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upplier of chemical recovery equipment, including recovery boilers, power boilers, evaporators, and services for the pulp and paper industry. To keep the company growing profitably, Kvaerner planned to modernize its financial operations, which relied too heavily on labor-intensive processes that kept overhead high and slowed cash flow. With the existing system, orders for equipment and parts took too long to get out the door and were difficult to track, frustrating customers. With little visibility, it was also difficult to control the costs of huge equipment installations. Plus, management needed faster access to detailed sales and revenue data to make better forecasts and find ways to boost profits. Charlotte's IT department already was spending too much time and resources on maintaining the existing enterprise resource planning (ERP) system, let alone supporting a whole new set of business processes. As Woody Muth, IT director at Kvaerner Power explained: "I want to focus my efforts on improving the business rather than managing the everyday issues associated with maintaining an IT infrastructure." Why Oracle?Kvaerner originally purchased Oracle Financials in 1994 but outgrew the original implementation. The company decided to upgrade from version 10.7 of Oracle applications to Oracle E-Business Suite version 11i, and outsource systems management to Oracle. Kvaerner was impressed with the tightly integrated applications of Oracle E-Business Suite for automating finances, order fulfillment, inventory, and project management. It realized the applications could be delivered conveniently and cost-effectively through Oracle E-Business Suite On Demand. Plus, Oracle experts would handle the day-to-day job of keeping the applications and database running, enabling the company to cut internal IT costs while improving service quality by giving its people more time for value-added services. The payback came quickly. According to an independent study conducted by Shack & Tulloch, Inc., Kvaerner Power generated enough benefits in productivity savings and enhanced profitability to pay for its Oracle E-Business Suite investment in 13 months. Implemented in September 2001, Oracle E-Business Suite On Demand began showing positive operating earnings by the end of 2002, and continues to contribute to operating margins today. A Net Benefit of $2.69 MillionThe study showed that Kvaerner's investment in Oracle E-Business Suite On Demand would yield approximately $3.4 million in benefits over the life of the project, including $3.16 million in productivity-based cost savings and almost $250,000 in new business profitability. Minus investment costs, the net benefit of Kvaerner's Oracle investment comes to approximately $2.69 million, generating a payback in excess of 100%. Using Oracle9i Discoverer for business intelligence with Oracle E-Business Suite gives Kvaerner the ability to analyze and identify the most profitable customers and products and run a more cost-effective sales organization. "Oracle E-Business Suite has given Kvaerner the ability to better analyze product and service revenue by customer," said David King, vice president of sales and service for Kvaerner Power. "It provides an in-depth understanding of our business and helps us sharpen our sales and marketing efforts." In total, executives expect the sharpened sales and marketing programs to boost revenue by at least 2% annually, improve gross margins by 1%, and reduce sales costs as a percentage of revenue by 1%. E-Business Suite On Demand Shrinks IT Costs by More than $390,000 AnnuallyKvaerner's decision to outsource the software to Oracle gives it access to the latest version of Oracle E-Business Suite, including all the integrated applications it needs to drive efficiency improvements across the company. Because it no longer has to perform routine software and hardware maintenance activities, Kvaerner was able to shrink its IT group 73% through attrition and contractor reductions, saving $390,000 per year. Oracle E-Business Suite On Demand also allows the company to permanently forego the purchase of new server hardware--a $150,000 outlay the company had been making roughly every three years to keep up with its growing computing needs. In addition to cost savings, Kvaerner has been able to redeploy people to more productive and challenging projects. Most technical assistance requests now go directly to an Oracle help desk expert, dropping turnaround time by more than 90%. "Issues that used to take days and weeks to solve are now addressed and resolved in many cases within a couple of hours," Muth said. Reducing Receivables Increases Cash Flow $600,000Oracle Financials, part of Oracle E-Business Suite, uses one centralized database to automate the flow of financial data from operations to the general ledger. This has enabled Kvaerner's finance department to automate invoicing, order management, and backlog reporting tasks that used to require a series of disjointed, manual steps. "The upgrade to Oracle E-Business Suite has enabled us to significantly improve the productivity of our finance organization," said Jim Verberg, director of finance and administration at Kvaerner Power. The accounts receivable department uses the new system to coordinate product shipments more closely with invoices. Before Oracle E-Business Suite, 80% of bills would stack up until the last week of the month. "Now we send out invoices as we ship products rather than batching them at the end of the month," Verberg said. "This shortens Kvaerner's order-to-cash cycle because faster invoicing has led more customers to pay sooner." The result: Kvaerner shrank its days sales outstanding (DSO) by eight days, adding $600,000 to the company's cash flow. Oracle E-Business Suite also reduced the time it takes Kvaerner to close its books by 50%--even with a smaller financial staff. According to Verberg, "Oracle Financials frees up time for our employees to do financial analysis activity that helps to improve Kvaerner's performance." Inventory Turnover Up 43%, Order Processing Time Down 83% The full