Machinery and Equipment Manufacturers

Machinery and equipment manufacturing runs on long production cycles, complex bills of materials, and costs that have to be tracked project by project. When the digital backbone is weak at any stage, from production planning through to after-sales support, it shows up directly as lost competitiveness. What follows is the digitalization story of a mid-sized machinery manufacturer.

Client Profile

A company that manufactures industrial machinery and equipment. They work on an order-based model, employ 50 people, and their projects run anywhere from 2 to 6 months.

Challenges Faced

• Complex Bills of Materials: Each machine is made up of hundreds of parts, and figuring out which part had to be procured and when was all done by hand in spreadsheets.
• Cost Overruns: There were significant gaps between the quoted cost and the actual cost, but nobody caught them until the project was already finished.
• After-Sales Support: Warranty and maintenance couldn’t be tracked per machine serial number, and customer complaints kept climbing as a result.

Solution Approach: Project-Based Production Management

• Bill of Materials Management: We built a digital bill of materials for each machine model, with part lists, procurement lead times, and cost information all integrated in one place.
• Project-Based Cost Tracking: Labor, material, and overhead costs are now tracked in real time on every project, with an alert the moment a deviation appears.
• Serial Number-Based Service Tracking: Warranty status, maintenance history, and spare parts records are kept digitally for each individual machine.

Achieved Results

• Cost deviations reduced by 60%
• Production stoppages due to procurement delays decreased by 45%
• After-sales customer complaints fell by 50%
• Quotation preparation time was halved