Project Name

Building a Future-Ready Smart Manufacturing Ecosystem with Custom ERPNext Solutions

Building a Future-Ready Smart Manufacturing Ecosystem with Custom ERPNext Solutions
Industry
Manufacturing
Technology
ERPNext, Frappe Framework, Custom DocTypes, IoT Integration

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Building a Future-Ready Smart Manufacturing Ecosystem with Custom ERPNext Solutions
Overview

A 35-year-old precision engineering company with 4 manufacturing plants in India and exports to Germany, USA & Japan was struggling with disconnected systems: Tally for accounting, Excel for production planning, and a legacy MRP tool that hadn’t been updated in 8 years.

 

The result? Frequent stock-outs of critical raw materials, 25–30% excess inventory, 3–4 days delay in job card status updates, and zero visibility into machine downtime. With growing pressure from European clients for ISO 23456 and IATF 16949 compliance, they needed a unified, scalable platform that could manage complex multi-level BOMs, batch traceability, and shop floor operations in real time.

 

They chose ERPNext with Ksolves as their official ERPNext implementation and development partner.

Challenges
  • Zero Real-Time Shop Floor Visibility: Supervisors relied on WhatsApp and paper job cards, causing 3–4 day delays in production status updates.
  • 25–30% Excess Inventory: Poor MRP planning led to ₹4.8 Cr tied up in obsolete and overstocked raw materials.
  • Multi-Level BOM Errors: Manual explosion caused wrong material issuance and frequent production halts.
  • Manual Batch & Heat Number Traceability: Excel-based records posed high audit risk and zero forward/backward tracking.
  • 40% QC Bottleneck: Lots waited >48 hours for inspection clearance due to disconnected quality workflows.
  • No CNC Machine Integration: Operators manually logged runtime & downtime, resulting in inaccurate OEE and capacity data.
  • 12+ Days Monthly Reconciliation: Finance team spent 300+ hours reconciling stock between Tally, Excel, and legacy MRP.
Our Solution

Ksolves delivered comprehensive ERPNext Services with deep manufacturing domain expertise:

  • ERPNext Consulting & Process Re-engineering: Mapped 180+ existing processes and redesigned them for best-practice ERPNext manufacturing workflows.
  • Custom ERPNext Development:
    • Built Smart Shop Floor Module with barcode-enabled Job Cards & real-time operation tracking
    • Developed multi-level BOM with phantom assemblies and auto-explosion
    • Created Heat Number & Batch Traceability Module (forward & backward traceability in one click)
    • Custom Quality Inspection Workflow with stage-wise inspection, rejection reason codes & CAPA integration
  • IoT & Machine Integration: Integrated 45+ CNC and VMC machines via MTConnect protocol to auto-capture runtime, downtime, and OEE directly into ERPNext.
  • Advanced MRP & Capacity Planning: Implemented finite capacity planning with bottleneck identification and what-if simulation.
  • ERPNext Data Migration: Migrated 8 years of legacy data (1.8 lakh+ material transactions) with 100% reconciliation accuracy.
  • Mobile App for Shop Floor: Custom ERPNext mobile app for operators to scan job cards, report production, log downtime reasons, and raise material requests instantly.
  • Custom Dashboards & Analytics: Real-time OEE dashboard, inventory ageing analysis, and on-time delivery KPI tracker for management.
Impact
  • 68% Reduction in Production Delays: Real-time job card tracking and auto-BOM explosion cut average manufacturing lead time from 18 days to 6 days.
  • 42% Lower Inventory Carrying Cost: Advanced MRP with finite capacity planning freed up ₹3.2 Cr in working capital.
  • 88% OEE Achievement: IoT machine integration and downtime logging boosted Overall Equipment Effectiveness from 61% to 88%.
  • 100% Traceability Compliance: Custom Heat Number & Batch module enabled one-click forward/backward traceability, ensuring zero audit NCs under IATF 16949.
  • 54% Drop in Quality Rejections: Stage-wise inspection workflows and CAPA integration reduced rework and scrap.
  • 37% Operator Productivity Gain: Mobile app with barcode scanning eliminated manual entries and accelerated shop floor reporting.
  • 97% On-Time Delivery Rate: Dynamic scheduling and bottleneck alerts improved customer fulfillment from 72% to 97%.
  • 4-Hour Monthly Stock Reconciliation: Automated validation replaced 12-day manual process, saving 180+ finance hours monthly.
Conclusion

With Ksolves’ end-to-end ERPNext Services, from strategic ERPNext Consulting to advanced custom ERPNext Development and seamless implementation, the client transformed from a traditional manufacturer into a true smart factory. Today, they have complete control over their production, inventory, quality, and compliance; all on a future-ready, 100% open-source platform with zero licensing costs.

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