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 Fourth Quarter 2009

Industry focus: Wholesale Suppliers and Distributors

SYSPRO 6.1 -
Simply Smarter

Phillips & Smith strengthens


sales and distribution with SYSPRO

Tangram Surfaces
ahead of the pack

Pilot Brands
integrates distribution countrywide with SYSPRO
TECHNOLOGY INSIGHT – Phil Duff

CEO’s message

SYSPRO 6.1 –
Simply Smarter!

Phil Duff – CEO, SYSPRO

T
here was an air of excitement in the providing a visible representation of all the
SYSPRO offices during the latter half of information needed at different role levels
2009. For our developers, it signaled the throughout the organization, including real-
final months of coding and testing of one of time general ledger information which now
the most spectacular releases in our 30-year provides real-time financial data at any
history. moment in time.

The combined efforts of our developers and The enhanced visibility and presentation of
the inputs of our customers and resellers have information that comes with SYSPRO 6.1 also
resulted in a product that will test the limits results in a significantly improved user experi-
of your imagination. As you know, SYSPRO ence. SYSPRO 6.1 enables the user complete
always aims to support and assist our cus- freedom to organize and view any required
tomers – and with the launch of SYSPRO 6.1, information within SYSPRO in any application.
we’ve done that by listening to you. Listening Best of all, this can be achieved by you, the
and taking note of your requirements and the end user, with minimal development skills.
additional capability you would like to see SYSPRO 6.1 assists you by focussing on the
included in the software. exceptions, filtering all the information in your
organization and presenting only what is rel-
Literally hundreds of features have been evant to you.
introduced as a direct result of the feedback
we have received from our customers. The Selecting just a few of the most exciting new
architecture, feature set, new modules, work- features in SYSPRO 6.1, I would like to mention
flow and customization take on a whole new that the custom panes have been extended
meaning with SYSPRO 6.1, making quantum so that you can write a .Net application,
leaps towards Simplifying your Success. You drop it into your own custom pane and it will
have made it possible. You communicated interact with the rest of the SYSPRO product.
your needs, and we have delivered! There really are no limits to how you display
your data or how the information is derived.
We believe that if our software doesn’t You can draw on out-of-the-box templates to
improve your big picture perspective, if it build your own user applications at the touch
doesn’t contribute towards your organisa- of a button and also create brand-new appli-
tion’s success, then we aren’t achieving our cations.
goal. Thank you for your enthusiasm and
commitment towards making SYSPRO, our The SYSPRO 6.1 infrastructure also ena-
product and your solution, better than ever. bles information derived from either SYSPRO
Analytics or SYSPRO Workflow Services to be
So, let’s consider some of the capabilities implemented in any application anywhere
in SYSPRO 6.1 designed to make your working in SYSPRO. For example, the user can view
lives easier. SYSPRO Analytics or any workflow process
directly in another SYSPRO program such as
One of the most exciting changes is that Sales Order Entry.
SYSPRO 6.1 turns visualization into reality by

1 SYSPRO Global Talk I Vol 6 No.4


TECHNOLOGY INSIGHT – Phil Duff

SYSPRO 6.1 uses fluid user interface compo- Although there is a wealth of enhancements
nents which have been developed to meet and new features in SYSPRO 6.1, we have done
Microsoft Office 2007 User Interface Design our best to ensure that you will be able to work
Guideline specifications, providing you with a as before. Before upgrading, I would heart-
more universal and familiar interface. Also, the ily recommend that you speak to your local
improved reporting capabilities in SYSPRO 6.1 SYSPRO support office or reseller so that you
provide an integrated, clear and comprehen- are able to maximize the benefits offered by
sive presentation of business activities in sup- this sophisticated new version of our enterprise
port of corporate and operational strategy. solution.

The enhanced Enterprise Process


Management and Business Process Modeling
capabilities in SYSPRO 6.1 enable you to track
strategy, targets and KPIs against your own
or industry-standard performance measure-
ments. These two solutions encompass and
support the metrics, processes and systems
used in an organization to measure, monitor
and better manage business performance.

We believe that if our software


doesn’t improve your big picture
perspective, if it doesn’t contribute
towards your organisation’s success,
then we aren’t achieving our goal.

