1. Customer Business Overview
Hico Multifin Products Pvt. Ltd. is a Kolkata-based manufacturer of mild steel products, operating in a market where raw material prices fluctuate daily. Their business depends heavily on accurate pricing, timely purchasing, and tender-based sales where even small pricing mismatches can directly impact profitability.
2. Business Challenges That Triggered the ERP Decision
As metal price volatility increased, Hico Multifin began facing challenges that manual systems could not handle effectively:
Sales orders were prepared using outdated raw material prices, leading to margin leakage.
Tender submissions carried a high risk due to inaccurate or delayed cost updates.
Purchase decisions were reactive instead of data-driven
Lack of real-time linkage between market prices, sales pricing, and production costing
Management had limited visibility into how price fluctuations impacted profitability.
They realized that price volatility was not a market problem, but a system problem, which triggered the decision to implement ERP with real-time intelligence.
3. Consulting-Driven ERP Solution Implemented
We designed an ERP solution focused on dynamic pricing and financial control, not just transaction management.
Modules Implemented:
Sales
Purchase
Inventory
Manufacturing
Accounting
Tender Management (Custom Module)
Our Unique Consulting Value:
Integrated live metal price feeds from their e-commerce platform directly into ERP.
Automated dynamic price updates on sales orders based on daily market rates.
Tender pricing logic aligned with real-time material costs.
Purchase planning supported by updated market data.
End-to-end linkage between pricing, costing, and financial reporting.
This ensured that every sales and tender decision was backed by current market reality, not assumptions.
4. Measurable Business Impact Achieved
After ERP stabilization, Hico Multifin achieved strong financial and operational outcomes:
100% real-time alignment of sales orders with metal price changes
20–25% improvement in purchase decision accuracy, reducing cost overruns
Significant reduction in margin erosion caused by price mismatch
Better control over tender profitability and risk exposure
Improved financial visibility, enabling faster, more confident decisions
Key Takeaway for Upcoming Clients:
Hico Multifin’s journey proves that ERP is a powerful risk-management tool — when implemented correctly, it protects margins even in the most volatile markets.
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Curious Minds Want to Know
When material prices change regularly, outdated cost information can lead to incorrect pricing decisions. Real-time visibility into material costs helps businesses respond faster and protect profit margins.
Tender submissions often rely on cost estimates that may no longer reflect current market conditions. Access to updated pricing data helps businesses prepare more competitive and profitable bids.
Margin erosion often occurs when sales pricing, purchasing decisions, and production costs are not aligned. Connecting these processes through a centralized system improves pricing accuracy and financial control.
Reactive purchasing can increase costs and expose businesses to unnecessary risk. Businesses that use current pricing data and demand visibility can make more informed procurement decisions.
In industries affected by frequent price fluctuations, profitability depends on timely and accurate decision-making. Integrating pricing, purchasing, costing, and financial reporting into a single system helps businesses respond quickly to market changes and maintain stronger margin control.