integration between the order processing and inventory applications of Oracle Order Management, a module of Oracle E-Business Suite, has enabled Kvaerner to move parts faster and boost turnover by 43%. Kvaerner's efficiency gains demonstrate the advantage of using a centralized database to link business processes that used to rely on separate information silos. "With Oracle E-Business Suite, our inventory data has become seamlessly integrated into our financial systems," said Jim Geedey, parts sales manager for Kvaerner Power. "Now we get accurate and current inventory information online at any time." The company also increased employee productivity by cutting order processing time 83% using the integrated order-fulfillment processes of Oracle E-Business Suite. In addition, automated sales reports are available at the click of a mouse, giving sales staff more time to focus on increasing sales. Customers are more satisfied. Online order tracking has enabled Kvaerner to cut the average response time to customer inquiries from 15 minutes to two. Proactive Project Management Expected to Cut Cost Overruns By 9%Along with supplying equipment and parts, Kvaerner Power also manages large scale equipment installation and construction projects. Previously, it had limited knowledge of how well projects were performing financially, making it hard to avert problems. With Oracle Projects, part of Oracle E-Business Suite, Kvaerner Power will gain greater visibility and control over the process. By proactively keeping projects on track, Kvaerner expects to cut labor cost overruns by 9%. "Oracle Projects offers tremendous opportunities for managing our projects with real-time business intelligence and by linking our financial data to project milestones," Verberg said. According to the study, if Kvaerner decreases overall labor costs by just 2%, it will boost project profits 0.3% and add $800,000 to Kvaerner's earnings over the next five years. The study also showed that faster and more consistent invoicing would likely reduce the project group's DSO performance by eight days--increasing cash flow by as much as $1.1 million. Future PlansKvaerner Power Division plans to implement Oracle Projects in 2004, and then roll out Oracle E-Business Suite globally. ABB Increased Development Productivity by Creating a Consolidated Business View using Oracle  Customer Profile ABB Business Services Ltd. Zurich, Switzerlandwww.abb.com Industry:Industrial Manufacturing Annual Revenue:More than 1.001 Billion Employees:More than 10,000 employees Oracle Products & Services • Oracle9i Database • Oracle Data Warehousing/Business Intelligence Key Benefits • Increased productivity by creating self-service, centralized access to all business information • Sophisticated and complete Lifecycle Management • Reduced Administrative costs through the elimination of servers Improved Information Delivery with Integrated SystemsABB is a global leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impact. ABB's robots are used in a wide range of applications--from car production plants, to food, pharmaceutical, and consumer electronics. ABB strives to help its customers gain competitive advantage by utilizing technological advances and developments in their markets, and through endeavors that offer increased value while simultaneously building leaner organizations. To achieve its goals, ABB has been moving its offerings to a common architecture in order to deliver industrial IT-enabled products and services that allow customers to optimize operations and link up in real time with suppliers and customers. The result has been a leap in efficiency, quality, and competitiveness. Why Oracle? Ease of Use Extensibility of Architecture Performance Security and Reliability Specific Features of Interest: Rich Lifecycle Management Complete Metadata Reporting Graphical presentation of Metadata From Informatica's Powermart to Oracle Warehouse BuilderProblem: Having developed the complete ETL process with Informatica´s Powermart, it wasn't long before the limitations of Metadata Management became visible (Metadata is the supporting information for a Data Warehouse or Operational Data Store, which helps business users, developers, and operations personnel understand, build, and operate the system). Another important consideration for ABB was the Lifecycle Management capability which was alo not addressed in the Powermart tool. Solution: Oracle Warehouse Builder(OWB). OWB provides sophisticated, Web-enabled Metadata Reporting based on the Common Warehouse Model (CWM) Standard. This Metadata Reporting not only offers complete lineage and impact analysis, but more than 40 textual and graphical reports. Custom reports can also be easily included into the solution; an easy, intuitive, graphical way to identify data anomalies and spot issues and problems. OWB as a leading ETL tool, provides complete data warehouse management by efficiently managing all aspects of the data warehouse lifecycle. Single Consolidated View for Better ProductivityA metadata bridge was designed to transfer the existing metadata into OWB´s CWM compliant Interface. The Metadata Bridge between Powermart and Oracle Warehouse Builder was based on standard interfaces and API´s. OWB brings ABB's business and IT functions into a closer working relationship. Technical users maintaining or updating the ETL process can ensure that new transformations are consistent with the current logic of the overall process. When data is well presented, business users can navigate the process and ensure that their requirements have been interpreted correctly. The new design and implementation using OWB was a result of the consolidation of approximately 170 source systems from around the world into one global repository. The consolidated information was then delivered to further applications - such as the financial systems. American Power Conversion Enables Real-Time Access for All Employees to Accurate, Reliable Data through a Single Global Instance  Customer Profile American Power Conversion CorporationWest Kingston, RI Industry:High Technology Annual Revenue:>=$1B Employees:5000-9999 