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| Antah improves decision-making, optimizes warehousing operations "Microsoft Dynamics NAV is very scalable and has easily coped with our business growth. So far, every one of us here is happy to have this system." Raymond Sang, Credit & Operations Manager, Antah HealthCare Group Antah HealthCare Group is a leading Malaysian healthcare marketing and distribution company. The group had been using a UNIX-based enterprise resource planning (ERP) solution to manage its manufacturing and distribution business. However, the system was slow, was not integrated or fully automated, did not provide real-time information, and required the IT department to download reports. The system's shortcomings prompted the group to deploy Microsoft Dynamics NAV. With the implementation of Microsoft Dynamics NAV, Antah has reduced inefficient manual processes and automated record keeping and reporting, and elevated customer satisfaction to higher levels. By deploying Microsoft Dynamics NAV warehouse management system, Antah now has a seamless handling, storing, picking and dispatching optimization that helps provide better response time to customers' requirements.   Situation Antah HealthCare Group (Antah) is one of the largest Malaysian-owned healthcare marketing and distribution companies in the country, having over 250 employees with branch offices located at major cities nationwide. The group has several subsidiaries including Antah Sri Radin Sdn Bhd, Antah Pharma Sdn Bhd, Bumimedic (M) Sdn Bhd and Antah Bumimedic Sdn Bhd. The group has an annual turnover of more than RM100 million. Antah has more than 45 years of experience in the healthcare industry, marketing and distributing an array of healthcare products from various market leaders – from highly specialized operating theater equipment to delicate patient monitoring devices, and a wide range of premier pharmaceutical products. It has a team of experienced and professional sales personnel covering its targeted market areas besides providing innovative marketing strategies, concise instantaneous management reports and conducting regular customer surveys for its principals. To manage its manufacturing and distribution business, the group had been using a UNIX-based enterprise resource planning (ERP) solution called the MAPICS system since 1995. However, the system had certain limitations and could not keep pace with the growth of the group and its subsidiaries. "For example, users often had to get the assistance of the IT department to download certain reports. The system was slow as it would sometimes take a long time to generate certain reports, and this was very frustrating to those waiting for the reports," says Raymond Sang, Antah HealthCare Group's Credit & Operations Manager. "With the previous system, we also faced the problem of both cost discrepancies and stock discrepancies at the warehouses. This meant that we could never be certain of our stock levels and the value of our stocks." The challenges facing Antah was compounded as many work processes, such as management of its warehouses, were done manually. "We were using Microsoft Excel sheets and hardcopies to keep track of the stock movement," Sang explains. Antah also faced the problem of stock traceability. For example, pharmaceutical products have expiry dates and they needed a system which could effectively perform first-in-first-out (FIFO) stock-picking movement. The inability to precisely trace their batch in-out flow meant they could not optimize their stock movements. Having product suppliers from different parts of the world such as Europe, United Kingdom, the United States, Taiwan and Korea also presented another set of challenges. "Our principals required different sets of reports for analysis with different criteria and formats. The previous ERP system could not adequately cope with the challenges of generating the numerous month-end reports with different reporting formats for different product groups." The group also faced pressing issues from the financial and administration perspective. With branches nationwide, the corporate office had challenges in getting real-time information that was in sync with their branch offices. As their information sources come from multiple databases, the exchange of financial information between subsidiaries always amounted to a mountain of reports to be generated at month-end. "The finance and IT department employees often needed to stay back late preparing the manual reports. This slowed them down and prevented them from working efficiently," says Sang. As the group also provides after sales services for medical equipment sold, they did not have a proper service management system to track all components of a service item and view their status such as whether a component has been replaced, when it was replaced and the warranty information. Solution The shortcomings of the previous ERP system, information silos and various manual-based processes prompted the Antah HealthCare Group to evaluate other ERP systems which could integrate its core business