Client Situation
A large multinational company, with numerous subsidiaries around the world, had been struggling to generate valuable management information out of its existing systems. The company required an ERP system that was designed to meet both current financial reporting and operational needs, but also anticipate the growth of the company as outlined in the strategic plan. The system required this capability for international expansion, to accommodate local statutory reporting requirements, as well as diversification into different business lines. The ERP system needed to be designed to provide the data directly out of the system and provide management information that could be measured against the KPIs established in the strategic plan.
Solution
A E78 partner was hired to lead the implementation of an updated management information system to simplify, automate, standardize, and promote collaboration between functions and people. The system needed to provide transparency so the operations of the company were easy to understand from both an operational and financial perspective. Policies and procedures were developed and then managed under a unified ERP system approach to ensure it became the single source for all financial, operational and management information. To ensure data integrity, the use of spreadsheets was minimized as accurate and reliable information would be delivered to users from the system. Extensive time was spent with financial and operational managers to ensure that the information delivered to them was actionable and easy to use.
Results
- A globally recognized ERP system was deployed for 17 entities in 5 countries. The system eliminated duplicate auxiliary systems, streamlined the process to consolidate activities and eliminated redundancies. By providing accuracy and timeliness of information, the system became the information point for all operational and management decision making.
- One example of the success of the new ERP system was that it distributed various sales and operating cost reports automatically to the appropriate users directly by e-mail every Monday morning. This weekly information helped people drive their operating behavior and gave them the tools to make better and more informed decisions. Having access to the accurate sales information weekly allowed all users to adjust their performance targets for the upcoming week.
