Univac Precision Engineering Pte Ltd (Univac), a leading high precision mold making services provider, wanted real-time information availability to better serve its customers. With Microsoft Dynamics NAV, Univac successfully integrated its business processes, from inventory management, shop floor operations to financial reporting, to enhance management visibility and speed up decision making.
Established in 1980, Univac Precision Engineering Pte Ltd (Univac) is a global leader in the field of high precision mold making. From its early days as a precision mold maker, the company has since transformed itself to a one-stop solution provider with an Engineering Technology Centre, state-of-the-art molding facilities in Singapore, Malaysia and China, complete with capabilities for full turnkey solutions.
With a strong engineering and design team, Univac provides tool fabrication, molding technologies and assembly solutions to leading manufacturers in the electronics and telecommunications, electrical and computer peripherals, medical and healthcare, packaging and automotive industries.
Serving customers that demand supply predictability, information transparency and quality parts, real-time information availability is key in enabling timely decisions to ensure competitiveness and profitability. Univac knew that it could not rely on its disparate back-end systems. This prompted the search for an integrated Enterprise Resource Planning (ERP) system.
Armed with a stringent checklist, Univac wanted the new system to streamline financial reporting by eliminating the time and manual processes spent consolidating month-end reports. Without an integrated system, precious time was spent tackling discrepancies in inventory levels and tracking end-of-life items. When customers called in to change orders, scenario planning to calculate production lead time to delivery often took up to a week. The company also needed to improve control over workflow processes on the shop floor.
After an extensive review, Univac decided to implement Microsoft Dynamics™ NAV and appointed MSC Consulting (S) Pte Ltd (MSC Consulting), a Microsoft® Gold Certified Partner, as its implementation partner.
Commenting on the choice of Microsoft Dynamics™ NAV, Mr Y C Phang, Vice President, Univac Group explained, “We wanted a proven and reliable solution that is both affordable and scalable for our growing business. Microsoft Dynamics NAV delivers all these, while giving us the information availability and visibility we need to speed up decision-making.”
While choosing the right solution is important, Univac feels strongly that working with the right partner is the key to a successful implementation. “In our opinion, technology is just a tool. It is the people that implement it that make all the difference. MSC Consulting has impressed us with their strong follow through and manufacturing domain expertise. They have helped us successfully overcome the issues we were facing previously and most importantly, completed the multiple-phase project on schedule,” said Mr Amos Leong, President & CEO, Univac Group.
With assistance from MSC Consulting, Univac implemented the Financial Management, Sales and Purchase Order Management, Warehouse Management and Manufacturing modules of Microsoft Dynamics NAV 5.0. The three-phased project went live in March 2011.
Microsoft Dynamics NAV has enabled Univac to enhance inventory management, increase raw material traceability and improve shop floor management. With an integrated system, management visibility is increased with streamlined financial reporting. Customer responsiveness has also been enhanced.
|With Microsoft Dynamics NAV, we now have|
critical business information at our fingertips to
assess risk factors, plan for business continuity
and make timely decisions in today’s tumultuous
|Mr Amos Leong|
President & CEO
In an industry where almost every finished product is a customised one with as many as 26 standard parts, effective inventory management is important to Univac.
Previously, to know the total quantity for a single part, Univac’s staff had to consolidate the numbers taken from each department. With Microsoft Dynamics NAV providing real-time visibility into inventory levels, these tedious processes have been eliminated. Monthly stock-takes have also been streamlined while end-of-life (EOL) checking, which used to take two days, now takes just a few hours. Due to fluctuating material costs, inventory costs calculation used to take at least two days, With Microsoft Dynamics NAV, preparing a full inventory report now takes just a few hours, as the material cost is always up-to-date in the system.
“Effective inventory management is a critical success factor in our industry. When tightly integrated with shop floor management, we have seen a reduction in our excess inventory, thus minimising inventory costs,” said Mr Y C Phang.
Indeed, Microsoft Dynamics NAV enables Univac to tighten control across its business operations. For example, raw materials can now be issued in accordance to precise needs for each production run. With key performance indicators (KPIs) based on wastage, Univac has seen enhanced accountability amongst its staff and increased quality control. MSC Consulting has also customised and integrated barcoding capabilities into Microsoft Dynamics NAV to enhance the traceability of raw materials through the various stages of manufacturing to the customer’s doorstep.
“With increased visibility into our inventory levels, scenario planning is now more accurate and has been cut from a week to a few hours. This has enhanced our customer responsiveness,” said Mr Y C Phang. Univac’s customer portal has also been integrated into Microsoft Dynamics NAV, enabling online customer orders.
With real-time information availability, financial reporting is now streamlined. “With Microsoft Dynamics NAV, we now have critical business information at our fingertips to assess risk factors, plan for business continuity and make timely decisions in today’s tumultuous marketplace,” said Mr Leong.
Overall, Univac sees its Microsoft investment as a key driver to streamline business processes and policies, enhance discipline amongst its staff and increase corporate governance. “As our business becomes increasingly complex, technology becomes an important tool to help us drive operational efficiencies and enhance competitiveness across the board. Microsoft Dynamics NAV gives us an integrated system to do more with less,” said Mr Leong.
All rights reserved. This case study is for informational purposes only. MICROSOFT MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY. Document published February 2012.