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Accenture's ongoing research into the characteristics of high-performance businesses reveals that top companies regard information technology (IT) as a source of both operational excellence and competitive advantage.
Accenture’s ability to leverage its knowledge and experience of multiple SAP solutions, pre-configure and enhance them, and deliver these solutions, offer powerful advantages for manufacturers.
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The adage that you get what you measure holds true for manufacturers more than most companies, given the tangible nature of their products and the variety of distribution and sales channels through which they are sold. Manufacturers realize that they should do all they can to extract maximum value from their technology investments, whether that value is better analytics applied to data generated throughout the company, or streamlining and automating subprocesses to drive out cost from operations.
These needs are universal, particularly during a challenging economic cycle. Regardless of the specific products, manufacturers across all sectors—from automotive and industrial equipment to construction and consumer goods—want to improve the efficiency and effectiveness of their operations and believe technology can play a key role.
In fact, Accenture's ongoing research into the characteristics of high- performance businesses reveals that top companies regard information technology (IT) as a source of both operational excellence and competitive advantage. They use IT as a tool for simplifying business processes and reducing the total cost of ownership. And lastly, they understand that IT is a strategic asset that can increase efficiency, drive productivity, create competitive distinctions and generate bottom-line results.
Accenture has a long history delivering SAP-based solutions for manufacturers that spans not only systems integration and application design and maintenance but also strategy, change management and process design to build internal operating capability and improve overall business intelligence.
Accenture’s ability to leverage its knowledge and experience of multiple SAP solutions preconfigure and enhance them; and deliver these solutions together with industry insight and findings from our High Performance Business research offer powerful advantages for manufacturers.
Whether implementing, upgrading or renewing SAP solutions with new capabilities through functional applications, a number of benefits accrue to manufacturers when working with our experienced teams. Among them: lower total cost of ownership of SAP-based solutions; reduced risk of both system implementations and upgrades as well as reduced risk to ongoing business operations; and increased predictability of operations and outcomes.
Accenture’s ERP Solutions for Manufacturers
To improve decision making and drive value, intelligence and transparency are crucial. Accenture’s approach aligns business strategy and vision with organization, processes and applications. Accenture’s solutions for manufacturers are provided on SAP’s integrated enterprise resource planning (ERP) platform to deliver enterprise performance data and business intelligence quickly and easily, providing insight to drive differentiation and competitive advantage.
Our knowledge and alliance with SAP brings clients the skills, tools and experience needed to both accelerate implementation and deployment of manufacturing solutions while transforming their technology capabilities and platform. We have invested in both solution development and implementation delivery assets that allow our manufacturing clients to quickly and predictably implement, upgrade or renew their SAP-based solutions: Accenture Consumer Solution and Accenture Global Manufacturing Business Solution.
The Accenture Consumer Solution validates Accenture’s research on leading industry practices and processes for a range of consumer products sectors (i.e., home and personal care, consumer health, alcoholic beverages, food and non-alcoholic beverage, fashion and luxury, and agribusiness), and links them to a preconfigured SAP solution, while allowing customization.
This solution is modular, providing an effective, efficient way for consumer goods and services companies to implement a new SAP enterprise-wide system, harmonize and consolidate previously implemented SAP instances or enhance an existing SAP footprint with new functionality to deepen capabilities and ultimately, more efficiently execute strategy. The Accenture Consumer Solution is a component of the Accenture ERP Transformation Solution for consumer goods and services companies.
The Accenture Global Manufacturing Business Solution is targeted at the capabilities and processes we have found to be most important in improving the performance of organizations in the automotive and industrial equipment industries. It has four industry-specific formulations: industrial, automotive, supplier and construction.
These holistic solutions are also designed to strengthen each of the building blocks of high performance, providing a proven approach to incorporating lean manufacturing processes with ERP systems and implementing optimized supply chains. Standard and administrative processes are already built into existing modules to help speed implementations. This leaves time to focus on customization of the processes that make a competitive difference in the marketplace for these industries: supplier relationship management, intercompany transactions and business controlling, to name a few.
