The Company: About Tesla Transformers India Ltd
Tesla Transformers India Ltd is a global electrical power sector manufacturer that produces, installs, supplies, tests, and distributes power and distribution transformers. Since 1973, the company has supplied its products to major state electricity boards and central government-run power plants in India and across Asia. The company is ISO-9001:2015, ISO 14001:2015, and ISO 18001:2018 certified. A well-established and forward-thinking company, Tesla operates with $50 million in annual revenue and approximately 250 employees.
The company is made up of three separate entities in the areas of power transformer manufacturing, distribution, and power subassembly contracting. Tesla was seeking ways to improve control and visibility into its production and overall operations, intercompany communication, reporting, and profitability across these three entities.
With global customers and a strong reputation for excellence, the company is well-positioned to meet its aggressive growth goals of doubling revenues in the next two years. Management wisely understood that to meet the company’s future needs and goals, it needed to replace its legacy ERP system and update it to a modern system. Its overall goal was to fully integrate and streamline companywide processes for increased visibility, control, and efficiency as it looked to grow rapidly.
The Situation: Operational and Visibility Challenges
Tesla faced multiple challenges with the goal to transform itself into a 21st-century global organization. The company faced common growing pains:
- Lacked granular visibility into its production and delivery scheduling.
- Struggled with functional departments operating in data and communication siloes.
- Needed better data into its production timing and sequencing. Certain power transformer orders take longer to manufacture than others and consume varying levels of resources. Management looked for a consolidated resource utilization process to have real-time intelligence about how much capacity is available vs. how much is already committed. Otherwise, the company was susceptible to over-committing and delaying deliveries.
- Looked for better tracking of customer-specific requirements and inspection criteria. Without this tracking intelligence, the company could be delayed in inspecting and dispatching the final product.
- Sought mobility features to track the status of production orders anytime, anywhere. Manual status tracking did not deliver data in real-time and was sometimes out of sync with what was happening on the shop floor.
- Needed a single source of truth to capture and view operational information and individual transactions.
- Lacked an accurate planning system for purchases to maintain appropriate inventory
- levels. Because materials contribute to 80% of their product cost, Tesla needed MRP functionality to properly time purchases. The company needed to gain access to siloed production data and improve cash flow and revenue forecasting.
- Needed an automated system for storing and retrieving the BOM structure in real-time to replace manual steps.
- Wanted to replace its legacy ERP system, which was not an end-to-end, fully integrated system and required many manual workarounds.
- Looked to improve quality control processes.
- Required real-time reports to comply with government requirements.
The Solution: OptiPro ERP
Following a competitive ERP selection process, Tesla selected OptiProERP because of its end-to-endmanufacturing ERP solution embedded into the SAP Business One platform. OptiProERP provided a one-stop-shop manufacturing solution that fit the company’s unique needs and enablingcomplete control of and visibility into processes from start to finish. Information is centralized,and business activities are coordinated from one central system. Tesla also valued the OptiProERP team’s industry expertise and experience in optimizing business processes for manufacturing companies, garnering the company’s trust in OptiProERP.
The Results: OptiPro ERP Implementation Benefits
Given OptiProERP’s global operations, its U.S.- based and local India implementation and support team visited Tesla’s facilities to fully understand the business.
The OptiProERP team helped implement best practice processes and tailored a solution to meet the company’s unique needs. The OptiProERP team also supported the data migration process and identified reporting requirements.
The OptiProERP team created a phased schedule to quicken the implementation and adoption by Tesla’s employees to deliver a faster time to value. OptiProERP’s services included training, data preparation, testing, and post-go-live support.
Tesla’s senior management worked closely with the OptiProERP team and was very supportive throughout the implementation and in driving change management, playing an important role in the success of the project.
Management at Tesla Transformers India Ltd has expressed sincere satisfaction with the OptiProERP product and the value it has already delivered. They deemed the implementation a success.
Increased Visibility and Lower Operating Costs
The implementation covered all operational areas of production, quality control, sales, purchasing, and finance. Above all else, Tesla now has streamlined processes that add efficiencies and time savings.
Among the specific benefits derived from the new OptiProERP solution are:
- Reduced costs and improved cash flow.
- Real-time visibility and control of production, scheduling, inventory, and financials.
- Easy access to real-time business information for employees, including operators and supervisors on the shop floor who needed production orders and completion statuses on their mobile devices.
- Improved internal processes, including production, sales, and purchasing.
- Manhours saved by eliminating manual processes.
- Streamlined and real-time intercompany reporting and communication.
- Improved quality control across the entire manufacturing lifecycle.
- Increased and streamlined compliance with regulations and government requirements.