Oracle Customer Success — Delmon Poultry Company

Delmon Poultry Shortens Sales Reconciliation by 4 Days, Closes Accounts 12 Days Faster

The beauty of Oracle E-Business Suite is that it is simple to use. We now have an integrated enterprise resource planning solution that lets us bring new levels of operational efficiency to our organization and implement and maintain poultry-industry best practices. And, we completed the implementation in just 16 weeks.

— Hussain Falah, IT Manager, Delmon Poultry Company

Delmon Poultry Company (DEPCO) produces halal poultry and hatchery products in Bahrain under the renowned Farm Chicken brand. Established in 1980, the company owns and operates facilities for slaughtering, processing, packing, storing, and distributing chickens, as well as animal feed and day-old chicks. DEPCO’s hatchery produces 9.8 million chicks per year, distributing them to 33 local farms to raise. The company collects and processes more than 30,000 chickens daily, selling fresh and frozen, whole and portioned chicken to leading supermarkets as well as smaller grocery stores throughout the country.

Challenges

Increase efficiency by accelerating reconciliation of sales and inventory, including loads of delivery trucks that transport day-old chicks and chicken feed to farms, collect chickens for processing, and distribute freshly processed chicken products—a process that required up to five worker-days to reconcile data generated in a single business day
Integrate enterprise information, including finance, human resources (HR) and supply chain data onto a common platform to provide a single source of truth, improve decision-making and management of company assets, and accelerate end-of-period closings

Increase use of process automation to reduce human errors, for example by reducing manual payroll processes, such as tracking attendance timesheets and payroll data for 186 employees, including chicken-processing plant workers, drivers of collection and sales trucks, feed-mill operators, and back-office personnel
Gain the ability to issue financial statements from the system and provide managers with accurate insight into different business areas, such as production or sales of fresh, whole chickens; chicken feed; and frozen chicken parts

Deployed Oracle E-Business Suite Release 12.1.3 as a single, integrated, enterprise resource planning (ERP) platform to greatly increase operational efficiency by centralizing production and sales data for feed-mill, hatchery, and chicken-processing operations
Reduced the time to reconcile daily sales of whole chickens, portioned chicken, and chicken-feed pellets from five days to one day, thanks to an automated sales solution that allows truck drivers to use handheld devices, integrated with Oracle E-Business Suite, to scan barcodes and generate automated receipts

Reduced time to run payroll to just two days, rather than more than a week, eliminating manual processes and spreadsheets while ensuring full compliance with local HR regulations, thanks to Oracle Payroll and Oracle Time and Labor
Deployed Oracle Financials to streamline chart-of-accounts management, generate accurate management reports in various formats, ensure on-time submission of financial statements, and reduce month-end closing cycles from up to 15 days to just 3 days
Integrated Oracle Inventory with feed mill operations to improve production efficiency by eliminating human calculation errors––from receiving raw feedstock ingredients to the production of various chicken-feed pellets while ensuring feed is always mixed correctly
Automated HR data by integrating Oracle Time and Labor with attendance systems in chicken processing plants, eliminating time-consuming, paper-based records and enabling supervisors to manage production teams better, thanks to instantly available archived timecards and graphical timesheet dashboards
Deployed Oracle Order Management to minimize procurement lead times and paperwork

Oracle E-Business Suite is a perfect fit for our system requirements. Oracle has the inventory and HR functionality that other systems lacked—capabilities that complement our natural business workflows. In addition, Oracle’s unique standards-based technologies enabled us to easily integrate Oracle E-Business Suite with our subsystems in production and sales, and, thanks to its flexibility, we can easily customize reports across our entire business according to our needs.

— Hussain Falah, IT Manager, Delmon Poultry Company

Execution

DEPCO recognized that communication was crucial to successfully integrating its various business functions onto a single platform. Stakeholders, including the project sponsors, financial resource manager, IT manager, implementation team, and key business users were involved at each project phase to quickly identify and mitigate risks and ensure proper testing according to the project schedule. DEPCO completed the implementation within budget and on schedule, taking just 16 weeks.

About Delmon Poultry Company

Headquarters

Al-Hamala, Bahrain

Employees

186

Annual Revenue

Under $100 Million

Delmon Poultry Company

Partners

DEPCO selected Oracle Platinum Partner Evolutionary Systems Arabia (Evosys) because of its vast implementation experience in the fast-moving consumer goods industry, which enabled the project to go live three days ahead of schedule. Evosys’s consultants integrated Oracle E-Business Suite with third-party technology, including time-and-attendance systems, and handheld sales devices used by delivery truck drivers.

Besides managing the technical implementation, Evosys provided master data cleansing, customized accounting using the subledger-accounting method, redesigned the chart of accounts, and developed financial-statement generator reports specific to DEPCO’s business requirements.