SP Systems
New Automation Cuts Costs and Streamlines Operations
“ With the automation MBSG has implemented, we are saving three full-time salaries. ”
SP Systems LLC manufactures handheld and backpack sprayers designed for industry and agricultural use. Known for its consistently high quality products and fast, reliable service, the company has built a reputation for excellence that is reflected in its motto – Simply the Best! The company runs a lean operation and to ensure its products are shipped accurately and on time, it relies on Sage ERP MAS 90 backed by the talented team at MBSG.
Challenge
SP Systems needed real- time and historical information to reduce overstock, consolidate product offerings, and cut costs. SP Systems purchased Sage ERP MAS 90 to replace its aging system. They needed the right partner to help implement solutions.
Solution
Streamline and automate the workflow with ERP software. Improve inventory management. Enhance financial reporting.
Results
As a result of the efficiencies provided, SP Systems is saving the labor of three full time personnel. Insight into inventory lowers carrying costs and helps optimizes product mix. Visibility into cash flow promotes strategic decision making.
Right Product, Right Partner
“Our company needed to implement our ERP software and establish an effective workflow,” recalls April Darling, General Manager for SP Systems. “Our IT firm
recommended that we contact MBSG. It was the right call.”
MBSG first worked with Darling and her staff to understand the company’s goals and requirements and then assisted with the definition and development of workflows and standard operating procedures. “They went beyond software implementation; they also provided us with invaluable business advice concerning inventory, warehousing, and financial reporting,” says Darling
Efficiency and Cost Savings
“We had been doing many things manually. With the automation MBSG has implemented, we are saving three full-time salaries,” Darling says.
Some of the improvements were relatively straightforward, but deliver significant savings. “For example, we now print our shipping documents including the company letterhead on plain paper,” Darling explains. “That saves us the cost of preprinted letterhead and the extra step of loading the letterhead paper into the printer.”
MBSG configured Sage ERP MAS 90 to automatically generate a specified list of reports and to email those reports to specified personnel. “Once a month, I receive the five-year report that analyzes sales data over the long-term,” Darling says. “It is information we can use to consolidate and streamline our product offering based on identifiable trends.” Obtaining this data before would have required consolidating data from several programs into an Access database, and would have taken Darling five to six hours.
“As a result of the various efficiencies the system provides us, I am now able to complete the work that took three people before and a co-worker easily is able to
complete the work of two,” Darling says. “That’s a savings of three full-time salaries.”
Insight Into Inventory Assets
Timely access to data also helps the company make strategic purchasing decisions to ensure it maintains adequate stock on hand to meet customer demand
– without costly overstocking. Prior to Sage ERP MAS 90, the company tended to over-order to ensure it was able fill orders quickly.“We have been able to lower our inventory carrying costs significantly,” Darling says.
SP Systems has gained enormous insight into its inventory assets. “MBSG designed everal custom reports and queries for us,” explains Darling. “One report helps us identify slow moving items. We use it to launch sale pricing on overstocked items and to help us refine our ordering decisions to avoid an overstock situation.”
Optimizing Sales and Cash Flow
Sage ERP MAS 90 provides the company with insight into the activities and profitability of its sales representatives around the country. “We monitor the monthly sales reports very closely,” says Darling. “We are able to analyze sales by representative, by territory, by product, by customer, and more. And we can share the
reports with our representatives to increase their accountability.”
Darling relies on informative system reports that help her monitor and balance the company’s cash flow. “The Cash Expectation report lets us know what receivables are due and when to expect them. On the payables side, we can clearly see what is due in the coming days and weeks. I didn’t have access to this kind of iinformation before,” she says.
“We now have quick access to the data that can help us make better business decisions,” concludes Darling. “MBSG really listens, researches, and understands the situation before making recommendations. The end result is that they get it right the first time.”