined the ideal system architecture & strategy that would meet various departmental needs, automate processes and enable communication through the value chain,

Develop

Based on the approved design specifications, our technologists worked with the client’s business units to develop the ERP system on a module-by-module basis, ensuring each module developed connected with the existing one, and provided streamlined operations.

Test

Our in-house testing team tested the product thoroughly. The product had to meet e.Soft’s high quality standards and be compliant with the client’s business requirements. Our proprietary testing processes helped speed up the time to market for the solution and cut customer losses.

Improve

At e.Soft we are never content with developing a good product. We strive to develop a product that would maximize business value for the client. In line with these principles, even after successful delivery, our team analyzed operations and further improved the delivered solution for the client. E.g.- Integrating the system with hand-held devices which would improve tracking and automate the process.

Results

With e.Soft's dedicated and proficient team, the client was able to rise above their problems and increase profitability for their business once again.

They now had

  • 100% material tracking in terms of 'number of pipes,' 'total footage' and 'weight of pipes'
  • 10% cost saving with ERP implementation
  • Accurate knowledge of TCO of every product including cost of materials, added components and cost incurred in light manufacturing.
  • 100% visibility of inventory that is on hand, shipped, in transit and delivered.
  • Total satisfaction with their new, improved and easy-to-use ERP system.