Senstronics Maximise Cash Flows & Profitability with Priority ERP
Customer Success
Who: Senstronics
What: Producer of high quality, high specification pressure sensing devices
Web: www.senstronics.com
With Headquarters & manufacturing in Newton Aycliffe, Durham, Senstronics Ltd is the world leading producer of high quality, high specification pressure sensing devices. Senstronics employs 100 people & manufactures within their Class 10 Clean Room environment, high volumes of high accuracy thermally compensated pressure sensors & transducers designed to customers’ specific requirements. Their products are used in many high specification environments including the automotive sector. While manufacturing is in the UK they are a truly global player in their supply chain management & sales expertise.
Challenge: Surface Customer Needs and Pain Points
At the startup of the company, Mark Drain, Finance Director of Senstronics needed an ERP solution that was compatible with the cost base of a small manufacturer but could grow with the organisation.
Their major requirements when looking for an ERP solution were covered by the following points:
- The company was forecast to undergo massive expansion over a short period of time. This meant a constant evolution of business processes & thus the requirement for a system to match that evolution.
- Lean organisation. The company could not afford to have a full time IT department & so the system had to be low cost and low on required management resource.
- Quick implementation. The system needed to be easy for staff to learn & quick & easy to develop.
Full manufacturing solution required including all the following disciplines:
- Finance
- Sales & Marketing
- Purchasing
- Inventory management
- Production planning & manufacturing control
- Executive Reporting
- Low cost – high functionality. The system had to be able to fit the budget of the small company but cope with the demands and complexity of the larger organisation
Solution: System openness, interoperability and flexibility
Medatech UK provided a solution that provided visibility across all of the key areas of the business. Providing integrated accurate costs information for each product, an ability to configure products to customer’s requirements, deliver customer orders on time, improve customer satisfaction, choose the profitable customer orders to accept, lower inventory values, planned purchases to maximise cash flows & profitability.
Results: Present ROI and Tangible Value Derived
Better Visibility of the Business
By handling the constituent parts of the operation in a coherent integrated system, Priority could generate the executive reporting that provide the key business performance metrics. For instance, accurate costing of products enabled better identification of which products were profitable & the effectiveness of the product pricing regime.
Accurate Stock Control
Through the implementation of Priority, Senstronics could have complete control of their inventory & gain excellent visibility of the engineering process. With accurate cost control came the ability to manage resources & cash to maximise the profitability of the company.
Management of Core Business
By having such a low management requirement, the resource requirement for the Priority solution did not distract the company from their important core expertise of supplying world-beating products to the marketplace.
Manufacturing Planning
The complex manufacturing processes involved in their product meant that the planning solution that Senstronics chose needed to be extremely robust & include excellent functionality.
Ease of Use
The ability to be learnt super fast meant that Senstronics did not need to spend vast amounts of cash on expensive training consultancy in order to get their staff using Priority, so the payback period achieved on the outlay was reduced to a minimum.