Oracle Products & Services • Advanced Supply Chain Planning • Discrete Manufacturing • Oracle Consulting Services • Oracle Financials • Oracle Human Resources • Oracle9i Database • Order Management • Self-Service HR • iProcurement Key Benefits • Reduced inventory levels of raw materials and finished goods by 56% • Facilitated pull-based manufacturing • Removed guesswork from manufacturing planning • Improves decision making by providing a global view of the business • Supports aggressive worldwide growth "By using the Oracle E-Business Suite and having an integrated set of application modules in a single instance, we enjoy the ability to pass information seamlessly from the time a customer books an order to the time the customer is paying the invoice. We get a global perspective in one place, in real time." --Lisa Sipe, CIO, American Power Conversion The Need for Real-Time InformationFounded in 1981, American Power Conversion Corp. (APC) is number one worldwide in market share for IT equipment power protection. Based in West Kingston, Rhode Island, APC is a provider of global, end-to-end AC and DC-based power protection products and services. With a worldwide installed base of more than ten million satisfied users, APC is known for Legendary Reliability and sets the standard for quality, innovation, and support for power protection solutions--from desktop, to data center, to entire facilities. The company has sales offices throughout the world and manufacturing facilities on three continents. Its 7,350 full-time employees generated 2001 annual revenues of $1.4 billion and shipped products to 120 countries. As an acquisition oriented company, APC needed an ERP system that would support its fast paced and ever-expanding requirements. "We wanted to implement an ERP system that could help us reduce the amount of inventory we were carrying and respond to demand in a just-in-time fashion," recalled Lisa Sipe, CIO at APC. "We also required a multiorg system to simplify accounting and financial planning as we grew the global organization." High-Level Project Goals Provide real-time access to all supply chain information through a web-based, scalable open architecture Support one ledger for all financial information Extend single system for HR to all global regions Support growth initiatives on common system, including two manufacturing facilities Enable Web-based self-service transactions for customers, employees, and suppliers Why Oracle?APC upgraded a global instance from Release 10.7 to Release 11i in January 2001. APC chose to upgrade to Release 11i of the Oracle Applications suite because it met the business vision to "provide near-real time access to all APC supply chain information for all APC entities through a web-based, scalable open architecture. Oracle has supported our growth extremely well," Sipe said, reflecting on a successful history with the software since 1996. "Since the original Oracle implementation, we have tripled our operating units and quadrupled our inventory organizations. Yet, it has been simple to add plants and order-taking entities." Single Global Instance Provides Visibility and Real-Time InformationToday, APC supports 3,200 users in 120 countries with a global single instance of the Oracle software. This single global database has replaced 13 separate instances for APC. A centralized team of 30 IT professionals manages data processing activities at 16 factories and 25 distribution centers located in Asia, North America and Europe. "When I compared our installation with a Meta Group benchmark survey in which IT directors described ongoing support and maintenance requirements for ERP systems, I discovered that we are supporting twice as many users per IT equivalent as the benchmark," Sipe said. This is partly due to the economies of scale that come from running a single instance of the software. "Running discrete versions in each location would require adding operations team members," she added. "Database administrators are expensive. So the single instance allows us to make the most of some of our most expensive resources." One global view of all operations within APC enables the company to give customers accurate order status and decrease inventory. "By using Oracle E-Business Suite, and having an integrated set of application modules in a single instance, we enjoy the ability to pass information seamlessly from the time a customer books an order to the time the customer is paying the invoice," Sipe said. "We get a global perspective in one place in real time." Superior Supply Chain Management Increases Efficiency and VelocityAPC is making extensive use of Oracle's distribution planning capability for its vast network of manufacturing, distribution, and supplier sites. APC is using Oracle for both internal replenishment and customer orders providing it with a complete supply view, from the customer through finished goods in warehouses and distribution centers, to inventory in the manufacturing plants, to inbound shipments from their suppliers. "For the first time, we could set up a clear sourcing network, set minimum and maximum levels, and drive internal replenishment based on demand. This took a lot of the guesswork out of manufacturing planning and greatly reduced our inventory levels," Sipe said. APC can now split EDI supply signals among key suppliers for greater flexibility in inventory planning. For the first time, APC has a global DRP with a 12 month planning horizon, giving them and their suppliers more extended visibility than they've ever had before. "Before we implemented Oracle, we found it very difficult to obtain this type of global perspective of the business." Through the use of Oracle's Procurement solution, APC has consolidated 13 Lotus Notes databases into one common system and is using EDI to procure over 50% of all raw materials. APC is leveraging web capabilities to connect with suppliers and no manual intervention is required from the time a material request is generated at a distribution center to the supplier delivery. This new system has enabled APC to reorganize all procurement organizations and transition to worldwide