Innovation, automation, efficiency: the Emco success story with Microsoft Dynamics 365

Emco specializes in the production and distribution of high quality food products that support a healthy lifestyle and has been in business for 30 years. In addition to its traditional cereal products, Emco also produces plant-based alternatives to meat and cheese. Emco products are exported to more than 50 countries worldwide. In addition to own brand products, Emco represents some major European food brands on the Czech and Slovak markets.

The initial situation of the project included the need of Emco to simplify and automate the work of end users in the information system. The goal was to increase work productivity and enable scalability of business, production and logistics according to the current strategy. The implementation of the new system was to automate selected processes, including order administration, inventory flow and customer service. The focus was on information availability and management support, unification of procedures and centralization of agendas across the company. The main goal was to complete the project by January 1, 2024, which would prepare the company for further development and expansion.

The implementation of the Dynamics 365 Finance and Supply Chain Management information system at Emco has brought significant improvements in many key areas of its operations. In particular, it has effectively automated the management of purchasing and production processes, resulting in better visibility of inventory levels, reduced warehousing costs and overall optimization of production processes. Automated inventory tracking and production planning according to current demand has enabled the company to react more quickly to market changes, which has significantly increased operational flexibility and efficiency.

One of the other significant benefits was the clarification of value creation processes. The implementation of Emcu has enabled a better understanding of which processes deliver real value, and which ones place a burden on operations without additional benefit. This analysis led to the elimination of inefficient activities and contributed to overall efficiency improvements across the company.

In e-commerce, the system improved order processing, which included automated sales order placement, replenishment of inventory, and speeding up logistics operations, including picking, packing, and shipping orders. The Dynamics 365 integration also enabled the company to use advanced mobile terminals for warehouse management, which resulted in a faster and more efficient shipping process and improved order traceability, resulting in increased customer satisfaction.

In terms of finance and controlling, the implementation of Dynamics 365 was also crucial. Automating the receipt and approval of invoices eliminated the need for physical circulation of documents, which led to a significant speeding up of processes. New workflow processes were introduced to ensure greater control over financial flows, while streamlining domestic and international payments. Clearer management of supplier bank accounts for accounts payable and standardisation of rules for processing reminders have helped to reduce the administrative burden and increase the accuracy of financial transactions.

In the area of accounting, the system has brought major improvements in transparency and centralisation. Accountants have been provided with detailed manuals that allow them to manage and set up the system independently without the need for external assistance, leading to greater autonomy for the finance team. At the same time, the issuance of advance invoices has been centralised and automated and templates for recurring invoices have been standardised, greatly simplifying routine accounting processes.

Inventory now better reflects true value as it now includes storage costs, providing a more accurate picture of the total cost and value of inventory. The accounting team has also gained full control over the integration of modules into the general ledger, which has contributed to better visibility and efficiency in managing financial data. Links to customer and supplier registers have made data management easier and improved communication with business partners.

Logistics operations have also been significantly improved by online integration with logistics operators via web services. The company has been able to more easily manage the transition to a new warehouse where it works with dynamic inventory management, for example with the storage of gluten and gluten-free products. Another improvement was the efficient storage of non-standard pallet sizes, which increased storage flexibility and better utilisation of warehouse capacity.

The system now supports the processes of non-conformances, claims and reverse logistics by providing records with the ability to pair to original sales orders and track the resolution of claims. This has improved service quality, efficient complaint resolution and increased customer satisfaction.

The move to Power BI and advanced reporting has brought the ability to monitor business performance in more detail and provided Emco with a more accurate basis for internal management. New operational reporting capabilities with multiple dimensions have enabled more accurate planning and decision making based on actual data.

Overall, the move to Dynamics 365 has opened the door for Emco to modern automation tools, not only in manufacturing and finance, but also in marketing campaign management and product development. The integration of marketing and product lifecycle management tools has led to more efficient new product development and faster time to market, giving the company a significant competitive advantage.

The migration of selected agendas to Power Apps has in turn brought undeniable process simplification and minimized licensing costs. The implementation of Dynamics 365 has thus become a key step for Emco to modernize and streamline its processes, enabling it to better respond to the challenges of the current market and consolidate its position as a leader in its industry.

The project as a whole is rated as very successful by Emco. The main objectives that we had set together as a benchmark to achieve have been realized. Not in its entirety, but safely and to such an extent that the company was able to meet all of its needs for full operation five days after moving to Dynamics 365 Finance and Supply Chain Management.

The scope and timing of the implementation was not easy. The project began with a detailed analysis of our requirements and then planned with a focus on minimizing the impact on operations. Aricoma demonstrated a deep understanding of the issues and a professional approach, which was reflected in their flexibility to make adjustments based on our specific needs. Throughout the process we were kept informed of the progress of the work, and any potential complications were dealt with quickly and efficiently.

More than 50 members of the client and contractor team worked together on the project. It is thanks to the cooperation of both parties and the ability to listen to each other, find solutions, make decisions and implement that we as Emco are now ready to continue to build on the foundations that have been delivered to a high standard.