Manufacturing Industry Improves Overall Control and Forecasting with New Business Management Solution

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1 Microsoft Dynamics Customer Solution Case Study Manufacturing Industry Improves Overall Control and Forecasting with New Business Management Solution Overview Country or Region: India Industry: Manufacturing Customer Profile Founded in 1983, Industrial Forge and Engineering Co. Ltd. (IFECL), manufactures forged components for a number of automotive, engineering companies and Indian Railways. Business Situation IFECL was dependent upon a locally available package, Tally 4.5, for its financial tasks. The ageing system was constraining the company, and hampering its ability to optimise processes. Solution With the help of Microsoft Certified Partner, Samadhan, IFECL implemented Microsoft Dynamics NAV 4.0 with SP1 to centralize all the information and manage finances. Benefits Provides access to real-time business data Automates manufacturing process Improves financial management Integrated solution enhances productivity Generates reports faster Microsoft Dynamics NAV 4.0 handles all the financial and accounting tasks as well as handles the regulatory compliances of the company. Information availability in an integrated manner has made the management of the business very easy and efficient. Mr. Rajender Sachdev, MD IFECL and ASWPL Industrial Forge Engineering company (P) Ltd. was set up in 1983 in Jamshedpur, INDIA. Industrial Forge and Engineering Co. Ltd. (IFECL) is a manufacturing company that focuses on multiimpression complex forgings. It supplies closed-die-forgings to automobile, steel, railways and other engineering industries, Valve for Oil and Gas, Ministry of Defence Amongst the largest and most respected names in Indian auto and bearing industry, Tata Motors Ltd. is its customers. IFECL was using a Tally based accounting package to cater to its daily financial requirements. The company didn t own any other software application to streamline its daily business operations and collate data. Hence, it worked with Microsoft Certified Partner, Samadhan, to deploy Microsoft Dynamics NAV 4.0 with Service Pack 1.0 to automate its processes. The ERP solution manages all financial, production, planning, and quality requirements of the company. It has equipped the company to develop deeper insight into business and take better business decisions on the basis of real time updated information.

2 Situation Industrial Forge Engineering Company Limited, is a manufacturer of Carbon, Alloy and Stainless Steels based forged components for automotive and general engineering applications With the capacity to forge 6,000 metric tons per annum of Steels forging IFCEL also manufactures closed-die- Forgings ranging from 500 grams to 30 Kilograms per piece of finished weight for automobile, bearings, steel, railways, pipe and other engineering industries. IFCEL is equipped with a comprehensive range of facilities, ranging from die making, forging, heat treatment and machining and delivers a wide range of complex and finished forgings. Akshay Steel Works (P) Ltd. is into manufacturing of the long products and structural steel. Also into the conversion business of low, medium, and high carbon steel and various alloy steel bars for TATA steel and Alloy Steel Plan. The company stared production in 1995 and developed a wide range of steel products in various sizes over the last 12 years. The company maintains the high degree of the product quality and customer satisfaction. Both the companies are located in Jamshedpur, INDIA. The company supplies closed-die-forgings to automobile, bearings, steel, railways and other engineering industries, mostly to original equipments manufacturers (OEM) such as Tata Motors Ltd. HMT and some other well known customers are Indian Railways, Ordinance Factory, with a workforce comprising of 60 skilled personnel, the annual turnover of the company is INR 30 crores. It is certified by leading industries and organizations like Research Design and Standards Organization of the Indian Railways (RDSO), Garden Reach Shipbuilders and Engineers and Tata Motors Ltd. ISO TS 16949:2002 Certified Company, IFECL owns a well equipped quality assurance laboratory which helps to monitor and manage its materials and processes, assuring a superior quality to the customers. IFECL was using a locally available accounts package based on Tally 4.5 for all its accounting tasks. The company didn t own any database software. No other software application was used to plan, monitor and track daily manufacturing, administrative and other commercial requirements. Lack of a database application led to manually entering information whenever reports were required. The procedure was time consuming and often led to delays, errors and holdups. Simultaneously, it required lots of efforts and manpower resulting in high administrative overheads. The information was disintegrated and thus, not reliable. Tired of redundant and inaccurate data, incomplete and outdated information and the delays, the management team at IFECL decided to implement an ERP solution that could store all the data in a central repository, automate all the processes and speed up the work to save time. It also desired to enhance the efficiency and organize things in a systematic manner. The existing system was proving inadequate for running the business, comments Mr. Rajender Sachdev, MD IFECL/ASWPL. We desired a robust and integrated solution to automate the processes and enhance efficiency and productivity. Overall, IFECL and ASWPL needed a more flexible business management system that would provide real-time insight into business metrics, streamline processes, and significantly reduce data entry mistakes. Solution IFECL and ASWPL decided to deploy an ERP solution that can manage all the production