commodity buying for both direct and indirect products. Now a single buyer for a material procures products for the global organization, comprising over 57 independent inventory organizations. Processing over 400,000 lines per year, APC runs all internal replenishment orders and customer orders through Order Management and Shipping Execution. Customer orders can be sourced from EDI transactions, the APC web store, or manually entered, while the internal replenishment orders are automatically planned and released by DRP. Oracle Order Management's ability to seamlessly handle all of these inputs as well as its support for the complex mix of pick-to order, assemble-to-order, and standard item shipments made by APC make it a key component in APC's overall supply chain solution. Reduce Inventory with Mixed-Mode ManufacturingDuring the mid-1990's, APC was predominantly a make-to-stock manufacturer leveraging the repetitive scheduling capabilities of Oracle Manufacturing. That all changed with the acquisition of Silcon in 1998. Silcon had a large, complex and customer-configurable product line, which required APC to implement new assemble-to-order manufacturing techniques in their production facilities. They found the configure-to-order capabilities of Oracle E-Business Suite 11i to be the perfect fit for these new product lines. The flexibility of Oracle Manufacturing allows APC to manage both configurable items and repetitive schedules in the same system to improve asset and resource utilization for all of its 16 manufacturing sites. "Our move to pull-based manufacturing was made possible by Oracle E-Business Suite," Sipe said. According to Sipe, measurable cost savings have accompanied the Oracle implementation. "We made serious improvements in our inventory levels of raw materials as well as finished goods by exploiting the ERP capabilities," she continued. "For example, with the help of Oracle Applications, we reduced raw material inventory on hand by 56%." Consolidated Financials and Global HR Increases VisibilityOracle E-Business Suite 11i has simplified financial consolidation and reporting for the company. APC now operates with one set of books with 20 legal entities and 26 operating units for all financial information. Oracle Financials enabled APC to eliminate duplicate reporting systems in Europe while maintaining the capability of reporting ledgers for local currency requirements. Additionally, the migration to Oracle E-Business Suite 11i has allowed APC to take advantage of iExpenses to move all expense reporting in the company to self-service. With new HR functionality, APC now has the "first ever global organization hierarchy and headcount report by cost center" Sipe said. In the past, one global view was nearly impossible, as data resided in multiple systems. Leveraging the Oracle InvestmentIn July 2000, APC began to upgrade its Oracle software to Oracle E-Business Suite 11i, going live with in January 2001. In order to leverage the wealth of functionality provided by the new software suite, APC decided to implement the new software in a "plain vanilla" fashion, avoiding customization as much as possible. Sipe said adopting the standard software simplified the implementation and makes future software upgrades easier. "We may move a few fields around and add minor functions, but we don't actually customize the transactions," she explained. Future PlansA key APC business objective is to improve self-service access for employees, customers, and suppliers. Adding to existing web-based functionality, APC is currently looking at iProcurement, iStore and iReceivables to increase this self-service capability. Providing a "stable technology stack that supports add-on modules," Sipe said, is another objective of APC's 11i upgrade. Additional module implementations of the Oracle E-Business suite are also underway, leveraging the common data model of Oracle Applications. These products include Advanced Supply Chain Planning, Demand Planning, Advanced Pricing, Configurator, and Mobile Supply Chain Applications. Eaton Brazil Sets the ERP Standard for Eaton's Manufacturing Plants Worldwide  Customer Profile Eaton BrazilValinhos, Brazilwww.eaton.com Industry:Automotive Oracle Products & Services • Enterprise Edition • Oracle Financials • Oracle Human Resources Management System (HRMS) • Oracle Manufacturing • Purchasing Intelligence • iProcurement • iSupplier Portal Key Benefits • Integrated ERP applications result in a comprehensive information base • Model ERP implementation serves as a benchmark for other plants • Streamlined procurement process reduces purchasing time and costs • E-commerce Web site provides reseller network with quick, inexpensive access to products • Online storefront expedites service to specialty automotive manufacturers via seamless integration with ERP and CRM applications • Improved communication with headquarters and quality of information supports significant export business "The tight integration and flexible architecture of Oracle E-Business Suite improves data consistency, eliminates duplications, runs in real time, and enables data and information reporting for decision support and day-to-day management." -- Oswaldo Luiz Agostinho, IT Manager, Transmissions Division, Eaton Brazil Applying the Latest Technology to Improve Business ProcessesEaton Corporation, a global, diversified industrial manufacturer, is a leader in fluid power systems; electrical power quality, distribution, and control; automotive engine air management and fuel economy; and intelligent truck systems for fuel economy and safety. Eaton sells products in more than 50 countries and has been operating in Brazil since 1959. Eaton's Transmission Division in Brazil resulted from the acquisition of Equipamentos Clark Ltda, an automotive transmissions manufacturer with 90% domestic market share. It has manufacturing plants in Valinhos, Mogi Mirim, and São Paulo and exports parts to the U.S., Argentina, Mexico, and Turkey. According to: "In the early '90s Equipamento Clark's in-house enterprise resource planning (ERP) system ran on an IBM mainframe computer. Packaged ERP