Global Talk Web 2009 Fourth Quarter

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10/16SYSPRO Global Talk I Vol 6 No.49

have improved customer service levels from67% to 95%, with 30% less dollar value in stockin those product lines we now forecast. Its alsoprovided great forward visibility to our suppli-ers.

This improvement was achieved in an envi-ronment where a lot of the companys resellersare not stocking as much as they previouslydid, forcing stocking requirements back ontoPSL. Meanwhile, sales people always wantplenty of stock so they dont run out.

It is very easy to hide key problems by havinga lot of safety stock and excess inventory. If youstart bringing inventory levels down, it revealstrue underlying problems. By using SYSPRO youhave tools such as the supplier performancereport for unreliable vendors, cycle countingfor stock accuracy, forecasting for demandhistory and fluctuations. The tools are alreadythere to bring the stock levels down and getimmediate returns from it, Phillips points out.

We were initially skeptical about the con-

cept of inventory forecasting, but SYSPRO tookthe too much work argument out of the equa-tion. SYSPRO does all the calculations and hardwork for you and even suggests which productscontribute most to your business. It has beenvery successful for us.

Phillips advises : Dont bite off more than youcan chew weve started off with the easiestproduct family and are rolling it out one by oneand simplifying as much as possible. Its verysimple, but it has to be made understandable

to everyone.

Our ultimate goal will be to use Families andGroupings, where you can arrange 'collections'

of stock keeping units (SKUs) into families andgroupings of similar i tems. Then well be able toenter values at top level for a high-level view,and let SYSPRO disaggregate all the way down

to product level.

SYSPROs close association with APICS (TheAssociation for Operations Management Advancing Productivity, Innovation, andCompetitive Success) has meant that thebest-practice knowledge and techniques ofproduction and inventory management arestandards within the SYSPRO system, and canbe used by the business.

Training and Customization

PSL loves SYSPROs ease of use andability to handle complex processes with ease.Previously, staff often had to access multi-ple screens for a single piece of information.SYSPRO is linked, so it is easy to drill down to thesource.

We have now begun to customize entryscreens out of the box, there is a lot of infor-mation and much of it is not required for everyuser. Now we are looking at cutting it down foreach operator according to role to take the

unnecessary clutter out, Phillips says.

Future StepsThe company is looking forward tofurther optimizing its use of the system. Phillipscomments: When we originally installedSYSPRO, we wanted rapid implementation,so we imported data from the old systemsand took old processes and ran them onSYSPRO. However, this was not ideal as wehave not used SYSPRO in the most efficientway. We are now looking at changing bus inessprocesses to use SYSPRO more efficiently and get

more return. The economic downturn gave usimpetus to do that.

Our next steps will be to focus on eliminatingbad practices and establishing process flowscorrectly. SYSPROs new Workflow Services willoffer a significant tool for this.

We are excited about the changes in thenew release of SYSPRO 6.1, which have inspiredus to totally rethink not so much what weregoing to do, but how we go about it - both as

a business and as a user. SYSPRO 6.1 introducesmany of the tools we were looking for fromoutside vendors, and now they will be built intoSYSPRO. v

WORKING WITH SYSPRO ASIA PACIFIC


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WORKING WITH SYSPRO USA

associate Richard Linsdall, uses portable scan-ners to locate and store the respective prod-ucts and pallet positions within the warehouse.However, we dont use it to scan individual

cartons as the numerous barcode formats andnumber of damaged or unreadable barcodesslow the process down. Although we still find itfaster to manually record all weights, the solu-tion has greatly facilitated inventory trackingand expedited customer shipments, he says.

Citing another example of the enhancedefficiencies brought about by the new SYSPROsolution, Saunders points out that the month-end close now takes a mere two days whereasit previously took four to five days. Should

additional time be required (as with year-end,)

SYSPRO offers the flexibility to close off (and re-open) individual sub-ledgers, thereby minimiz-ing any interruptions to the business.

Commenting on cost savings resulting fromthe new SYSPRO solution, Saunders says: Thebiggest advantage would be improvements instaff efficiency and our ability to outsource tasksto under-utilized staff anywhere in the country.The second biggest improvement would beassociated with having a live system avail-able to any and all staff with Internet access.This has enabled all staff members to makeinformed and subsequently improved decisionswith regard to day-to-day transactions andthis is priceless. v


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WORKING WITH SYSPRO UK

SYSPRO Global Talk I Vol 6 No. 4 12

SYSPRO

integration managesthe inventoryconundrum atDawson MMP

Keeping a tight rein on inventory is essentialto running an efficient organization, andthe importance of inventory management

increases for companies carrying both finishedproducts and a wide range of spares for routinemaintenance and repair. No organization wantsto stock more than it needs, but it is essential toensure that sufficient items are stocked to meetcustomers needs. Leading catering equipmentsupplier Dawson MMP shows how SYSPRO, inte-grated with specialist inventory managementsoftware, makes it easier to optimize inventoryand provide excellent service.

