Moving Away from Legacy Systems and Choosing the Right ERP

Transcription

Moving Away from Legacy Systems and Choosing the Right ERP
Moving Away from
Legacy Systems and
Choosing the Right
ERP Solution
Ron Grilli, CEO, Simparel
David Cropper, CIO, Mamiye Brothers
© Simparel, Inc. 2010
Slide 1
Today’s ERP Solution Pressures
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Business Agility – launching new
product lines, new markets,
complex channels, evolving
processes
Collaborative Demands – global
supply chains, quick response,
unified business and data
processing
Mandated Compliance – ever
changing import and export
requirements, retailer demands,
consumer product requirements
Processing Efficiencies – data
accuracy, completeness,
timeliness, consistency
© Simparel, Inc. 2010
Slide 2
What’s Your Game Plan for Tomorrow?
© Simparel, Inc. 2010
Slide 3
Technology & Processes Have Evolved…
Vintage 1980 to 2000’s
Next Generation 2010 +
Telex, Fax, Phone
Integrated Office, PDA devices, Messaging
“Fedex “ Courier Based Specification Exchange
Virtual Collaboration
Drawings, Swatches, Pattern Parts
Digital Design Tools
Legacy ERP Traditional Software
????
© Simparel, Inc. 2010
Slide 4
Did Your Business Get Left Behind?
Common “Legacy Environment” drawbacks:
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Rigid development & delivery methodologies
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Lengthy reaction time to address business changes
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Overly-complicated & difficult-to-manage programs
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Functionality gaps & user dissatisfaction
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Costly and/or painful version release upgrades
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Business applications written at different times with different
tools, languages, etc.
© Simparel, Inc. 2010
Slide 5
What to look for in Advanced ERP Solutions
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Common Technology Platform across business functions
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Open Architecture for ease of configuration
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Common MS Office and related products integration
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Shared business views from concept to delivery
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Dynamic configuration and reconfiguration
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Ease of access via client or web or mobility devices
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Deployment capable of leveraging cloud computing
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Flexible user friendly forms and processes
© Simparel, Inc. 2010
Slide 6
Advanced ERP TCO Improvements
Total Cost of Ownership
Traditional ERP
Requirements Definition
Complete definition required prior to development.
$$$$
Next Generation ERP
Requirements Definition
Flexibility of definition allows for changing business requirements.
Development Cycle
Rigid development requires significant effort even for minor changes.
Development Cycle
Metadata‐driven environment enables rapid development.
Ongoing Maintenance & Support
Complex hard‐coded programs require specialized maintenance and support.
Ongoing Maintenance & Support
Configurable metadata reduces maintenance and simplifies ongoing support.
© Simparel, Inc. 2010
$ Savings Areas:
$
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$ ERP Definition
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$ Configuration
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$ Deployment
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$ Enhancements
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$ Support
Slide 7
Take Inventory of Your ERP Platform(s)
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Infrastructure − your ability to leverage
today’s on-demand computing, web
access, mobility devices, etc.
ERP vintage − its relevance in today’s
world of open architecture, xml standards,
metadata, RAD tools
Offline processes − number of offline
stand alone spreadsheet and email
processes in use across the business
Applications & interfaces − systems
that need to be connected, monitored and
independently maintained
Enhancements & support − IT skill set,
personnel, flexibility and support
© Simparel, Inc. 2010
Slide 8
Redefine Your Business Requirements
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PLM − digital assets, design concepts,
specifications, costing, approvals, etc.
SCM − RFQ, costing, procurement,
production, inbound logistics, etc.
MFG – Capacity planning, material
requirements, inventory, shop floor, etc.
ERP − product and business hierarchy,
workflow, transactional processes, alerts,
reporting views, customer compliance, etc.
EDI − role of EDI in sourcing, cataloging,
retail trading, 3PL, finance processes, etc.
WMS − DC warehouse functions, RF &
RFID, case pack, pick pack, reprocess, etc.
© Simparel, Inc. 2010
Slide 9
Advanced ERP $$$ ROI Potential
Key Challenges
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Balancing supply with demand
$$$
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Identifying trends & exceptions
$$$
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Removing supply chain bottlenecks
$$$
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Optimizing inventory levels
$$$
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Reducing complexity costs with growth
$$$
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Leveraging the power of the Internet
$$$$
© Simparel, Inc. 2010
Potential Net Income Opportunity
Slide 10
Deliver Business User Friendly Processes
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Intuitive
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Efficient
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Automated
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Alert Driven
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Customizable
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Web Accessible
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Collaborative
© Simparel, Inc. 2010
Slide 11
Best Practices at Work
© Simparel, Inc. 2010
Slide 12
65 Years Old Family Owned and
Operated Apparel Company
© Simparel, Inc. 2010
Slide 13
About Mamiye Brothers
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Historically recognized as exclusively Children’s apparel licensed
products (Disney, Looney Tunes, etc.)
– Domestic distribution only
– “12 piece prepack” business
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Transitioning since 2000 to more complex business offering
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Added Juniors and most recently Missy lines
Macy’s Affinity program
Domestic and International
Multi configured prepacks, single size replenishment, etc.
Less reliance today on licensed product with own brands
– Little Me
– Flapdoodles
– Wallflower (jeans)
© Simparel, Inc. 2010
Slide 14
Current Business Challenges
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Economic recovery climate
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Increasing labor costs where products traditional sourced
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Increasing raw material costs
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Back office footprint expanding globally
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Deliver a value proposition that holds the line on cost while
maintaining quality and fashion
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Flexible nimble infrastructure to support the needs and growth of
the business
© Simparel, Inc. 2010
Slide 15
ERP Systems Background
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Current ERP legacy system in place for 12 years
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Highly modified and not supported by the Vendor
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Many “bolt-ons”
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Not considered user friendly
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Expensive to modify
© Simparel, Inc. 2010
Slide 16
New ERP Decision & Process
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Early 2010 decision to determine cost/benefit of newer solutions
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Reduction in headcount projected at 2% of payroll
Other G&A savings projected at 5%
Projecting significant growth in business with reduced headcount
Flexibility to enter new markets
SaaS requirement
– Moving away from being in the data center business
– Scalability, DR, subscription pricing—Major pluses
– Ultimately allowing us to focus on the business
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Shortlisted 4 Vendors
Interviews and in-depth demonstrations versus RFP checklist
April 1st contract signing
© Simparel, Inc. 2010
Slide 17
Roll-Out
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Minimal conversion, ramp up/wind down
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Little Me and Flapdoodles
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Business rules & references complete
Styles for upcoming seasons loaded
Sales & production orders Nov 1st ready
Integration with 3PL on track
Document Management link on track
Balance of Mamiye Business Divisions
– 1st Quarter 2011
© Simparel, Inc. 2010
Slide 18
Future Plans
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Fully Integrated Collaboration
– PLM processes
– Vendor Portal processes
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Enhanced Business Reporting
– Executive Dashboards
– Alerts
© Simparel, Inc. 2010
Slide 19
Don’t Be This Guy…
???
Session Questions?
© Simparel, Inc. 2010
???
Slide 20
Thank You!
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Ron Grilli
ron.grilli@simparel.com
212-279-5800
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David Cropper
david.cropper@mambro.com
212-279-4150
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www.simparel.com
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www.mamiye.com
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© Simparel, Inc. 2010
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Slide 21

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