sia Abrasives Holding AG

Swiss Abrasives Company Automates Its Business Processes with an ERP Solution That Enables It to Work in Multiple Languages and Currencies

Specializing in the development, manufacturing, and distribution of complete abrasive systems for professional and surface processing and refinement, sia Abrasives is the third largest manufacturer in its field worldwide. With sia Group companies around the world all using different ERP systems, sia Abrasives wanted to standardize its systems and business processes. It wanted to automate tasks and have a solution that supported its international presence. After implementing Microsoft Business Solutions–Axapta (now part of Microsoft Dynamics™), sia Abrasives has streamlined the processing of orders while at the same time optimizing its supply chain. Employees and customers alike are also taking advantage of the country-specific functionality that Microsoft Axapta offers.  With Microsoft Axapta, sia Abrasives expects to continue to enjoy profitable growth and be responsive to changing market requirements.

Situation

The internationally active sia Group specializes in the development, manufacturing, and distribution of complete abrasive systems for professional surface processing and refinement. With headquarters in Frauenfeld, Switzerland, sia Abrasives develops just the right abrasive systems so customers can obtain the surface properties that they require for a wide range of materials, such as metal, plastic, or wood.

We liked that it was an ‘out-of-the-box' solution that had technology that was scalable and that could easily adapt to our business needs. It has strong country-specific functionality and we concluded that it was the solution that could best help us to manage our supply chain more efficiently. Andi Wethli, CIO, IT, Infrastructure & Logistics

Over 1,100 employees worldwide handle all of the various aspects of the abrasive manufacturing process: research and development, production, quality assurance, marketing, and sales.

The importance of global markets for sia Abrasives is reflected in the fact that more than 90% of its production is exported to over 100 countries.

In the nine different group companies around the world, sia Abrasives was using nine different ERP systems. It urgently needed to standardize and consolidate its ERP system. As Andi Wethli, CIO, IT, Infrastructure & Logistics explains, "We needed to consolidate all these different systems that made it difficult to support and deliver quality service across the sia Group companies. For example, we had to enter sales orders twice: once when they were received outside the main office and then again at the production headquarters. The process, although ultimately effective, was time-consuming and inefficient."

The group needed a solution that supported its global focus and international presence.  With companies in 12 different countries and with export to over 100 countries, the solution that the group chose had to have country-specific functionality. The sia Group wanted a solution that enabled it to work in multiple languages and currencies and easily be able to adapt to local accounting and legal requirements. The new ERP solution had to consolidate all the sia Group's various local systems and ultimately optimize its supply chain.

Solution

Out of the 14 group companies, sia Abrasives implemented Microsoft® Business Solutions–Axapta® in eight companies over a period of two years. It managed to do this with no or only limited disruption to its daily processes. These implementations varied in size from a sales company in Austria with five users to a production company in the U.K. with 65 users.

"We considered other ERP systems," explains Wethli, "but we're convinced that Microsoft Axapta is ahead of the competition. We chose it because of its superb state-of-the-art technology, the close link with other Microsoft products, and the really great look and feel of the product that makes it so easy to use."

The sia Abrasives production building in Switzerland.

"We liked that it was an ‘out-of-the-box' solution that had technology that was scalable and that could easily adapt to our business needs," continues Wethli. "It has strong country-specific functionality and we concluded that it was the solution that could best help us to manage our supply chain more efficiently."

"Now, 8 out of 14 sia Group companies have a standardized solution and this means we have optimized our supply chain," says Wethli.

The sia Group implemented the Commerce Gateway module of Microsoft Axapta together with Microsoft BizTalk® Server and as a result has been able to automate its intercompany business in one streamlined system. Overall, sia Abrasives has improved the quality of the data that it can extract from the system. The consolidation of the various local systems means that the company can take advantage of more accurate data and more efficient standardized and streamlined processes.

Benefits

Streamlined Processes, Automated Orders

As a result of implementing Microsoft Axapta, sia Abrasives can now exchange sales and purchasing information electronically (in

We are very satisfied with the way that Microsoft Axapta has helped us to standardize our processes and improve the quality of our data. We can now get much better information from the system, with less errors, Andi Wethli, CIO, IT, Infrastructure & Logistics, sia Abrasives Group

combination with the Commerce Gateway module). "Orders are now automatically processed between our group companies and our production sites at Frauenfeld and Greetland," explains Wethli. "This has improved our effectiveness. Orders and other transmissions, such as confirmations and invoices, are processed online and with greater accuracy. Wherever an order is taken, in any of our Group companies across the world, it is now treated in the same way. The whole process has been improved, from when the order has been entered into the system until product delivery and invoicing."

"We are very satisfied with the way that Microsoft Axapta has helped us to standardize our processes and improve the quality of our data. We can now get much better information from the system, with less errors," reports Wethli.

Multi-Language, Multi-Currency

With the multi-language and multi-currency functions of Microsoft Axapta, sia Abrasives can react to changes and adapt to the specific requirements of any market or country. Microsoft Axapta helps sia Abrasives to comply with the local accounting and legal requirements of the many different countries that it does business with.

"In the U.K., our production site exports to more than 75 countries. There is a fantastic advantage to using Microsoft Axapta because the multi-language and multi-currency features really improve the way we do business," says Wethli.

"In all the Group companies where we have implemented Microsoft Axapta, we are benefiting from the international support it provides," continues Wethli. "In Spain, for example, we export to Portugal, where our customers work in another language. We are able to print reports and create documents in the appropriate language and this is a big advantage."

In addition, sia Abrasives' employees are able to work in the system in the language of their choice. For example, Belgian employees can choose to work in their native tongue (either Flemish or French) at the click of a button.

Savings in Development and Training

The sia Group has cut costs in development and training. "We can now centrally produce training manuals to use in all countries," says Wethli. "We have also found Microsoft Axapta straightforward to develop and customize.  We anticipate cheaper internal development costs in the future because we can easily develop a new report or function and target it to all our employees, so that everyone can take advantage of it."

Technology That Will Grow

The company is already benefiting from Microsoft Axapta and believes that it will continue to benefit from the solution in the future. "We are extremely pleased with the way the solution can grow with the company – that it is a technology that we can adapt and

Since 1998, sia Abrasives has been sponsoring Switzerland's national bobsled team. It also supplies the team with abrasives to ensure the optimum treatment of the runners and bodywork of the team's sleds.

build on as the business requires it," explains Wethli. "The solution is easy to adjust and it is great that it will grow according to our business needs."

"We have already implemented Microsoft Axapta in 8 of our 14 Group companies and the plan is to implement the solution in most of our larger companies over the next few years," says Wethli.

"Overall, we've been really satisfied with the whole implementation. We are impressed that we can centrally support our Group companies around the world and we can react to business and market changes more quickly than before – in just a click, the solution will adapt to our needs," concludes Wethli.

Microsoft Dynamics
Microsoft Dynamics is a line of integrated, adaptable business management solutions that enables you and your people to make business decisions with greater confidence. Microsoft Dynamics works like familiar Microsoft software such as Microsoft Office, which means less of a learning curve for your people, so they can get up and running quickly and focus on what’s most important. And because it is from Microsoft, it easily works with the systems your company already has implemented. By automating and streamlining financial, customer relationship and supply chain processes, Microsoft Dynamics brings together people, processes and technologies, increasing the productivity and effectiveness of your business, and helping you drive business success.

For more information about Microsoft Dynamics, go to:
www.microsoft.com/dynamics

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www.sia-abrasives.com

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