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About three years ago, Hero Honda realized that the secret of ensuring steady
growth lay in embracing IT. An information systems plan was drawn up immediately
but was approved after a lot of deliberation.
Even before the implemention of the new home grown systems to replace the
legacy systems and an ERP package, the IT at Hero Honda made a concious effort
to improve the network. They installed structured LAN systems and WAN links and
introduced e-mail throughout the organization. "Real-time communication was
a long felt need and usage of e-mail spread like wild fire," says Hero
Honda’s VP, IT, SR Balasubramanian.
This was followed up by the installation of an intranet and workflow
applications. There was a surge in the demand for PCs and employees were eager
to be a part of the network. The entire staff got used to the electronic form of
communication and this change in work culture made using SAP easier.
After eight months of implementation, the project went live in February 2001.
The most difficult task involved implementing MRP at the shop floor, which had
not been computerized earlier. Despite the initial problems, things improved and
Hero Honda could complete its final accounts 24 days before the close of the
financial year. Hero Honda has also made a conscious effort to ensure that IT is
an enabler to its business process and is critical in knowledge dissemination.
The company has also tied up with Hyderabad-based knowledgementor.com to
circulate articles on topics like HR, IT and strategic management among its
employees.