Implementation of Manufacturing Process for

POWERMASTER ENGINEERS PVT LTD

In Tally.ERP9 with enhanced features by customizing Tally.ERP9 toaccommodate the business needs & requirements

By

(Spectrum Software Solutions)

Author: Bhavin Shah – Director, Yesha IT Solutions Pvt Ltd

Version: 1.0

Date: 28th July 2010

Modules Covered in the Project:

Sales Order Management:

Independent locations will be posting the order acceptance entries in tally at their site insales order voucher type. Using Tally.ERP9 data synchronization features the sales orderswill be centrally collected at Vashi unit no 224 in one company in Tally.EP9. This process willgive the centralized view of all the Order Acceptance entered in the system. Based on thedispatches made at individual locations and data synchronization will help to get thepending sales order report centrally and individually also

Material Indent Process:

Based on the BOM set in stock item masters system will provide the raw material requiredfor the delivery of a particular Order Acceptance. Respective department will then have toraise Indents for the material required to stores and based on the availability of the materialstores can either issue material to the production department or raise a purchase order toprocure the material. MIS report to provide pending indents at any given point of time forany location will be made available by the system based on the data entered in the system

GRN & Q.C. Process:

Based on the Purchase Orders when the goods are received from the supplier user will havethe facility to verify the rate & the quantity ordered and recd. On receipt of which the GRNdepartment will then forward the material to the inspection department & same will beaccepted / rejected on the parameters set by the company and sent to stores for stock orreturned to the supplier. System will provide a report which will give the goods lying underinspection department and GRN department pending to be sent to stores for further process

Manufacturing Process:

Material which is manufactured will be posted in the mfg journal using the BOM configuredthe raw material will be made available. The usage of negative stock will not be permittedwhich will further enhance the efficiency of the stores to manage the stock position.Finished goods will then be sent to stores for dispatch with the intimation of the OrderAcceptance

Dispatch of Material:

Dispatch of the material will be happening via order acceptance tracking based on the stockavailable in the respective location

Accounts & Statutory Compliance:

The above mentioned steps will finally lead to hassle free accounting and managing thestatutory compliance as follows

• Mfg Excise• VAT / CST• TDS• Service Tax

Further to which system also give a centralized view of all the following MIS reports at anygiven point of time from any place

• Receivables• Payables• Stock Ageing• Customer Performance• Supplier Comparison• Pending Sales Orders• Pending Purchase Orders• Pending Bills to be made• Pending Bills to be received• And Many More…

Highlights of the Benefits:

• Reducing the duplication of the work at all the locations• Centralized view for inventory, accounts, etc without manual intervention• Uniform documentation at all the locations of POWER MASTER• Control on Stock Position• User level roles & rights in the system to access the information• Real Time information for management• Saving time on statutory compliance management and filling the same

Mode of Implementation:

Tally.ERP9 customized using Tally Definition Language by team of Yesha IT Solutions theprocesses unmapped for the business requirements of Powermaster Engineers was designedand further mapped with the BI reporting tool the dynamic business MIS are achieved.

Tally.ERP9 is installed at all the locations of Powermaster Engineers and the transactions areposted based on the user roles and then synchronized with the central unit of thePowermaster Engineers to get the centralized view for management at any given point oftime.

With added customizations the following processes where brought in Tally.ERP9

• Indent / Purchase Requisition based on the Sales Order or for Stock Keeping• Inspection & Q.C. before intake of material in Stores• Mfg process based on the sales order or stock keeping• Purchase Bills to passed based on the Inspection and QC stage• Work order cum Job-work challan to generated based on the material transferred to

Job-Worker• Restriction of billing / dispatches on qty more than available in stores

Based on the process implemented following are some of the MIS reports generated in theBI reporting tool

• Supplier wise Pending Stock for Inspection• Supplier wise Rejection Trend Analysis• Party wise Product wise pending Sales Order• Supplier wise Product wise Pending Purchase Order• Unit wise Party wise Outstanding Analysis• BOM planning based on Sales Order• Department wise Consumption of Raw Material• Many More Reports as required…

Following are the few of the specimen screens of the customizations done in Tally.ERP9 toaccommodate the requirements as listed above.

Indent against a Sales Order for the raw-material procurement

Indent against a Stock Keeping from Job-work Processing

GRN Qty updated after the Q.C. process based on the qty accepted by the stores dept

Work Order Cum Job-work Challan Entry based on the Indent Raised

Material Received from Job-worker after the required process completed and the same isinspected by the stores before affecting stores qty

Few of the screens of the MIS from the BI reporting tool generated based on the process

State-wise Party-wise Outstanding Report

Company wise Stock Analysis

Multi Layer Report for analysis