ERP/MES/CRM software system helps shop stay laser-focused on growth

Situation

Lebanon, Pa.-based Laserfab’s core competencies are sheet metal laser cutting and CNC bending. According to Dain Zimmerman, director of business development, the company falls mid-way in the supply chain, serving OEMS, Tier 1 suppliers, and other fabricators with laser-cut and bent parts.

About 17 out of the company’s 27 employees are on the shop floor operating five laser cutting centers and three press brakes. The shop can handle small to large runs, including contract work and blanket orders for industries from aerospace to entertainment to industrial and transportation.

“We’re experiencing higher volumes, and to do that we’re adding capacity by using our machines at night and bringing on new lasers and people,” Zimmerman explained.

The growth has been exciting, but Zimmerman realized quickly that it needed to be managed and coordinated among employees. Initially, the company tracked workflow using spreadsheets and accounting software. Employees worked in “silos,” with each person possessing an understanding of his or her own job function but not that of co-workers. The production team spent a lot of time walking around the facility ensuring everyone was on the same page each day.

Zimmerman acknowledged the practice wasted time that could have been spent in more productive ways and decided it was time to invest in an enterprise resource planning (ERP) system.

Resolution

After researching several offerings, Laserfab implemented Lantek Integra, MES Manager, and Expert from Lantek Systems Inc. to handle all ERP, material requirements planning, and customer relationship management (CRM) functions. The CAD/CAM nesting capability available with Expert was a big draw, as was the programming and planning features available with the MES (manufacturing execution system). The biggest deciding factor, though, was that the software is developed specifically for the sheet metal industry. Its functions were seemingly tailor-made for Laserfab’s business.

Zimmerman noted that his operation is easier to manage with one software system. The MES is integral to capturing the data necessary to keep things consistent throughout each module and throughout the manufacturing process. Beginning with the order step, it captures and tracks information related to machines used, resources needed, material type and thicknesses (especially important for nesting operations), and purchasing. It essentially tears the silos down, providing personnel with a view of the entire operation.

Zimmerman often is asked to complete complex jobs that require outsourcing of certain operations, such as finishing or powder coating. The MES’s ability to capture data and store it in the cloud for analytics takes hours off the reporting task for certain jobs.

“If I have a part that we’re going to laser-cut and bend and deburr ourselves but outsource the machining and coating, having all of that data collected within one sales order keeps information moving and deadlines on task,” he explained.

The company’s fiber laser machines are suitable for high-volume jobs such as shims used in warehouses. Orders arrive with varying requirements for each type of shim. All are made from the same material, however, and lots can be in the thousands.

Customer part numbers, material type, and thickness are entered into the sale order and automatically attached to the .DXF or CAD file that’s already been downloaded. Then, using the software’s Expert Cut, a 2D CAD/CAM nesting software designed for CNC programming of sheet metal cutting machines, Zimmerman and his team can choose automatic or manual nesting. They can copy, move, and rotate a model and visualize the different layers in the material. If the software alerts them to a manufacturing warning, they can fix the error or send the model back to the customer.

“You can nest the file dynamically, even with other customers’ parts that might be of the same material, to maximize the efficiency of a nest,” noted Zimmerman. “When it’s sent out to production, it automatically comes up to the selected laser so the operator knows where to cut the parts and validate them. As soon as they’re validated, the system automatically alerts the next process. The whole thing keeps moving. At the end, when the shim arrives to shipping, everything is perfect and aligned and ready to be sent out according to customer specifications. There’s no confusion.”

The ability to determine a part’s machineability from the beginning has saved Laserfab significant time and headaches. “Errors should be caught at the cost-estimation side,” said Zimmerman. “It’s our process here to have the cost estimators completely review and validate the machinability of the .DXF or CAD file. We never used to do this, and we’d leave it up to the programmer to catch. If there was a mistake, it ended up causing too much disruption and lost productivity.”

Completed runs can be analyzed for future cost savings and estimating. According to Zimmerman, nesting files are a treasure trove of information. They show cutting efficiencies or inefficiencies to help determine cost savings, for example. All of the data stored on the platform is available for analyzing every detail of an operation and can be used for everything from purchasing to winning new contracts.

Implementing an ERP/MES/CRM system has enabled Laserfab to put its ideas and concepts into practice. It’s also served as a tool to unify the company to further its goals for success.

“By integrating the computer system, you’re able to flatten that information and spread it throughout your organization so that everyone has the same information at the click of a mouse,” said Zimmerman. “You can then make decisions together—and separately—that are aligned with the company’s goals. The software does whatever you tell it to do, so you still need a good, strong team to understand it and the context.”

Zimmerman was also quick to point out that the software works at its absolute best when there is a healthy work culture.

“I think the hallmark of the Lantek software is to break down silo thinking and action as it relates to everyone doing their own job. We are all doing the same job—to please our customers—and the software gets you there.”