How ERPNext Transformed Business Processes at Schmidt & Schmidt

A Real-Life Legalization Industry Use Case

Introduction

Schmidt & Schmidt OHG is a Germany-based consulting firm specializing in the legalization of documents, EAC certification, translation, and the procurement of official records across more than 100 countries. With offices in Germany, Kazakhstan, China, and Turkey, they serve a global clientele that includes corporations, institutions, and individuals navigating complex bureaucratic and regulatory environments.

Their work requires absolute precision, strict compliance with international and local standards, and the ability to manage multilingual and multijurisdictional workflows — all while ensuring fast and transparent service delivery.

As their service portfolio and geographic reach expanded, Schmidt & Schmidt faced growing challenges: fragmented data systems, manual processes, inconsistent cost tracking, and a lack of real-time operational oversight. These issues were incompatible with their core values of quality, data security, and continuous improvement.

To address these challenges and strengthen their operational foundation, they chose to implement ERPNext, an open-source enterprise resource planning platform. This case study outlines how ERPNext enabled them to streamline internal processes, enhance client communication, and lay the groundwork for future growth — while upholding the highest standards of compliance, data protection, and service excellence.

Challenges Before ERPNext Implementation

• Disorganized Document Management: Information was scattered across Excel, Google Docs, and email threads, leading to inefficiencies and errors.
• Lack of Order Tracking Transparency: Monitoring client orders across offices in Germany, Kazakhstan, China, and Turkey was difficult and inconsistent.
• Inadequate Cost Tracking: No clear system to track all project-related costs such as government fees, courier charges, and agent commissions.
• Manual Invoice Generation and Reporting: Invoicing and financial reporting were time-consuming and prone to delays.
• No Centralized Database: Client and service provider information were stored in different locations, causing duplication and inefficiency.
• No Integration with Website: Website inquiries had to be manually transferred into internal systems, introducing delays and data loss risks.
• Lack of Time Tracking Tools: No built-in system to track time spent on tasks and projects, hindering workload measurement and service efficiency.

Why ERPNext?

• Fully open-source, allowing flexibility and customization
• Modular system with support for continuous expansion
• Easy integration with external APIs and services
• Multi-language and multi-currency support
• Web-based and accessible from anywhere

What Was Implemented

CRM & Case Management

• Automatic case creation upon receiving client requests via web forms or email
• Comprehensive case records including client info, country, service type, assigned manager
• Order status tracking with stages: “Received”, “In Progress”, “Ready”, “Sent to Client”
• Centralized dashboard for task assignment across all offices

Accounting and Finance

• Sales Invoices, Payment Entries, Journal Entries implementation
• Automated invoice generation via service templates
• Country- and service-specific financial reporting for cost analysis
• Real-time payment tracking and automated reminders
• Automated dunning process (Mahnwesen) with escalation levels
• Central dashboard for receivables across currencies and countries

Document Inventory Tracking

• Logging system for receipt/return of original documents
• QR code generation for tracking document movement
• Audit trail for document history

Integrations

• Email integration for automated client notifications
• Nextcloud/Google Drive integration for document storage
• API integrations with DHL, FedEx for real-time shipping status

Website and Workflow Integration

• Website integration to trigger automatic case creation
• Eliminated manual data entry, reducing errors and delays

Time Tracking System

• Time tracking per task, employee, and case
• Supports workload analysis and client billing

The Results

• Reduced average order processing time by 40%
• Fewer invoicing and accounting errors
• Improved operational visibility via reports and dashboards
• Faster, more structured client communication
• Increased financial control and transparency

What’s Next?

• Client Portal: real-time order tracking, document uploads, messaging
• Translation Management Module: task assignment by translator expertise, deadline tracking
• Support Chat Integration (Rocket.Chat + AI): AI-powered support chat and inquiry routing
• PBX System Integration: call logging, click-to-call, quality assurance
• Advanced Analytics and Dashboards: KPIs, predictive analytics
• Automated Compliance Monitoring: alerts for certification and compliance renewals
• Unified Login System (SSO): simplified access across ERPNext, Rocket.Chat, Drupal, etc.

Conclusion: From Complexity to Clarity

The ERPNext implementation has become a key pillar in Schmidt & Schmidt’s digital transformation. Operating in a highly regulated, cross-border environment, ERPNext enabled them to eliminate fragmented processes, establish real-time operational visibility, and strengthen internal controls — all while maintaining strict compliance, data protection, and service excellence.