Automotive Parts Supplier
Case Study
Company Information
Business Type: Automotive Parts Supplier
Industry: Spring steel fasteners
Location: Illinois, USA
Number of Users: 30
Former Solution: SAP Business One
Solution
Microsoft Dynamics AX 2012
Company Description
For over the last 30 years this company has been a quality supplier of precision spring steel fasteners for Automotive Industry.
Project Overview
This company is one of subsidiaries of a Japanese based company that manufactures, markets and distributes industrial parts for Automotive specializing in steel, particularly automobile and industrial components. They have production sites in Illinois, USA and has been working as Tier 1 OEM in automotive parts supplier.
They had been using SAP Business One for their accounting and a part of business operation, in addition, they used the multiple business applications like Sage Software, custom application based on Microsoft Access and individual’s Excel spreadsheet.
In order to ensure its products, remain internationally competitive, the company wanted to streamline their operation and maximize production output and quality in the most cost-effective way possible.
Here is the other highlights of their challenges:
1) Visualization of WIP/ Inventory
2) Quick respond to demand changes by auto data import through EDI (EDI862／830)
3) Automation of Production Planning/ Purchase Planning (standardization by system)
4) Integrated management of Sales – Manufacturing – Purchase
5) Improving the operation of monthly closing and HQ reporting
Solutions/Modules
Microsoft Dynamics AX 2012
- Finance (General Ledger, Account Receivable, Account Payable, Bank Reconciliation)
- Supply Chain Management and Manufacturing (Sales Order Management, Material Resource Planning, Purchase Order Management, Shipping, Shipping Operation, Receiving Operation, Inventory Management, Master Planning, Shop Floor Control, Cost Management)
- EDI Integration: EDI 862 Sales Order and EDI 830 Order Forecast with OEM Manufacturer
Results Achieved
BEFORE DYNAMICS AX IMPLEMENTATION
- Multiple systems to control inventory and production data.
- No visibility in WIP (In house and Subcontracting).
- Accounting system and Operation systems were disconnected.
- Production and Purchase plan were made by manual operations
- Many excel spread sheets for management reporting
AFTER DYNAMIS AX IMPLEMENTATION
- Single system to control Accounting, Production and SCM functions.
- Complete visibility in orders and inventory (Including Tool inventory).
- Quick, simple and accurate monthly closing.
- Systematic planning by using MRP and Machine Scheduling functions.
- Eliminated many excel reports by AX reports and BI (Business Intelligence).
Business / Project Challenges