3 After the implementation of Microsoft Dynamics NAV 4.0, we are confident to face each situation since we are better equipped with updated information; we take more informed decision and thus enhance the efficiency and productivity. Mr. Rajender Sachdev, MD, IFECL/ASWPL and planning work. After market research and consulting experts, it decided to implement Microsoft Dynamics NAV 4.0 with Service Pack 1.0. To implement the same, it approached Microsoft Certified Partner, Samadhan for swift implementation and usage. Microsoft Dynamics NAV 4.0 was the unanimous choice of the management at IFECL and ASWPL because of the brand name, Microsoft, associated with it. Then, the partner s ability, confidence, expertise and support in maintaining the solution was incredible, explains Mr. Rajender Sachdev, MD IFECL/ ASWPL. The implementation started in January 2008, and the solution went live in November 2008, as planned by Samadhan. The solution was deployed at the Jamshedpur plant. The modules implemented were: Finance, Accounts, Purchase, Sales, Stores, and Manufacturing. Microsoft Dynamics NAV 4.0 is a flexible solution that is rich in capabilities, says Mr. Rajender Sachdev, MD IFECL/ASWPL. We now have a solution, which helps us to run the business efficiently from top to bottom. The solution was customized to generate reports automatically, based on variants of production, rejection, production of pieces per bar etc. Besides, die-management is another one of the key requirements of the forging company. This new entity is also well taken care of by Microsoft Dynamics NAV 4.0. The detailed reports of all dies are maintained containing their manufacturing date, services due, repairs, spares and life cycle and are reviewed periodically. Microsoft Dynamics NAV 4.0 solution with optimized IT infrastructure is very cost effective for the company of our size, remarks Mr. Rajender Sachdev, MD IFECL/ ASWPL. The evolution to the new environment has already us to achieve significant operational and business gains. Benefits optimized the efficiency of the company, streamlined production processes, improved monitoring and reporting capabilities and ensured compliance with relevant industry standards. Provides Access to Real-Time Business Data Microsoft Dynamics NAV 4.0 maintains data in a central repository from where everyone can access the same data as per the requirements. The database contains complete information about design releases, bill of material, personal details of all the employees, customer records, purchase orders and much more. All this confidential information is safe and secure. Moreover, it ensures data integrity and reliability since the manual procedures and multiple data entry is totally banished. Automates Manufacturing Process streamlined the entire system of production from procurement of material, work in progress, finished products to quality check and distribution. It reconciles material balance issues. It not only streamlines the business procedures but also tracks them, monitors them and continuously tries to enhance the system to boost up the productivity and efficiency. After the implementation of Microsoft Dynamics NAV 4.0, we are confident to face each situation since we are better equipped with updated information, we take more informed decision and thus enhance the efficiency and productivity. explains Mr. Rajender Sachdev, MD IFECL/ASWPL.

4 Improves Financial Management Microsoft Dynamics NAV 4.0 handles all the financial and accounting tasks of our company. It also handles the regulatory compliances of the company. Thus the financial management is enhanced enlightens Mr. Rajender Sachdev, MD IFECL./ASWPL It gives visibility into taxation requirements, calculates excise duty, sales tax, CENVAT, TDS, road permits etc. which can be quite complex. Thus the accurate information, available cash reserves, cash flow, liquidity details all are readily available with the help of the solution. Again, since financial data is extremely vital and confidential, it is password protected and can be accessed only by the authorized personnel. The system security is checked at various levels like at the user level, form entry, data base entry and report generation and collation level etc. which is now allotted to other productive tasks. The new system is customizable, scalable and adaptable. It can scale as per the future needs of the company. It provides user friendly, secure data. These results can be attributed to the multidimensional functions of Microsoft Dynamics NAV 4.0, which make it easy for the staff to slice, dice, and extract the right information at the right time. Integrated Solution Enhances Productivity Microsoft Dynamics NAV 4.0 provides interconnected information on all the aspects of the business. The improved visibility and greater efficiency introduced by the system has had some far-reaching, positive effects. Mr. Rajender Sachdev, MD IFECL/ASWPL says, Using Microsoft Dynamics NAV 4.0 as the backbone for managing all processes, our employees, especially those at management level, is able to do their work faster and more accurately. Better data access increases organizational productivity and also improves decision making. Generates Reports Faster significantly reduced the report generation time. The entity is customized to generate accurate reports based on latest updated data. The time spent on preparing and reviewing reports is significantly reduced

5 For More Information For more information about Microsoft products and services, call the Microsoft Sales Information Center at (800) In Canada, call the Microsoft Canada Information Centre at (877) Customers who are deaf or hard-ofhearing can reach Microsoft text telephone (TTY/TDD) services at (800) in the United States or (905) in Canada. Outside the 50 United States and Canada, please contact your local Microsoft subsidiary. To access information using the World Wide Web, go to: For more information about Samadhan products and services, call (91) or visit the Web site at: For more information about IFECL products and services, visit the Web site at: About Samadhan Samadhan is an Information Technology Consulting Company set-up in 1989 in India. It is one of the premier solution providers of eastern India. The business interests vary into a wide gamut of activities ranging from ERP solutions, software development, web development, web hosting and domain name registration and e-business consulting. It provides innovative and state-of-the-art infotech solutions and products. Since its inception, Samadhan has rooted itself in high-quality software development principles and an unwavering commitment to delivery. These twin strengths enable Samadhan to adapt smoothly to the rapid evolution of technology while maintaining constant focus on the changing business needs of its clients. Its expertise is in many industries including the government department, public sector, healthcare, financial services, retail and distribution, manufacturing, telecommunications and high technology. Microsoft Dynamics Microsoft Dynamics is a line of integrated, adaptable business management solutions that enables you and your people to make business decisions with greater confidence. Microsoft Dynamics works like familiar Microsoft software such as Microsoft Office, which means less of a learning curve for your people, so they can get up and running quickly and focus on what s most important. And because it is from Microsoft, it easily works with the systems that your company already has implemented. By automating and streamlining financial, customer relationship, and supply chain processes, Microsoft Dynamics brings together people, processes, and technologies, increasing the productivity and effectiveness of your business, and helping you drive business success. For more information about Microsoft Dynamics, go to: Microsoft Corporation. All rights reserved. This case study is for informational purposes only. MICROSOFT MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY. Document published September, 2009 Software and Services Microsoft Dynamics Microsoft Dynamics NAV 4.0 SP 3.0 Microsoft Server Product Portfolio Microsoft SQL Server 2000.NET Framework 2.0 Windows Server 2003 Microsoft Office System Microsoft Office 2003 Hardware HP Server Partners Samadhan