Powering New Growth
Continued
Dixon credits the JD Edwards EnterpriseOne Sales Order Management applications for these measurable gains in efficiency, calling the JD Edwards EnterpriseOne Sales Order Configurator the "lifeblood" of his firm's make-to-order business. The configurator simplifies order entry activities by combining information from multiple channels, helping sales reps to configure products, verify delivery dates, calculate freight, and check customer credit. Managers use the associated business intelligence software, in conjunction with the JD Edwards EnterpriseOne reporting tools, to evaluate pricing history, calculate the profitability of individual sales lines, and track product quality. "Rework is a big issue in this industry," explains Dixon. "We make up to 1,200 lines per day and they're all accurately configured with the JD Edwards tools."
Hunter Douglas now has a more-cohesive technology platform for new ventures, yet it has reduced its overall head count significantly. Most of these staff reductions resulted from eliminating duplicate back-office functions in accounting, IT, order entry, and customer service. Additionally, the company used to run five different hardware and software systems. Now it has just one cohesive system, and three-and-a-half full-time equivalents managing the entire JD Edwards infrastructure. According to Dixon, the new system enables the company to provide better customer service as well as to generate significant savings in transaction costs.
Lessons Learned
What's the take-home point for midsize business owners? Although implementing an enterprise resource planning system is a major commitment, with the right technology and expertise, it's a commitment that can yield enormous returns. As Oracle's Keever says, the key is to make it a business project, not just a technology project, and to engage partners who understand the domain at hand. "Involve business stakeholders from the outset, and make sure that the core business processes and long-term business objectives are reflected in the software," he notes.
Part of the reason Hunter Douglas has been so successful is because of the company's insistence on involving users from all areas of the business during the implementation cycle. These experts worked closely with Hunter Douglas' in-house IT staff. Meanwhile, the IT pros conferred with application consultants provided by Oracle's JD Edwards to ensure they were correctly installing, deploying, and using the new business applications.
BREG's Romeo cautions IT managers to consider the cultural aspects of an enterprise resource planning implementation, not just the raw mechanics of installing new software. He also stresses the importance of installing standard software with minimal customizations. "We find that Oracle offers such robust solutions that we don't have to acquire other software to fill perceived gaps," he explains. "By keeping the processes within Oracle E-Business Suite, we can leverage the data throughout the company and create a more-cohesive set of business processes."
If a custom function or module is necessary, Romeo says to look to the surrounding ecosystem for guidance. "There's a thriving customer base that has rallied around Oracle's software applications," he adds. "Oracle has done a phenomenal job of understanding the core business requirements for our industry."
As these companies demonstrate, Oracle's business applications can help midsize companies deploy the type of sophisticated back-office business systems that larger companies have long enjoyed. "We aspired to be much more than we were when we made the strategic decision to adopt Oracle software," concludes Romeo. "Having the right technology behind the business has helped us grow up very quickly."
For More Information
Oracle for Midsize Companies
Oracle Applications
David Baum is a freelance business writer based in Santa Barbara, California.