The centralized administration capability


of SYSPRO 6.1 is another major step forward.
With SYSPRO 6.1, system administration is sim-
pler, quicker and easier because the entire
admin process has been centralized. Instead In designing and developing SYSPSO 6.1, we
of implementing changes on each desktop took into account the fact that people don’t
individually, the administrator now has a sin- want intimidating volumes of data – life is sim-
gle centralized admin console which means ply too fast for that. SYSPRO 6.1 assists you by
each task is done only once. For example, simplifying the amount of information – pack-
.Net applications (or even new versions of aging and making relevant information visible
SYSPRO) can be automatically deployed to at one click, centralising administration and
all users. reducing the need to go outside the SYSPRO
solution to operate your business; with SYSPRO
The embedded workflow engine in SYSPRO 6.1 we strive to take you one step closer to a
6.1 is set to have a huge impact on the effec- true paperless environment. Along the way,
tive management of business processes – and we aim to help you turn the vision of aligning
we are thrilled with the enthusiastic reception business, strategy and IT into a reality.
users have given SYSPRO Workflow in the pre-
release presentations done to date. In the SYSPRO 6.1 will be launched in March 2010,
past, our customers have had to rely on third- so please be on the lookout for more informa-
party products to manage their workflow, tion over the coming months. We look forward
and consequently those products needed to sharing this important phase in our evolution
to be reworked with every SYSPRO upgrade. with you. v
Having workflow functionality embedded in
the core SYSPRO product will reduce the cost Phil Duff
of introducing business process management CEO
throughout your organization. SYSPRO

SYSPRO Global Talk I Vol 6 No.4 2


TECHNOLOGY OVERVIEW

Overall initiatives in skills. The end result is a highly configurable system


designed to adapt and change as requirements
SYSPRO 6.1 evolve. These changes are not affected by soft-
ware upgrades.

Centralized Administration SYSPRO 6.1 also allows users to present informa-


SYSPRO is becoming increasingly sophisticated tion in a highly graphical and aesthetically pleas-
in terms of flexible set-up and security options. ing approach using a combination of Excel-style
SYSPRO 6.1 allows you to configure these security features and XAML Markup code.
options and customize the user interface at the
role level. There is a centralized administration Administrators can use highly sophisticated
application that manages all the security and a development tools such as Visual Studio to build
centralized tool that manages all the user inter- and deploy .NET applications that interact with
face changes. core SYSPRO applications and are implemented
as a seamless part of the SYSPRO applications.
Performance Management Information at your These .NET applications need only be deployed
Fingertips on a central server and will be automatically
SYSPRO 6.1 allows you to configure any aspect deployed to the client computer as and when
of the UI in any application to build in dynamic required.
executive views and/or dashboards. These views
ship with the product as standard and are based Business Process Management and Modeling
on sophisticated charts, list views or XCelsius inter- Although SYSPRO has always had Business Process
active charts. The views can be dropped into any Management tools, these have been taken to a
application in a few seconds and will be active new level with the introduction of SYSPRO Workflow
immediately. All views are based on real-time Services (SWS), SYSPRO Process Modeling (SPM)
information and can be customized exactly to and SYSPRO Implementation Methodology (SIM)
your requirements. in SYSPRO 6.1.

Customization and Power-Tailoring SYSPRO Workflow Services provides a workflow


SYSPRO 6.1 allows you to modify the behavior engine that is built into the SYSPRO product
of any SYSPRO application and to add business and provides the capability of designing and
functionality without recourse to development visualizing the workflow processes modeled on an

3 SYSPRO Global Talk I Vol 6 No.4


TECHNOLOGY OVERVIEW

and provide insight into the structuring of the asso-


ciated data.

Together, SPM and SEAM provide one source of


the truth and an end-to-end alignment of all enti-
ties in an organization.

