Manufacturer saves money by replacing outdated system

Leader in marine, defence & aerospace survival technology improves speed and efficiency with Microsoft Dynamics NAV.

Customer

Global Marine Defence Manufacturer

Sector

Manufacturing

Country

United Kingdom

Global Marine Defence Manufacturer

Leader in marine, defence & aerospace survival technology improves speed and efficiency with Microsoft Dynamics NAV.

The Business Need/Challenge

The business’ system was over 20 years old and neither intuitive nor user-oriented, which hampered business processes. As a result, the vast majority of critical business processes were managed outside the system in a range of disparate spreadsheets and manual tools. The range of products manufactured included engineer-to-order, made-to-order and made-to-stock and the company had also significantly altered their factory layout and process flow. Reports were generated from a number of individual and linked spreadsheets with no ability to track actual production costs.

WIP inventories weren’t easily visible, resulting in a number of significant downstream problems. The month-end calculation of Cost of Sales (COS) was a cumbersome process for each product category and the purchasing process was manual and not linked at all to the legacy system.


The Solution

They chose to restructure their processes using Microsoft Dynamics NAV, provided by Mercurius IT, because it proved to be the perfect answer to their problems. The entire requirement of Financial and Management Reporting was provided within NAV using the in-built Account Schedules reports, features and other report development tools. New functionality was developed for the management of the Order Intake process.


The Benefits

Vast improvements to manufacturing efficiency

The entire factory layout was mapped using Microsoft ERP, incorporating the business’ lean manufacturing approach, with all Bills of Material and Production Routings under its management and control. The ability to automatically create and manage Certificates of Conformity before the final shipment of goods. Additional tracking and management gave enhanced capabilities to the finance users and the new system also allowed the warehousing and manufacturing processes to integrate seamlessly.

Easier and comprehensive access to up-to-date sales records

A comprehensive range of Sales Reports and management information packs was developed. Microsoft Dynamic NAV ERP sales order management allowed the direct capture of external sales agent commissions on sales orders. This allowed the automatic creation of entries in the finance module and the ability to create and match purchase invoices for the commissions payable to sales agents.

The purchase process was automated and improved

Purchase orders could be created automatically by purchaser with enhanced process support for the approval of non-stock item purchases.

Advanced warehouse management functionality improved packing

Enhancement was provided for the warehouse shipment approval process where this would cause a customer credit limit to be breached. New packing functionality was developed to manage the packing of items at the time of shipping the goods.

Levels of quality control were enhanced and improved

New and extended functionality was provided for the inspection of incoming goods, which included a process gate to ensure full inspections were carried out for all inspection flagged Items. This also ensured that suppliers provided proper documentation in-line with any requirements. This functionality also blocked the downstream movement of goods until the inspection process was completed and signed off.

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