COST MARGIN / SKU PROFITABILITY

1 Project Context

SB Constantia runs multiple plants across India making flexible packaging products — rolls, packets and pouches — built to order. Margins vary by product mix and order size, and standard ERPs can't produce margins for these customized runs. Visibility into product-level margin was limited, and getting there was a manual, time-consuming exercise at the company's largest plant.

2 Problem

• No margin visibility: a fully manual process covered less than 10% of products at the largest plant — just 50 of 600+ SKUs.

• Took 15 days to prepare margins for only 50 finished goods, delaying production and pricing decisions.
• Wastage calculations often fell back on standard rules instead of actual usage, and intercompany transfers between plants made costing more complex.

3 Solution

• Built an agentic AI workflow on top of Dynamics 365 that computes margins automatically, replacing the manual process end to end.

• Pulls data from four sources: the ERP, the CPDF (customer proposal document), the Sales Register and the Design Sheet (thickness, specifications, etc.).

• Automatically classifies every raw-material line into Input, Waste, Packing or Ink, and back-calculates from the final packed output to the exact materials and quantities used.

• Flags numbers that look off — a missing rate, an odd quantity — for a person to check, rather than pushing through silently.

• Designed to be replicated plant to plant with minimal rework: proven on one product at Ahmedabad, then scaled to

100+ products there before extending further.

4 Impact

• 50 to 100+ products under live margin analysis at the pilot plant

• 15 to 1–2 days 5 plants to turn around finished-goodsmargins

• 5 plants queued to run the same automated setup next