Leading Refractory Manufacturer Integrates Business Processes, Optimizes Resource Utilization and Enhances Efficiency with a Robust SAP Business One Solution from Embee

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Our client was using outdated legacy system and unintegrated processes that led to duplication of data, lack of real-time business visibility and long turnaround times. Embee positioned an Integrated Management Solution built on SAP Business One to enable automation and integration of the customer’s care processes leading to significant resource optimization and efficiency enhancement.

About the customer

Our customer is a manufacturer of refractories and requisite operating systems for iron and steel industry. They offer comprehensive solutions for refractory for flow control in steel teeming and continuous casting of steel. Having already acquired production facilities for several refractory products as well as a large pool of trained engineers, our customer aims to soon become an industry leader.

Disjointed manual processes and legacy applications

With the ever-increasing demand for quick turnaround times, minimal delays and competitive pricing, our customer realized the dire need for automation and integration of their processes.

They wanted to ride this wave of transformation to enable greater process synergy and efficiency. However, they were being held back by disjointed manual processes and reliance on outdated legacy application.

Some of the major challenges faced by our customer were:

Data Redundancy

The customer has been using a legacy system for data entry and sharing purposes. As a result, the lack of inter-departmental integration led to the perils of double entries. Besides being inefficient, multiple entries of data led to misrepresentation of stocks leading and incorrect reporting.

Delayed Performance Sale

For PSU’s, the main clients of our customer conducts performance billing assessment based on the number of tasks performed in a stipulated time. For this, the materials handling is carried out at the PSU’s site and all the stock related transactions/reporting were being done in the spreadsheets/register followed by consolidation at the Head Office. This process was not only time-consuming, but the lack of real-time data frequently led to discrepancies and delays.

Lack of Integration in Core Processes

In the absence of a centralized system, there was little to no visibility across departments. Information was commonly contributed via handwritten notes, emails or verbally, leading to expensive human errors and lack of accountability. For instance, for inter branch transfer the invoicing was done manually and individually at each branch leading to confusion and faulty cost management.

GST-Unsupported in Legacy System

The client’s outdated legacy system did not support the filing of the new tax (Goods and Services Tax – GST) that was being introduced in India July 2017 onwards. Thus, the client needed to train their employees to file GST in the government prescribed format to be tax compliant.

Inaccurate Resource Utilization

The employees at our customer’s factories and head office were spending time in tedious manual processes such as billing and GST-filing, leading to improper utilization of their time.

Our Role

With the introduction of GST, the client was considering adopting a more sophisticated Enterprise Resource Planning (ERP) system. Having known about Embee’s experience of more than a decade in providing ERP solutions, they chose us as their technology partner.

Embee with its native expertise in system integration and IT management services conducted a requirements analysis and study of the customer’s existing processes. It was found that overdependence on legacy systems, manual process and lack of process integration were the factors restricting the streamlining of operations and efficiency enhancement.

We suggested adoption of a scalable ERP solution, powered by SAP Business One, that would simplify process Integration, reduce repetitive manual, and boost resource optimization and productivity. Embee adhered to the implementation methodology Project Preparation, Business Blueprint, Project Realization, Final Preparation and Go-Live followed by Support.

Implementation of SAP Business One for process automation and management

Embee positioned an integrated solution, based on SAP Business One, connecting all business units and facilitating a 360-degree view of business operations. This automated tedious manual processes, enabled inter-departmental information flow, increased controls, and minimized delays resulting from human errors.

Besides features like domestic/import segregation, billing management and license amount utilization in import purchase, our solution is also equipped with a GST reporting feature that simplified tax compliance for the client.

Embee also implemented its proprietary Human Resource Management Solution (HRMS) – Octane, which integrates with the customer’s ERP system and automates several processes including attendance, payroll, asset management and more.

After the cutover period was decided mutually, all the client’s open Sales and Purchase Invoices and Inventory and Ledger openings were migrated into the new solution, along with the users.

The Impact of the Solution

Some of the key impacts of our solution included:

Better integration and reduced redundancy

Our solution integrated all of the customer ‘s departments into clearly-defined processes. The creation of a centralized database for all of the organization ‘s data eliminated the chances of duplication of data and minimized disparity in data being stored in different formats.

Quantifiable asset performance

The client has a better visibility into the performance of assets, their expected lifespan and overall profitability to the business. This knowledge helps them to make key asset investments and divestments that inevitably reflect on the operational budget and end-product prices.

Easy GST-compliance

GST, being a new system, saw many organizations struggling to understand the details on how to meet government standards. Our solution’s GST module enabled tax-filing in the government prescribed format within the stipulated time by only click and go, saving valuable time and effort.

Automation of employee processes

The introduction of Octane led to automation of various employee-related tasks, eliminating the need for complex documentation as well as reducing delays. Besides, the system also helped employees to be more compliant to the organization’s rules.

Data-driven decision making

Real-time availability of interdepartmental data. and elaborate reports in easily understandable formats have enabled managers to make 9uickyet informed decisions. This has helped to enhance agility, increase productivity, and reduce wastage of valuable resources.

Embee conducted end-user training during Realization phase and continues to provide support for transaction issues, development activities and interaction with SAP Support team on behalf of the client.

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