ERP Implementation at Fort Wayne, Indiana Plant

With its headquarters and multiple plants in Korea, Shinheung SEC operates global branches in countries such as China, Hungary, Malaysia, and the United States. This project focused on implementing a new ERP system specifically for the US corporation, allowing the Korean headquarters to better understand and systematically manage the financial status of its US subsidiary.

Shinheung SEC has been operating the YoungLimWon Soft-Lab ERP system since 2012, providing a foundation for data integration across its global operations. The US corporation’s ERP implementation emphasized creating a financial and logistics management system tailored to local needs while ensuring compatibility with the headquarters to enhance efficiency and transparency in global operations.

Strengthening Financial Management through ERP

The project’s top priority was to ensure data reliability and transparency so the headquarters could clearly monitor and manage the financial performance of its US corporation. Key financial system improvements included:

• Standardizing Financial Data in English : Financial statements—including account subjects, balance sheets, income statements, cash flow statements, and changes in equity—were prepared in English to improve accessibility and comprehension between the headquarters and its local subsidiary.
• Enhanced Query and Reporting Functions : Custom functionality was developed to enable easy access to key data, such as deposit details, fixed asset management, and construction-in-progress assets.
• Customization for Local Compliance : While attempts were made to integrate payroll and tax functions with a local IT vendor, the effort faced challenges and was not completed. As a result, the payroll system was customized directly within the ERP system, ensuring compliance with US regulations while meeting the subsidiary’s specific requirements.

Improving Logistics and Production Efficiency

Production and logistics play significant roles in Shinheung SEC’s operations, necessitating a streamlined and efficient inventory management process. The newly implemented ERP system enabled several key enhancements:

• Innovative Inventory Management : Introducing a barcode system for material receiving and inter-warehouse transfers facilitated accurate first-in, first-out (FIFO) tracking while simplifying the overall process.
• Optimized Logistics Workflow : Real-time data integration via barcode scanning allowed material movements between warehouses to be processed quickly and systematically.
• Automation of Production Processes : By linking ERP with the facility management system, production receipts were automated, ensuring better accuracy and improved productivity.

Mobile ERP Optimization with PDA Integration

An important achievement of this project was the expansion of ERP functionality to mobile devices. The system was implemented on PDAs, enabling users to input and process data in real-time via barcode scanning. Key use cases included:

• Production : Scanning barcodes for immediate processing during material shipments and product receipt.
• Logistics : Recording inventory movements swiftly and accurately across warehouses.
• Purchasing : Automatically logging material receipt data.
• Sales : Generating shipment data and sales vouchers simultaneously during material shipments.

This PDA-based ERP system significantly improved work efficiency and speed by allowing on-site data management without reliance on fixed PCs.