Food Packaging Specialists Swap Vietnam-War-Era Inventory Software for Cloud-Based MRP System

Hovat, a trusted name in food packaging solutions, recently transformed its production and stock control systems by implementing modern MRP software. “When I joined, they used software developed in the 70s. It was originally used to record stock for the Vietnam War,” says Head of Finance, Colin Britton.

Diverse food packaging solutions since 1972

Hovat is a UK-based printed packaging and labeling manufacturer that provides solutions mainly for the food industry. Celebrating over 50 years in business, the company has built a reputation for innovation, adopting diverse techniques in the sectors it serves over the decades. Today, Hovat is mainly specialized in the dairy sector, providing technologies like flexographic and digital printing, foil wraps, adhesive label conversion, and more.

Owned by packaging conglomerate Grafham Holdings, Hovat is a sizable operation with more than 75 full-time employees and an annual revenue exceeding £11 million. With two manufacturing locations, an in-house design department, and a large warehouse, managing the company’s inventory and production activities requires high control—control that only a short while ago was lacking—the company’s inventory software was almost as old as the company itself. 

Ancient stock management system was hindering efficiency

When Hovat’s Head of Finance, Colin Britton, came aboard in 2023, one of his first tasks was to oversee the company’s transition to a new operations management software solution. 

“When I joined, they used software developed in the 70s. It was originally used to record stock for the Vietnam War! The system was running on ancient 8-bit computers, and since the parent company had lost most of its clientele over the years, the cost of running it was pushed onto the few remaining clients. So, we were paying around £2,500 a month for the package,” he says, “It was a no-brainer that we needed to move to something more modern.”

Colin set out to find a suitable alternative to the old system. Having prior experience with a few manufacturing and inventory software programs, he looked at these first. However, none made the cut—one system was too expensive, another too complicated, and a third lacked sufficient traceability features, crucial for a company active in the food industry.

Colin then came across MRPeasy during a web search. This fully cloud-based package promised a combination of cost efficiency, ease of use, and rugged functionalities, including comprehensive food traceability features. He requested a demo and was quickly convinced to proceed with the SME-focused manufacturing system.

Guided onboarding delivered quick results 

The process of acquiring new software began in September 2023. Having a production setup of considerable size and complexity, Hovat’s management decided to opt for an assisted implementation early on. Thankfully, MRPeasy has an authorized consultant program with many implementation partners available in the UK, which makes finding a suitable partner easy. 

Colin picked one of MRPeasy’s long-standing UK partners, Smart Manufacture, to aid with setting up and transitioning to the new system. The consultant came on-site and, together with Colin, mapped out the production setup, talked to all the departments, and gained an in-depth understanding of how the business operates. The team then set up a test database, played around with MRPeasy’s functionalities, connected it with Hovat’s preferred accounting platform, Xero, and gradually included more employees in the implementation process.

This allowed Hovat’s production management team to become well-acquainted with the new system and practice working with it before completely switching over. Transitioning to the new system was greatly eased this way and was completed in May 2024. Colin comments, “Many of our employees have taken to using MRPeasy very well. One of the production staff has become so competent at it that he’s our go-to guy if anyone needs any help with the system.”

Thousands saved on order management in less than a year

When asked about the core benefits MRPeasy has brought to the manufacturer, Colin first brings out MRPeasy’s ability to streamline communication between departments, contractors, and suppliers: 

“Previously, there were no options to send out customer orders, quotes, or invoices easily – everything was done by printing hard copies. We had a massive archive full of dot matrix printouts. The printers would start printing at six every morning to get a pile of printouts for the day. Now we can email suppliers purchase orders or copies of drawings directly within the system. We’ve saved thousands of pounds on postage alone in less than a year since moving to MRPeasy.”

Traceability has become streamlined across departments, too. “It’s a lot easier to trace anything now – just a simple report, accessible right within the app. We’re saving hours and hours compared to the old way of tracing any item, with MRPeasy,” says Colin.

Accurate costing and real-time access to financial information 

MRPeasy has also greatly simplified Colin’s work as Financial Director. For one, the ability to log on and manage the finances of Hovat’s two facilities from anywhere has been instrumental. “I took my computer to Australia on a business trip, and I could work from halfway around the globe,” he muses. 

Unit pricing and cost accuracy have seen large improvements as well. In the old software, all invoicing was done on a monthly basis, so Colin had no idea of the proper margins per product. “It’s a lot easier for us to see where cost increases are eroding a customer’s margin with MRPeasy. We can deal with actual margins now, not theoretical.” This gives Hovat greater control over the selling price and helps uncover opportunities for increasing efficiencies. 

With the previous system, exporting data without much manual work was impossible. Thanks to MRPeasy’s exporting tools, accounting and financial auditing have become greatly simplified. Colin notes: “Because we couldn’t export anything to Excel before, analysing things was difficult for the auditors. Now, they can get any report on the screen and pop it out as a CSV if needed.“  

Highlighting the benefits of assisted onboarding

Summing up Hovat’s success with MRPeasy, Colin Britton emphasises the importance of deep manufacturing expertise when switching between systems: “I’ve implemented three different software systems in recent years. For me, the most important aspect has been partnering with the right support company to help out. You should get a consultant with a deep understanding of manufacturing, not just accounting or computer expertise. If you go it alone without understanding what needs to be done, you can get in trouble fast, because there are so many ways to set a system up.” 

With the outdated infrastructure out of the way and modern production software properly set up, Hovat is much better equipped to support future growth. Opting for MRPeasy has helped the UK company revamp its production, stock, and cost control in a matter of months. The team sees efficiency increases on multiple fronts, from external communication and tracking accuracy to accounting and auditing simplicity. 

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