Automotive Components Manufacturer Improved ERP Migration Readiness by 60% with Material Master Data Standardization

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Client Overview

A leading automotive components manufacturer undergoing enterprise-wide ERP modernization needed to prepare and standardize millions of material master records spread across legacy systems. The organization aimed to improve migration quality, eliminate obsolete materials, and establish scalable governance before transitioning to a modern ERP environment.

Problem Statement

The client’s legacy material master environment contained duplicate records, inactive materials, inconsistent specifications, and fragmented classifications across plants and business units. These issues created significant ERP migration risks, reduced procurement efficiency, and increased operational complexity. The organization required a scalable approach to cleanse, standardize, and govern material master data before migration.

Key Challenges

  • Poor-Quality Legacy Material Data

    Duplicate, obsolete, and inconsistent material records increased ERP migration complexity and operational risk.

  • Inconsistent Taxonomy & Classification

    Fragmented naming conventions and classifications reduced data consistency across systems and plants.

  • ERP Migration Readiness Risks

    Poor data quality threatened migration timelines, downstream integrations, and reporting accuracy.

  • Manual Validation & Governance Limitations

    Manual validation processes delayed material standardization and governance activities across teams.

Solution Implemented

  • Material Data Cleansing & Standardization : Cleansed, standardized, and enriched enterprise material master records across legacy systems.

  • AI-Assisted Classification & Validation : Implemented AI-powered classification and automated validation workflows to improve data consistency.

  • Duplicate & Obsolete Material Consolidation : Eliminated duplicate and inactive materials before ERP migration activities.

  • Governance & Migration Readiness Framework : Established governance rules, stewardship workflows, and migration-ready material master standards.

Business Impact

  • ERP Migration Readiness Improvements

    Improved ERP migration readiness and data quality alignment by 60%.

  • Material Data Quality Optimization

    Reduced inactive and obsolete material records by 42% across enterprise systems.

  • Faster Validation & Standardization

    Accelerated material validation and onboarding processes by 35%.

  • Improved Classification Consistency

    Improved enterprise-wide material classification consistency by 48%.

Highlights

  • 60% improvement in ERP migration readiness
  • Reduced duplicate and obsolete material records
  • Faster validation and standardized material governance

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