1. ERP ?
( Foundry Specific )
An integrated business automation application
that foundrymen can use to collect, store,
manage and analyse data from business
operations for a sustained profitable growth.
ERP = Connected Enterprise
2. An Ideal ERP Characteristics for Foundrymen
• An integrated system for “Smart Foundries”.
• Operates real time & support industry “best
practices”.
• Uses a “common database” to supports all
applications including Android, iOS.
• System with elaborate application & data
integration.
4. ERP : facilitates information flow between business functions
Customer
Sales Order
Procurement
Production &
Costing
Distribution
Accounting &
FinanceHR &
Payroll
CorporatePerformance &Governance
Customer
Feedback
Customer
Service
Business
Intelligence
e-commerce
and others…
Enterprise Asset
Management
1 2
3
4
5
6
7
8
9
5. Benefits
• Help Focus on “Excellence” in every
department.
• Avoids Duplication of Entries-Save Man Hours.
• Gives an EDGE over competition by focusing
on productivity, efficiency & performance.
• Provides transparency & Real-time data to
take right business decisions at right time.
• Replaces diverse systems with uniform &
integrated workflow.
6. Benefits
• Helps Monitoring Control on Pattern, Die &
Tool Life utilization.
• Notification on Equipment, plan preventive
Maintenance schedule to avoid Breakdown.
• Helps to focus on Repair History,
Maintenance cost, Maximizing Asset
utilization & Productivity.
7. Benefits
• Design, deploy and optimize manufacturing
process to check on costing.
• Helps focus on achieving quality benchmarks
for international standards like ISO, APQP,
SPA, MSA, 8D, 5S Audit etc.
• Improve forecasting, using historical data to
plan business better.
• Accurately Control Financials including cash
flow & fund flow (incl. Budget Vs Actual,
analysis).
8. Benefits
• Support Lean Manufacturing for “Releasing
Hidden Capacity” & improve operational
efficiency
• Support the manufacturing process with
“book tallied” costing.
• Automated Machinery output should be in
sync with ERP.
• Energy efficiency should be monitored &
reported via ERP to management.
9. Challenges in Implementing ERP
( & how to overcome )
Customization of Unique demands
(Selecting the right ERP Vendor)
Re-engineering business processes
(Meticulous Planning & Motivated Team)
“Switching cost” from existing application
(Calculating ROI, Few Indian ERPs work on 12 month ROI)
Overcoming internal resistance
(Motivated Team & Awareness Program )
Training manpower while continuing business
(Extensive Support from ERP Vendor)
10. Modern trends in ERP Applications
• Flexible ERP which can use iOS, Android @
application level.
• Web-enabled ERP - cloud services for small
enterprise.
• Social ERP Ex: Tweet-for-a-taxi, connecting
FB comments to customer feedback.
12. Highly Scalable ERP
Corporate
Legal
Entity 1
Legal
Entity 2
Legal
Entity n
Unit 1(Manufacturing)
Warehouse
Unit 2 (Distribution) Unit n (Manufacturing
/Distribution)
Procurement/Finance/Sales Work Center/Process/
Production Line
W1
W2
Wn Purchase Sales Finance Work
Center 1
Work
Center n
Work
Center n
13. Web Enabled
Internet / VPN /
RF / Lease line
Corporate Office
Application
Server
Database
Server
Analytical
Database
Firewall
Data Center
Router
Manufacturing Unit 1,2…n
Branch Office 1,2..n
Employee
Portal
Supplier
Portal
Customer
Portal
Remote
Users
Executive
Management System
Dashboard/KPI’s
16. Paperless Office
•Letter of credit
•Bill of Lading
•C&F Document
•Export Doc.
•Rate Contract
• Sup. Tin Copy & Any
other doc.
•Letter of credit
•Bill of Lading
•C&F Document
•Export Doc.
•Rate Contract
• Sup. Tin Copy & Any
other doc.
