Specialized Textile ERP's Displace Generic Brands

by Hinesh Jethwani    Feb 25, 2004

’Super-Specialized’ ERP packages, modeled closely along the working environments of industry specific domains, have managed to overthrow the dominance of generic brands like PeopleSoft, BaaN, or Ramco.

The textile and apparel industry is a domain where specialized ERP solutions have managed to edge out traditional ERP players. A software which is in the forefront of the revolution, is Datatex AG’s (Switzerland) TIM (Textile Integrated Manufacturing) packaged solution. The company claims to have 80% market share worldwide for textile ERP implementations, and is represented by Infinite Computer Solutions in India.

So far TIM has bagged five contracts in India including Ashima Textiles, Bhilwara Synthetics, and Mumbai-based Oxford, totaling about 18 plant installations countrywide. Furthermore, implementation has also been initiated in Bangalore Babyware and the Vardhman Group (being carried out by IBM). Infinite is currently engaged in negotiations with another ten textile companies.

Speaking to CXOtoday, Rohan Rodrigues, assistant VP, business development, Infinite Computer Solutions, said, “A generic ERP is developed considering the dynamics of a typical manufacturing industry model. The raw material scenario in the textile industry is strikingly different, e.g. a single piece of yarn can be used to manufacture a wide range of products. However, generally in the manufacturing industry, raw materials are used for specific products, for example the automobile industry sources thousands of parts from different vendors, which find their way into a specific vehicle. The textile industry, on the other hand, functions in almost a completely reverse order.”

According to Rodrigues, while TIM has all the basic ERP features like order handling, scheduling, costing, invoicing, and warehousing, it also simulates the entire textile manufacturing process - from yarn procurement to the finished product. This greatly reduces the amount of customization required and thus the implementation time of TIM is one-third of traditional ERP saving cost.

To further minimize implementation costs, the company has adopted a unique support structure. According to the model, Infinite initiates the implementation process with 80% involvement and gradually lowers their participation to 20%. The approach, according to Rodrigues, builds the competency of the client’s management and project team, making them more self-reliant, simultaneously axing the total cost of ownership.

Considering the lower cost, shorter implementation time, and that its being used by textile industry peers worldwide across 350 locations, its no surprise that the Indian textile industry is comfortable in adopting TIM over traditional products.

Tags: Textile