1. Functional Overview
Business Process Reengineering (BPR) establishes standard transaction processing procedures, improves process control capabilities, and optimizes enterprise production processes
2. Focus on problem solving
3.1 Establish a Comprehensive Coding System
By establishing a complete coding system, ensure that codes are integrated throughout the entire business process, facilitating the flow of information across departments. Each type of code has its own lifecycle, from creation to expiration, and its circulation among various departments. Codes are not just independent numbers; they are linked with relational databases, connecting all business data for seamless information retrieval. Some key codes will incorporate barcode technology, speeding up data flow and reducing error rates through scanning.
3.2 Establish an Enterprise Portal (EIP)
Integrate systems uniformly, with data entered once and shared throughout the process. Achieve full tracking of sales orders, including order placement, approval, pricing, delivery reporting, cotton allocation, main planning, workshop planning, production processes and output, quality testing, weighing and packing, warehousing, shipment planning, delivery, payment collection, and customer complaints. Establish an enterprise portal (EIP) to provide an electronic platform for timely communication with customers, allowing them to track their order production progress and plan ahead, and to lodge complaints about quality issues with a particular yarn batch and view the company’s handling results.
3.3 Enhance On-Site Production Efficiency
Use pads and mobile handheld devices for data collection and on-site inventory checks, reducing employee workload and improving work efficiency. Implement transparent productivity and efficiency metrics linked to workers’ wages to foster healthy competition and enhance worker motivation. Seamlessly integrate ERP with single spindle monitoring systems and machine networking systems, and utilize on-site electronic displays to enhance on-site production management and control capabilities, reduce worker workload, and lower labor costs while increasing production efficiency.
3.4 Establish a Standardized Process System
Cotton blending processes and machine processes are valuable assets of the company. Establish a standardized process system to be embedded in the ERP system, preventing significant losses due to the departure of key employees. Implement standard cotton blending processes and standard machine process versions to clearly track process version changes, facilitating the tracking of process modifications.
3.5 Improve Warehouse Material Management
Manage raw cotton and yarn warehousing, inventory, and outbound logistics using bin location management concepts, enhancing management efficiency. Utilize pads, tablets, or handheld terminals for mobile office work in conjunction with bin locations to improve the efficiency of on-site warehouse staff, minimizing or eliminating errors. Incorporate month-end inventory counts into daily management to reduce counting time, improve inventory efficiency, and minimize production disruptions caused by inventory counts.
3.6 Establish a Loss Calculation System
Raw material costs account for about 60-70% of total costs in spinning enterprises, and the rational use of raw materials is reflected in loss rates. Establishing a comprehensive loss calculation system is crucial and urgent. Based on past experience, summarize the loss percentages for different products at different production stages and establish a complete product loss system. Combine current and future production results, calculate the output of each process, and use ERP-provided data statistics and analysis to help technical personnel establish and continuously improve the loss calculation system.
3.7 Make Scientific Decisions Based on Data
Beyond meeting the daily work and production management needs of the enterprise, ERP's most important function is to perform data analysis based on historical data, providing decision-making support for management. Analyze the most valuable customers and products based on sales order data, production data, and payment status. Analyze procurement unit prices and quantity trends based on raw cotton procurement data. Analyze supplier and regional quality distribution based on raw cotton quality data. Analyze cotton blending and machine processes combined with front spinning and finished yarn quality indicators to improve these processes. Analyze the reasonableness of loss coefficients for each process and make appropriate adjustments based on product yield rates. Analyze inventory aging based on warehouse data to avoid expired and scrapped materials. Analyze workshop production capacity based on product yields from each process, and reasonably arrange workshop production scheduling. Evaluate maintenance personnel skill improvement areas based on equipment maintenance and repair status and develop training plans.