Optimizing Plastic Granules Manufacturer’s Inventory via Odoo ERP

Plastic Granules Manufacturer Overview

Our client is a plastic granules manufacturer based in Delhi NCR. They are a small to medium scale manufacturers of plastic granules supplying it as raw materials to injection molding companies in India.

Industry: Plastic Raw Material Manufacturing
Size: 50–100 employees
Location: India
Core Business: Raw material (plastic granules) production and distribution for injection molding manufacturers

They have various operations spread across multiple regions. One particular issue that they faced when we conversed with them was mostly focused on manual inventory process. Their first priority was to digitize this operation as it was leading to discrepancies in their stock, delays in production, and they were missing on orders.

The client’s work force was doing manual tracking through spread sheets for inventory management and while they were processing their sales orders daily, their production and stock levels were most of the times out of sync.

You can also check videos on how Odoo ERP is helping manufacturing industry through various solutions.

Challenges Faced by Plastic Granules Manufacturer

After we went to their manufacturing unit to understand what their pain points were, we came to the conclusion that they actually had discrepancies in their stock, what i mean to say is that their actual inventory a lot of did not match with recorder quantities.

Apart from that, they had overstocking and shortage of inventories which was a direct result of inconsistency in their reordering levels. Inventory mismanagement was making their delivery timelines to extend which in turn had started to damage their relationship with end clients.

Also, their top level hierarchy management was never able to check insights what stock movement was going on or what were the requirements in the production department. These challenges were not isolated. Kindly understand manufacturing processes have to rely on the accuracy of inventory and if there are small discrepancies found in the raw material stock it for sure will lead to inefficient production and costs.

Objectives

The client was result oriented and had every thing penned down as their objectives.

They were looking for a real time visibility of inventory across their all warehouses, stock tracking was to be automated that could reduce manual errors, streamlining sale to production for order processing, add smart production planning that can help them with accurate raw material availability data, and optimize working capital by reducing overstocking and material wastage.

Solution Implemented

For the solution, we evaluated every thing and provided a solution through Odoo ERP for the plastic granules manufacturer. We focused as per their objective and pain points to cover inventory management, manufacturing, and sales integration.

Let me list out the implementation that was involved in a bullet point format for better understanding –

1. Configuration of Inventory Module:
   • We set up real-time stock updates & alerts were automated for the low stock..
   • Introduced barcode scanning to help for error free and fast movement of the stock.
   • Setup batch and lot tracking that will assure them with traceability.
2. Integration with Sales & Manufacturing:
   • After a sales order is confirmed reservation of raw materials is done automatically.
   • We linked the schedules of production so that they could map to the actual stock availability thereby preventing delays.
3. Optimization of their Warehouse:
   • For variety of different granule types we segment the storage locations.
   • FIFO (First-In, First-Out) method was used that will minimize the material expiry and degradation.
4. Custom Reporting & Dashboards:
   • We setup custom dashboards for top level managers that would help them track inventory trends, stock levels, and overall material consumption.
   • We triggered alerts and notifications for critical stock situations that can help leaders with a proactive decision making.
5. Provided Training & Support:
   • Warehouse and production teams were included and provided hands on training sessions.
   • On-demand support was give so as to ensure a smooth adoption without disrupting operations.

Significant Results Achieved

There were significant improvements after three months post implementation to mention –

• Almost 99% accurate inventory as compared to the previous 70–75% manual tracking accuracy.
• Production delays were reduced by 40% as now they had a real-time stock visibility.
• Stock levels optimized which reduced overstocking by 30% and helped in lowering the wastage.
• They now have faster fulfilment of orders which has taken their client satisfaction to next level with repeated business.
• Dashboards now help their management to take data-driven decisions for procurement and production processes.

Odoo ERP has actually helped them by connecting sales, production, and inventory into single unified system under one umbrella and providing control and predictions for their operations.

Odoo ERP has brought this client operational confidence knowing that their inventory, production, and sales processes are fully synced. To know more drop us a line at sales@apagen.com or call us on +91 9971800665.