(Continued from:
Day to day Business and Operational Challenges) (PS: Some enlisted business challenges
are specific to production environment
and may / may-not be applicable in your
business.)
Purchase / Vendor Management Issues * Buying more because
untracked i.e. dead / non-moving stock
cannot be moved from some other location
* Higher raw material price due
to unplanned purchases
* Non timely purchases => Added Costs
* Purchases not as per specifications (e.g.
not properly "cut to length") leading to
more rejections / wastage / scrap
* Raw material: Delivery delays / quality issues
* Buying much more than required quantity (various reasons)
Production bottlenecks * Not sure whether current raw material /
resources would suffice for say, next
month’s deliveries?
* Not able to give prior notice to customer
for delivery delays – Affects future
business and brand image
* Deliveries not planned well, especially
for multiple line items of a single order
(leading to delayed delivery of full order)
* Machine problems / overload / breakdowns
* Quality issues in some in-process step
* More rework (various reasons
that are avoidable)
* Inconsistent production quality
* Low margin business
Other Key Issues * Lot of pressure on management and staff
(e.g. due to promised delivery dates)
- Management
dissatisfaction / worker dissatisfaction
* No choice but to sell stored stock at a
discount
* Reusable / sellable scrap lying in
warehouse /
store, but is not known
* Priorities not clear amongst various
departments - leading to confusion / losses
/ time wastage
* Valuable time lost in tracking various
aspects and issues in a cycle of
sales-production-purchasing-quality-deliveries-invoices-payments
* No time, hence no focus on how to
- reduce
delivery time, reduce rejections, increase
profit margins, etc.
- increase
productivity by optimum utilization of
resources (machinery, tools, skilled labor,
etc.)
* Healthy Order book for next quarter but
mind still occupied with various concerns - low profit margins, lost opportunities
for bigger / more-profitable orders, high
inventory levels, etc.
* Marketing / Sales becomes reactive rather
than proactive in tracking trends and
demands because of not having enough
business visibility: e.g. which sector would
have higher demand in next 3 months, etc.
So, how do we take care of these issues? Can
we avoid some of these pitfalls?
Are there some
ready-frameworks
that facilitate in reducing delivery time
and increasing profit margins?
Can these frameworks accelerate business
growth and productivity?
Do
these frameworks work
for varied sizes of
business - small, medium or large?
YES. There are
frameworks / software systems to manage and
grow business more smoothly.
Simext's BizInt
is a set of such frameworks / software
systems.
BizInt integrates business processes with
functionality spanning inventory
management,
warehouse management,
manufacturing / production
planning,
MRP (Material Resource Planning),
customer
relationship management, vendor managment
system / VMS, Invoice Tracking, HR, tracking orders / invoices /
shipments / payments / stocks, sales /
marketing, purchases / suppliers,
retail / Point of Sale /
POS Software, supply chain management, BOM
(Bill of Material),
business analysis/ performance, financial
management, accounting, etc.
The system is a ready solution
that one can start working on immediately.
An off the shelf / out of the box
software system might meet one's needs or it
may require configurations / customizations.
The system
is customizable as per unique /
ground-level specific requirements of an
organization. A customized solution
is drawn out based on the processes and
workflow as is followed by the organization.
Specific processes / modules
can be implemented in phases.
Refer
Enterprise Solutions - A Journey [PDF],
a document that should help in your
endeavor to understand the various factors
to be considered. It enlists: - various business, implementation and technical
perspectives; - the steps that an enterprise should take; some evaluating
factors and - TCO considerations (Total Cost of Ownership).
For exploring possibilities, you may
reach us at
info@simext.com
or Call us at
+91 22 6529 3949 , +91 22 3244 5899