H&R Mfg. and Supply, Inc. ERP Case Study
Industry
Machine Shop
Challenge
H&R Mfg. and Supply operated in a market where foreign competitors offered lower-priced, lower-quality alternatives, making cost control and quality differentiation essential. The company managed 170 machines but was hindered by fragmented systems for accounting and shop floor operations, which led to inaccurate data, inefficiencies in tooling management and difficulties in holding employees accountable, particularly across a linguistically diverse workforce. These issues limited their ability to maintain lean production and high standards while remaining price-competitive.
Results
After implementing Global Shop Solutions ERP, H&R Mfg. and Supply realized substantial gains in operational visibility, cost management and shop floor accountability. Real-time data collection and multilingual interfaces improved accuracy and inclusivity, while wireless tool crib management reduced tooling costs by 33%. Centralized control over shop floor and business processes empowered the company to lower prices, uphold high quality and stay competitive in both domestic and international markets.
Key Applications
Inventory, Advanced Planning & Scheduling, Shop Floor Data Collection, Quality Control, Job Costing Accounting, Accounting, HR & Payroll, Paperless, Sales, Shop Management
Global Shop Solutions has helped H&R Mfg. and Supply succeed because of the organization it provides for us to manage business, to manage the costs and to manage every other aspect of a successful operation.
Derek Hivnor
Vice President and General Manager
About H&R Mfg. and Supply, Inc.
H&R Mfg. and Supply is a family-run manufacturer specializing in quality workholding tools, including jaws, chucks, right angle drives, steady rests, V-blocs, adapters and thrust bearings. Located in East Texas, the company is recognized for its high standards and lean business model, serving both domestic and international markets.The Challenge
H&R Mfg. and Supply faced mounting pressure from global competitors offering cheaper alternatives. The company was responsible for managing 170 machines, but relied on multiple disconnected systems for accounting and shop floor management. This fragmentation caused data inaccuracies, inefficient tooling distribution and limited oversight of employee productivity, challenges that were amplified by language barriers among a diverse workforce. As a result, the organization struggled to maintain their lean production model while ensuring both cost control and high product standards.
The Solution
Recognizing the need for a unified approach, H&R Mfg. and Supply selected Global Shop Solutions ERP to centralize their business operations. The ERP platform provided integrated modules for shop floor control, data collection, payroll, accounting and wireless tool crib management, all in a single solution. "Global Shop Solutions is one system that does everything. We mainly got it as a shop floor control system, and we've implemented more and more functionality as time has passed and Global Shop Solutions has increased their capabilities. From payroll to accounting to shop floor control, it focuses everything for us in such a way that we no longer need multiple systems to keep track of the numbers," explained Derek Hivnor, Vice President and General Manager. The implementation of Shop Floor Data Collection, including multilingual stations, enhanced accountability and real-time management across the workforce. "We've installed the Shop Floor Data Collection system, and that's been absolutely phenomenal for us. In the past, our employees were not held accountable for everything they were doing. Now, with these stations, we're pro-actively managing problems. All employees are held accountable for what they're doing, how they're doing it and it gives the managers a better way to manage the business itself," Hivnor added. Wireless tool crib management further enabled precise oversight and cost reductions in tooling.
The Results
With Global Shop Solutions ERP in place for over 15 years, H&R Mfg. and Supply achieved measurable performance improvements. The company reduced tooling costs by 33%, maintained an average employee seniority of 15 years and effectively managed 170 machines with centralized oversight. "I can safely say that the Global Shop Solutions wireless system has taken my costs down by about a third of what they were before we integrated. Now, I have someone in charge of the tooling area in my business," said Hivnor. Enhanced shop floor data collection and cost tracking enabled more accurate quoting, production planning and quality control. "Global Shop Solutions has helped H&R Mfg. and Supply succeed because of the organization it provides for us to manage business, to manage the costs and to manage every other aspect of a successful operation. These advancements have supported the company's ability to lower prices, maintain high product quality and compete successfully in both domestic and global markets.