applications were new on the market," explained Oswaldo Luiz Agostinho, IT manager for the transmissions division at Eaton Brazil. "We needed to improve data integration across functions and our financial management capabilities. We researched packaged ERP applications available." Why Oracle?"In addition to Oracle Financials, Oracle suggested that we consider a manufacturing system and showed us how we could have a completely integrated ERP environment based on a flexible, internet-based architecture, that included financials, engineering, manufacturing, human resources, commercial, accounting, inventory modules, and more," Agostinho said. "And that was how Eaton Transmissions Division came to be the first in South America to deploy Oracle E-Business Suite. Oracle E-Business Suite is a complete set of business applications that shares a single technology foundation which enables Eaton to maintain global business information in one place, access the same data worldwide with Oracle's single data model, automate business processes across the enterprise, and manage by fact with integrated intelligence. When Eaton bought Equipamentos Clark in 1996, the Oracle system deployment was ahead of schedule. "We had no problems integrating Oracle applications with third-party software," Agostinho said. Eaton managed the implementation itself to minimize the cultural impact on end users. "We experienced no downtime when we went into production," he said. Eaton's Oracle E-Business Suite implementation at the Valinhos facility interfaces to specific third-party systems that were deployed in parallel at the Mogi Mirim manufacturing site. "The tight integration and flexible architecture of Oracle E-Business Suite improves data consistency, eliminates duplicities, runs in real time, and enables data and information reporting for decision support and day-to-day management," Agostinho said. Facilitating Trade Between Suppliers and ResellersPart of Oracle E-Business Suite, Oracle Exchange is an electronic marketplace that Eaton uses to foster business between Eaton's customers and suppliers. Eaton's online marketplace is also being used to purchase products from its suppliers as well as to sell parts to automotive manufacturers and resellers who make up the aftermarket. "We were using enterprise data interchange (EDI) systems and replicating them to our 3,000 suppliers and approximately 3,000 spare parts resellers," explained Agostinho. "However, EDI systems are proprietary and can be difficult to deploy at smaller resellers. Therefore, we chose to move to a Web based system. Oracle Exchange allows any partner with a standard internet browser to have secure access to the system." Reducing Purchasing Time and CostsEaton's e-commerce deployment, based on Oracle E-Business Suite, was conducted in three phases. The first phase, completed in the spring of 2002, focused on enhancing relationships with suppliers by deploying Oracle Procurement, including iProcurement, Purchasing Intelligence, and iSupplier Portal--all part of the Internet Procurement Solution of Oracle E-Business Suite. Eaton uses Oracle Procurement to source, negotiate, and collaborate more effectively with suppliers, and identify savings opportunities with spend analysis and supplier performance tracking. "Oracle Procurement has streamlined the procurement process and reduced purchasing time and costs through reverse auctions where suppliers offering the lowest prices and the best conditions make the sales," said Agostinho. In the fall of 2002, Eaton completed Phase 2 and implemented Oracle Exchange Marketplace, an e-commerce Web site for purchasers, suppliers, and aftermarket customers. This online, collaborative environment enables Eaton's supply chain partners to come together and conduct business over the Internet. "Oracle Exchange Marketplace provides our reseller network with quick, inexpensive access to our products," said Agostinho. In parallel, Eaton opened a virtual store, based on Oracle iStore integrated with a customer relationship management (CRM) system tailored to serve specialty automotive manufacturers. Oracle iStore enables Eaton to build, manage, and personalize powerful, global, and scalable Internet storefronts and provides a 360-degree view of customers and their sales interactions across all channels by using a unified customer data model. From Proprietary Mainframe to Seamless Internet-Based ArchitectureEaton began the transition from legacy ERP systems to Oracle E-Business Suite with Oracle Financials, and performed a module-by-module deployment interfacing with legacy systems to prevent a break in the manufacturing system's organizational hierarchy. "Every module had to be validated by the end user before it could become operational. This gave us a high level of commitment from the installation staff and minimized impacts on the corporate culture," Agostinho said. Eaton did not require extensive training. According to Agostinho, the applications were easy to use and end users had plenty of time to get familiar with the new applications. A Model For Eaton's Manufacturing Sites WorldwideEaton Transmission Division's Oracle E-Business Suite implementation serves as a model for other Eaton plants worldwide. "Due to our success in Brazil, Eaton has adopted Oracle E-Business Suite as its ERP standard. Brazil's facilities have become the benchmark for ERP deployments at Eaton's manufacturing plants worldwide." "Beyond the technology, ERP systems are about implementing processes to manage change, which can be extremely complicated without the right tools," Agostinho said. "Oracle E-Business Suite assured us of a smooth transition from our legacy systems to a robust, flexible, and scalable environment running the latest ERP applications. Undoubtedly, Oracle E-Business Suite was well worth the investment." Future PlansEaton also plans to implement the supply chain planning modules of Oracle E-Business Suite to integrate and streamline operations across its entire value chain. "We will also count on more efficient communication with headquarters in the U.S., which is critical for a company where 30% of revenues come