the open erp effect

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The Open ERP effect... Richard's Success

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Page 1: The open erp effect

The Open ERP effect...

Richard'sSuccess

Page 2: The open erp effect

Richard is abrilliant manager...

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he founded his manufacturing company in 1985...

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In 2000 he reached45 employees

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In 2000 he reached45 employees

...to fulfill 4500 orders a day= 100 orders / employee

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This is George,

Richard's CFO

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George likes hisAccounting

software...

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But he wastes hours each day on...

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But he wastes hours each day on...

Creating invoices based on datafrom their logistics application

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But he wastes hours each day on...

Synchronizing timesheets withhis analytic accounting

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But he wastes hours each day on...

Encoding Refund Invoices basedon emails from after-sales services

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But he wastes hours each day on...

Preparing consolidated reportingfor Richard

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But he wastes hours each day on...

Pushing documents to their internalDocument Management System

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But he wastes hours each day on...

Processing payments through bank interfaces...

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So it is for all other employees

on their respective applications.

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Richard's IT infrastructure exploded

in a few years...

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In 2006 they reached90 employees

...but they fulfill only 5000 orders a day= 55 orders per employee

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The overhead makes them fulfill 45% fewer orders per employee than they did 6 years ago !

That growth makes Richard's margins decrease !

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Tina is theHR Manager

Her business lifebecame difficult whenthe company grewto 90 people in 2007.

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So she asked Richard fornew software to manageemployees' leave and holidays.

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Richard was afraid of this request because,to be efficient this new software should:

• Process data from employees' timesheets• Integrate with the project managementsystem• Integrate with the payroll software• Display holidays in the enterprise shared calendar

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Richard thought it was time to go for a completely new strategy for their IT structure.

So, he integrated :

They activated the “holidays” module onlyfor an easy and quick integration.

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His motivation was due to:

• License : 0$• Starting costs for On Demand: 0$• One software to fit all business needs• 350+ integrated modules• Fully Open Source

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The new infrastructure looked like this...Annual Maintenance: 45.000 $Annual Licenses: 39.000 $

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Tina was so happy with herHR management system thatRichard decided to useother modules from Open ERP.

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They first activated the CRM modulesto replace Ms. Dynamics CRM

Annual Maintenance: 45.000 $Annual Licenses: 39.000 $

Page 27: The open erp effect

They first activated the CRM modulesto replace Ms. Dynamics CRM

Annual Maintenance: 40.000 $Annual Licenses: 33.000 $

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Then, they activated modules for manufacturing, sales, BI and projects

Annual Maintenance: 20.000 $Annual Licenses: 13.000 $

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Then, they activated modules for accounting and human resources mgt.

Annual Maintenance: 12.000 $Annual Licenses: 7.000 $

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And they did the same for allother services in 2008.

Their new infrastructurelooks like......

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A fully integrated management system:

Annual Maintenance: 10.000 $Annual Licenses: 0 $

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Now Richard is ahappy manager...

He reduced licenses and maintenance costs to 1/8 of their previous cost !

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... he has a system that can evolvewith his company's needs...

And employees' recurring tasks have been reduced by 40% due to integration and automation.

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And all of this while keeping andimproving his visibility and control

of all the enterprise processes

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And Tina likes his new way of working...

She has a unique and integratedsystem for the shared calendar, the vacation management, the planning, ...

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This allowed the company to grow quickly,while keeping and controlling its efficiency

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And Richard was able to launch newoff-shored organizations in only 2 weeks.

He controls all offices from one system.

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And to extend their new way of working tosuppliers and customers,

Richard activated Open ERP's portals

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... all customer and supplier processesare fully integrated with the Company.

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There are thousands of companieslike Richard's ...

If you want to be one of them, check:http://openerp.com

To discover Richard's customers, check:Customers in Action