Rajkot is proudly known as the “Machine Tool Hub of India”, with thousands of small and medium-scale enterprises manufacturing machine tools, auto components, foundry products, bearings, and pumps. While the industry is thriving, many businesses still face challenges in managing production planning, inventory control, costing, and customer management.
This is where ERPNext – an open-source ERP – becomes a game-changer for Rajkot’s engineering and machine tools industry.
Challenges Faced by Rajkot’s Engineering & Machine Tools Units
- Complex Production Cycles – Multiple processes like casting, machining, assembly, and finishing need tight coordination.
- Inventory Issues – Managing raw material (castings, steel, alloys) and finished products often leads to stockouts or excess stock.
- Order Management – Handling bulk orders from OEMs while tracking custom requirements is difficult on spreadsheets.
- Costing & Pricing – Fluctuating raw material prices make accurate job costing a challenge.
- After-Sales Service – Machine tools require regular maintenance, but many SMEs lack proper service tracking.
How ERPNext Helps the Engineering & Machine Tools Industry
1. Production Planning & Control
- Define Bill of Materials (BOM) for each machine tool.
- Track work orders and allocate operations like casting, CNC machining, and assembly.
- Monitor real-time production status to avoid delays.
2. Smart Inventory Management
- Maintain stock of raw materials, semi-finished, and finished goods.
- Set reorder levels to ensure materials are always available.
- Integrate with suppliers for just-in-time purchasing.
3. Job Costing & Pricing
- Track exact material consumption, labor hours, and overheads.
- Generate accurate costing reports to quote competitive prices without losing margins.
4. Sales & CRM
- Manage customer inquiries, quotations, and orders in one place.
- Create custom pricing for bulk buyers or export clients.
- Track payment cycles and reduce delays.
5. After-Sales Service Management
- Create warranty, service, and AMC (Annual Maintenance Contract) records.
- Schedule preventive maintenance for machine tools.
- Track service history for each client machine.
6. Accounting & Compliance
- Automated GST billing & e-invoicing (essential for Indian SMEs).
- Track receivables, payables, and profit margins.
- Integrated financial reports for management.
Why Rajkot’s Engineering Businesses Should Choose ERPNext
✅ Open-source & Cost-Effective – No heavy license fees, ideal for SMEs.
✅ Customizable – Tailored to Rajkot’s machine tool processes.
✅ Scalable – Suitable for both small workshops and large manufacturing units.
✅ Cloud or On-Premise – Flexibility depending on business preference.
Conclusion
With global demand for machine tools and auto components growing, Rajkot’s engineering industry needs to adopt digital solutions to stay competitive. ERPNext provides a complete platform to manage production, sales, service, and finance under one roof.
By implementing ERPNext, Rajkot’s businesses can reduce inefficiencies, improve profitability, and position themselves as strong players in the global engineering supply chain.
