A customer does not see the production accounting system. The customer sees a finished pair of shoes.
Behind consistent production are models, sizes, colours, leather, lining, soles, components, work in progress, operations, deadlines and inventory.
If this information exists only in employees’ memories, messages and separate spreadsheets, production becomes dependent on individuals and isolated decisions. This is why KOHANI uses an ERP system.
What ERP connects
In the system, a model is linked to:
- its construction version;
- size range;
- colours;
- materials;
- components;
- specification;
- production order;
- technological route;
- inventory;
- movement of work in progress;
- finished output;
- cost.
Managing work in progress
Footwear passes through cutting, stitching, forming, lasting, assembly and finishing. Between these stages there is work in progress:
- cut component sets;
- stitched uppers;
- formed components;
- lasted pairs;
- products at intermediate assembly stages.
ERP helps track these objects and understand how many products are in progress, where a batch is in the process, where work has accumulated, which section limits output, which materials have been used and how much work remains unfinished.
A specification instead of production from memory
A material and component specification is created for every model:
- upper material;
- lining;
- main and removable insoles;
- sole;
- reinforcing components;
- threads;
- hardware;
- adhesive materials;
- packaging.
The specification reduces the risk of accidental component substitutions and supports purchasing plans.
ERP and actual cost
Actual cost depends on material consumption, component prices, labour intensity, production losses, defects, repeated operations, packaging and indirect expenses.
ERP makes it possible to compare planned and actual cost. If a model regularly requires rework or produces an increased defect rate, the financial variance becomes a signal for technological analysis.
ERP does not replace the technologist
The system cannot decide independently how a new leather will behave during forming or how stable a heel counter will be. Specialists make these decisions.
ERP records the decisions, links them to the specific model and makes them available to the production system.
A foundation for analytics and AI
Structured data creates a foundation for:
- forecasting material requirements;
- analysing production-section workload;
- detecting variances;
- comparing models by labour intensity;
- analysing causes of defects and returns;
- production planning;
- automated management reports;
- AI analysis of production anomalies.
ERP does not create quality automatically, but it makes data consistent and production decisions controlled and available for analysis.
Read about our equipment, materials and process controls in how KOHANI builds footwear quality. General information about the brand is available on the KOHANI production page.