from export," Agostinho said. Using Oracle9iAS Portal, Emerson Motor Technologies Reduces Costs, Drives Productivity, and Transforms Its Business Model  Customer Profile EMERSON MOTOR COMPANYSt. Louis, Missouriwww.gotoemerson.com Industry:Industrial Manufacturing Oracle Products & Services • Oracle9iAS Portal • OracleAS Enterprise Edition Key Benefits • Reduced travel costs • Reduced paper costs • Improved productivity • Improved, collaborative communications • Reduced application development costs • Scalability, to eventually serve up to 13,000 users "We sought the best portal solution for our employees. It was Oracle. Oracle was the only portal that could scale to our needs and seamlessly integrate with all our business operations." -- Andy Beach, Vice President of E-Business, Emerson Motor Technologies Emerson Motor Technologies Chooses Oracle for a Complete, Integrated SolutionEmerson Motor Technologies, a division of St. Louis-based Emerson Electric Co., is the world's leader in electric motor development and production, manufacturing more than 320,000 electric motors each day. With some 13,000 employees at 24 plants worldwide, the business has realized that efficient internal communications and standardized self-service applications are key to optimum employee productivity. Emerson Motor Technologies developed an intranet in 1994 for sharing engineering data and documentation. Over the years, the site evolved to fulfill additional employee needs, and in 1999, the organization began exploring opportunities for transforming this intranet from a data repository into a business productivity tool. To this end, the Emerson business sought an enterprise-wide portal solution. High Level Project Goals Develop, implement, and maintain an intranet portal that provides "single sign-on" and security, proactive communications, and content management Improve internal communications Centralize access to critical information Raise employee productivity by streamlining internal processes and enabling internal behavior modification Why Oracle?Emerson Motor Technologies initially focused on upgrading its human resources information system. In the process of product evaluation, however, it realized that a portal solution incorporating enterprise-wide operations would enable the company to improve communications and productivity. Emerson Motor Technologies chose Oracle11i E-Business Suite for its Human Resource (HR) application and Oracle9i Application Server (Oracle9iAS) for its portal functionality. This investment in infrastructure put the organization on the road toward transforming its business practices. The decision to go with an Oracle platform was based on the value of the complete, integrated solution, which included Oracle software, implementation, and maintenance. With an all-Oracle platform, Emerson Motor Technologies was able to leverage its application development resources, deploying both the portal and HR applications at the same time. Emerson thus drove down development and maintenance costs, obtained quicker updates, leveraged common tools and training, and capitalized on Oracle's superior scalability. "By deploying the portal and the HR software simultaneously, we exploited the single database for both applications, greatly reducing deployment costs," said Andy Beach, Emerson Motor Technologies' vice president of e-business. Emerson Motor Technologies launched its portal within six months. Now, using single sign-on, users can access relevant information based not only on their personal preferences but also on their position in the organization. Users can also customize personal pages using the portal's graphical-based wizard tools. Oracle9iAS Portal Helps Emerson Motor Technologies Meet Objectives and Reduce CostsImproving internal communications was a key objective of the portal implementation. In the past, the business relied heavily on e-mail to exchange information, which impacted productivity. The portal now provides a vehicle for centralizing data and for proactively pushing dynamic information to all Emerson Motor Technologies' users. Because it provides numerous communication channels--including a calendaring system, dynamic banners, and scrolling headlines--the portal also laid the groundwork for improved employee collaboration. Collaboration within groups is further enhanced because division managers, who have ownership of certain portal pages, can customize information for their respective user communities while linking to common databases across the company. The Emerson Motor Technologies' portal is quickly becoming the platform for multiple cost reduction initiatives. Projects focusing on reducing the number of suppliers of products and services such as travel and office supplies can be accessed through the portal. For example, an employee can add an online-travel portlet application to access travel planning information. In fact, by using the travel application that resides within the portal, the Emerson business has reduced the number of its travel agents, resulting in a significant decrease in travel costs. Future PlansEmerson Motor Technologies is currently integrating the workflow functionality of the Oracle11i E-Business Suite with Oracle9iAS Portal. This application will enable users to access a capital appropriation request system, whereby individuals will receive notification that information needs review and requires approval. "The portal speeds up approval processes by enabling users to collaborate on reviews and make timely decisions with fewer revisions," said Beach. What is the business's vision moving forward? Emerson Motor Technologies seeks to transform its business from a mainframe-based system to a Web-enabled system. It has already started this process with the deployment of its human resources application and Oracle9iAS Portal. In the next six to eight months, the Emerson business plans to deploy Oracle's Finance, Manufacturing, Supply Chain, and CRM Applications across the company. "By bringing both intranet information and HR information to view through the portal, we've set the standard for how all future applications will be