Customer Solution Case Study
/ / An International Wholesaler Finds Big Savings with Supply Chain Management Solution
Overview
Country or Region: Netherlands
Industry: Wholesale and Distribution
Customer Profile
Container Technics is an international wholesaler of corrugated fiberboard equipment and material.
Business Situation
The company spent too much time and resources moving paperwork among satellite offices. Tracking items, payments, and shipments was inefficient and expensive.
Solution
The company now uses Microsoft® Business Solutions—Axapta® to track international deliveries and to automate deliveries between its own branches. This has resulted in such time savings that three employees have been moved out of administration and into sales.
Benefits
Simplified record-keeping with a single database
Improved customer service
Less human input and fewer human errors
Fast ROI
Low TCO / "We now know which articles we have in stock, where they are and how quickly we can deliver them,"
Henk Postmus, General Manager of Container Technics
Container Technics, a wholesaler of corrugated fiberboard equipment with offices in 6 countries, optimized its distribution processes with Microsoft® Business Solutions–Axapta (now part of Microsoft Dynamics™). All of Container Technics' offices now access the same business data, so that customers can now get precise information on available stocks and delivery time. Microsoft Axapta saved so much time by reducing manual paperwork handling and data re-entry that the company was able to reduce administration staff, and re-task those employees in the sales department where they were needed more.
Situation
The world of corrugated fiberboard is a fully international world. But because it's a niche market, it is not cost-effective to maintain subsidiary branches in every country the company does business in."
"Our knowledge and support is centralized in the Netherlands; we have branches in large countries and arrange sales in other countries via local agents," explains Henk Postmus, General Manager of Container Technics, a Dutch international wholesaler that delivers materials and peripheral equipment for the processing of corrugated fiberboard. "That means that the software we use must perform well and meet our needs. Sales personnel in different countries must be able to access the same information on prices and agreements with customers."
How did Container Technics come to choose Microsoft® Business Solutions—Axapta®? Initially, it was no different than the process any other company would use, when looking for an ERP solution to handle its business-critical information. A list of requirements for the solution was agreed upon. The company then solicited information from several software houses and called in consultants.
"But no system was able to meet our needs," says Henk Postmus. "Then I happened to read a story about a wholesaler that had opted for Microsoft Axapta. It was as if I were reading a story about my own company. What they had there was exactly what we wanted. Its supplier, HGH Business Solutions, also implemented Microsoft Axapta with us."
Solution
HGH Business Solutions B.V. implemented Microsoft Axapta for Container Technics in 8 months. The advantages of Microsoft Axapta quickly translated into better marketing for the company and more value for the customers.
"We now know which articles we have in stock, where they are and how quickly we can deliver them," says Henk Postmus. "Our customers automatically receive a confirmation that the goods have been sent and know exactly when they can expect them. Eventually we want to take it a step further by making tracking and tracing possible via the Internet. Then the customer will have all the information on the status of his order, and we'll have less work answering his questions. The Internet module was also one of the reasons why we chose Microsoft Axapta. Another plus point for Microsoft Axapta is that we can let customers use their own item numbers for orders. That will help ‘bind' customers to us, giving us yet another competitive edge."
Before Microsoft Axapta, the employees of Container Technics needed to do a lot of double work. An order in France had to be entered again in the Netherlands, and documents had to be forwarded from one country to the other. "We now work with one article file and one price list for all of Europe," says Henk Postmus. "In each branch, any changes in those documents had to be passed on by hand in stand-alone packages. With Microsoft Axapta, we do it all at once. And that means less work. We used to make five copies of purchase orders so we could monitor the order. The monitoring system is now in Microsoft Axapta, and that saves a lot of paper. But the most important aspect of this time- and money-saving system is that we do the same amount of work with three fewer people. Now we can put those people into sales."
These savings are primarily made possible by the Intercompany module. All branches call in via a virtual private network (VPN) to the head office in the Netherlands and can then access the central database. Henk Postmus points out, "Because we have concentrated the knowledge in the Netherlands, we can suffice with small branches abroad. If necessary, personnel in the Netherlands can enter an order for our English office, and the packer's number comes out of the printer there. The staff always had to call the foreign branches to ask if an article was still in stock there, and then call the customer back again. Now they can see on their screen which foreign branch still has it in stock and what the delivery time is. They can immediately place an order with that branch, as if they were working there themselves. The article is delivered from the local branch. This is an enormous improvement in the service to our customers. Legally speaking, we have different companies, but the customer doesn't have to bother with that. Operationally speaking, we work as if we were one company."
Benefits
Simplified Record-keeping with a Single Database
When an order is entered into Microsoft Axapta at any location, the order information is stored in a single database and is instantly available to all offices across the entire company. Data only needs to be entered once rather than re-entered in each separate location, and double work is eliminated.
Improved Customer Service
Customers or customer service personnel can see items in stock and the locations of items wherever they are stored, so they can place orders with confidence and know at the moment items are ordered exactly when the items will arrive. Also, customers can use their own familiar numbers to track items and orders, which results in better customer service and more customer loyalty to the company.
Less Human Input and Less Chance of Human Errors
Because data only needs to be entered once, and the business information is automatically updated across the company, fewer entries need to be made by hand, and there is less opportunity for keying and re-keying errors.
Fast Return on Investment (ROI)
Container Technics expects the savings created by running Microsoft Axapta to pay for the investment in the solution within two years.
Low Total Cost of Ownership (TCO)
Microsoft Axapta is 15 percent less expensive to operate than Container Technics' old ERP system.
Microsoft Dynamics
Microsoft Dynamics is a line of integrated, adaptable business management solutions that enables you and your people to make business decisions with greater confidence. Microsoft Dynamics works like familiar Microsoft software such as Microsoft Office, which means less of a learning curve for your people, so they can get up and running quickly and focus on what’s most important. And because it is from Microsoft, it easily works with the systems your company already has implemented. By automating and streamlining financial, customer relationship
and supply chain processes, Microsoft Dynamics brings together people, processes and technologies, increasing the productivity and effectiveness of your business, and helping you drive business success.
For more information about Microsoft Dynamics, go to: