Post-MRP 9000: Digital Prioris 5133 Server with Pentium 133, 166, 200 and 233 (Celeron) with 70 nodes. This was set-up in a phased manner over a period of 18 months. The investment on new hardware constituted nearly 60% of the total expenditure. This included network cabling and UPS modules. The remaining 40% was spent in acquiring software - Windows NT, Office 97, MRP 9000 and CAD software (MicroCadam).
Implementation and problem resolution
Ace started module-wise implementation of MRP 9000 in July 97. The implementation was carried out in four phases and was completed in four months after the static and dynamic data was set in place. The four phases were:
- Installation of LAN, network cabling with provision for connecting about 80 nodes as per the layout plan, across the company premises.
- Training in LAN operations, Windows System and MS Access to Ace members. Installation of MRP 9000 software, static data entry in inventory, plan, purchase, sell and SFC forms, directly in MRP 9000.
- Customisation of report and purchase order form, development of excise and stores.
- Implementation in mechanical, electrical, electronics, hydraulic sub-assembly and final assembly functions.
Problems encountered during implementation and resolution
General resistance to change to a new system in almost all the functions: It was resolved by the top managements commitment and enforcement. The employees were put through training so as to be at ease with the technology jump in all areas of functioning. Customisation requirements in different functions: Functions such as purchase orders, sales tax excise discount and print-out capabilities on the companys letterhead were not there in the original package. These functions were created doing minimum customisation in such a manner that it would support future upgrades. Many data entry errors were made by the inexperienced data entry operators in the various functions such as design function and store function. The management introduced the concept of random auditing, which has ensured in this discrepancy being removed.
Benefits
Executive information system: Quick and accurate product costing is possible with the availability of online data about workcentre utilisation, labor utilisation, WIP component cost and WIP sub-assembly cost. Online monitoring of the status of work orders for components, sub-assemblies and final assemblies has made production control possible. Inventory: Using the system has resulted in a 20% reduction in manufacturing inventory at Ace Designers. A saving of around Rs 25 lakhs, as interest on the 20% reduction in total inventory for one year was made. Purchasing/selling: Since it was a person-dependent system earlier, there was poor vendor analysis. Now with this system there is improved communication of customers requirement data to the design production, purchase and assembly functions. This ensures accurate delivery dates are given to the customers. Manufacturing: Inaccurate process costing that used to happen was a result of resources utilisation data not being available. MRP 9000 has ensured that there is better management due to availability of data. Planning: Earlier, there was a manual planning system. It was very difficult to co-ordinate between design changes and customer requirements with the production and assembly functions to meet the schedule. Now, however, the co-ordination is smooth and there is even a significant manpower reduction in planning functions. In fact, Ace Designers saved approximately Rs 5 lakh per annum because of manpower reduction.
The spearhead behind MRP 9000
Bunka Orient India (BOI) is a subsidiary of Bunka Orient Corporation, Japan (BOC), and was established at New Delhi, India, in November 1996. It was established as the third computer software company of the Bunka Orient Group. The Group provides products and services that build upon and support Microsoft platforms and tools. The teams of Bunka Orient India (BOI) in Japan, China and India meets the challenge to uphold their position as a Microsoft Certified Solution Provider (MCSP), as well as Microsofts Regional Director for Northern India.
BOI specialises in Services: Customised application development, network system integration, provision/support of ActiveX components. Technologies: OLE, ActiveX, COM/DCOM, Client/Server, Internet/ Intranet. Operating Systems: Windows NT, Windows 95, BackOffice
Databases: SQL Server, MS Access Development Tools: Visual Basic, Visual C++, Visual InterDev, Office 97, VBA, VBScrip, ActiveX Controls, CASE Tools
Development facilities
Hardware: Multi-processor Pentium Servers, Pentium Pro Desktop PCs
E-mail: Exchange server with Internet connectivity
Networks: 10/100 base dual speed Ethernet, TCP/IP, 64 Kbps satellite link to the Internet.
Power Supply: UPS/24 hour generator backup
The Parent Company: Founded in 1983, Bunka Orient Corp (BOC) of Japan is now the leading supplier of ActiveX components in Japan.
BOC is also the number one developer and vendor of school management software for private schools in Japan. With an estimated share of over 70% of the market, BOCs systems have been deployed in over one thousand private schools throughout Japan. BOCs accounting systems for schools, is the only private school accounting system to be officially recognised by the National CPA Association of Japan. BOC is a Microsoft Certified Solution Provider (MCSP) providing consulting and development services for client/server, Internet and Intranet systems using Microsoft NT and the BackOffice family of products.
Shanghai Orient Technologies: Shanghai Orient Technologies (SOTECH) was established in 1993 as the Bunka Orient Group entry into the Chinese market.
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