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Unity Cement Boosts Efficiency with Sigzen ERP Solutions

October 21, 2024
Cement case studies

Introduction of Customer

Unity Cement Pvt. Ltd. is a leading cement manufacturing company based in Gujarat, India. Founded by Mr. Punit Mohanbhai Chovatiya, Unity Cement is part of the PMC Group, which also operates in the construction industry and other sectors. The company commenced operations in December 2023 with an annual production capacity of 1.2 million tons, planning to expand to 1.8 million tons by the end of 2025. Unity Cement utilizes state-of-the-art technology in collaboration with FL Smidth, a world leader in cement technology. Their product offerings include PPC (Portland Pozzolana Cement), OPC 53 Grade (Ordinary Portland Cement), and PSC (Portland Slag Cement), all known for their superior quality and durability​ (Unity Cement)​​.

Before (Challenges, Struggles, or Fears):

Before implementing Sigzen Technologies’ ERPNext solution, Unity Cement faced numerous operational challenges:

1. Logistics Cycle Management

Managing the logistics cycle, including dispatch and delivery schedules, was cumbersome and error-prone. Coordinating transportation, monitoring inventory movements, and ensuring timely deliveries led to inefficiencies and delays.

2. Sales and Purchase Management

Manually tracking sales and purchases resulted in errors, delayed order processing, and difficulties in maintaining accurate records.

3. Scheme and Promotional Management

Implementing and managing various sales schemes and promotional offers without a centralized system made tracking effectiveness and accurate application challenging.

4. Salesperson Commission Tracking

Calculating and distributing commissions manually led to errors, dissatisfaction among the sales team, and potential disputes.

5. Transporter Billing and Payment

Handling transporter bills and ensuring timely payments were problematic. Manual processing often resulted in delays and inaccuracies, affecting relationships with logistics partners.

6. HRMS and Employee Management

Managing employee records, payroll, and HR activities manually was inefficient. Without an integrated Human Resource Management System (HRMS), tracking employee performance, attendance, and benefits was challenging.

These challenges collectively hindered Unity Cement’s ability to operate efficiently and meet their business objectives.

Smart Decision (What Helped Them)

Recognizing the need for a comprehensive solution to address their operational challenges, Unity Cement decided to seek out an ERP solution. Several key factors influenced their decision:

1. Operational Inefficiencies

The manual processes involved in managing logistics, sales, purchases, schemes, transporter billing, and HR activities were not only time-consuming but also prone to errors. Unity Cement needed an automated solution to streamline these operations and improve overall efficiency.

2. Data Accuracy and Reporting

The lack of an integrated system made it difficult to maintain data accuracy and generate timely reports. Unity Cement required a solution that could provide real-time data visibility and facilitate accurate reporting for better decision-making.

3. Scalability and Customization

As a growing company, Unity Cement needed a scalable solution that could grow with their business. They also required a system that could be customized to fit their unique operational needs and workflows.

Discovery of Sigzen Technologies: Unity Cement came across Sigzen Technologies through industry recommendations and their reputation for providing robust ERP solutions. After researching various alternatives, Unity Cement found that Sigzen Technologies’ ERPNext solution offered the best combination of functionality, flexibility, and support.

Why They Chose Sigzen Technologies

1. Comprehensive Solution

Sigzen Technologies’ ERPNext solution addressed all of Unity Cement’s pain points, including logistics cycle management, sales and purchase tracking, scheme management, transporter billing, HRMS, and data reporting.

2. Customization Capabilities

The ERPNext system was highly customizable, allowing Unity Cement to tailor the solution to their specific needs and operational workflows.

3. User-Friendly Interface

The system was designed to be intuitive and easy to use, ensuring quick adoption by Unity Cement’s team.

4. Real-Time Data Access

ERPNext provided real-time access to crucial data, enabling informed decision-making and better operational control.

5. Continuous Support

Sigzen Technologies offered continuous support, ensuring that any issues were promptly addressed and that Unity Cement’s team could effectively utilize the system.

Transformation (From Start to End):

The implementation of Sigzen Technologies’ ERPNext system for Unity Cement was a detailed and phased process:

1. Initial Requirements Gathering

Sigzen Technologies began by understanding Unity Cement’s basic requirements and their existing logistics cycle. This involved detailed discussions with the sales and logistics teams to map out their workflows and pain points.

