Odoo ERP in the Chemical Industry

Platform

Shopify

Industry

E-Commerce

Country

United Kingdom

The chemical industry deals with many variables such as the legal rules regarding to the industry, the stock levels and tracking of the products that are manufactured among others. Many companies have benefited from Odoo ERP in responding to these challenges.
 

1. ChemCo: Improving Inventory Control and Adherence to the Odoo ERP

  • Company Overview : ChemCo is an American based multinational company dealing in production of industrial chemicals. The company offers a broad variety of chemical products for various industries, and had problems associated with managing raw materials, as well as regulations.
  •  Challenges  : ChemCo required a solution to address the key issues such as scarcity of inventory control, fabrication oversight and adherence to the regulatory requirements in the facility’s local and worldwide regions. Traditional methods of recording led to lots of errors and waste of time in tracking the production, and quality.
  • Odoo ERP Implementation: ChemCo adopted Odoo’s Inventory, Manufacturing and Compliance modules. These modules also enabled tracking of raw material as it came in, scheduling the production line, and coming up with ways of compliance with rules.
  • Results : ChemCo cut down production downtime by 20%, increased the accuracy of inventory by 30% and achieved overall compliance to regulations. The centralized system also contributed to the elimination of a lot of human errors in production floors.
  • Key Features : Self-imposed manufacturing requirements were fulfilled by Odoo’s Inventory and Manufacturing modules that helped ChemCo to enhance production and compliance of materials.
 

 2. BioChem Industries: The third strategic intent is to maximize supply chain and production efficiency.

  • Company Overview : It is a chemical manufacturing firm that deals with production of agricultural chemicals. Some of the challenges included; long lead time, excess stocks, work in progress, bottle necks in the production, and high inventory shrinkage.
  • Challenges : They foresaw that the company required an ERP system to gain better control over its supply chain and help increase the production rate to support the demands of the customer base. The previous mode of documentation was still unmachinized, and it made errors plus caused cost or more in the long run.
  • Odoo ERP Implementation: BioChem installed the following modules that belong to the Odoo suit; Purchase module, Inventory Management module, and Manufacturing module. These operational modules gave the company current status of stocks, automated procurement and also emergency run time planning.
  • Results : The company also improved a lead-time by 25%, almost eliminated stock out, and achieved 15% reduction in production cost. The automated purchase order system also enhanced the relation with the suppliers.
  • Key Features : BioChem was able to facilitate supply chain and enhanced manufacturing processes with the aid of Odoo Purchase and Manufacturing modules.

3. CleanChem: Managing Risks on Chemical Production

  • Company Overview : The CleanChem is a European chemical manufacturing firm dealing in cleaning and sanitation chemicals. Safety and compliance had been the major areas of concern for the company as was evident from the numerous challenges in chemical handling standards.
  • Challenges : CleanChem required an effective way to manage safety precautions in all the production processes from transport of dangerous goods and compliance with safety requirements.
  • Odoo ERP Implementation: CleanChem implemented Manufacturing, Compliance and Quality apps of Odoo. These modules aided in simplifying safety checks, Quality checks and compliance with industry standards on production.
 
  • Results : Through its implementation CleanChem was able to increase the level of compliance by 40%, decrease the number of quality control errors by 25% and facilitate regulatory audits. It also helped the company to control various dangerous products within the organization’s premises.
 
  • Key Features: Manufacturing and Quality control options in Odoo proved effective in helping CleanChem to meet compliance and safety needs as well as increase production capacity.

References:

  1.  ChemCo Case Study – Available at https://www.odoo.com/apps/15-1/chemical-industry-solutions
  2.  BioChem Industries Case Study – can be found in the Odoo Supply Chain Management Stories
  3. CleanChem Case Study – Accessible at Odoo Compliance and Manufacturing Stories