Industry
Battery and lighting
Our role
Helping Eveready Industries India Limited (“client” or Eveready”) to resolve challenges in finance, costing, plant operations and logistics in the supply chain network
The situation
The client was using a certain system which required extensive customisations. The existing system was disjointed and lacked real-time reporting. Manual processes were causing audit and compliance challenges and across the board inefficiencies. This was hindering business growth and expansion. With a high dependency on human effort, which in turn was slowing operations, the client encountered multiple workflow bottlenecks. The inconsistent data quality led to duplication of master records and missing business identification details.
Some other challenges faced by the client were:
- Complex reconciliation and expense allocations, leading to a high TAT for period closure;
- Standard costing method required manual effort during the month-end activities;
- Absence of an integrated system for tracking opex and capex budgets, led to increased reliance on manual budget management;
- Higher dependency on manual process resulted in inefficient tracking of incoming goods, error-prone and tedious incentive calculations, limited credit management, and low utilisation of route planning; and
- Challenges in end-to-end product traceability due to the missing linkage between production and sales batches
The solution
PwC team of experts planned and worked with the client to adopt a multi-pronged approach as given below:
- Mobilised enterprise resource planning modernisation to help the client transition to S4 HANA, Ariba and transportation management for automation and reduced manual intervention
- Facilitated supplier profiling via a mobile application to improve segmentation and accurate supplier allocation based on geography
- Automated material requirements planning execution to help in reduction in manual effort with auto-generated material requirement planning
- Advanced margin analysis to pave the way for profitability tracking at the product, division, category and location level
- Integrated system landscape to help eliminate manual processes by streamlining workflows across departments
- Optimised costing methods for improved moving average price for raw materials, and standard costing for finished goods
- Improved inventory valuation to make month-end variance analysis for accurate financial reporting
- Incorporated system-based budgeting, automated workflow, master data standardisation, digitised incentive management mechanism as well as end-to-end batch traceability system that helped in improving efficiencies and budgeting.
Results
This engagement led to several benefits as given below:
50% reduction in time required for period-end closing
Improved resource allocation
5x improvement in financial decision-making owing to real-time tracking and transparency to improved financial governance.
220+ invoice processing per day per person involved.
Increased visibility of opex and capex expenses leading to cost savings.
10 crore+ old and slow-moving inventory liquidated through improved visibility.
Real-time valuation which optimised stock keeping units.
Minimisation of wastage and improved tracking of component inventory.
Faster budget approvals and elimination of duplicate master data.
Streamlined operations and improved overall efficiency.
12+ Accounts payable headcounts saved through SAP automation and digitisation powered by Ariba commerce automation.
300+ Internal financial control (IFC) recorded with SAP replacing existing 129 IFCs.
Processing gate entry data linked to purchase orders helped in complying with statutory compliance (ITC04).
15+ policy and governance decisions to drive compliance.
Reduced transportation costs through better carrier, lane and capacity selection.
Faster load building and optimisation decreased operational costs.
Automatic reservation creation decreased daily reservations.
Increased visibility into stock requirements for finished and semi-finished goods helped in improved decision making.
Comparison of actual production with targets provided insights into production efficiency.
Improved turnaround times for equipment breakdowns helped in organising resources in a better manner.
Enhanced operational continuity and data accuracy helped in improving operations maintenance.
Focused strategic planning and better risk control helped in enhancing budget planning and overall operational efficiencies across the organisation.
SAP Analytics cloud has helped business to promote data driven decision making through better visibility.
Explore our transformation services in India
PwC’s integrated solutions approach help drive sustained outcomes as you look to transform your business and become fit for future.
Dive into our success stories
Discover how we’ve collaborated with clients to tackle complex challenges, drive sustainable growth, and create transformative outcomes across various sectors.
