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The Open ERP effect

Richard founded a manufacturing company in 1985 that grew to 90 employees by 2006. However, the company's overhead costs increased significantly, reducing margins. Richard implemented Open ERP, an open-source ERP software, to integrate business processes across departments. This reduced costs, increased visibility and control, and allowed the company to grow efficiently while improving employees' workflows.

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The  Open ERP  effect... Richard's  Success
Richard is a brilliant manager...
he  founded  his  manufacturing company  in 1985...
In 2000 he reached 45 employees
In 2000 he reached 45 employees ...to fulfill  4500 orders a day = 100 orders / employee
This is  George, Richard's  CFO

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The Open ERP effect

  • 1. The Open ERP effect... Richard's Success
  • 2. Richard is a brilliant manager...
  • 3. he founded his manufacturing company in 1985...
  • 4. In 2000 he reached 45 employees
  • 5. In 2000 he reached 45 employees ...to fulfill 4500 orders a day = 100 orders / employee
  • 6. This is George, Richard's CFO
  • 7. George likes his Accounting software ...
  • 8. But he wastes hours each day on...
  • 9. But he wastes hours each day on... Creating invoices based on data from their logistics application
  • 10. But he wastes hours each day on... Synchronizing timesheets with his analytic accounting
  • 11. But he wastes hours each day on... Encoding Refund Invoices based on emails from after-sales services
  • 12. But he wastes hours each day on... Preparing consolidated reporting for Richard
  • 13. But he wastes hours each day on... Pushing documents to their internal Document Management System
  • 14. But he wastes hours each day on... Processing payments through bank interfaces...
  • 15. So it is for all other employees on their respective applications.
  • 16. Richard's IT infrastructure exploded in a few years...
  • 17. In 2006 they reached 90 employees ...but they fulfill only 5000 orders a day = 55 orders per employee
  • 18. The overhead makes them fulfill 45% fewer orders per employee than they did 6 years ago ! That growth makes Richard's margins decrease !
  • 19. Tina is the HR Manager Her business life became difficult when the company grew to 90 people in 2007.
  • 20. So she asked Richard for new software to manage employees' leave and holidays .
  • 21.
  • 22. Richard thought it was time to go for a completely new strategy for their IT structure. So, he integrated : They activated the “holidays” module only for an easy and quick integration.
  • 23.
  • 24. The new infrastructure looked like this... Annual Maintenance: 45.000 $ Annual Licenses: 39.000 $
  • 25. Tina was so happy with her HR management system that Richard decided to use other modules from Open ERP.
  • 26. They first activated the CRM modules to replace Ms. Dynamics CRM Annual Maintenance: 45.000 $ Annual Licenses: 39.000 $
  • 27. They first activated the CRM modules to replace Ms. Dynamics CRM Annual Maintenance: 40.000 $ Annual Licenses: 33.000 $
  • 28. Then, they activated modules for manufacturing, sales, BI and projects Annual Maintenance: 20.000 $ Annual Licenses: 13.000 $
  • 29. Then, they activated modules for accounting and human resources mgt. Annual Maintenance: 12.000 $ Annual Licenses: 7.000 $
  • 30. And they did the same for all other services in 2008. Their new infrastructure looks like......
  • 31. A fully integrated management system: Annual Maintenance: 10.000 $ Annual Licenses: 0 $
  • 32. Now Richard is a happy manager... He r educed licenses and maintenance costs to 1/8 of their previous cost !
  • 33. ... he has a system that can evolve with his company's needs... And employees' recurring tasks have been reduced by 40% due to integration and automation.
  • 34. And all of this while keeping and improving his visibility and control of all the enterprise processes
  • 35. And Tina likes his new way of working... She has a unique and integrated system for the shared calendar, the vacation management, the planning, ...
  • 36. This allowed the company to grow quickly, while keeping and controlling its efficiency
  • 37. And Richard was able to launch new off-shored organizations in only 2 weeks . He controls all offices from one system .
  • 38. And to extend their new way of working to suppliers and customers, Richard activated Open ERP's portals
  • 39. ... all customer and supplier processes are fully integrated with the Company.
  • 40. There are thousands of companies like Richard's ... If you want to be one of them, check: http://openerp.com To discover Richard's customers, check: Customers in Action