Moving Away from Legacy Systems and Choosing the Right ERP Solution

Transcription

1 Moving Away from Legacy Systems and Choosing the Right ERP Solution Ron Grilli, CEO, Simparel David Cropper, CIO, Mamiye Brothers Simparel, Inc Slide 1

2 Today s ERP Solution Pressures 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 Slide 2

3 What s Your Game Plan for Tomorrow? Simparel, Inc Slide 3

4 Technology & Processes Have Evolved Vintage 1980 to 2000 s Next Generation Telex, Fax, Phone Fedex Courier Based Specification Exchange Drawings, Swatches, Pattern Parts Integrated Office, PDA devices, Messaging Virtual Collaboration Digital Design Tools Legacy ERP Traditional Software???? Simparel, Inc Slide 4

5 Did Your Business Get Left Behind? Common Legacy Environment drawbacks: Rigid development & delivery methodologies Lengthy reaction time to address business changes Overly-complicated & difficult-to-manage programs Functionality gaps & user dissatisfaction Costly and/or painful version release upgrades Business applications written at different times with different tools, languages, etc. Simparel, Inc Slide 5

6 What to look for in Advanced ERP Solutions Common Technology Platform across business functions Open Architecture for ease of configuration Common MS Office and related products integration Shared business views from concept to delivery Dynamic configuration and reconfiguration Ease of access via client or web or mobility devices Deployment capable of leveraging cloud computing Flexible user friendly forms and processes Simparel, Inc Slide 6

7 Advanced ERP TCO Improvements Traditional ERP Total Cost of Ownership Next Generation ERP Requirements Definition Requirements Definition Complete definition Flexibility of definition required prior to allows for changing development. business requirements. $$$$ $ Development Cycle Rigid development requires significant effort even for minor changes. Development Cycle Metadata driven environment enables rapid development. $ Savings Areas: $ ERP Definition $ Configuration $ Deployment Ongoing Maintenance & Support Complex hard coded programs require specialized maintenance and support. Ongoing Maintenance & Support Configurable metadata reduces maintenance and simplifies ongoing support. $ Enhancements $ Support Simparel, Inc Slide 7

8 Take Inventory of Your ERP Platform(s) 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 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 Slide 8

9 Redefine Your Business Requirements 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 Slide 9

10 Advanced ERP $$$ ROI Potential Key Challenges Balancing supply with demand $$$ $$$ $$$ $$$ $$$ $$$$ Identifying trends & exceptions Removing supply chain bottlenecks Optimizing inventory levels Reducing complexity costs with growth Leveraging the power of the Internet Potential Net Income Opportunity Simparel, Inc Slide 10

11 Deliver Business User Friendly Processes Intuitive Efficient Automated Alert Driven Customizable Web Accessible Collaborative Simparel, Inc Slide 11

12 Best Practices at Work Simparel, Inc Slide 12

13 65 Years Old Family Owned and Operated Apparel Company Simparel, Inc Slide 13

14 About Mamiye Brothers Historically recognized as exclusively Children s apparel licensed products (Disney, Looney Tunes, etc.) Domestic distribution only 12 piece prepack business Transitioning since 2000 to more complex business offering 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 Slide 14

15 Current Business Challenges Economic recovery climate Increasing labor costs where products traditional sourced Increasing raw material costs Back office footprint expanding globally Deliver a value proposition that holds the line on cost while maintaining quality and fashion Flexible nimble infrastructure to support the needs and growth of the business Simparel, Inc Slide 15

16 ERP Systems Background Current ERP legacy system in place for 12 years Highly modified and not supported by the Vendor Many bolt-ons Not considered user friendly Expensive to modify Simparel, Inc Slide 16

17 New ERP Decision & Process Early 2010 decision to determine cost/benefit of newer solutions 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 Shortlisted 4 Vendors Interviews and in-depth demonstrations versus RFP checklist April 1 st contract signing Simparel, Inc Slide 17

18 Roll-Out Minimal conversion, ramp up/wind down Little Me and Flapdoodles Business rules & references complete Styles for upcoming seasons loaded Sales & production orders Nov 1 st ready Integration with 3PL on track Document Management link on track Balance of Mamiye Business Divisions 1 st Quarter 2011 Simparel, Inc Slide 18

19 Future Plans Fully Integrated Collaboration PLM processes Vendor Portal processes Enhanced Business Reporting Executive Dashboards Alerts Simparel, Inc Slide 19

20 Don t Be This Guy?????? Session Questions? Simparel, Inc Slide 20

21 Thank You! Ron Grilli David Cropper Simparel, Inc Slide 21