operations from end-to-end. This included Microsoft Dynamics NAV, Linux-based Compiere and other local solutions. A key group of users, including various department heads, were asked to give their feedback on the demos and presentations by the respective parties. "We wanted the users themselves to be comfortable with the software. Eventually all of them said they preferred Microsoft Dynamics NAV. During the presentation they found it to be flexible, user-friendly, and could provide all the necessary reports they wanted," says Sang. With such overwhelming support from the users, Microsoft Dynamics NAV was chosen as it was able to fulfill the group's business needs as well as resolve existing operational issues. "This was crucial as our business growth and operational activities have increased substantially in recent years and there was a need to integrate all key areas of the business – including order processing to inventory availability; customer credit control to transaction approval controls; space utilization in warehouse and timely management reporting," he adds. Antah HealthCare Group implemented Microsoft Dynamics NAV solution back in 2005.The initial phase saw the deployment of the order processing, financial and warehousing modules and it took about a year to be completed. With the completion of the deployment, Antah Sri Radin Sdn Bhd was the next subsidiary to have the system implemented, this time within a six-month period. An additional module – service management – was implemented. The Microsoft Dynamics NAV system runs on Windows Server 2003 with Microsoft SQL Server 2005 as its database. Microsoft Gold Certified Partner Tectura (Malaysia) Sdn Bhd helped to integrate a third-party reporting tool, JetReports, that can be synched with Microsoft Excel in generating a comprehensive selection of reports. Tectura is currently engaged in the implementation of service management component of Microsoft Dynamics NAV for the group. "Tectura's experienced consultants are vey well-versed in Microsoft Dynamics NAV. They showed great understanding of our business requirements and speedy response to our inquiries and this was a key factor in the smooth implementation of the project," says Richard Boak, the IT Application Specialist for Antah HealthCare Group. Benefits Automates record-keeping With the implementation of Microsoft Dynamics NAV, Antah has reduced various inefficient manual processes and now has automated record keeping and reporting. And this had greatly improved the accuracy of Antah's financial records. For example, the credit control process previously required the printing out of various reports for approval by the relevant manager. "With Microsoft Dynamics NAV, credit vetting can be done via the system and we can easily and quickly approve an order on-screen. Our credit control process has become much more efficient and we have almost eliminated the paperwork," says Sang. Microsoft Dynamics NAV's efficiency in processing invoices in Antah Pharma, which churns out about 400 invoices a day, had led to a reduction in staff levels at the order processing department. The productivity improvements has also helped Antah to reduce headcount and overtime cost. "We used to have seven employees in this department but with Microsoft Dynamics NAV, we have now reduced this to five. We believe we can reduce the manpower level further in future," says Sang. Warehousing optimization By deploying Microsoft Dynamics NAV warehouse management system, Antah now has a seamless handling, storing, picking and dispatching optimization that helps the company provide better response time to customers' requirements. Antah has now achieved a 99% success rate in delivering goods on time to customers. Under the old system many processes were manual and there were stock discrepancies. This sometimes resulted in staff sending out the wrong products or in the wrong quantities. "Now, there are bin and rack locations that record the actual locations from the Microsoft Dynamics NAV system, and even if you are a newcomer, you can locate the goods without any problems. Productivity has risen significantly as workers are able to go to the right place to pick the right goods. They are able to check the system to zero in on the location of the goods," Sang states. Previously, it was common for warehousing staff to work up to 10.30pm to pick and pack the ordered goods. Now with the efficiency gains afforded by the Microsoft Dynamics NAV system, the staff can usually finish their tasks by 5.30pm. This enables the transporters to pick up the goods that same evening instead of coming the next day, he adds. Microsoft Dynamics NAV also enables Antah to design their warehouse layout to best suit their requirements based on the stock movement. For example, for fast-moving items, the warehouse manager can position it nearer to the exit where it can be easily accessed hence reducing product picking time. Enhances reporting capability The combination of Microsoft Dynamics NAV and JetReports has given Antah an in-depth and highly comprehensive reporting capability. To meet the many reporting