Pyxle boosts on-farm production and profitability of an integrated food manufacturer

Customer: Food manufacturer and exporter
Customer size: US$500m+ revenue
Country or Region: Asia Pacific
Industry: Meat and livestock
Customer Profile
Beef producer with
a fully integrated supply chain.
Software and Services
Oracle JD Edwards ERP Consulting
Systems Integration
Business Analysis Consulting

Challenge

A leading international food manufacturer was facing increasing operational complexity and greater difficulty in making operational and strategic decisions based on timely and accurate information. Despite having invested in a suitable ERP solution, Oracle JD Edwards, the company was not using it to its full potential. The company’s ROI for the ERP investment was low after several years and the business continued to miss opportunities for value creation. Ultimately The ERP was failing to meet leadership’s vision for the company and changing business demands.

The company identified 3 critical business issues:

  1. Poor visibility of accurate finished goods inventory levels.
    Not knowing how much meat was ready to sell affected sales planning and forecasting. Stock levels were stored differently in different locations, across a multitude of data sheets, the ERP and various third party systems.
  2. No consolidated view of financial information.
    Disparate financial systems were not integrated, leading to extensive manual data entry, duplicate data entry and regular data inaccuracies.
  3. Inadequate IT infrastructure and managed services.
    Day-to-day operational activities were being affected by obsolete data centre hardware and systems. Due to business and data growth, the infrastructure demand was split into various stagnated devices, which could not scale. A lack of training and several failed IT vendor engagements left the in-house IT team exhausted and piled with support issues.

Solution

The client engaged Pyxle to provide technical consulting and manage its Oracle JDE system with a combination of remote and onsite support.

Pyxle first undertook a discovery exercise with the client to understand the full scope of work and fully understand the nature of the problem. Afterwards Pyxle presented the client with a solution approach and an implementation roadmap to address the ongoing ERP issues.
Pyxle’s Oracle JDE team solved the client’s ERP issues in 4 key ways, outlined below along with the significant gains achieved.

1. Implementation of Real Time Inventory management.
a. Streamlined inventory capturing process for all transaction types.
b. More accurate inventory levels in real time.
c. More accurate sales planning and forecasting.

2. Integration between Oracle JDE and StockFusion systems.
a. Integrated cattle operational financial system with core ERP.
b. Better data integrity and accuracy by eliminating manual data entry.
c. Reduced time spent on financial reporting and consolidation.

3. Implementation of two JDE modules: Transportation and Capital Asset Maintenance.
a. Accurate holistic maintenance strategy across the company by reducing break down maintenance and unanticipated down time.
b. Reduced financial pressure on asset cost ownership by reducing operating cost.
c. Monitoring and archive optimum asset performance.
d. Eliminated manual maintenance activities by achieving automation and single source of truth.

4. Enhanced support operations, established service levels with stringent governance practices.
a. Better communication between business process, users and JDE ERP.
b. Fixed root causes for identified issues and obtained proactive initiatives for continuous improvement.
c. Improved and increased JDE system stability by enhancing infrastructure services which led to uninterrupted business continuity.
d. Ongoing review and monitoring of performance, based on industry best practices.

How we did it

Our JDE implementation methodology was structured to accommodate the diversity of requirements encountered in each subproject. This proven methodology was designed to deliver optimal results while minimizing the risks, costs and time associated with the projects.

Discover → Design → Develop → Test & Accept → Deploy

Change Management and process re-engineering were the major challenges, which Pyxle overcame by regular interaction with the client management and the end users.

The business gaps identified by the client’s leadership were resolved after studying the current process thoroughly. Pyxle followed the agile project management methodology and the new solutions were given after having the full quality check in the test environments. The objective of this method was to ensure that the Pyxle solutions did not create any conflicts with the original system setups.

The Impact

Pyxle’s technical consulting and Oracle JDE services have given our client a consolidated view of the business and a dedicated ERP support team.

Specifically the project has delivered four key results to date, with greater foreseeable impact as the engagement continues.

  1. Ease in Data Consolidation: Customized mass data upload were designed in order to minimise the manual data entry, which resulted in cost savings for the client.

 

  1. Centralized lean team for ERP support: The client has gained both cost savings and time savings by using Pyxle’s Oracle JDE consulting team as a one-stop shop for all ERP-related issues.

 

  1. Simplified Reporting: Having a common JDE platform across all APAC offices has resulted in the simplification of reporting process. Improved usability, minimized human errors, thus enhancing report accuracy and enabling easy accessibility of information. The implementation of single sign-on (SSO) and reports now provides a common set of services across multiple satellite applications, allowing the ERP to talk to various third-party tools and Oracle JDE bolt-ons.

 

  1. Financial consolidation: Financial consolidation of all investments under a single reporting currency. Our client is now able to consolidate the multiple currencies at any given point of time and can calculate the total investment both in reporting currencies and respective foreign currencies.
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