In the mid-90s, we embarked upon a complete system revamp at a diversified Manufacturing Group of Companies (turnover then was around Rs. 80 Cr.).
Highlights: There was a NET BOTTOM LINE INCREASE OF 4%! Total Investment made (Including Hardware, Software, Networking, Development, Consulting etc) was approximately Rs. 1.5 Cr. Returns were Rs. 3 Cr. leaving a NET RETURN ON INVESTMENT OF RS. 1.5 Cr. in less than 18 months!
Reduction in Inventory Levels from > 4 months on an average to 3 weeks!
Better Decision Making through improved Information Flows à Elimination of Duplication of Work and
Mistake proofing in ALL areas (For e.g – there was NO INSTANCE of any cheque being wrongly issued to any vendor!)
Accounts Receivable – improved the average outstanding position by nearly two weeks! …& several more areas Today, the Group Turnover is in excess of Rs. 750 Cr!, and has a record of consistent year on Year Profits! That’s SUSTAINABLE GROWTH & PROFITS!