Berger Paints Pakistan Ltd., established in 1950, offers the most comprehensive range of quality paints in Pakistan. With state-of-the-art local manufacturing facilities and partnerships with leading international manufacturers, it is the leading specialized paint-products supplier to industries, including building and construction, automotive, marine, and government. Berger Paints Pakistan is also the premier manufacturer of protective advanced coating products, printing ink, powder coating, adhesive, epoxies, and construction chemicals. It has eight offices in Pakistan, 450 employees, and annual revenue of more than US$41 million.
Berger Paints Pakistan, operating in a demanding and highly competitive market, recently entered into international partnerships to expand brand offerings. However, its legacy system lacked a centralized database and integrated finance and production systems, resulting in inaccurate planning, increased production lead times, mismatched orders, increased raw material inventory, order delays, and financial inaccuracies. The company’s business units were unable to gather and share timely information or confidently confirm product orders and delivery dates. Increasingly, the company spent unnecessary time generating reports and identifying accurate figures and information.
Oracle E-Business Suite Release 12.1 delivered an integrated system that reduced the month-end account closing time from seven days to two days, slashed staff-process time by 25%, and decreased inventory by 11%, ultimately enabling the company to produce paint products in a timely manner and improve time-to-market. The Oracle system also improved operational transparency and process manufacturing, increased sales by 17% and customer service by 20%.
Due to data centralization and better process visibility across each business unit, Berger Paints Pakistan reduced month-end account closing from seven to two days, with company data now more accurate and reliable. This enabled it to generate and submit regulatory reports much faster and on time.
“Previously, our systems were not integrated, and we had to collect data from different modules and locations, taking two to three days to compile, verify, and submit regulatory reports. Now it takes under a minute to generate the report, and only a few hours to verify data before submitting,” said Sarfaraz Arif, head of ERP, information technology, Berger Paints Pakistan Ltd.
“Our trial balance, loss, and profit accounts; expense; and other financial processes take only two days to finalize, and we can process payroll in three to four hours.”
“We also developed a report that contains all the information on a single sheet of paper for more precise analysis and decision-making, significantly improving our reporting accuracy,” Arif said.
Berger Paints Pakistan used Oracle Process Manufacturing to streamline its paint production, ensuring visibility into the entire manufacturing process. The company improved traceability, quality assurance, and operational visibility—ensuring product quality, production, and delivery certainty for its sales teams and customers.
“Product consistency is critical in paint manufacturing, where we must produce each formula correctly every time. We must order all raw materials correctly to meet demand,” said Ata ur Rehman, manager, ERP, Berger Paints Pakistan Ltd. “Oracle Process Manufacturing enabled us to better manage every step of the production process. All of these critical activities, from sales orders, invoicing, and purchase requisition, to routing, recipe development, and batch paper generation now take less than a minute to complete.”
“We shortened production and order fulfillment cycles by having sales orders visible online. Managing paint and product orders more efficiently reduced our raw material inventory and increased product availability,” said Babar Altaf, assistant manager, ERP. “Through purchasing, finance, and production-system integration, we can calculate product costing, based on real-time information.”
Berger Paints Pakistan previously estimated raw material demand manually, resulting in significant production delays in paint production cycle due to frequent inventory mismatches, overstocking, or unavailability. This limited its ability to provide consistent, reliable paint products and placed a strain on client relationships and sales team morale.
“Now, through Oracle Advanced Supply Chain Planning, we have reduced the inventory level by 11%,” Arif said. “We can plan a production cycle that yields maximum growth. Our raw material demand forecasting is more accurate. We have reduced inventory mismatches and ensured availability of the right materials for production. As a result, we have increased production efficiency by 17% and improved customer service by 20%, due to on-time manufacturing and accurate paint-product delivery.”
Effective equipment maintenance and repair scheduling reduced Berger Paints Pakistan manufacturing downtime by 20%. This improvement delivered greater production capacity, enabling Berger Paints to service a greater number of customer orders without delay.
“The Fixed Assets module enabled us to schedule maintenance and repairs during low-volume periods to limit the impact on production,” Rehman said. “This gave us an extra 20% operating time to complete more orders and maximize efficiency and profitability.”
Berger Paints Pakistan also improved sales and manufacturing process visibility by sharing enterprisewide data through a single ERP platform. This eliminated work duplication, improving staff morale and efficiency.
“We improved planning efficiencies across all departments. For example, our manufacturing department can access the same paint raw materials inventory status as the purchasing department, improving our forecasting and inventory management. This enabled us to reduce work duplication, and improve staff efficiency by at least 25%,” Arif said. “Our teams have greater opportunities to focus on generating new business while satisfying our existing customers with improved order and delivery times. As a result, sales are up by 17%.”
Berger Paints Pakistan recently confirmed international partnerships with leading manufacturers to further grow and differentiate its brand, including an agreement with Japan’s largest paint company, Paint Japan, to develop automotive, vehicle refinishes, and industrial paints to international standards. Berger Paints Pakistan also acquired the distribution rights of DuPont for Pakistan’s vehicle refinish paint segment.
To continue to partner with world-class international paint manufacturers and grow its distribution networks, it is critical that Berger Paints has best practice production and distribution processes in place. Oracle E-Business Suite Release 12.1 provided Berger Paints Pakistan with data visibility for the entire supply chain, ensuring confidence in its ability to partner, market, and distribute international brands.
Berger Paints Pakistan was committed to ensuring its selected vendor had a history of successful implementations and could provide a dedicated support function, continuing to add value beyond implementation.
“Berger Paints Pakistan selected Oracle over SAP because Oracle has a more successful implementation record in Pakistan, and superior support function,” Arif said. “Oracle E-Business Suite Release 12.1 helped Berger Paints Pakistan become more responsive, efficient, and cost effective. Oracle was the best choice for our business.”
Berger Paints Pakistan implemented Oracle E-Business Suite Release 12.1 between July 2011 and September 2012.
In early July 2011, the company deployed Oracle Financials, Oracle Purchasing, and Oracle Inventory Management, followed by Oracle Order Management and Oracle Process Manufacturing in February 2012.
In September 2012, Berger Paints completed the implementation on schedule with the deployment of Oracle Payroll and Oracle Advanced Supply Chain Planning.
Oracle Platinum Partner A.F. Ferguson & Co conducted Oracle E-Business Suite Release 12.1 user training and provided comprehensive support material including a user training manual and video.
“We were very happy with A.F. Ferguson & Co’s training preparation to ensure users could deliver the benefits Oracle E-Business Suite Release 12.1 brought to Berger Paints Pakistan,” Arif said.