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KEDAS SAP IMPLEMENTATION

BIKASH PRASAD PRABHU NR SRIVISHNOO

Overview of the Company


Small Manufacturer of ceramics machinery Initial Investment 90,000 CNY (US$ 13,500) Positioned 2nd in building materials machinery by the early 2000s 2,000 employees State-of-the-art ceramic engineering R&D testing center Market Leader

Product Offering
Industrial Machinery for ceramics Stone Processing Building Material Processing Energy Resource Management Plant Design and Technical Consulting Services to industrial Clients

Key Business Functions


R&D Purchase of raw materials and parts Inventory Management Assembly Line Production Workshop Process Logistics Sales and Marketing
Free Wheeling Entrepreneurial Culture

Need for ERP


Duplication of Tasks Very Little Information flow between Departments Lack of Integration Diverse Product Line Pricing was based on Experience Suboptimal Capacity utilization Ceased support from MRP-II systems vendor Beijing Riamb Software Co.

Vendor Selection: SAP


Sophisticated and feature rich Supports complex operational processes across multiple production plants Industry leader and proven track record Main Competitor has also adopted SAP

ERP was more about people Focus on project team to coordinate with vendor top dogs from each dept. Each module will have an owner from the associated dept. Ensure correct workflow and operational details of that module Training users will become easier Reward System Key users were given task to write specific requirements

People

Process

Technology

Comprehensive Understanding of the operations and Departments Top Management to give directions and make decisions Staff training and testing to be done simultaneously

People

Process

Technology

People

Process

Technology
Secondary priority Consulting support from Digital China Head of each module to work with the IT dept. Testing the system

Difficulties with Implementation


Huge amount of data Disagreement between module owners and consultants Escalation to project management staff Delay or suspension of production Staff training Stabilization time big-bang Implementation Resistance from Employees

Finally...
Data Accuracy improved from 85% to 98% Transparent Information Price Analysis could be done conveniently Increased production, 30 presses per month from 6

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