Organizations engaged in the manufacturing of products for the automotive industry also require efficient means for customer-demand processing and effective ways for managing and monitoring contract manufacturing activities. Further adequate solutions should aid the organization in gaining efficiency in production management and supply chain movements based on the JIT (Just in Time) concept.
caniasERP ’s adaptations for the automotive industry ensures comprehensive management and monitoring of the processes and operations associated with this industry. It ensures efficient undertaking of contract manufacturing processes ensuring prompt supply of raw materials according to the requirements. System utilizes electronic data interchange capability to automatically process sales orders and subsequently aids in converting these sales orders to production plans thereby enhancing overall efficiency and reducing user intervention to the maximum. Thus system is capable of converting business orders into various operations including production of required materials and also manages the undertaking of these operations in full compliance with JIT (Just in Time) infrastructure. All these are conducted as per the pre-defined criteria’s and industry norms ensuring feedbacks at various intervals enabling visibility and control.
The core processes being pursued in caniasERP for the Automotive Industry are as follows:
- MRP - Material Requirements Planning
- SAL - RFQ, Order, Dispatch List and Invoice Management
- PUR - Purchasing
- EDI - Electronic Data Interchange
- Management of all processes including Sales Orders and Purchasing Orders,
- Electronic bill of lading and invoices without user intervention
- WMS - Inventory and Depot Management
- PRD - Production Planning
- FIN - Finance Management
- CAP - Finite Capacity Planning
- BUD - Budget
- COS - Comparative Cost Analyses
- HCM - Human Resources
- OLP - Advanced Reporting
Following are the industry specific features been provided to aid the above said core processes in the automotive industry.
Advanced Pricing Strategies
The ability to conduct business in accordance with the price policies determined by the principal company is of prime importance for the sub-contractors associated with the Automotive Industry. Accurate analysis of the prices determined by the principal company, estimation as to how much of the sales prices fluctuations would be reflected on to the sub-contracting suppliers, and if so, the analyses as to how to transform them into business benefits are the fundamental principles of this particular industry. The ability to conduct all these through the ERP system is the most convenient proposition offered by caniasERP for the automobile industry’s contract manufacturers.
Price Difference Invoices Management
Some principals in the Automobile industry set the price for current months sales transactions in the succeeding month only. As a result of this, current month sales transactions prices could be changed in the future month and this price difference could be either in plus or minus of the original prices. If this has to be managed conventionally, it requires considerable time and effort in extracting all sales invoices for the previous month and further processing either price difference or value return invoices in the succeeding months. Again, more than one price difference invoice may also have to be processed if required. caniasERP affects the relevant current prices for the preceding months invoices based on the last set sales price and thus helps to efficiently manage the price fluctuation invoicing which is peculiar feature in the automotive industry.
Ensuring JIT adherence all through the supply chain
One of the most crucial aspects in the Automotive Industry is gaining efficiency in production management and supply chain movements based on the JIT (Just in Time) concept. It is of prime importance to have the relevant material at the required time and place. Moreover, it is not only important to comply with the JIT concept internally within one’s own manufacturing processes, but it is highly important to ensure that the subcontractors supplying components are also adhering with JIT methods. Capturing of sales orders into caniasERP is done in an electronic environment via EDI without any user intervention. The most significant benefit is the ability to process orders and production plans online thereby saving time, gaining revision speed in the documents and ensuring that user errors are minimized to the maximum possible extent. Combining EDI with MRP allows the enterprises to maximize their level of JIT compliance since it helps to expedite both the raw material processes management on the supplier side and business orders reservations in the organization side to the maximum possible extent.
Auto identification with Barcodes extending to augment customers processes
Even though automotive industry doesn’t require the level of traceability as required by other industry’s such as the food industry, it is quite evident that traceability is important and is a matter of prestige for each and every industry. The fact that the products have gone to the customers as barcoded would be reflected as a "+" value in favor of the vendor from the customers point of view. This is because the barcoded products ensures that the vendors reference gains prominence on customers own internal processes and customers are able to trace all their processes with barcodes in caniasERP. Thus customers are able to minimize their margins of faults and enhance efficiency across the enterprise processes which are executed.
Tools enhancing employee motivation & competition
Special on line reports developed as per the feedback received from caniasERP customers in the automotive industry aims at providing employees with information pertaining to his work awareness, efficiency he contributes etc. These reports also serve to improve communication and sharing among employees within the organization which ultimately could lead to increase in motivation levels of employees. Moreover, the instantaneous reports published on-line through the caniasERPsystem could also lead to increase in the competition levels among the employees.