18. Integrated Business Process for foundry
Raw Materials: sand,
bentonite, coal-dust,
chemical binding
systems
Charge materials:
Pig-iron, scrap and
Ferro alloys
Charge Preparation
Melting in electric
Induction furnace or
a cupola
Inspection and
Delivery
Finishing
Operation
Sand blasting
grinding removal of
Gates and feeders
Shake out
Pouring
Core setting and
Mould closing
Green sand
Moulding
Core
Making
Green sand mulling
core sand mixing
19. Demand Management
MRP
Prod. Plan & Execution
Gate Entry
GRN
General
Ledger
Journals
Picking &
Shipping
Invoices
AR
Documents
CRM
AR Receipts
Planned Order Release
Purchase Request Subcontract Request
Stocks
QC
Outside Inside
Quality Inspection
Inside /
Outside
Loop Process 1..n
Origin from
Production
RM/BO Stores Rejection WH
Proc.Cmp ltn. Record
Is Last
Process
Yes
No
Subassy/FG Receipts
FG Stock
Yes
Purchase Order Subcontract Order
Accepted/
Rejected
Bill Booking
Payment
Accepted Rejected
Customer Schedule
Integrated Business Process for foundry
23. Operational Reports
Finance
Cash On Hand
Cash at Bank
Stock as on Date
Pending Payments as on Date
Pending Receivables as on Date
Budget Vs Actual as on Date
P & L, Income Statement as on Date
Cash & Fund Flow
Purchase
Pending Orders
Pending Materials Followup
Quotation and Price Finalization
Price Fluctuation Monitoring
Vendor Rating
Payment Followup
Sales
Pending Orders Due
Schedule Vs Dispatch
Inventory
Stock on Hand
Pending Material Issue
Stock Re-order Level
Shelf Life item expiry
GRN Day Book
24. Shop Floor Reports
Productivity
Productivity - Daily (Actual – Qty)
- Monthly (Actual – Qty)
Productivity Report Daily / Shift Wise
Productivity B/A Idle Hours - Daily
Productivity Before Idle Time - Daily
After Idle Time – Daily
Costing
Cost Sheet - Summary
Cost Sheet – Production Order
Process wise Cost Element Details
Cost Sheet Details
Cost Sheet – Process wise
Details
Material Shortage Summary
Production Details – Processwise
Production Yield % Details
Production Process Details – Datewise
Others
Resource Usage Details
Idle Hours - Monthly
Idle Hours – Daily
Shift wise Furnace Log
Daily Tonnage Production
Plan Vs Actual
Daily Production Rejection
25. MIS Reports
General Ledger
Yearly Budget Vs Actual Analysis
Monthly Budget Vs Actual Analysis
Operating Expenses Report
Comparative P & L and Balance Sheet
Monthly Profit & Loss
Ratio Analysis
Account Payable
AP - Aging Analysis (INR)
AP - Aging Analysis (FC)
Discount Analysis
Payable Analysis
Letter of Credit - Issued List
Bank Guarantee Receipts List
Account Receivable
AR Aging Analysis - INR
- FC
Receivable Analysis
Discount Report
Interest Report
Letter of Credit Receipts List
Bank Guarantee - Issued List
Payment Analysis
Cash Management
Collection Analysis – 1.Areawise
2.Territorywise
3.Subterritorywise
4. Countrywise
26. Cash Management
Cash & Bank Balances Status
Cash Forecasting Analysis - Daily
- Weekly
- Monthly
Cash Forecasting Vs Actual Analysis
- Daily
- Weekly
-Monthly
Fixed Asset
Fixed Assets Summary
Fixed Assets Depreciation Summary
Purchasing & Subcontracting
Monthly Purchase Analysis -Supplierwise
- Productwise
-Buyerwise
- Classwise
Yearly Purchase Summary
Yearly Purchase Value Difference Currency
Yearly Purchase - Unitwise
- Sub Groupwise
- Sub classwise
Monthly Purchase Statement – MIS
Purchase Control Chart
Monthly Purchase Statement (Supplier
Wise)
MIS Reports
27. Inventory
Department wise Material Consumption
Monthly Raw Material Consumption
Monthly Packing Material Consumption
Monthly Consumables Consumption
Inventory Aging Analysis
(Fast Moving/Slow Moving)
Stock As on Date Analysis
Stock Summary By Warehouse
Stock Summary By ABC Class
Quality
Monthly Purchase Rejection (PPM) –
By Supplier, Item
Monthly Subcontract Rejection(PPM)-
By Supplier,Item, Process
Monthly Shop Floor Rejection (PPM) -
Item, Process, Machine
PPM Target Vs Actual
Open NCR Report
Process Capability Study Analysis
Pareto Analysis
Gauge Calibration Analysis
Supplier Audit Analysis
MIS Reports
29. Sales Order
Profit Analysis - Areawise
- Territory Wise
- Sub-Territory Wise
- Customerwise
- Salespersonwise
- Productwise
Despatch Plan Vs Actual Analysis
(Ontime, Late, Early)
Production Vs Dispatch Analysis
Human Resources
Monthly Headcount Report
Salary Cost Analysis-Departmentwise
MIS Reports
CRM
Enquiry’s Analysis
Feasibility & Regret Analysis
Pending Quotation
Order Lost Analysis
Area, Territory, Segment Wise Market
Share Analysis
Marketing
Opportunities List
Quotations List
Open APQP Projects List
Customer Support
Customer Complaints Analysis
30. Statutory Reports
Employee Provident Fund Challan
Employee PF Yearly Contribution
PF Form 12 A
PF Form 6 A
CPF Recovery Statement
PF - Form 5
PF - Form 10
ESI Challan A/C No. 1
ESI Act Form No. 7
ESI - Form 6
Form TDS 16
TDS Tax Challan |ITNS281
Professional Tax
Factory Employee Wage Slip
Form 9 (Revised)
Leave Register Form XVI
Muster Roll
TDS Tax Challan – ITNS281
ESI
TDS Annexure I
Annexure IA
Annexure II
Annexure III
Annexure IV - Export
Annexure IV – Import
Form I
RG23A Part I
RG23A Part II
RG23C Part I
Part II
RG1
Service Tax
Annexure 19
Part I, II ,III, IV, V
Annexure 63
ER -1
PF
Others
Professional Tax
Excise
Sales Tax
31. An Ideal ERP Architecture
ecture
Financial
Accounts
Payable
Accounts
Receivable
Cash
Management
Taxation Fixed Assets
Sales & Distribution Sales
Order
Gate Entry
Management
Inventory
Control
Transportation
Management
Subcontract
Quality
Control
SPC Auditing MSA
Planning &
Manufacturing
Master
Production
Schedule
Material
Requirement
Planning
Bill of Materials
Shop Floor
Manufacturing
Schedule
Demand
Management
Cost
Management
Operational Job Order ContractBatch ABC
HR & Payroll
Recruiting Portfolio Orientation Leave Mgmt.Training & Dev.