2. Logistics Cycle Implementation

  • Sales Order Booking: The sales team books sales orders in the system, initiating the logistics cycle.
  • Delivery Instruction (DI) Creation: The logistics team creates a “Delivery Instruction” specifying the items and quantities to be packed and transferred to the customer.
  • Truck Assignment Creation: Either the transporter or a logistics user selects one or more DIs and assigns a truck (master document). This step includes calculating freight based on truck capacity and total transfer amount present in the DI. Freight details (weight, origin, destination, normal, and overweight freight) are documented.
  • Gate Pass Generation: A gate pass is generated and given to the driver. The driver and truck (from the respective transporter included in the DI) are assigned.
  • Factory Entry: The security guard checks the gate pass and allows the truck inside.
  • Weigh Bridge Entry: The truck enters the weigh bridge, and a weighment slip is created with the tare weight (empty truck weight).
  • Delivery Note (DN) Generation: The dispatch user fills the goods and submits the DN after reviewing the tare weight.
  • Weigh Bridge Exit: The truck returns to the weigh bridge, where the gross weight is taken. The net weight is calculated based on tare and gross weights, and the threshold is checked. If everything is in order, the truck is allowed to exit, and the exit time is recorded in the gate pass.
3. Sales Cycle Implementation
  • Sales Order Creation: When a sales order is generated, the item type determines the pricing rule. For trade items, the rate is auto-fetched, while for non-trade items, the rate is manually entered.
  • Sales Invoice: Commissions for sales partners are automatically calculated based on predefined settings (sales partner mentioned in the customer profile, and rates defined in the settings).
4. Transporter Freight and Billing
  • Truck Assignment Documentation: Transporters can attach Proof of Delivery (POD) documents, which are reviewed by the logistics manager.
  • Freight Bill Creation: After approval, freight bills are generated, and the process is streamlined similarly for sales commissions.

Key Changes Experienced

  • Enhanced Efficiency: Automating the logistics and sales cycles significantly reduced manual effort and errors.
  • Real-Time Tracking: The ERPNext system provided real-time visibility into logistics operations, improving coordination and decision-making.
  • Accurate Freight and Commission Calculations: Automating freight calculations and sales commissions ensured accuracy and timely processing.
  • Improved Data Accuracy: Centralized data management enhanced the accuracy of records and reporting.

After Implementing the SigzenCement (Results and Benefits)

Since implementing Sigzen Technologies’ ERPNext solution, Unity Cement has experienced remarkable improvements:

1. Enhanced Operational Efficiency

The automation of logistics, sales, and inventory management processes significantly reduced manual effort and errors. The streamlined workflows led to faster processing times and improved coordination across departments.

2. Real-Time Data Visibility

The ERPNext system provided real-time visibility into all operations, allowing Unity Cement to track logistics activities, sales orders, and inventory levels accurately. This enhanced transparency enabled better decision-making and more effective management.

3. Accurate Freight and Commission Calculations

The automated calculation of freight charges and sales commissions ensured accuracy and timely processing. This eliminated the errors and delays associated with manual calculations, improving satisfaction among transporters and sales partners.

4. Improved Data Accuracy and Reporting

Centralized data management enhanced the accuracy of records, facilitating the generation of timely and accurate reports. This improved Unity Cement’s ability to plan strategically and respond to market demands effectively.

5. Continuous Customization and Support

Unity Cement appreciated the continuous support and customization provided by Sigzen Technologies. The ability to tailor the ERPNext system to their evolving needs ensured that the solution remained relevant and effective.

Customer Satisfaction: Unity Cement expressed high satisfaction with the ERPNext solution and the services provided by Sigzen Technologies. The company’s management and staff found the system easy to use and highly effective in improving their operations.

Testimonial from Unity Cement: “Sigzen Technologies’ ERPNext solution has been transformative for our operations. The automation and real-time visibility have significantly enhanced our efficiency and accuracy. Our team loves the system, and the continuous support and customization provided by Sigzen Technologies have been exceptional. We couldn’t be happier with the results.” – Management, Unity Cement Pvt. Ltd.

Rating: 4.8 / 5 (10 votes)
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