Industry
International Trading Business and procurement services
Company
Melchers Components GmbH
Location
Germany
Established
1806
About Melchers:
Melchers & Co., established in 1806, is a distinguished private, owner-managed partnership with a robust capital base that empowers them to operate freely and independently in international markets. With over two centuries of experience, including 150 years of successful trading with Asia, the company boasts a rich history and a flexible, globally organised network.
Melchers Components GmbH serves as a comprehensive solution for small and medium-sized enterprises (SMEs) aiming to streamline international sourcing without the need for establishing their own infrastructure. As a full-service provider, they specialise in sourcing technical components, offering technical expertise, and managing the entire supply chain. Their commitment to individualised service extends to various industries, including air solutions, heat exchanger manufacturing, special fittings, train parts, construction, industrial kitchens, garden houses, saunas, and DIY products for retail. With a dedicated team of engineers and quality experts, they emphasised prioritising cost reduction, quality assurance, and logistical flexibility to ensure success in the global marketplace.
Odoo ERP transformed our procurement and project management. From tenders to profit tracking, everything is now faster, transparent, and easier to control.
Managing Director,
Melchers Components GmbH
Type of Project
SAP
Odoo
Odoo Implementation Overview
- Services offered:
- ERP solution, Odoo Implementation, Odoo customisation, Odoo support, Odoo migration
- Odoo applications used:
- Sales, Purchase, Tender, Inventory, Accounting, CRM
- Other applications (integrations):
- Forto shipping
- Hosting and edition:
- Odoo.sh - Odoo 16 Enterprise
- Timeline of Implementation:
- 6 months
Key Challenges Faced
Profit calculation at the project level
Profit calculation presented another hurdle, with various variable costs post-procurement, including different nation-wise import duties, handling charges, transportation costs, storage, and insurance fees. Different regions incurred unique landed costs, and the use of various third-party warehouses added to the complexity. They want to calculate profits project-wise as they provide procurement services to many other clients. Calculating profit margins under GP1, GP2, and GP3 categories, project-wise, became a significant challenge.
Purchase management
As they provide procurement services to many clients, Melchers faced challenges in managing purchases from multiple vendors with a variety of products. Decision-making was tricky due to the need to compare prices and consider different factors.
Solutions Offered
Looking at the above problems, we have offered subsequent solutions using Odoo catering to particular needs:
Tender Management System:
- + Introduction of a dedicated Tender Management System in Odoo to address procurement challenges.
- + Melchers can initiate tenders for each procurement, fostering a competitive environment among vendors.
- + Vendors submit estimates through a user-friendly portal, facilitating streamlined communication.
- + Various analytical reports are available for Melchers to compare prices and other factors for making well-informed purchase decisions.
Analytical Accounting Integration:
- + Implementation of Analytical Accounting across the entire workflow in Odoo.
- + Seamless integration into tender, purchase, sales, and inventory processes, covering both incoming and delivery orders.
- + The Analytic account serves as a centralised tool for calculating gross profits at three distinct levels: GP1, GP2, and GP3.
- + Enables Project-specific calculations, providing insights into profitability at various levels for informed decision-making.
CRM system:
- + To effectively manage the increased volume of inquiries, we have implemented the Odoo CRM system.
- + Odoo CRM is directly integrated with Purchase, Sales, and Tender to manage integrated operations in one place.
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Key Outcomes & Success Metrics
30%
Faster procurement and purchase decisions
25%
Improved project-level profit tracking
20%
Strategic decision-making & efficiency
Impact created
With the help of Softhealer’s customised Odoo implementation services, we were able to articulate the solutions in terms of improved efficiency, better data analytics, and improved decision-making.
- With the Odoo Tender management system, they have considerably improved and quickened their purchase decision-making.
- With its integration with Odoo CRM, they can directly create a Tender or RFQ from the same window, helping them improve efficiency and save time switching windows.
- The implemented Odoo analytical account provides detailed insights into the cost of goods and cost of sales.
- Enables a thorough understanding of the financial intricacies associated with each project.
- With the implemented solutions, the client can assess gross profit on a project-specific basis.
- This granular analysis enhances decision-making by offering insights into project-specific profitability.
- The client is empowered with insights into gross profit at different levels (GP1, GP2, GP3).
- This capability enhances strategic decision-making by providing a comprehensive understanding of profitability metrics.
After Implementation – What’s Next?
Implementing ERP is just the beginning. Here’s how Softhealer continues to support your business:
User Training & Onboarding
Ensure your team is fully trained to use Odoo smoothly.
Continuous Optimization
Analyze system usage and fine-tune workflows for better performance.
Support & Maintenance
Handle issues, updates, and enhancements to keep your ERP running smoothly.
Scalability & Growth
Add new modules or integrations as your business expands.
Ready to automate your business operations?
