Brose Thailand

About Brose Thailand, Co. Ltd

Brose thailand becomes a more effective enterprise with an erp upgrade as it prepares for significant growth

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Brose is the world’s fifth-largest family-owned, and a top 50 largest overall automotive supplier. The company develops and produces mechatronic systems for vehicle doors and seats as well as electric motors, drives and electronics, among others for steering, brakes, transmissions and engine cooling. More than 25,000 employees at 60 locations in 23 countries generate turnover of €6.1 billion. Half of all vehicles produced worldwide is equipped with at least one Brose product.

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Brose Thailand Co., Ltd., as a wholly owned subsidiary, produces window regulators and door modules for customers such as Ford and Mercedes-Benz, in both the domestic market as well as exports. The company, founded in 2010, started production in 2011 and has undergone significant growth over the past years. The future outlook is very positive as new customers and the product portfolio extension have been confirmed.

The Challenge

the challenges they were facing included:

• Excess inventory costs
• Manual processes which increased the possibilities of errors in the data needed to make crucial business decisions
• Trouble utilizing and analyzing data from the system to verify work
• High premium freight cost due to lack of inventory control and material planning
• Lack of real time visibility on the shop floor
• Missing transparency of material movement and in-accuracy of inventory resulted in high premium freight cost

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“We wanted to use our ERP system more effectively in all areas, and we wanted to have a ‘closed loop’ system with material moving physically through the plant and within the system at the same time — with no more system entries done by hand,” commented Denis Reul, managing director, Brose Thailand Co. Ltd. “Without an upgrade we couldn’t develop that closed loop system. When our QAD consultant gave us a presentation on the capabilities of QAD ERP, the choice to upgrade was very simple.”**

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“Upgrading QAD ERP has given us better control of our operation.”

Denis Reul, Managing Director, Brose Thailand Co. Ltd.

The Solution

Upgrading qad erp adds capabilities, cuts costs and increases efficiencies

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To determine how the upgrade could be done to maximize the Thailand plant’s effectiveness, QAD consultants identified the plant’s strengths and weaknesses by conducting an extensive advisory services upgrade assessment resulting in the delivery of a detailed executive report.

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Through the assessment process, the QAD team identified that the existing ERP system was not being fully used, with areas that could have accomplished the effective and timely sharing of information being done manually causing silos and slow communication. They also determined that customer demand was not being utilized properly in the planning process causing additional freight cost for materials and low production line utilization. Another concern was the fact that management had no simple reports for making decisions in a timely manner.

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Armed with the results of the assessment, Brose Thailand decided to move forward with the upgrade and scheduled it to cause minimal to no disruptions in production. QAD Master Planning and Scheduling Workbenches (MSW/PSW) were incorporated and previously manual functions were brought directly into the system. QAD MSW/PSW provides planners and schedulers with simultaneous visibility to plans, schedules and all supporting data and enables control and collaboration across the production and materials planning space.

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Some of the previously manual functions incorporated into the newly upgraded system include:

• Customer Demand Planning
• Strategic Planning
• Production
• Shipping
• Inventory Control
• Finance

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“The upgrade took about 18 months as we worked around daily production with no disruptions,” continues Reul. “The upgrade process and training has ensured that management has a full understanding of what the system can do for them and how to accomplish it.”.

The Benefits

the benefits](https://www.qad.com/blog/2021/08/benefits-of-erp) of this upgrade. I believe in the next year we will see a dramatic increase in inventory control and production and continued decreases in shipping costs.”**

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“By upgrading QAD ERP, we are now prepared for growth and continuous improvement.”