Introduction of New Functional Modules


SYPRO 6.1 introduces the following new
functional modules:
• Warehouse Management - this module will
provide a built-in warehouse management
system within the scope of the current SYSPRO
functionality. It will provide the tools for
managing and controlling warehouse tasks
such as picks, putaways and cycle counts
• Quality Management - this built-in Quality
Management system will enable product
quality control by allowing the config-
uration of multiple measurement metrics;
allowable tolerances; as well as inspec-
tion points and frequency per inventory item,
customer, supplier, operation and work
center. These quality control check-
points will allow the collection of
actual physical product data to
facilitate statistical process control, as
well as providing an opportunity for simple
material review in the event of non-
conformance, with the possible outcome
of inventory reclassification or scrapping
• Inventory Optimization - The purpose of the
Inventory Optimization (IO) module is to
provide the tools and processes to optimize
inventory within the SYSPRO product. For this we
need to track and manage the para-
meters that shape inventory and its causes. The
organization’s business processes. It is based on IO Module will make these parameters visible
the Microsoft Windows Workflow Foundation. and controllable and provide the tools to
determine the impact of changing these
SYSPRO Process Modeling provides preconfig- parameters on service levels, stock-holding,
ured and modeled process patterns on which delivery performance, and manufacturing or
you can model your company’s unique process procurement performance.
requirements. It provides you with a model-driven
architecture that supports management by align- Extended Depth and Breadth of Functionality
ing IT with company strategy, business objectives SYSPRO continues to enhance all aspects of
and sustainability as well as providing a transpar- our functionality with the release of 6.1, by
ent view of your uniquely modeled processes and introducing features such as additional asset
organizational roles. depreciation methods to cater for MARCS
requirements; providing for Stores and Warehouse
The SYSPRO Enterprise Analysis Methodology transfer requisitioning; Customer Sales Order
(SEAM) provides empowered, personalized imple- Rules; Actual cost tracking; and Manufacturing
mentations. It embraces SPM and provides a units of measure, to name a few. v
record of all conversations and decisions made
during these cycles. Information can be used to
automatically configure the SYSPRO application

SYSPRO Global Talk I Vol 6 No. 4 4


SYSPRO – Global

" SYSPRO 6.1


Talking point
Given all the excitement around the pending launch of Version 6.1, we asked our partners and
customers for their opinions. Here’s what they had to say ….

“The impending release of 6.1 will be another


significant milestone for SYSPRO. Many sig-
nificant enhancements have been made
to core areas of Executive Performance
Management and Business Process Modeling
and Management, including a new work-
flow module. SYSPRO customers have come
to expect incredible volumes of new fea-
tures and functionality in each release, but
I believe most will be simply amazed by the
enhancements being released in 6.1. I have
no doubt this release will drive our sales
expansion across Asia Pacific and continue
to simplify the success of our customers.”
- Shaun Butler, General Manager, SYSPRO
Asia Pacific

“SYSPRO 6.1 will prove to be a truly


unprecedented release. The usability is far
superior to previous versions, providing an
appeal which is both visual and practical.
The added technology enhancements,
“Vision accomplished! It’s one thing to such as workflow, improved VBScripting,
have a grand vision; it’s something else the introduction of XAML, enhanced SRS
altogether to execute and deliver. SYSPRO and Document Printing options will help
6.1 represents the final execution and deliv- reduce an organization’s carbon foot-
ery of SYSPRO’s fluid interface design; and print. The functional enhancements that
what an achievement it has turned out are invasive throughout the product offer
to be! In fact, 6.1 has gone beyond what many options for improving efficiency,
was originally envisioned and has resulted extending compliancy and expanding
in delivering an even more powerful, user- visibility. SYSPRO 6.1 will truly live up to its
defined means of interacting with our prod- tagline of ‘simplifying your success’…”
uct. The fluid interface design delivers a - René Inzana, Product Manager, SYSPRO
contemporary, user-centric experience that USA
will see SYSPRO move forward as a product
and company well into the future.”
- John Fahey, General Manager, SYSPRO
Canada

5 SYSPRO Global Talk I Vol 6 No.4


SYSPRO – Global

“It was good to see the workflow processes


being developed, and the input re other
uses was thought-provoking. We are look-
“As I sit in front of my laptop on a typical ing forward to a field service module, and
English autumn day exploring the features the Quality Management System integration
of the latest version of SYSPRO, I have a big should be a real bonus.”
smile on my face. When SYSPRO launched - Phillip Lynn, Financial Controller, Goldstein
Issue 10 in 2008 with a new customizable Eswood Australia
interface, I didn’t think that there was much
else they could do to improve it – how wrong
I was! This release is amazing.

“The new look and feel of SYSPRO 6.1 is light


years ahead of Issue 10. The customization
and power tailoring tools have added a “I am impressed by the new functionality intro-
dimension to changing SYSPRO functionality duced within the product, as we have been
that will provide implementers an almost infi- considering and recommending other third-
nite flexibility to deliver solutions to end users. party products to do the same thing. I also
believe it will be advantageous in signing new
“Improved and enhanced role-based secu- business.”
rity features provide the security control - Trevor Abbott, Company Director, Advanced
required in today’s business. ERP Consultants Ltd

“Four new modules and literally hundreds of


improvements to product functionality make
this the biggest release in years and the
arrival of an integrated workflow module rep-
resents a quantum leap forward for SYSPRO.
This workflow module will enable SYSPRO to
control and monitor the whole business proc-
ess and not just its own transactional data. It
will inevitably become one of the key mod-
ules to implement in the future.

