Use case: Optimization of inventory management in electronics manufacturing
- Read time: 5 min.
In electronics manufacturing, precise and efficient inventory management systems are crucial for business success. A leading electronics manufacturing company observed …
In electronics manufacturing, precise and efficient inventory management systems are crucial to a company’s success. A leading company in the electronics industry was faced with a significant challenge: Discrepancies in consumption posting by different systems were leading to inefficient workflows, increased manual effort and the risk of significant delivery delays.
With an upcoming financial audit within a tight timeframe of just a few months, a fast, effective solution was needed. The introduction of an innovative web application has enabled the end-to-end integration of different inventory management information, resulting in a significant increase in efficiency and accuracy in inventory management.
The challenge
Shortages and production interruptions due to complex inventory management
The customer was faced with the complex task of harmonizing different consumption postings across several systems in the production line. The discrepancies in the systems not only led to significant manual effort in correcting stock levels, but also to stock shortages. These resulted in far-reaching production interruptions and delivery delays. The situation reached a critical point when an inventory sequential test failed, reinforcing the need for a timely and effective solution. An upcoming financial audit added to the pressure, as a potential production stoppage would have led to serious financial consequences.
The solution
Consistent and seamless inventory postings thanks to integrated middleware
To meet the customer’s challenges, an innovative web application was developed to act as a central interface between the different inventory systems. This application serves as middleware to ensure consistent and accurate inventory management by consolidating data from the heterogeneous system sources and drastically reducing the need for manual corrections. The solution integrates seamlessly with existing systems such as SAP while providing a user-friendly interface that also simplifies and speeds up manual material posting.
The implementation of this solution leads to a significant increase in efficiency and accuracy in inventory management. The customer’s management praises the smooth rollout of the application and the significant improvement in inventory management that has been evident since the successful launch of the application.
"Congratulations on the smooth rollout of the application! The application has been running successfully for two weeks now and significantly contributes to the improvement of inventory management."
The result
Efficiency increase of 80% in inventory management
The introduction of the new web application has drastically reduced the manual inventory effort by around 80 percent – from two hours a day to two hours a week. This change lays the foundation for further improvements aimed at completely eliminating manual effort in the long term.
Accurate stock information avoids delivery delays and cost savings are realized by avoiding production shutdowns. These results reflect the effectiveness of our solution and confirm the importance of integrated, digital inventory management in the modern manufacturing industry.
"Congratulations on successfully passing the audit this week and thank you for identifying and implementing the targeted measures as the basis for this result! You have made a significant contribution to achieving our goals. Great!"
"Everyone is highly content as complete inventory checks are no longer necessary. What an improvement! This application significantly streamlines our operations in production."
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