viewed as they come online," said Beach. Juken Improves Decision-Making with Real-Time Business Intelligence  Customer Profile JukenSingaporewww.jtljuken.com.sg Industry:Industrial Manufacturing Employees:500-1999 Oracle Products & Services • Discrete Manufacturing • Oracle Financials • Order Management • Purchasing Key Benefits • Decreased time to generate standard reports from one week to one day and customized reports from three weeks to one • Standardized ERP environment increases operational efficiencies while lowering maintenance costs • Scalable ERP system supports future expansion • Access to comprehensive real-time data for decision support and reporting • More efficient business processes result in large time savings • Timely and accurate financial reporting across subsidiaries • Accelerated month-end closure with ability to generate reports upon demand • Real-time visibility and more flexibility in supply chain management "Oracle E-Business Suite delivers the real-time business intelligence that is critical to our business, enabling significant gains in cost efficiencies throughout our operations, from purchasing and order management to supply chain and manufacturing." -- David Wong Keng Yin, Chief Executive Officer, Juken Technology Limited The Need for a Standardized Enterprise Resource Planning EnvironmentEstablished in 1992, Juken Technology Limited is Asia's leading manufacturer of precision plastics components, producing precision plastic gears and other vital parts used in audio-visual and optical equipment, cameras, personal digital assistants, and automobiles. Juken has established a presence in several major Asian markets, operating three factories in China, three in Malaysia, one in Thailand, and one in Singapore, and plans to expand into Europe and continue its expansion in China. With a repeat order rate of 75% from customers such as Brother, Sharp, Pentax, Pioneer, and Sony, Juken is striving to strike a balance between ensuring customer loyalty through constant innovation and growing its business by diversifying into other markets. By 2002, however, Juken realized its growth was being challenged by a lack of standardization across its information systems. Its subsidiaries ran standalone environments, resulting in higher maintenance costs and inaccuracies in part number information, frequent delays in billing, and frustration due to miscommunication. Juken's disparate systems also caused delays in financial data consolidation and reporting. It took the company a week to process standard reports, and up to three weeks to customize reports for management. The time lag hindered management's ability to make decisions quickly. Juken's monthly closings took three to four weeks--two weeks for its subsidiaries to prepare the books, followed by one to two more weeks of financial consolidation at regional headquarters in Singapore. In addition, just-in-time and build-to-order demands from customers were increasing, and Juken needed to be able to respond quickly with optimal levels of inventory and continuous manufacturing line operations. To resolve all these inefficiencies at the same time, Juken decided to standardize on one enterprise resource planning (ERP) environment in order to respond quickly to customers, save on maintenance costs, operate effectively, and realize its goals for expansion. High-Level Project Goals Standardize headquarters and subsidiaries on a single database and a comprehensive set of ERP applications Increase management access to complete, real-time data for reporting and decision support Improve responsiveness to customers with integrated supply chain management, procurement, and manufacturing operations Support plans for global expansion with scalable, extendable Web-enabled environment Why Oracle?Juken selected Oracle E-Business Suite to standardize its operations. According to David Wong Keng Yin, chief executive officer of Juken Technology, "Oracle E-Business Suite delivers the real-time business intelligence critical to our business, enabling significant gains in cost efficiencies throughout our operations, from purchasing and order management to supply chain and manufacturing." The comprehensive regional rollout, which begain in Singapore and Malaysia, included Oracle Financials, Order Management, Procurement, and Discrete Manufacturing applications. Since the implementation, the company has shaved 80% off the time it required for financial consolidation. Currently, the company takes 14 working days. In addition, the heightened financial visibility is improving Juken's decision-making and enhancing its supply chain flexibility while lowering costs. "With plans to further expand our operations in Asia and make inroads into Europe, we require a strategic technology partner that can scale with our business," said Joel Leong, CFO of Juken. "Oracle E-Business Suite gives us the accurate, real-time information we need to continue our assault on the marketplace and move ahead." Real-Time Business Intelligence Optimizes Supply ChainThe company has seen across-the-board gains in its financial reporting processes. Now, management receives last month's financials the first week of the following month. Standard reports that used to take a week to build can be provided in less than a day and custom reports are generated within a week--at least three weeks sooner than before," Leong said. Oracle E-Business Suite provides Juken with real-time information on key metrics including aging reports, suppliers information, and shipment status. In fact, shipment reports that used to take up to five days to generate are easily retrievable on a real time basis. "Oracle E-Business Suite gives us the ability to review pricing of supplies and consider alternative sources for overall optimization of our supply chain," Leong explained. "The scalability of Oracle E-Business Suite also delivers huge cost efficiencies because we no longer need to increase headcount to handle data extraction, despite volume expansion in manufacturing capacities," he added. Up and Running in Four MonthsJuken hired Opentech Consulting, an Oracle Certified Partner, to perform