“A massive amount of work has also been


done on creating documentation and edu-
cational material to help end users and
implementers understand the new prod-
uct, all of which is already available on the
SYSPRO website.

“The biggest challenge for the rest of us is to


make sure that the new features are used
and not to waste the power of this new prod-
uct.

“Well done SYSPRO!“


- Andy Latham, Technical Director, K3

SYSPRO Global Talk I Vol 6 No.4 6


"
WORKING WITH SYSPRO – ASIA PACIFIC

Phillips & Smith


strengthens sales
and distribution
with SYSPRO PSL’s manufacturing facility is the cornerstone
of its business and there is a high level of com-
plexity, with lead times ranging from one hour

E
stablished in New Zealand in 1913, Phillips to 18 weeks. The company also services the
& Smith (PSL) manufactures, imports and New Zealand and world markets which involves
distributes various fire and safety products many different standards and catering for end
to more than 20 countries, with distribution users, government departments and resellers.
offices in Sydney and Auckland.
As a result, PSL’s products require a mix of
As a result of significant growth in export make-to-stock and make-to-order. The new
opportunities and increased demands on sales solution had to handle this complicated manu-
and distribution, PSL needed a new, improved facturing environment, as well as PSL’s growth
ERP solution. While the existing solution han- in distribution, with ease.
dled manufacturing well, the technology was
outdated and was not managing distribution In addition, the company required improved
and sales effectively. visibility of information and modern system
architecture to enable easy custom reporting
and future integration with web-based and
sales force automation applications.
“With SYSPRO’s Inventory Forecasting,
we have improved customer service SYSPRO was selected for its flexibility and
levels from 67% to 95%, with 30% less broad functionality. According to Phillips, the
dollar value in stock...SYSPRO does all increase in importing and distribution of many
the calculations and hard work for you of PSL’s products made SYSPRO ideal, with its
strengths across manufacturing, distribution
and even suggests which products and financials.
contribute most to your business. It has
been very successful for us.” The software implementation came in on
- Ian Phillips, budget and ahead of time. Now, just over two
General Manager of Phillips & Smith years on (December 2010) Phillips is satisfied
with the SYSPRO choice.

Ian Phillips, General Manager of Phillips & “We now have stable, accurate financial
Smith, says: “We searched for an ERP system to results and excellent detailed transaction-
support future strategy – we had three or four al data. It is an incredibly powerful tool for
systems before this – and we chose SYSPRO Customer Service and Sales people because
from a field of more than 86 different software they access the precise information they need
vendors. there and then. With the old system, Customer
Service people often had to take down a cus-
“The criteria required a solution with strong tomer query manually and return the call later
sales and distribution functionality, and import with the correct answer,” he says.
costing was critical. The solution also had to
show a good upgrade path, ease of use and Users include staff from upper management
we wanted best fit for our business without through to factory and store people. Sales
customization. We are manufacturers – not people use SYSPRO to access information and
IT people – and wanted to focus on the core facilitate day-to-day decisions.
business.”

7 SYSPRO Global Talk I Vol 6 No.4


WORKING WITH SYSPRO – ASIA PACIFIC

“Previously, we had poor gross margin and which drives behavior more than numbers. It’s
sales analysis. We couldn’t even get our top 10 concise, simple and visual and has brought
customers without dumping high volumes of very significant change for us,” Phillips says.
data into Excel and doing a lot of manipula-
tion,” Phillips says. Inventory Forecasting and Stock Management
The new SYSPRO system was introduced
“Now, we are spoilt for choice with the stand- at a time when PSL faced heavy global
ard sales reports available and easy develop- competition from commoditization of many of its
ment and distribution of many function-specif- products. Low-cost producers – particularly
ic reports using Report Writer. Previously, it was from China – rapidly changed PSL’s business
difficult to analyze information and we had to model. For example, within a period of two
wait until after month-end. Now data is updat- to three years the price of a 1kg fire extinguish-
ed daily, so we view data as fresh as yesterday er fell by around 70% as China became the
– and it’s available at the touch of a button.” largest worldwide manufacturer of extinguishers.

