CASE STUDY
ERP Transformation Funded Entirely by Employees
Mumbai Based Manufacturing Company – Digitization Through Employee Led SAP ERP Implementation
A 60 year old, second generation manufacturing company with a turnover of ₹1000 crores was facing a serious operational challenge:
- Outdated manual systems
- No modern technology
- Aging workforce
- Zero digital integration
- No capital available to invest in ERP
Management wanted to implement SAP ERP, but the ₹5 crore investment required was impossible at the time.
Our Deep Dive Assessment
We worked directly with the MD and senior leadership to understand:
- Staff culture
- Their loyalty to the MD
- Organizational structure
- Existing operational challenges
- Financial limitations
We discovered something powerful:
The company's employees trusted the MD like family.
Many had worked there for 20–30 years.
The company's employees trusted the MD like family.
Many had worked there for 20–30 years.
Our Innovative Solution: Employee Driven ERP Funding Model
We proposed a contributionbased model:
- Senior Employees: 2000/month
- Mid Level Employees: 1000/month
- Junior Staff: 500/month
We negotiated a flexible payment plan with SAP to match the monthly contribution flow.
An internal event was held where the MD transparently explained:
- Why SAP was required
- How it would simplify their daily work
- How it would improve efficiency and job satisfaction
- Why this investment would help the company expand globally
The employees supported the vision immediately.
Outcome
- SAP was implemented in 8 months instead of 12
- Employees were personally committed to the project
- Technology adoption became smooth and enthusiastic
- The company is now fully digitized and expanding into international markets
This case is a perfect example of how culture driven leadership and creative financing models can solve capital problems and accelerate digital transformation.