TicketingMedical Business Trip
Appraisal
Self Services PayrollGovt. Relation
Marketing
Lead Opportunity Quotation
Budgeting
Flexible Rolling
Other Modules Project
Management
Fleet
Management
Cane
Management
Customer
Support
General
Ledger
Purchase
Order
Inspection
Routing
Manufacturing
Resources
Planning(MRP-II)
Process
Planning
Loan Mgmt.
Campaign
Static
Engineering
Field
Service
Workflow
Mgt.
Activity Mgt. Notification MIS
Reporting
Plant
Maintenance
C
R
M
AMC/
Warranty Mgt.
Service WO
Mgt.
33. Capable to capture Production Process
Process
Melting and Furnace Log Details
Mould and Core Details
Manual and Auto Poring
Capturing Runner & Raisers, Spillage and Slag.
Shot Blasting
Fettling and Fettling Consumption
Machining Operations
35. To Summarize on Ideal ERP
• Scalable from 5 to 500 users (unlimited users).
• Swift & committed implementation.
• Reliability on Build, Implementation & back-up
Support.
• Focus on Best Practices for Strengthening the
Foundry Industry.
• Enhancing Managerial Effectiveness by
Connectivity to “plant floor information”.
36. To Summarize on Ideal ERP
• Support multiple Indian Tax Laws with “one
touch info”.
• Provision for “Enterprise centric customization”
& user friendly application.
• Customizable MIS Reports : as needed by senior
management.
• Should support “book-tallied” costing.
38. ERP Implementation Tracker
A B C D E F G H I J K L
1
2
3
4
5
6
7
8
9
Date Dept. Task Task Details Responsibility Plan Start
Due
Plan End
Due
Actual Start
Date
Actual
End Date
Status Comments Corrective
action
14-Jul-14 All Project
Kick-off
Roadmap ERP-Alphacraft
Project Kick-off Meeting Both
14-Jul-14 14-Jul-14 14-Jul-14 15-Jul-14
Overview
Completed
on 15
14-Jul-14
14-Jul-14
14-Jul-14
14-Jul-14
15-Jul-14
All
All
All
All
Mark
eting
General
General
General
General
Process Study
Implement Project Tracker
Revised Implementation Plan
Roadmap
Roadmap
Roadmap
Roadmap
Roadmap
14-Jul-14
15-Jul-14
14-Jul-14
14-Jul-14
14-Jul-14 15-Jul-14
15-Jul-14
14-Jul-14 14-Jul-14
14-Jul-14
15-Jul-14 15-Jul-14
14-Jul-14
14-Jul-14
15-Jul-14
Standard ASIS Study
Document
Standard Flow Chart
Marketing and Sales
Process Study
15-Jul-14 15-Jul-14
14-Jul-14 14-Jul-14
PROJECT TRACKER
39. At What cost ?
Should be a comprehensive end-to-end
business solution at :
Ideal investment
(ROI 12 months)
46. Accounting General Ledger
Master
Production
Schedule
Material
Requirement
PlanningBill of
Materials
Shop Floor
Manufacturing
Schedule
Routing
Manufacturing
Resources
Planning(MRP-II)
Demand
Management
Purchase
Order
Sales
Order
Planning
Recruiting
Portfolio
Orientation
Loan Mgmt.
Leave Mgmt.
Training & Dev.
Ticketing
Medical.
Business Trip Appraisal Self Services
Process
Batch
ABC
Accounts
Receivable
Accounts
Payable
Cash
Management
Taxation
Fixed Assets
Marketing
Customer
Support
Engineering
ToolRoom
Management
PlantMaintenance
Budgeting
Static
Flexible
Rolling
HR Intelligence Payroll
Inventory
Control
Workflow Management Activity Management Business Intelligence
An Idel ERP Architecture
Govt. Relation
Transportation
Management
Notifications
SMS , Email & Pop-Ups
Subcontract
Finance
SPA
Inspection
Auditing
MSA
QualityControl
CostManagement
HR&Payroll
Planning&
Manufacture
CRM(Pre&Post
sales)
Sales&Distribution
47. Business Integration via ERP allows the machine &
human resources to :
* Systematically exchange intelligence
* Respond with speed & superior
performance which will help create
"smart foundries”
48. On his Dream of 10% + growth in Indian
manufacturing sector, on a sustained basis
Our Prime Minister requested International Industry
Leaders to :
Come, Make in India