Even PSL’s company culture has been affect- “With a fall in product prices, we need to turn
ed by the new system. By making information over more volume to get the same sales turno-
more visible, employees take ownership and ver – and this creates complexities for ware-
this encourages employee involvement in the housing, importing and distributing,” he says.
business. “Investing in the right stock becomes critical,
as the cost of holding stock is 25% of your stock
Also, PSL has begun to set goals and account- value each year.
ability for people by using SYSPRO’s graphical
tools to simplify these views of data. The com- “Pareto analysis in SYSPRO’s Forecasting mod-
pany is also selective in what financial informa- ule dispels any assumptions you may have
tion is disclosed. about what you think your key products are –
the system does the calculations and shows you
“The built-in graphs are brilliant – we just cut the items that contribute most to the business.
and paste the graphs straight in. Dashboards
are color-coded and don’t show figures, “With SYSPRO’s Inventory Forecasting, we

SYSPRO Global Talk I Vol 6 No.4 8


WORKING WITH SYSPRO – ASIA PACIFIC

of stock keeping units (SKUs) into families and


groupings of similar items. Then we’ll be able to
enter values at top level for a high-level view,
and let SYSPRO disaggregate all the way down
to product level.”

SYSPRO’s close association with APICS (The


Association for Operations Management
– Advancing Productivity, Innovation, and
Competitive Success) has meant that the
best-practice knowledge and techniques of
production and inventory management are
standards within the SYSPRO system, and can
be used by the business.

Training and Customization


have improved customer service levels from PSL loves SYSPRO’s ease of use and
67% to 95%, with 30% less dollar value in stock ability to handle complex processes with ease.
in those product lines we now forecast. It’s also Previously, staff often had to access multi-
provided great forward visibility to our suppli- ple screens for a single piece of information.
ers.” SYSPRO is linked, so it is easy to drill down to the
source.
This improvement was achieved in an envi-
ronment where a lot of the company’s resellers “We have now begun to customize entry
are not stocking as much as they previously screens – out of the box, there is a lot of infor-
did, forcing stocking requirements back onto mation and much of it is not required for every
PSL. Meanwhile, sales people always want user. Now we are looking at cutting it down for
plenty of stock so they don’t run out. each operator according to role to take the
unnecessary clutter out,” Phillips says.
“It is very easy to hide key problems by having
a lot of safety stock and excess inventory. If you Future Steps
start bringing inventory levels down, it reveals The company is looking forward to
true underlying problems. By using SYSPRO you further optimizing its use of the system. Phillips
have tools such as the supplier performance comments: “When we originally installed
report for unreliable vendors, cycle counting SYSPRO, we wanted rapid implementation,
for stock accuracy, forecasting for demand so we imported data from the old systems
history and fluctuations. The tools are already and took old processes and ran them on
there to bring the stock levels down and get SYSPRO. However, this was not ideal as we
immediate returns from it,” Phillips points out. have not used SYSPRO in the most efficient
way. We are now looking at changing business
“We were initially skeptical about the con- processes to use SYSPRO more efficiently and get
cept of inventory forecasting, but SYSPRO took more return. The economic downturn gave us
the ‘too much work’ argument out of the equa- impetus to do that.
tion. SYSPRO does all the calculations and hard
work for you and even suggests which products “Our next steps will be to focus on eliminating
contribute most to your business. It has been bad practices and establishing process flows
very successful for us.” correctly. SYSPRO’s new Workflow Services will
offer a significant tool for this.
Phillips advises: “Don’t bite off more than you
can chew – we’ve started off with the easiest “We are excited about the changes in the
product family and are rolling it out one by one new release of SYSPRO 6.1, which have inspired
and simplifying as much as possible. It’s very us to totally rethink not so much what we’re
simple, but it has to be made understandable going to do, but how we go about it - both as
to everyone. a business and as a user. SYSPRO 6.1 introduces
many of the tools we were looking for from
“Our ultimate goal will be to use Families and outside vendors, and now they will be built into
Groupings, where you can arrange 'collections' SYSPRO.“ v

9 SYSPRO Global Talk I Vol 6 No.4


WORKING WITH SYSPRO – USA

Pilot Brands
integrates
distribution
countrywide
with SYSPRO tions and associated Business Objects give
Pilot a marketplace advantage by enabling
the company to tailor the software to meet the
exacting demands of the food services industry.

