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How EMTL Bounced Back from Its Initial ERP Failure

Shubhra Rishi | April 3, 2013
here’s no such thing as a “one size fits all ERP system”. The Senior Manager for IT at Electronica Machine Tools—a 40-year old manufacturing company, realized it in 2007, when their new implementation partner declared the ERP system to go live.

According to Jain, the general ledger (GL) coding done by the implementation partner wasn't accurate. As a result, the two debits and two credits never tallied because the users were entering the details in the wrong GLs. "There is a configuration facility available in SAP to enforce logical validity in different transactions, but normally, implementation partners avoid all such configurations," states Jain.

Therefore, from procurement to pay processes, Jain and his one-man-team had to write enhancement codes for each and every module in SAP in order to eliminate data-related errors, configuration faults, and validation control-related problems. He discontinued external support offered by the partner and trained just one programmer, who had earlier worked on EMTL's legacy system, on ABAP language. "Post the go-live, it was upon us to observe every operative level problem minutely, and carry out in-house design and development," says Jain.

Benefits:

Thus, Jain molded the electronic discharge machining technology pioneer's ERP system to fulfill its needs. Since the time the enhancements made across the SAP module came into effect, the existing master data and new master data generation has become almost 97 percent logical error-free. "Even the reports are generated in such a way that it takes care of old transaction data that was generated before the control and validation process," informs Jain. Even costing of a product has become easy now. "This way, we were able to evaluate the material cost of our products, which had gone up to 70 percent," says Jain.

Additionally, the results have helped the top management in making decisions based on real facts. After five years of strategic in-house developments, enhancements, and configuration changes by Jain, the company can finally equate SAP to Sabse Accha Package.

 

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