Francisco García
CEO
netcon México
/
View from the Top

Integrating the Supply Chain through ERP Software

By Antonio Gozain | Tue, 12/28/2021 - 07:06

Q: What added value does netcon offer to auto parts manufacturers and Tier 1s?

A: Software and ERP platforms like netcon integrate data from all areas of a company to make processes and communication more efficient. In the manufacturing sector, we automate the collection of indicators and tags. Our platform is available in English, Spanish and Japanese.

In the auto sector, netcon is a member of CLAUZ. We also work closely with all Japanese Tier 1s, including Honda, Mazda and Toyota in Guanajuato. These companies rely on our platform to operate efficiently. One of our main clients is G-One, which produces chassis for three Honda vehicles. Netcon manages over 1,500 parts and our system integrates the entire operation, from shipping to traceability and inventory records.

Q: What differentiates netcon’s platform from big competitors, such as Oracle or Dynamis?

A: Many of the systems that arrive in Mexico are tropicalized, which reduces efficiency. We have our own comprehensive software for companies in Mexico. Our platform also complies with all Mexican tax requirements. Despite being high-level technology, netcon’s platform is user-friendly.

We work in two different fields. Our development area includes a complete programming and engineering team, while our implementation segment provides industrial engineering, marketing, finance and human resources to offer the final user a deep understanding of the platform and its benefits.

Q: How does data collection make netcon a more personalized service to meet the different needs of its clients?

A: In the manufacturing sector, structure and operations appear to be the same in every company but each has its own particular processes. Data collection allows us to personalize the development for every client and connect it to netcon’s ERP, which is the same structure for all. We develop personalized data collection for every client that can be integrated into all their processes.

Traceability gives our clients complete control of the entire chain. For instance, in a Honda vehicle, you know what steel was used in its chassis, who supplied it and when. Data control across the supply chain enables integration and makes processes more efficient.

Q: What other sectors could benefit from implementing netcon’s platform?

A: Currently, netcon works with different sectors, including finance. Financial services companies, like banks, can use our platform to control their operations, providing account statements and payments, among others.

We are also present in the agribusiness sector, where we provide our service to a flour company. This company is able to trace its entire chain, from the grain received from suppliers to the flour provided to its clients, such as Bimbo. Our system also helps it with its administrative processes, such as payroll, and to comply with NOM-035. In the commercial sector, companies with a national network of branches can use netcon’s platform to control and integrate their entire operation.

Q: How does netcon approach potential clients and what services does it offer to recurrent clients?

A: To offer a precise quotation to potential clients, netcon first visits the company and explains the significant commitment needed to implement this robust platform, with personnel managing the project internally, while we develop and implement a tailored solution for them.

After the first year, we offer a maintenance service that provides two main benefits, one for us and one for the client. For our part, we receive a steady income from the client that enables netcon to provide skilled personnel to continue offering a personalized service. On the other hand, the client will continue to receive our support, keeping the system updated with the latest version, even after five or 10 years.

Q: What client profile does netcon target specifically?

A: Midsized to large companies require platforms to control their administrative, productive and financial data. Some companies still run their operations through Excel and PC packages; however, as they grow, data from diverse areas cannot coexist and effectively communicate without a robust platform.

Our market research shows that of the 100 percent of clients that are able to purchase software, 20 percent still use basic platforms or PC packages. Another 20 percent that uses this low-level technology requires a more robust system. A further 20 percent already operates with more affordable platforms. The next 20 percent use expensive SAP or Dynamis platforms but tend to return to more midsized platforms, such as netcon’s, due to the price. The last 20 percent comprises companies that are able to use those high-cost platforms without issues. This highlights that 60 percent of the total 100 percent are potential clients for netcon.

Q: What solutions does netcon offer regarding Industry 4.0?

A: We offer a CMMS maintenance software that controls corrective and preventive maintenance. Industry 4.0 enables prevention due to sensors in the machinery, which indicate temperature, movement and performance. This information, connected to netcon’s ERP, provides us with intelligence that allows a company to determine when preventive maintenance is required.

Industry 4.0 opens many opportunities. In manufacturing, it makes processes significantly more efficient. You can create intelligent assets even with common machinery. Also, the manufacturer of these machines could benefit by offering its products ready-made with Industry 4.0 integrations.

Q: What expansion plans do you foresee for netcon?

A: We have had a great opportunity to work closely with Japanese entrepreneurs and to become members of the Japanese Chamber of Commerce and Industry, which led to netcon having the opportunity to open an office in Tokyo. Our goal is to continue to expand internationally to highly industrialized countries where our technology could be tested to its complete potential to prove its effectiveness. Earlier in December, we constituted a company in the US. While COVID-19 has slowed down the entire process, we expect to be fully operational by January 2022.

 

 

Netcon is an IT services company specialized in custom ERP systems and data collection strategies, as well as NOM-035 web solutions. The company is a member of CLAUZ and the San Luis Potosi Automotive Cluster.

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Antonio Gozain Antonio Gozain Journalist and Industry Analyst