Case Study: Astino Remaining ahead of the game

Case Study: Astino Remaining ahead
of the game with PRONTO-Xi
Astino Berhad, has stayed ahead of the
game in the cut throat manufacturing scene
by achieving production integrity with the
use of right technology. By installing the
reliable and easy-to-use Enterprise Resource
Planning (ERP) system, PRONTO-Xi, it has
realised across the board improvements in
its operation.
Listed on the Kuala Lumpur Stocks Exchange (KLSE), Astino
has established itself as one of the leading industrial enterprise
in the field of building products with three major manufacturing
plants located at strategic locations in Malaysia. The success
of Astino is built on the company’s commitment to strive for
continuous improvement on quality product and excellence
in services.
ASTINO
◆ KLSE-listed Astino Berhad was incorporated in
2000, with six companies under its umbrella: Ooi
Joo Kee and Brothers Sdn Bhd, Astino (Malaysia)
Colour Steel Sheet Sdn Bhd, Natural Incentive Sdn
Bhd, Astino Netting Sdn Bhd, Astino Southern Sdn
Bhd and Astino Marketing Sdn Bhd.
◆ Astino supplies products such as metal roofing
sheets, PVC doors, other roofing materials and
light-weight brackets.
◆ Its three major manufacturing factories are located
in Seberang Perai, Rawang and Malacca
◆ The group reported a revenue of RM 244 million in
year 2006
Unclogging bottleneck in the system
With its public listing on KLSE, Astino recorded an exponential
growth in its business. The existing IT system could not cope as
the company’s operational procedures and processes grew in
quantity and complexity in tandem with the spike in demand.
Not only was the legacy software becoming obsolete, it could
not resolve some of the issues brought about by the stand
alone disparate systems.
With the stand alone systems scattered around the organisation,
every department was working independently – capturing
and processing their data separately. This led to tremendous
redundancies in data processing, causing confusion and difficulty
in information retrieval by management.
Due to data duplication, the business’s operational data was
occupying up to thrice the actual storage required, slowing data
retrieval response time, clogging up the internal communication
between departments, and causing near-impossible external
communication with Astino’s suppliers and affiliates.
Astino’s Managing Director Ng
Back Teng said, “Data retrieval
soon became a major problem to
higher-level management. It became
difficult to produce good reports
because we could neither do proper
market analysis nor business forecast
without being able to tell between
good and inaccurate data. Our
ability to make good decisions was
effectively hampered.”
As failure to remove this huge bottleneck would hold back
further expansion, Astino decided then that it would overhaul
its entire legacy system, replacing it with an ERP.
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Case Study Astino
Making an informed choice
After extensive evaluation of available ERP solutions in the
market, Astino finally settled on PRONTO-Xi. “PRONTOXi has many strong reference sites around Malaysia and the
region. It’s a premier ERP brand within the manufacturing
industry,” said Ng. “The solution has custom-built modules such
as distribution and logistics that we require; giving us in-depth
visibility into our inventory, materials, costing and production.
PRONTO-Xi’s user-friendliness is also an added advantage.”
Astino’s selection of the PRONTO-Xi was also influenced by
Pronto’s Malaysian distributor, SL Information System Sdn Bhd.
Said Ng, “SL demonstrated extensive experience together
with a strong 15-year delivery track record. Besides successful
project delivery, we look for long-term commitment to after
sales support from the software vendor.”
KEY BENEFITS
◆ 50% increase in overall productivity
◆ 60% improvement in customer order cycle times
◆ At least 50% reduction in inventory levels
Internal and external communications at Astino have shown
great improvement as the new system eliminates data
duplication, to contribute to faster response rates and drive
operational efficiency.
“Simply, we are better informed as to know where, when
and why to contact our suppliers and affiliates to promote
our products more effectively,” Ng said.
Astino is confident that PRONTO-Xi will continue to support
its future growth.
“Investing in the right technology was indeed the right move as
it allows Astino to create a strong foundation for our business
growth,” Ng concluded.
Achieving operational integrity
Today, with the PRONTO-Xi, Astino is able to obtain an
accurate, top-to-bottom overview of its business operation,
with clear process visibility and traceability. “We are achieving
operational integrity by being able to drive efficiencies in the
processes we have, maintain a good control on cost, and drive
performance where targeted,” said Ng.
“Customer order cycle times have increased by more than 60%.
We also have better control over production processes thanks
to better insights of our customer orders. Inventory levels have
also been reduced by at least 50% due to better understanding
and co-ordination within the Inventory Department,” he added.
About Pronto Software
Pronto® Software is an international provider of fully integrated Enterprise Management
Systems. With more than 30 years of experience, Pronto Software enables over 1,200
customers worldwide to maximise productivity, streamline their supply chains and deliver
superior customer service.
1300 PRONTO
1300 77 66 86
[email protected]
www.pronto.com.au
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PRONTO-Xi Case Study Astino r1.00 © 2009 Pronto Software Pty Ltd ABN 47 001 337 248