Pilot purchased SYSPRO software from SYSPRO


reseller S2 Solutions and implemented the solu-
tion on top of Microsoft XP. Today, 20 concur-
rent users use SYSPRO on a daily basis. Almost
immediately after installation, Pilot began to
see improvements in every phase of the busi-
ness. The efficiencies realized by the compa-
ny include: tight real-time integration of sales

P
ilot Brands, headquartered in Lake Tahoe, orders and remote location inventory for order
Nevada, is a leading importer of lamb, fulfillment and invoicing; more timely invoicing
goat and seafood products for the US with better visibility, accuracy and manage-
market. The company maintains two warehous- ment of inventory levels; the ability to accom-
es and five regional sales offices across the US modate growth without an increase in staffing
to sell meat and seafood products to the food levels; live inventory access for sales people in
services industry. the field with a subsequent elevation of cus-
tomer satisfaction; and month-end procedures
Pilot had been using an accounting pack- which took hours rather than days.
age which, unfortunately, tended to ‘crash’ on
a regular basis. Moreover, the system neces- Saunders particularly appreciates the ‘paper-
sitated error-prone manual entries as well as less invoicing’ afforded by the new software.
the extensive use of spreadsheets. In addition, Pilot is able to scan all backup documentation
support for the package declined steadily and attach it to sales and purchase orders.
and then ceased when the software provider Custom-designed reports, work documents
merged with another company. and even photos are all attached to customer,
supplier and stock query screens via the multi-
Gary Saunders, Pilot’s Vice President of media option. With the click of a button these
Operations, comments: “We also felt our exist- are available to every staff member.
ing system, purchased in 1996, was outdated
given the huge advances made with regard to As with any business, customer satisfaction
remote/internet access.” With warehouses and is very important to Pilot. With the new soft-
offices across the country, Saunders wanted ware in place, field sales personnel are able to
an integrated solution that would eliminate the access current inventory figures, enabling them
duplication of entries in the various units. to provide customers with accurate delivery
schedules. “We no longer have a disconnect
Saunders realized the time had come for between sales order entry and the warehous-
Pilot to implement an ERP software solution. es,” notes Saunders, who takes special pride
After extensive reviews the choice narrowed to in the custom warehouse system which ties
SYSPRO. Saunders liked the real-time integrated directly into the SYSPRO software database
nature of the various SYSPRO modules. “I also through T1 lines.
appreciated the ability we have to customize
the various inquiry screens without having to The custom-designed Warehouse Mana-
change the source code.” SYSPRO e.net solu- gement System, developed by S2 Solutions’

SYSPRO Global Talk I Vol 6 No.4 10


WORKING WITH SYSPRO – USA

associate Richard Linsdall, uses portable scan- SYSPRO offers the flexibility to close off (and re-
ners to locate and store the respective prod- open) individual sub-ledgers, thereby minimiz-
ucts and pallet positions within the warehouse. ing any interruptions to the business.
“However, we don’t use it to scan individual
cartons as the numerous barcode formats and Commenting on cost savings resulting from
number of damaged or unreadable barcodes the new SYSPRO solution, Saunders says: “The
slow the process down. Although we still find it biggest advantage would be improvements in
faster to manually record all weights, the solu- staff efficiency and our ability to outsource tasks
tion has greatly facilitated inventory tracking to under-utilized staff anywhere in the country.
and expedited customer shipments,” he says. The second biggest improvement would be
associated with having a ‘live’ system avail-
Citing another example of the enhanced able to any and all staff with Internet access.
efficiencies brought about by the new SYSPRO This has enabled all staff members to make
solution, Saunders points out that the month- informed and subsequently improved decisions
end close now takes a mere two days whereas with regard to day-to-day transactions – and
it previously took four to five days. Should this is priceless.” v
additional time be required (as with year-end,)

11 SYSPRO Global Talk I Vol 6 No.4


WORKING WITH SYSPRO – UK

SYSPRO
integration manages
the inventory
conundrum at
Dawson MMP

K
eeping a tight rein on inventory is essential
to running an efficient organization, and
the importance of inventory management
increases for companies carrying both finished
products and a wide range of spares for routine
maintenance and repair. No organization wants
to stock more than it needs, but it is essential to
ensure that sufficient items are stocked to meet
customers’ needs. Leading catering equipment
supplier Dawson MMP shows how SYSPRO, inte-
grated with specialist inventory management
software, makes it easier to optimize inventory
and provide excellent service.

Cost management and customer service are


highlighted time and time again as the key
ingredients for a thriving business. Furthermore, Reports. SYSPRO integrates seamlessly with a
managing inventory levels is a major focus for specialist inventory management system called
many customer-focused organizations. Such Optimiza from Barloworld Optimus.
companies understand the need to maintain
sufficient levels of products and spares to meet Working together, these fully integrated sys-
customer needs without having money tied up tems help Dawson MMP to meet its supply and
in excess stock. This is not an easy task without service targets by maintaining tight control of
the right tools. all inventory items.

