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aerospace and plastics industries. It was apparent that its legacy ERP system no longer could support the business adequately.
Knox Machine used an awkward collection of business-management tools: Excel spreadsheets for inventory control and reporting functions; vari- ous manual processes for material planning and shop-floor execution; and one accounting software for finan- cials and another solution for quoting, order entry, purchasing, shipping and job costing.
The inevitable consequence of such a cobbled-together solution: an enter- prise lacking an integrated view of the business, and having no true process flow among standalone systems. Moreover, because planning was paper-based, the system was prone to human error, resulting in inaccurate data.
Knox Machine knew that to main- tain quality and accommodate growth, it would need a modern, comprehen- sive and effective solution. Recognizing the importance of building a founda- tion of trust, the first step involved management walking the plant floor and listening to employees.
The mapping phase of the project provided a clear analysis of the current state of the company’s business processes, revealing gaps and issues to overcome. Education of the work- force assumed a key part of the methodology, with exposure to indus- try best practices resulting in an employee consensus for change.
The team then turned its attention to opportunities for success. It defined future-state possibilities and require- ments, drafted systems architecture and the project charter, and created a business scenario that helped drive ERP selection and required process changes.
Proof Is in the Pudding
Knox Machine’s organizational- change effort and deployment of a modern make-to-order manufactur- ing and ERP solution resulted in the following:
• 40-percent improvement in reporting;
• Elimination of data manipulation within the shop;
• Reduction of time required per order from 2 hr. to 2 min.
• Improved shipping execution, no longer having to rely on internal, per- sonnel-based knowledge to ship prod- ucts; and
• Automated planning and sched- uling, replacing manual systems.
Sound Familiar?
If your organization has outgrown its legacy solution, and invented mul- tiple processes to work around the sys- tem’s limitations, consider an organi- zational change. Don’t let a home- grown system limit your efficiency, quality and ability to scale. MF
Download the case study: https://ultra- consultants.com/erp-education/case- studies/knox-machine-company.
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