Cost management and customer service are

highlighted time and time again as the keyingredients for a thriving business. Furthermore,managing inventory levels is a major focus formany customer-focused organizations. Suchcompanies understand the need to maintainsufficient levels of products and spares to meetcustomer needs without having money tied upin excess stock. This is not an easy task withoutthe right tools.

Dawson MMP is a prime example of a UK-basedcompany which sources finished products fromEuropean manufacturers for selling through

dealers and also directly to public bodies suchas the NHS, educational institutions and theprison service. With long lead times for prod-ucts, the company must maintain healthy stocklevels so that customers are not left waiting fortheir equipment or for service and repair.

The 10 million turnover business is part of theAli Group of companies the largest group ofindustrial catering equipment manufacturersand suppliers in Europe. A long-term SYSPROuser, Dawson MMP relies on the system to help

it run a slick operation. The company usesa number of core SYSPRO modules, includ-ing Accounts Payable/Receivable, Cash Book,Sales Ledger, Sales Analysis, Quotations and

Reports. SYSPRO integrates seamlessly with aspecialist inventory management system calledOptimiza from Barloworld Optimus.

Working together, these fully integrated sys-tems help Dawson MMP to meet its supply andservice targets by maintaining tight control ofall inventory items.

Customers must have excellent serviceSupplying high-quality industrial cateringequipment is only one element of the busi-

ness. In this market after-sales service is just asimportant, as end users expect their equipmentto work regardless of the punishing nature ofthe catering environment. Breakdowns haveto be repaired quickly and efficiently, and rou-tine maintenance must not cause unnecessarydowntime because a spare part i s out of stock.This is where SYSPRO plays an important role.

The integrated SYSPRO system keeps track ofthe spare parts and helps Dawson MMP to buildstock profiles to optimize the amount of each

item so that it can meet its first-time fix KPI (keyperformance indicator). The system allows thiswithout over-stocking and also prevents cashbeing tied up in unnecessary stock.



WORKING WITH SYSPRO SYSPRO UK

Steve Gordon, Finance Director of DawsonMMP, says: After-sales service is extremelyimportant. We get in to fix a breakdown within24 hours and we expect to meet our stringentKPI of 75% first-time fixes. We must have the rightspares in stock so that our service technicianscan meet this demanding target.

The integration of SYSPRO and Optimiza isessential for clear visibility of stock.

We have five major brands of equipmentand receive a weekly shipment from each one.

The items arrive on a 40ft trailer and can be anycombination of equipment or spares. We putall of this into SYSPRO using the goods-receivednote, Gordon says.

Data entered into SYSPRO automatical-ly updates Optimiza, enabling the inventorymanagement software to calculate the ideallevels of safety stock and optimal replenish-ment orders for every product, part and sparesitem. It then produces inventory replenishmentrecommendations, automatically flagging up

parts that need immediate re-ordering or areassessed stock level.

It is crucial that we have the right stock levels,

particularly as many of the products we sellhave long lead times. We have two types ofstock: finished products the machines andspare parts. We hold 200 lines of machines and

about 17,000 lines of spares," Gordon explains.

The integration of both systems provides easyaccess to highly detailed inventory information.This includes the ability to identify potentialstock-outs, purchase orders that need expedit-ing as well as highlighting surplus and excessitems. This level of visible detail enables DawsonMMP to focus on managing these issues.

The solution helps us maintain optimumstocks. With it we can avoid holding excess

levels or incurring stock-outs of any item. Thiskeeps our dealers happy and means that wecan deliver exceptional service. We could notfunction without it, he says.

The company is relocating to a new site soon,and will maintain SYSPRO as its main IT system.Dawson MMP is working closely with SYSPROreseller K3 Business Technology Group to devel-op the SYSPRO MRP module as a replacementto Optimiza. This will take Dawson MMPs imple-mentation of SYSPRO to a very advanced level.

We are very happy with SYSPRO and are allvery comfortable using it. The system is easyto use and we understand it. By developingMRP as an inventory management tool withinSYSPRO, we feel that we are taking anothermajor step forward in developing tools that wi llhelp boost our efficiency, Gordon says. v


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Global Talk Web 2009 Fourth Quarter

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