Dawson MMP is a prime example of a UK-based Customers must have excellent service
company which sources finished products from Supplying high-quality industrial catering
European manufacturers for selling through equipment is only one element of the busi-
dealers and also directly to public bodies such ness. In this market after-sales service is just as
as the NHS, educational institutions and the important, as end users expect their equipment
prison service. With long lead times for prod- to work regardless of the punishing nature of
ucts, the company must maintain healthy stock the catering environment. Breakdowns have
levels so that customers are not left waiting for to be repaired quickly and efficiently, and rou-
their equipment or for service and repair. tine maintenance must not cause unnecessary
downtime because a spare part is out of stock.
The £10 million turnover business is part of the This is where SYSPRO plays an important role.
Ali Group of companies – the largest group of
industrial catering equipment manufacturers The integrated SYSPRO system keeps track of
and suppliers in Europe. A long-term SYSPRO the spare parts and helps Dawson MMP to build
user, Dawson MMP relies on the system to help stock profiles to optimize the amount of each
it run a slick operation. The company uses item so that it can meet its first-time fix KPI (key
a number of core SYSPRO modules, includ- performance indicator). The system allows this
ing Accounts Payable/Receivable, Cash Book, without over-stocking and also prevents cash
Sales Ledger, Sales Analysis, Quotations and being tied up in unnecessary stock.

SYSPRO Global Talk I Vol 6 No. 4 12


WORKING WITH SYSPRO – SYSPRO UK

particularly as many of the products we sell


have long lead times. We have two types of
stock: finished products – the machines – and
spare parts. We hold 200 lines of machines and
about 17,000 lines of spares," Gordon explains.

The integration of both systems provides easy


access to highly detailed inventory information.
This includes the ability to identify potential
stock-outs, purchase orders that need expedit-
ing as well as highlighting surplus and excess
items. This level of visible detail enables Dawson
MMP to focus on managing these issues.

“The solution helps us maintain optimum


stocks. With it we can avoid holding excess
levels or incurring stock-outs of any item. This
keeps our dealers happy and means that we
can deliver exceptional service. We could not
function 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 SYSPRO
reseller K3 Business Technology Group to devel-
op the SYSPRO MRP module as a replacement
to Optimiza. This will take Dawson MMP’s imple-
mentation of SYSPRO to a very advanced level.
Steve Gordon, Finance Director of Dawson
MMP, says: “After-sales service is extremely “We are very happy with SYSPRO and are all
important. We get in to fix a breakdown within very comfortable using it. The system is easy
24 hours and we expect to meet our stringent to use and we understand it. By developing
KPI of 75% first-time fixes. We must have the right MRP as an inventory management tool within
spares in stock so that our service technicians SYSPRO, we feel that we are taking another
can meet this demanding target.” major step forward in developing tools that will
help boost our efficiency,” Gordon says. v
The integration of SYSPRO and Optimiza is
essential for clear visibility of stock.

“We have five major brands of equipment


and receive a weekly shipment from each one.
The items arrive on a 40ft trailer and can be any
combination of equipment or spares. We put
all of this into SYSPRO using the goods-received
note,” Gordon says.

Data entered into SYSPRO automatical-


ly updates Optimiza, enabling the inventory
management software to calculate the ideal
levels of safety stock and optimal replenish-
ment orders for every product, part and spares
item. It then produces inventory replenishment
recommendations, automatically flagging up
parts that need immediate re-ordering or a
reassessed stock level.

“It is crucial that we have the right stock levels,

13 SYSPRO Global Talk I Vol 6 No.4


WORKING WITH SYSPRO – CANADA

Tangram Surfaces ahead of the pack

B
est known to contractors and consumers
alike by its Centura brand, Tangram Surfaces
was established in 1985 as a wholesale and
retail distributor of ceramic tile and marble prod-
ucts. At the time, the company operated a 2,700
sq. ft. warehouse in Dartmouth, NS.

