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Case Study: Digital Warehouse ERP for a Mega Construction Firm

Transforming construction logistics with tailored digital solutions

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KMV Projects, a leading construction company with multiple, nationwide projects implemented Digital Warehouse ERP to overcome manual inventory tracking and logistical bottlenecks. The platform digitized Warehouse Management, intake, GRNs, transfers, quality checks, and surplus tracking, resulting in improved material availability, reduced losses, and enhanced visibility for managers. Automated reports and centralized data helped leadership make data-driven decisions, saving time and lowering costs across every warehouse.

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About Digital Warehouse ERP

Digital Warehouse is an ERP platform designed to simplify warehouse management, specifically focusing on construction materials and logistics. It provides a comprehensive digital solution for companies to efficiently track, manage, and optimize their inventory and material handling processes.

The Challenge

Managing vast, multi-site inventories, delayed inspections, collusion with vendors, inefficient material transfers/returns, and poor real-time visibility were increasing costs, causing loss in several crores annually and logistics headaches.

Outcome

  • Saving Crores(millions) annually
  • Full real-time materials visibility across warehouses
  • Waste and rework down; quality up
  • Automated receipts, returns, and transfer workflows
  • Cost controls and detailed issue/cost peg tracking
  • Stronger timelines, fewer exceptions
  • Vaulted security for valuable materials

Features

Material Inward

Logs every material receipt at the gate/receiving point before it enters inventory.

Impact: Captures supplier, vehicle, document, and quantity details. Tracks incoming materials, provides an audit trail, and links to GRN and Quality Inspection.
Goods Receipt Note (GRN)

Formally confirms quantities of materials received against a PO or document, noting accepted, short, or excess quantities.

Impact: Updates inventory balances, tracks supplier performance, and initiates downstream processes like QC and accounts.
Quality Inspection

Inspects received materials against quality parameters and specifications, recording results, accepted/rejected quantities, and test details.

Impact: Classifies stock (accepted/blocked), rates suppliers, and drives acceptance, rework, or rejection decisions.
Rejection Handling

Records rejected quantity, reason, and disposition (return, use as is, scrap, etc.) for materials failing quality checks.

Impact: Adjusts stock, generates supplier debit notes, plans replacements, and informs quality analytics.
Project Issues

Issues materials from stores to specific projects or cost codes, recording the consuming project, activity, or WBS.

Impact: Supports project costing, reduces stock levels, and provides consumption analysis by project/site.
Transfer Orders

Documents the movement of stock between warehouses/locations, defining source, destination, quantities, and transfer tracking.

Impact: Ensures stock availability across locations, aids internal logistics planning, and provides traceability of movement.
Purchase Quality Returns

Records materials returned to the supplier due to quality or other issues, referencing the original GRN/Inspection.

Impact: Manages vendor claims, reduces stock, indicates reordering needs, and tracks supplier quality performance.
Cost Peg Transfers

Shifts material cost from one project, WBS, or cost object to another without physical material movement.

Impact: Impacts project profitability, ensures accurate cost allocation, and supports financial reporting.
Sub Con Vault

Tracks materials received from and issued to subcontractors for job work, maintaining balances and returns.

Impact: Ensures subcontractor accountability, supports job work billing, and controls owner-supplied materials.
Returnable Material

Documents temporary issuance of materials, tools, or equipment, recording who took it and the expected return date.

Impact: Controls high-value/critical items, prevents loss, and tracks non-consumable movements.
Surplus Material

Records unused, excess, or left-over materials identified by a project/site for potential reuse, transfer, or disposal.

Impact: Optimizes inventory, reduces fresh purchases, and improves project close-out control.
Project Returns

Documents materials moving from the project/site back to central stores or another location, updating stock back into inventory.

Impact: Aids project consumption reconciliation, improves stock accuracy, and facilitates material reuse.
EWB / Dispatch Docs

A legal document authorizing and validating the movement of goods above a certain value between places.

Impact: Ensures tax compliance, prevents tax evasion, and provides a trackable, auditable record of goods in transit.
Royalty Slips

Records the royalty payable on extracted/transported materials (sand, aggregates, minerals, etc.).

Impact: Provides proof of payment for statutory charges, ensures regulatory compliance, and maintains a traceable audit record.