ERP Value Realization for a Tyre Re-treading & Trading Co.
The customer is a leading Tyre Re-treader and Trading company in Kenya. The customer has been using ORION ERP for its operations for the past 15 years. The customer has suffered a 1 Million USD loss due to a scam perpetrated by its internal staff with the kingpin being their long serving I.T. Manager. The scam was possible due to weak controls and access mechanisms in the ERP. The organization did not have any other I.T. resource. The customer engaged SAINATH Solutions to stabilize the situation and suggest a roadmap ahead.
Stabilizing the organization
SAINATH Solutions stabilized the situation by playing an 'Interim CIO' role and keeping the I.T. support running for the business. We also executed an 'ERP Value Realization' assignment for the customer. A broad summary of the findings were: the Chart of Accounts (COA) implementation was faulty. The customer's core Re-treading process was incompletely captured in the ERP. One Line of Business (LOB) - 'Tyre Management services' was in a manual state. There were a no. of issues on the process side as well which included the Credit Control and Credit Note generation process.
Thus our assessment culminated in the recommendation that 'ORION ERP coverage and its implementation' was below acceptable standards. We advised the customer to move to a more sophisticated ERP after improved Sales & improved Cash flows.