In addition to offering an SAP system complete with ready-to use demos for manufacturing companies, the solution includes:
By linking Accenture’s industry knowledge and assets directly to SAP tools, these two solutions, as well as others, reduce design time—sometimes by 30 percent—and accelerate implementation and time to value. The path to high performance is easier when paved with solutions such as these that align organization, processes and IT applications with business strategy and vision.
Timken: Creating Value through Enhanced Process and System Redesign
The Timken Company is a United States-based global manufacturer of friction management and power transmission solutions to diverse markets, ranging from aerospace to health care. Over the past few years, Timken aggressively transformed its business, refining its vision as well as its product portfolio. The acquisition of The Torrington Company, which increased the size of Timken by almost 50 percent, significantly expanded its products and engineering capabilities, but also resulted in duplication of systems and strains on the company infrastructure.
Post-acquisition, Timken recognized it needed a global infrastructure that reduced the complexity of the business environment while optimizing the company’s operations and supporting its continued growth. To achieve these objectives, Timken turned to Accenture to assist with both business process redesign of functions such as engineering, warehousing and logistics, and to replace a large portion of Timken’s systems infrastructure with an integrated enterprise resource planning (ERP) system based on SAP R/3.
In its role as system integrator and business consultant, Accenture developed a global blueprint of standard processes such as order-to-cash and procure-to-pay to deploy across the organization to optimize operations, support the global supply chain and show one's face to global markets and customers.
After a successful pilot of the redesigned processes in Timken’s Canadian operations, Accenture designed a global rollout program to be completed in 2010. Today, most of Timken’s businesses are operating on one business platform with one set of processes and leading practices, with minimal redundancies.
As a result, Timken is enjoying significant benefits including:
To ensure that its SAP applications continue to match current business needs, Timken entered into a five-year application outsourcing arrangement with Accenture.
Accenture Consumer Solution in Action at Coty Inc.
Coty Inc.—one of the world’s leading manufacturers and marketers of personal fragrances—embarked on a program to harmonize 50 disparate legacy applications on an SAP platform. Coty had evolved organically and through acquisitions to a point where there were numerous systems in place, resulting in a complex, expensive IT organization that was inflexible and not able to provide necessary, harmonized data to business managers. Because the company’s growth plans included significant acquisitions, it was imperative that Coty develop the capability to integrate new businesses efficiently and at lower costs.
Given Coty’s challenges and aspirations, Accenture leveraged Accenture Consumer Solution to create a "g‘Global Design’ design" that included:
The Accenture Consumer Solution was used to align business processes and data among locations, centralize the IT organization, as well as improve processes and automation to facilitate inter-company flows, three-way matching purchasing flow, month-end close and corporate reporting.
Application Maintenance and Basis support was outsourced to save costs and increase system performance and innovation. Coty now relies primarily on ECC 6.0 and BW 7.0 to create a simplified global footprint in terms of systems, infrastructure and planning. Coty can tackle various strategic and operational challenges more efficiently.
The results of Coty’s adoption of several elements of the Accenture Consumer Solution include:
Accenture continues to team with Coty to assist in the rollout of the core solution to Asia, Australia and new businesses, as well as the maintenance and support of its SAP applications.
Accenture’s Global Delivery Network Provides 24/7 World- Class Process and IT Support
These solutions are delivered using the integrated, industrialized capabilities through Accenture’s Global Delivery Network, the largest and most diversified group of technology, business process and outsourcing professionals in the world. Our delivery center and industry solution center teams are trained on the same Accenture methods, thus clients will benefit from the same quality of service and delivery approach, while client based delivery teams can guide customization and access to specific assets that focus on a client’s particular business needs.
In addition to the professionals in our development lab, specific SAP resources that Accenture can leverage to support solutions implementation include over 13,700 skilled SAP practitioners. Figure 2 shows how the expertise in our Global Delivery Network and solutions work together.
The combination of our low-cost industrialized delivery engine along with our industry-specific assets not only speeds time to value, but also significantly lowers the cost of obtaining such a comprehensive solution for our clients. Accenture’s ability to leverage our delivery network continuously, every day, expedites the flow of execution and delivery.
There are four key advantages to using the solutions in combination with the Accenture Global Delivery Network:
June 16, 2010
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