and business analysis requests from users, Microsoft Dynamics NAV's advanced reporting tool is able to provide complex reporting while maintaining simplicity and ease of use. If there is a need for a customized report, the employees can use wizards to create a report from scratch and add new fields, tables quickly and easily. "We need to produce up-to-date reports for different principals, but previously we didn't have the tools to do this easily. With the old system, it usually took between 30 minutes to an hour to generate a report. We now can run that same report in just 10-15 minutes. Not only can we obtain reports on a timely basis now, we also have the assurance that the data is accurate," says Sang. The deployment of Microsoft Dynamics NAV essentially turns the group's voluminous data and reports into business-critical information. And having quick and easy access to this accurate information has boosted Antah's decision-making process. "This enhanced reporting capability enables Antah to track performance, analyze trends, develop effective strategies and gain better insight into our business," says Sang. "With such accurate and detailed real-time information, we are able to analyze which product groups are driving more sales, leading to a better understanding of which market segment to focus on," Sang adds. Improves customer service Microsoft Dynamics NAV's Service Management module, which is being implemented for Antah Sri Radin Sdn Bhd, help elevate customer satisfaction levels several notches higher. Staff can now quickly and easily access a customer's service history, anticipate and quickly respond to their needs and also maintain real-time records. "The products that we sell are often life saving equipment used in operating theatres or the ICU (intensive care unit). Especially for such equipment which can spell life or death for a patient, we need a very fast response time and efficient after sales service for any repair work," explains Sang. He says response time under the previous system was sometimes slow because certain processes were semi-automated and paper-based. "Microsoft Dynamics NAV automates such process and speeds up approvals. Decisions have to be made fast for technicians to go onsite to repair or service the equipment," he says. "With the implementation of this service management module, the dispatchers and technicians will be able to identify service requirements in advance. With accurate and up-to-date information, they can pinpoint problem areas and respond quickly to problems faced by our clients," adds Sang. Having used Microsoft Dynamics NAV for almost three years, Sang confirms that the staff is generally pleased with the system. "When we decided on Microsoft Dynamics NAV, we were looking at the long term, at our future expansion. It is very scalable and has easily coped with our business growth. So far, every one of us here is happy to have this system," affirms Sang. ------------------------------------------------------------------------------------------------------------------------------------------ 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 that 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 | Overview Country or Region: Malaysia Industry: Healthcare  Customer Profile Antah HealthCare Group is a leading healthcare marketing and distribution companies in Malaysia, with over 250 employees and with branch offices located at major cities nationwide. Business Situation The group's UNIX-based enterprise resource planning (ERP) solution was slow, not integrated or fully automated, did not provide real-time information, and required the IT staff to download reports. Solution Antah deployed Microsoft Dynamics NAV, running on Windows Server 2003 with Microsoft SQL Server 2005. The first phase saw the deployment of the order processing, financial and warehousing modules. Benefits
Raymond Sang, Credit & Operations Manager, Antah HealthCare Group "With such accurate and detailed real-time information, we are able to analyze which product groups are driving more sales, leading to a better understanding of which market segment to focus on." Raymond Sang, Credit & Operations Manager, Antah HealthCare Group For More Information For more information about Microsoft products and services, call the Microsoft Sales Information Center at (800) 426-9400. In Canada, call the Microsoft Canada Information Centre at (877) 568-2495. Customers who are deaf or hard-of-hearing can reach Microsoft text telephone (TTY/TDD) services at (800) 892-5234 in the United States or (905) 568-9641 in Canada. Outside the 50 United States and Canada, please contact your local Microsoft subsidiary. To access information using the World Wide Web, go to:www.microsoft.com/malaysia For more information about Tectura (Malaysia) Sdn Bhd products and services, call +603 2283 1136 or visit the Web site at: www.tectura.com For more information about Antah HealthCare Group products and services, call +603 7956 7677 or visit the Web site at: www.ahcg.com.my For other case studies in this series, visitwww.microsoft.com/malaysia/casestudies |