Theo HK Company Limited was established in 2012, specific in trading of hair care appliances to the Europe market. THEO’s products are mainly produced by China factory in ODM and OBM model. In recent years, THEO built up strategic partnership with factory in China for R&D of new products which aims to provide a comprehensive supply chain services to their customers.
ERP System Creating Unique Advantages
Over the years, PRC factory used simple tools like Excel and Word to assist the daily work, however mistakes always occurs due to loose and inconsistent production information. Edmund, General Manger of THEO said, “With the strategic collaboration with PRC factory, the accuracy, consistency and transparency of information is crucial in strengthening the cooperation and communication between us and the introduction of ERP systems just make up the missing pieces”
Edmund continued, “Now, customers can find similar products easily on internet, so in addition to product design and quality, we must have unique advantages in this competitive market. We want to win the customers with our value added services instead of lower price.” ERP system provides immediate, accurate information that support faster response to the market and improve the quality of service.
Experience is Critical in Choosing ERP Vendor
Few years ago, THEO tried to implement ERP systems in factory. As the system was introduced through a distributor, they just offered basic training and cannot fit THEO’S practical usage. The project failed finally. Edmund said, "Due to this unpleasant experience, our employees feel worried when we decide to implement an ERP system again. However, we must step forward considering the long term development of company. To avoid the same failure, experience is the most critical criteria in choosing the ERP vendor.”
THEO knows Techland through their network partner, CPCNet. “The first impression of TecE ERP is flexible and simple to use. Techland’s consultant has rich experience in systems implementation and can fully understand our industry characteristics and problems encountered.” Edmund said. Further, since the engineers need to handle the BOM settings with Excel, TecE ERP supports Excel import feature that can better match their workflow.
Benefit from ERP System Live Run
THEO has just completed the first phase of implementation, including purchase, inventory and BOM modules. “TecE ERP live run for one month and we already see the benefits. The most obvious is that TecE ERP provides the latest inventory turnover analysis, supporting us to solve the problem of dead stocks with high value. Besides, with the centralized and transparent information, e.g. procurement, shipment and delivery schedule, we can handle customer request efficiently and avoid human errors. Now, Hong Kong management can monitor the operation of PRC factory remotely.” Edmund said. With the gradual implementation of the production module, we believe that the productivity and scrap management will be further improved and achieve the goals of costs control and enhancing the overall efficiency.
Strategic Project Management is the Key of Success
According to experience, human factor may be more critical than the system function in the ERP project implementation process as system will make some extend of change on the workflow and working habits of employees. In order to help users adopting TecE ERP smoothly, Techland put a lot of effort in the project management. "The project manager of Techland understands the cultural differences between HK & PRC. He helps to solve the user problems encountered in the implementation process effectively."
Recently, THEO was busy in renovation of new production plant in Jiang Man. By adopting recommendations from Techland, THEO has set up an information collection centre for training and dedicating some users on the data input. This helps to centralize and speed up the data input tasks and reduce the burden on other employees.
Edmund summarized that "With the rich experience of Techland, as well as strategic project management technique, the implementation progress are greatly promoted.”