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From ERP limitations to digital innovation: Weener Plastics' low-code journey
Manufacturing
• ERP system limitations
• Integration complexity
• Inefficient transportation management
• Better truck fill rates
• Cheaper procurement
• FTE Savings (Reduced workforce needs)
Mendix
From ERP limitations to digital innovation: Weener Plastics' low-code journey
With 29 locations in 19 countries, Weener Plastics rightfully considers itself a multinational. Founded in 1950, the company specializes in producing advanced injection-molded plastic packaging. Due to Weener Plastics' rapid growth, various business processes faced challenges over time. By building several applications with low-code, Emixa succeeded in propelling the company into the next gear.
Business challenges
Weener Plastics manufactures packaging and materials for various applications, such as lids, tubes, closures, and bottles. For example, Weener Plastics also produces the plastic rollers in deodorants.
In recent years, the company encountered limitations with its ERP system. Critical business processes like logistics and transportation could not be effectively automated, and the same applied to other processes such as maintenance and procurement and cost calculations.
Weener Plastics estimated that it would ideally need at least twelve applications to optimize these business processes. These could be built on top of the ERP system, but there were several drawbacks to this approach. Development costs would escalate significantly, and Weener Plastics would have to deal with a series of different providers to cover all the gaps in the system. Such a process would take a lot of time, and integration with the ERP system seemed challenging.
In recent years, the company encountered limitations with its ERP system. Critical business processes like logistics and transportation could not be effectively automated, and the same applied to other processes such as maintenance and procurement and cost calculations.
Weener Plastics estimated that it would ideally need at least twelve applications to optimize these business processes. These could be built on top of the ERP system, but there were several drawbacks to this approach. Development costs would escalate significantly, and Weener Plastics would have to deal with a series of different providers to cover all the gaps in the system. Such a process would take a lot of time, and integration with the ERP system seemed challenging.
Keys to success
The transformation that Weener Plastics had in mind also compelled the company to critically examine its own processes, which proved to be very enlightening. Emixa was tasked with steering the process in the right direction and initiating the Mendix development.
So far, the team has built three applications, with the Transport Management System being the most prominent. It serves as the bridge between the ERP system and Weener Plastics' logistics partners. Previously, agreements with carriers were booked outside the system, through email or phone, leading to inconsistently filled trucks or a choice of a more expensive supplier. Additionally, it proved difficult to promptly and accurately verify invoices. The new application provides a comprehensive overview of all partners, including rates and details. This enables Weener Plastics to easily select the right carrier and facilitates invoice verification as the data is readily accessible.
In addition to the Transport Management System, the Emixa team developed the Operational Excellence app. This application is designed to share knowledge among the 29 locations, inspiring others with best practices. Everyone can track ongoing projects to acquire knowledge and improve themselves.
The third application is the Employee Engagement app, replacing Weener Plastics' performance appraisal system. In this way, Weener Plastics aims to involve employees more in their personal development. The app, currently in the pilot phase, is part of the annual performance reviews, replacing them with a system of continuous feedback.
So far, the team has built three applications, with the Transport Management System being the most prominent. It serves as the bridge between the ERP system and Weener Plastics' logistics partners. Previously, agreements with carriers were booked outside the system, through email or phone, leading to inconsistently filled trucks or a choice of a more expensive supplier. Additionally, it proved difficult to promptly and accurately verify invoices. The new application provides a comprehensive overview of all partners, including rates and details. This enables Weener Plastics to easily select the right carrier and facilitates invoice verification as the data is readily accessible.
In addition to the Transport Management System, the Emixa team developed the Operational Excellence app. This application is designed to share knowledge among the 29 locations, inspiring others with best practices. Everyone can track ongoing projects to acquire knowledge and improve themselves.
The third application is the Employee Engagement app, replacing Weener Plastics' performance appraisal system. In this way, Weener Plastics aims to involve employees more in their personal development. The app, currently in the pilot phase, is part of the annual performance reviews, replacing them with a system of continuous feedback.
Results
The primary benefit for Weener Plastics lies in the truck fill rates. Through better coordination, the company saves a significant amount of money by maximizing the capacity of its trucks. This also contributes to sustainability. Weener Plastics can also achieve cost savings in procurement by having a comprehensive overview of different transporters and their costs. Previously, the company often opted for an expensive transporter. Efficiency has also significantly increased because employees no longer need to email and call logistics partners. As a result, Weener Plastics requires 50 percent fewer people in this department.
Leading in digital innovation Emixa not only built the applications in Mendix but also trained Weener Plastics' own IT team. They now possess all the knowledge and capacity to rapidly develop innovative applications. This team is guided in establishing its own Innovation Factory, which will produce many more new applications in the near future. Together, a roadmap has been created for these new applications that will bring further innovation in production, HR, and process optimization. This way, Weener Plastics can continue to lead in digital innovation in the future.
Leading in digital innovation Emixa not only built the applications in Mendix but also trained Weener Plastics' own IT team. They now possess all the knowledge and capacity to rapidly develop innovative applications. This team is guided in establishing its own Innovation Factory, which will produce many more new applications in the near future. Together, a roadmap has been created for these new applications that will bring further innovation in production, HR, and process optimization. This way, Weener Plastics can continue to lead in digital innovation in the future.
