Headquartered in Vatva, Ahmedabad, India, PressureJet Systems Pvt., Ltd. is a leading manufacturer of a wide range of high-pressure, triplex-plunger pumps and systems for a variety of local and global industries. The company began manufacturing specialized pumps in 2004 and quickly became an industry leader, exporting its niche products across several countries, including Asia, Africa, Europe, and the Middle East.
To sustain its leading-industry position and exponential growth, PressureJet needed to replace its legacy enterprise resource planning (ERP) system with a flexible and cost-effective solution. In November 2012, it implemented Oracle E-Business Suite Release 12.1.3 and integrated all business-critical data into a single ERP platform.
By consolidating data within a single repository, the company has improved customer service and increased profitability by 20%. It also reduced inventory costs by 22%, slashed order delivery time by 40%, and gained real-time transparency across the entire supply chain cycle. Finally, the company has improved staff efficiency and accelerated business decisions to support its growth and maintain an industry leadership position.
PressureJet was manually calculating profit margins for customer orders, and senior management had to approve the price lists and discounts. As a result, the quoting process was slow and often inaccurate, resulting in missed opportunities.
By implementing Oracle E-Business Suite Release 12.1.3, PressureJet can now customize its price list so that it targets big customers as well as smaller buyers. It also can automatically generate profit margins, discounts, and quotes in real-time, which it could not do before.
“Staff, from the junior level up, can now generate accurate quotes for our diverse range of potential buyers in real-time to significantly accelerate sale transactions, so they can move on to the next customer,” said Vishal Shah, CEO, PressureJet. “As such, we have increased our profitability by 20%, thanks to a more efficient sales team, and we have grown our customer base.”
With the legacy ERP system, PressureJet manually prepared each purchase order and sales team members estimated delivery dates. There was no prioritized procurement process for raw materials when placing customer orders, which significantly held up the entire production and delivery process.
For example, some projects required 50 different components from several different vendors. PressureJet often ordered easily acquired parts, such as ball bearings and fasteners before specialized parts that took longer to deliver, which resulted in delays when making customer deliveries. “In many cases with our unstructured procurement system, we missed delivery dates promised to big customers, which damaged business relationships,” Vishal said.
With Oracle Purchasing, PressureJet gained real-time visibility across the entire procure-to-pay cycle and streamlined all procurement practices with end-to-end automation. PressureJet also used structured supplier communication to ensure on-time prioritized delivery for specialized materials, enabling a smooth and efficient process from purchase order to customer delivery. As a result, PressureJet reduced its procurement purchasing timeframe by 33%—from three months to two months—and delivered customer orders 40% faster.
By implementing Oracle Inventory, PressureJet can automate and track all production materials such as crank cases, gears, electric motors, diesel engines, bearings, and fasteners in a single system.
“We now have complete visibility into our inventory lifecycle for each line of business, and have cut our inventory costs by 22%. For example, we no longer need to order the same 50 spare parts as a buffer for producing a pressure pump system. Instead we order parts on demand by monitoring production progress in our system, using material requirement planning methods,” said Charmi P., senior manager, IT, PressureJet.
With Oracle Discrete Manufacturing, PressureJet gained a single view of its bill of materials (BOM) rather than using thousands of BOM for each customer, as in the legacy ERP system. It eliminated time-consuming processes for changes and reconfiguration in the system. This has significantly streamlined and sped up the manufacturing process.
PressureJet’s legacy ERP system could not quickly respond when unexpected events arose, such as delays with vendors, sudden product-line breakdowns, and new, hot demands from important clients. This resulted in significant production delays and required staff intervention to modify purchase orders.
“By implementing Oracle Order Management, we have significantly mitigated potential production problems by utilizing what-if simulation that allows us to instantly assess the impact of sudden changes in orders and promptly resolve problems,” Charmi said.
“We now have the flexibility and opportunity to resize the order without any disruption to the production process. For example, if a customer urgently needs a specialized pump manufactured, our production-planning system automatically compresses delivery time of all parts needed to build it.”
Furthermore, PressureJet also used Oracle Discrete Manufacturing to improve workshop floor management and staff efficiency through integration of production planning, scheduling, and demand-driven execution. Managers now have the flexibility to review planned and actual production orders to make decisions about where to best utilize staff resources to maintain smooth and efficient workflow. For example, managers can put a job on hold and reallocate staff to a top priority project.
PressureJet needed a standardized ERP platform to improve business-critical decision-making and maintain its competitive edge in a niche market.
Using Oracle Financials, front-line managers can easily generate—with a single click—real-time profitability reports with preconfigured customer categories.
“We can now efficiently identify the most profitable customers, products, and channels across a diverse range of industries, such as shipping, airlines, and food processing plants. We can also analyze profitability drivers across all locations, customers, products, and territories,” Vishal said.
As a rapidly growing company with a highly specialized product, PressureJet needed to replace its legacy ERP system with a flexible and cost-effective ERP platform to improve the efficiency of its supply chain cycle and support business growth.
“After extensive research into competing vendors SAP and Microsoft, we chose Oracle E-Business Suite Release 12.1.3, as it was the most cost-effective, flexible, and easy-to-use ERP platform. We gained better insight across the entire supply chain cycle, which allows us to make more informed business decisions and maintain our competitive edge,” Vishal said.
In November 2012, PressureJet worked with Oracle partner OSI Consulting Pvt. Ltd. to implement Oracle E-Business Suite Release 12.1.3.
The new system went live in November 2012, on time and within budget—and it continues to operate smoothly.
PressureJet engaged OSI Consulting Pvt. Ltd. to assist with the out-of-the-box Oracle E-Business Suite Release 12.1.3 implementation. It provided ongoing technical support and enabled PressureJet to leverage the group’s expertise and experience to optimize its investment.
“We have secured our leading industry position by using OSI’s extensive knowledge of Oracle Business Suite Release 12.1.3. We were, and continue to be, very happy with OSI’s professionalism and commitment to delivering our state-of-the-art, ERP platform,” Vishal said.