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Keeping
it Simple with
Sage
Line 500
The
company
Accantia
Health & Beauty Limited was formed as a
result of a buyout from global medical
devices company Smith & Nephew Plc.
Accantia
Health and Beauty manufacture and supply
skin care products, toiletries and feminine
hygiene products, its most high profile brands
comprising of Simple and Lil-Lets. Annually
the business manufactures 450 million tampons
to support Lil-lets’ number
two position in
the tampon market. Recently Accantia
has entered into the production of a
Simple Men’s
and Baby range of products making
it a leading
force in the health and beauty market.
Based in
Birmingham
Accantia has over 500 employees
and distribution outlets nationwide.
“The key issue was to ensure that the
business had the right quantities of stock at
all times at the third party warehouse by
ordering the correct quantities from our Alum
Rock site. But even more basic was our desire
- to switch off SAP!”
Simon Pinks, Financial Controller.
The
challenge
Three
years on from the management buyout
from pharmaceutical giant Smith and
Nephew, Accantia
was experiencing problems with its
SAP system. This system
had been replicated from
the SAP solution deployed globally
by Smith and Nephew and was representing
a significant
financial overhead to the business.
When SAP announced
it was withdrawing support
from the version it was running from
December 2004 Accantia decided
to seek an alternative
IT solution. The business wanted
to replace SAP across warehousing,
distribution, sales,
order management and finance, and
implement a solution that supported
its multiple operating
companies to ease month end consolidation
and reporting.
The business was running
software to transmit purchase orders
and works orders and needed
the replacement system to work in conjunction with
this.
The solution
Accantia considered a number
of SAP replacement options including
Microsoft’s Axapta
and Great Plains software, prior
to selecting Sage Line 500
from CPiO. The project
provided a clear opportunity to simplify
and streamline processes
across the business.
CPiO consultants implemented the
60 user Sage Line 500 software within
five
months. They provided consultancy,
project management and an education programme
to support the roll out of the system
which has been deployed
across
an IBM cluster server, employing
the latest fail over technology for
high availability.
Sage Line 500 was able to integrate
electronically to Accantia’s
third party
logistics warehouse company who provide
delivery and storage. When an order
is placed with Accantia, a request
is sent to Exel Logistics who prepare
and send
out the goods and return an invoice
to Accantia for payment.
Accantia also chose to implement
a management reporting solution to
run from within
Sage Line 500; Sage Business Intelligence
(Sage BI). Sage BI reporting
gave
Accantia management a powerful OLAP
reporting tool to analyse data deep
inside Sage Line 500, enabling them
to understand purchase behaviours
and
product trends.
The benefits
The Sage ERP system is used to provide
a forecast of the finished goods
stock requirements. The system
also allows Accantia to create purchase
orders, invoice processing, works
orders and to control raw
material, work in progress and finished
goods stock, as well as providing
accurate financial information
for management.
Employees from across the enterprise
can now work with one set of data
in a user friendly, intuitive
environment. Sage has enabled the
business to achieve global visibility
and therefore information
can be shared across Accantia’s
nine separate distribution outlets.
Subsequently the month end
management accounts procedure is
dramatically reduced from four days
to just one and the running
costs of the software has reduced.
The future
Accantia feels that it has the best
solution to carry it forward over
the coming years. The
company is gaining such tangible
benefits from Sage Line 500 and BI
that it is now assured
of improved customer relations, greater
communication and financials savings.
Through using Sage BI, Accantia is
currently identifying other areas
of the business where the
company can introduce even greater
efficiencies.
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