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Project

Infors automated NPO Etal on the basis of the solution "1C: Manufacturing Enterprise Management for Ukraine"

Customers: NPO Etal

Electrical equipment and microelectronics

Contractors: Infors
Product: 1C: Manufacturing Enterprise Management 8 for Ukraine

Project date: 2015/03
Number of licenses: 140

Content

March 6, 2015. The Infors company reported[1] about project completion of automation of NPO Etal. The information system created on the basis of the solution "1C: Manufacturing Enterprise Management for Ukraine" helped to accelerate formation of orders for production by 1.5 times, to improve quality of production planning, to optimize utilization of capacity. Duration of equipment downtimes is reduced by 25%. There was an opportunity to control production at each stage of technology process, losses from defects are reduced by 15%. Operational accounting of materials, semi-finished products and finished goods in twenty warehouses of the enterprise is organized. The turnover of warehouse stocks increased by 20%. Orders of buyers are executed more quickly. In the first three months of use of a new system the sales volume of the company grew by 10%.

Choosing a Solution

Earlier for operational and production accounting in the company the self-written program, spreadsheets, paper documents was used. On processing, approval and a holiday of orders a lot of time went to production. It was difficult to plan and control production and also work of 20 internal warehouses with the nomenclature in tens of thousands of names of materials, component parts and semi-finished products.

The information system capable to accelerate order processing became necessary for the enterprise and to strengthen control of their accomplishment, to organize operational inventory control, to improve quality of production planning, to increase cost accounting accuracy. Besides, it was necessary to automate formation of the consolidated statements, to provide operational collecting and transfer to production of orders from foreign offices.

For the solution of these tasks the "1C: Manufacturing Enterprise Management for Ukraine" system was selected. According to the results of tender by the partner in implementation there was an Infors LLC company having the successful experience of automation of manufacturing enterprises confirmed with positive reviews of customers.

In 11 months a system was unrolled in 140 workplaces.

Project Results

  • Operational production accounting is organized. Control of production of products at each stage of a fabrication cycle is strengthened. The quality of production planning increased, the Company could optimize utilization of capacity and reduce duration of equipment downtimes by 25%.
  • Accurate accounting of defects is organized, standards of write-off of losses, an excessive consumption of materials, returnable waste are optimized. As a result of loss from defects are reduced by 15%.
  • Accuracy of cost accounting both on batch production, and by individual orders increased. There was an opportunity to calculate cost value of multiconversion production in workshops and also the cost of intershop services. It helps the management to control a share of production costs in the general product cost and to reveal reserves for their decrease.
  • Address storage of materials, semi-finished products and finished goods in warehouses of the enterprise is organized. Control of the movement of goods on warehouses is adjusted. The quality of purchase planning taking into account the current remaining balance and requirements of production increased. Regrading and probability of overflow of warehouses because of the duplicated supplier orders are excluded. Shipments are conducted more quickly and precisely. The quantity of illiquid assets is reduced, the turnover of a warehouse increased by 20%.
  • Accurate accounting of the movement of the precious metals which are applied in production of electronic circuits is adjusted. Report generation on their use in 2 quantitative measuring instruments - pieces and milligrams is automated. It helped the company to reduce losses of valuable raw materials.
  • Orders of buyers, requests of suppliers and production orders are included in the general chain of document flow. Collecting and formation of orders from foreign offices is automated. By 1.5 times process of approval of agreements and transfer of orders in production is accelerated. Processing of the entering orders is reduced by 30%: if the materials required for production of the order are unavailable - a system automatically selects the analogs of these materials which are available in a warehouse. Orders are executed more quickly and timely. As a result the loyalty of buyers increased, the quantity of positive reviews increased, the company could attract new clients. In the first three months of use of a new system the sales volume of the enterprise grew by 10%.
  • The centralized management accounting is organized, operational reporting for the top management of the enterprise is provided. The company had an opportunity of passing of audit according to international standards of audit, the consolidated statements for foreign investors is quickly prepared. Besides, formation of the regulated and management reporting became simpler and accelerated. Labor costs on preparation of reports significantly decreased. It allowed to optimize staff of general bookkeeping department and accounting divisions: the number of accountants is laid off twice, and number of operators - in 5.
  • In a system the mechanism of distribution of tariff salaries by the piece works performed in a month is implemented. Calculation of charges for price-work dresses taking into account exits of all crew is automated. It simplified and accelerated payroll to the employees, the general loading of accounting decreased by 15%.

The curator of the project from outside JSC NPO ETAL, Lutsenko Sergey Mikhaylovich, the chief of ASUP, so comments on the project: "The new information system created on a basis 1C: Manufacturing Enterprise Management gave the chance to really estimate completion dates of orders and their cost value, simplified work of services of the enterprise already at a stage of signing of the contracts, accelerated accomplishment of orders. Process automation of planning of the diagram of receipts and control of the payment schedule allowed to increase timeliness of receipt of payments from customers. There was a possibility of operational carrying out the plan-fact analysis of cost value that helps to reveal reserves of cost reduction without prejudice to product quality. The management received the tools allowing to manage quickly production, to react to any changes, based on detailed and, the main thing, consistent information. Now our enterprise works with the most difficult production cycle as a harmonious live organism".

Notes