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AMG, Inc. ERP Case Study

AMG-case-study-1

Industry

Metal Fabrication

Challenge

AMG faced considerable challenges managing overlapping customer orders and complex labor requirements across their 60,000 sq. ft. facility. Relying on manual quoting and estimating processes often resulted in inaccurate delivery commitments and limited visibility into shop floor capacity. This lack of real-time data made it difficult to control overtime and optimize resource allocation, ultimately impacting AMG’s competitiveness and ability to meet customer deadlines.

Results

Following the implementation of Global Shop Solutions ERP, AMG transformed its manufacturing operations. The company elevated on-time delivery from 75% to 95% (nearly 99% when excluding minor delays), gained accurate workload and capacity visibility across 1,500 open jobs and reduced overtime through improved cross-training and data-driven scheduling. Automated quoting and inventory management resulted in more precise lead time estimates and reduced carrying costs. The ERP’s capacity planning features instilled a culture of data trust, saving thousands of overtime hours and empowering AMG to deliver superior service to its customers.

Key Applications

Inventory, Advanced Planning and Scheduling, Accounting, Estimating & Quoting, KPIs

www.amg-inc.net/
95%
ON-TIME DELIVERY
LOWER
INVENTORY COSTS
1
INTEGRATED SYSTEM

We can have up to 1,500 open jobs at any one time, with a backlog of three to four months and some parts not due for a year. Global Shop Solutions enables us to efficiently organize and manage all that activity on the shop floor so we can ship on time almost every time.

Greg Morris

President

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About AMG, Inc.

AMG is a Lynchburg, Virginia-based manufacturer specializing in custom, precision-engineered components and fabrications for industries such as aerospace, nuclear, military, medical, food processing and fiber optics. Operating out of a 60,000 sq. ft. facility, AMG is ISO 9001:2008 and AS 9100:C registered and has been an ESOP company since 1987.

The Challenge

AMG  specializes in custom, precision-engineered fabrication for high-reliability industries. AMG’s manual processes for quoting, estimating and scheduling led to inefficiencies and frequent overtime. Overlapping orders and limited real-time data on workforce capacity made it difficult to provide accurate delivery dates and maintain cost control. As a result, the company struggled to meet on-time delivery targets, impacting customer satisfaction and profitability.

The Solution

Seeking a comprehensive solution, AMG evaluated options before selecting Global Shop Solutions ERP for its robust scheduling, capacity planning and analytics tailored to manufacturing. According to Greg Morris, President of AMG, "When a customer asks if we can deliver a project in a certain timeframe, the first thing we do is go into Global Shop Solutions to check our workload and available capacity in all the workcenters. If we have sufficient capacity and labor availability, we’ll commit to the job." The ERP’s real-time dashboards and reporting tools enabled AMG to visualize workloads across departments, automate quoting, and proactively move personnel as needed. Greg Morris notes, "Global Shop Solutions makes it easy to see the workloads for each workcenter. This helps determine when we need to move people from one department to another to reduce overtime or increase capacity in other areas."

The Results

The impact of Global Shop Solutions ERP was immediate and measurable. AMG’s on-time delivery performance surged from 75% to 95%, approaching 99% when minor delays are excluded. The company gained full visibility into its production schedule, managing up to 1,500 open jobs concurrently while optimizing labor allocation. Greg Morris highlights, "Our improved accuracy in overtime planning saves our company thousands of overtime hours. The list of improvements goes on and on." By automating quoting and inventory management, AMG reduced inventory carrying costs and enhanced quoting precision. Most importantly, the ERP’s capacity planning tools instilled a culture of trust in operational data, as Morris states: "Perhaps most important, the capacity planning feature and its reports have disciplined us to trust the data. In fact, our on-time delivery performance is due in large part to the fact that we can trust the data." AMG now delivers superior customer service, remains highly competitive and operates with greater efficiency and confidence.

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