Rapid growth and success saw the company


expand to 70,000 sq. ft. across three brand-new
warehouses to strategically cover the Canadian
east coast. One area which threatened to restrict
the success was business software. Tangram had
originally installed a popular generic accounting
system and, as the business grew, the limitations September and the company was operating live
of the software became increasingly trouble- on 1 January at all locations.”
some. The management team determined that
the computer software must be upgraded or He says the results have been ‘magnificent’.
replaced to enhance staff productivity. “Inventory quantities are now accurate and
dependable on a real-time basis. Sales staff can
John Walsh, Director of Finance, explains: “There feel confident when committing stock to custom-
was a variety of problems with our previous soft- ers. Physical stock counts are also dramatically
ware; day-end processing required all the users improved, taking less time with substantially lower
to exit the system for approximately an hour every variances. In addition, we now have reliable
day; lot tracking was handled by other software ‘aging’ for all time-sensitive items in inventory –
that repeatedly caused problems; and reports which makes it much easier to pinpoint stock to
were limited and cumbersome.” be cleared.”

Commenting on the biggest challenge for the The financials have also improved, as landed
company, Walsh says: “We were forced to allow costs for shipping and brokerage are automati-
inventory quantities to go negative because the cally apportioned properly to each stock receipt,
system was oriented towards ‘batch processing’ ensuring that Tangram’s stock valuations are more
and didn’t reflect the latest status of available/ realistic and its sales margins more meaningful.
on-hand quantities. This caused some big sur- This means that the company’s monthly financial
prises during our annual stock count valuations. reports are dead-on accurate for inventory valu-
It also meant our sales team could not depend ations, with accrued accounts payable matching
on stock allocations and frequently promised the to purchasing.
same stock to several different customers.”
SYSPRO’s margin protection features with built-in
The company began seriously investigating password protection also made a big difference
business software alternatives and narrowed its to the bottom line. Walsh singles out the SYSPRO
options down to SYSPRO. Walsh describes how back-order review function: “This program makes
the selection process unfolded: “The closer we purchasing decisions vastly easier than before –
analyzed the features contained in SYSPRO, the and especially useful to ensure all customer back-
more we realized what we had been missing,” he orders are fulfilled on a timely basis with clarity
says. “Our General Manager turned to me during about what stock is intended for which warehouse
a demonstration of the sales order processing and and customer. SYSPRO has dramatically simplified
declared that features in SYSPRO could potential- our lives – far beyond what our previous software
ly double the productivity of his customer service could do. It was the right choice.”
team!
Walsh plans to roll out the latest version of the
“Our software decision became quite clear software over the next few months to continue
as a result. We chose the solution with the high- reaping the benefits of SYSPRO’s steady stream of
est return on investment. SYSPRO was ordered in enhancements. v

SYSPRO Global Talk I Vol 6 No.4 14


Africa and the Middle East UK & Europe
SYSPRO (Pty) Limited K3 Business Technology Group
Block A Baltimore House
Sunninghill Place 50 Kansas Avenue
9 Simba Road Salford Quays
Sunninghill Manchester
Johannesburg United Kingdom
2191 M50 2GL
South Africa Tel: +44 161 876 4498
Tel: +27 (0) 11 461 1000 Fax: +44 161 876 4502
Fax: +27 (0) 11 807 4962 Email: syspro@k3btg.com
Email: info@za.syspro.com
USA & Americas
Asia Pacific
SYSPRO Impact Software, Inc.
SYSPRO Software Pty Limited 959 South Coast Drive, Suite 100
Level 5, 113 Wicks Road Costa Mesa, (Los Angeles region)
North Ryde (Sydney) NSW 2113 California
Australia 92626
Tel: +61 (2) 9870 5555 USA
Fax: +61 (2) 9889 5566 Tel: +1 (714) 437 1000
Email: info@syspro.com.au Fax: +1 (714) 437 1407
All enquiries: Toll free: (800) 369-8649
Australia: 1300 882 311 Email: info@us.syspro.com
Singapore toll free: 800 616 2209
Malaysia toll free: 1800 812 655
Indonesia toll free: 0018 0306 121 62

Canada

SYSPRO Software Limited


4400 Dominion Street
Suite 215
Burnaby (Vancouver)
British Columbia
Canada
V5G 4G3
Tel: +1 (604) 451-8889
Fax: +1 (604) 451-8834
Email: info@ca.syspro.com

www.syspro.com
Copyright © 2009 SYSPRO. SYSPRO Version 6.0 Issue 010 Service Pack 2. All rights reserved.
All brand and product names are trademarks or registered trademarks of their respective holders.
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Every effort has been made to ensure that this book contains accurate and current information.
However, SYSPRO and the author shall not be liable for any loss or damage suffered by readers as a result of any
information contained herein.

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