First ever Open Source ERP Solution developed by a Pakistani company, launched under PSEB Industrial Automation Project

Lahore – On Saturday, 2nd June, Pakistan Software Export Board (PSEB) signed two MoUs, one between Pakistan Readymade Garments and Manufacturers Association (PRGMEA) and SME Business Support Fund (BSF) and another between Pakistan Hosiery Manufacturers Association (PHMA) and SME Business Support Fund (BSF). The MoUs were signed during an inaugural ceremony of the Global Business Management Solution (GBMS), an ERP for the Readymade Garments and Hosiery vertical. GBMS is the first locally developed and implemented open source ERP in Pakistan. The MoUs were signed in the presence of the Minister of IT&T Mr. Awais Ahmed Khan Leghari, MD PSEB Mr. Yusuf Hussain, CEO of SME Business Support Fund (BSF) Mr. David Monkman, Chairman PHMA Mr. Adil Butt and Chairman (IT Committee) PRGMEA Mr. Sajid Minhas. The parties agreed to collaborate in the implementation of GBMS in over 700 SME units in the Readymade Garments and Hosiery units in Pakistan.

PSEB initiated the development of this ERP software through its Industry Automation project. Its vision is to improve the productivity of SME units by providing them ERP software in those sectors of the economy with a high export potential. With the emergence of WTO, the ERP software will allow the SME units in these sectors to be able to compete with the industries in other countries. The ERP software is developed using open source technology which enables the companies to avoid exorbitant licensing costs. The ERP software will be made available to all SME units in the chosen sectors free of cost along with the source code in order to empower the units to get additional work done according to their specific requirements.

Under PSEB’s Industry Automation project, SME units in five sectors are being automated by providing them custom-built ERP software. The sectors being automated are Readymade Garments, Hosiery, Textile Processing, Automotive Parts & Accessories and Surgical Instruments. The ERP software solutions in this project are being developed in collaboration with the industrial associations and 10-15 industrial units in each of these 5 sectors. Under the project the ERP software will be implemented in more than 60 industrial units in these 5 sectors and will then be made available free of cost to the more than 1500 SME units in these 5 sectors. The development of the ERP software for Readymade Garments and Hosiery (GBMS) has been completed and has been successfully implemented in the model unit, Sajjad Knitwear in Lahore. The ERP software is now available to the more than 700 SME units in these sectors free of cost. The ERP software for Textile Processing, Automotive Parts and Accessories are currently in the process of model implementation, which is due to be completed in June 2007. The model implementation of the ERP software for the surgical instruments sector is due to start in June 2007.

Speaking on this occasion Mr. Awais Ahmed Khan Leghari, the Federal Minister of IT&T said “the government has invested approximately Rs. 70 million in automating the local industry. In the first phase 63 small units were automated across different industrial sectors using licensed ERP software. In the current phase, close to 60 SME units in 5 industrial sectors are being automated using open source software”.

The Managing Director of PSEB, Mr. Yusuf Hussain said that “Sajjad Knitwear has already started to see tangible benefits for their business by using the software for managing work in different areas of their business.“ He said that initial results at Sajjad Knitwear showed cost saving of 60 % in their customer response, 45 % in their purchase cycle, 40% in their accounts management, 65 % in payroll processing and 70% in production process. He further said that “a great testimonial for the product is that Sajjad Knitwear has now automated all its processes from customer order to delivery of goods.” He encouraged other units in Readymade Garments and Hosiery to implement the ERP to become more productive.