the speedy, four-month implementation. Because the workflows in Oracle E-Business Suite integrated seamlessly with Juken's existing workflows, no additional customization was required during the implementation. The new ERP system went live in March 2003 at headquarters in Singapore and at two sites in Malaysia. "With Oracle E-Business Suite, Oracle has demonstrated industry-leading technical prowess with a reliable and scalable solution," Wong said. "Moreover, by keeping close tabs on the progress of our implementation, Oracle clearly demonstrated its expertise and sincerity in supporting our business." Future PlansJuken plans to extend its Oracle E-Business Suite implementation to its China operations and add new functionality as needed. Knowles Electronics Reduces Inventory by US$1 Million Per Month  Customer Profile Knowles Electronics LLCItasca, IL Industry:Industrial Manufacturing Annual Revenue:$100M-$500M Oracle Products & Services • Advanced Supply Chain Planning • Discrete Manufacturing • Oracle Consulting Services • Oracle Financials • Oracle Human Resources • Order Management • Purchasing Key Benefits • Achieved central information base • Improved inter-division supply chain visibility • Enhanced company-wide productivity and efficiency • Reduced inventory costs by US$1 million each month • Improved customer delivery scheduling • Increased expense reporting frequency from 8 weeks to 2 weeks • Improved custom order fulfillment "We now have complete visibility into the supply chain and all the inventories. We've been able to reduce our inventory by more than a million dollars a month just because we now know where it is." -- Randy Kjell, Director of IT, Knowles Electronics Hearing the Call to Best Business PracticesAfter its acquisition by Doughty Hanson, Knowles Electronics determined it needed a systems overhaul. Each of its eight plants around the world was using different procedures and software systems--an infrastructure that prevented management from understanding company-wide performance. Lack of consistent processes among locations and poor availability of data caused increased inventory levels and repetitive processes. Knowles needed an information base for the organization. Oracle systems and Oracle Consulting were brought in to implement the modern changes. "We looked to Oracle Consulting to come in and help us implement the software based on best business practices," explained Randy Kjell, director of IT. "We budgeted for consulting and wound up about 10% under that total--and that's with tremendous changes and flexibility. The implementation plan evolved as we found better ways of doing things. For example, we said, 'Let's bring Taiwan up next,' then two weeks later we decided not to do Taiwan but to do China. Then, we changed course again and decided to bring up part of Malaysia first. We adjusted the program, and Oracle Consulting helped us with that process and continued to be flexible with us as business needs dictated changes." High-Level Project Goals Install a system that enables corporate-wide assessments Implement standard controls over all divisions Streamline inter-division inventory transfer Why Oracle?Knowles reviewed systems from several vendors, and decided on Oracle's integrated E-Business Suite based on its support, cost, and consulting services. "We felt that Oracle had the best worldwide support," said Kjell. Plants in China and Malaysia were especially interested in working with local Oracle Support people who understood their environment. "It also helped that Oracle had the best overall implementation cost," continued Kjell. "And, being that we were making such a major change, we wanted to have as much support from the supplier as possible. We felt Oracle Consulting would give us not only a quality implementation, but would have connections inside Oracle. Most other vendors were using a third-party for their implementations." Visibility into Knowles' supply chain was also very important to the company. Oracle's ability to help Knowles improve inventory visibility and enhance company-wide productivity and efficiency were determining factors in vendor selection. Visibility, Cost Savings, and ProductivitySince its Oracle implementation, Knowles has seen improvements in several areas. The company has standard processes and centralized information so that management can assess sales, inventory, and costs globally with currency conversions all handled by the applications. The global functionality of Oracle Financials enables Knowles to invoice in one currency, and report in another, and allows the company to run on a single instance. Enhanced visibility has also led to improved processes. For example, historically, managers had to wait up to eight weeks to learn if they were over or under budget, now, they receive weekly expense statements. The largest improvements for Knowles have come in the areas of supply chain visibility and the resulting inventory reductions. "Before Oracle, we cut a purchase order against another plant and hoped it shipped in time. It might be that both England and Chicago put demand on Malaysia for the same parts for the same time frame, but we didn't know what the real priority was," explained Kjell. "Three or four weeks of safety stock was hidden in every location just in case we needed it. The visibility that we now have gives us the ability to see the whole supply chain and all the inventories. We've been able to reduce our inventory by more than a million dollars a month just because we now know where it all is." Increased visibility also means improved customer service. "We now have the ability to see when the product really will be available so we can give the customers valid promised ship dates. We also have the stability to ship from any manufacturing site directly to any customer, which was very difficult with our old systems," said Kjell. Future PlansKnowles plans to roll out Oracle9i Applications Server to setup a portal environment enabling customers to access orders and shipment status. It will also look into the capabilities of Daily Business Intelligence to enhance information reporting.