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Other Directories, Comparisons, Research 2004 Supply Chain & Manufacturing Systems (June) View from the Top: Lex ...

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Summary of Reports

 Astute Software

 ATMS

 Azur

 Barloworld Optimus

 Exel

 QAD

 Sage

 Sanderson

 SSI

 Strategix

 Technomatix Technologies

 VSc Solutions

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version of the full report


Management Briefings



 Market Overview & Analysis | Part 2 | Part 3

 Expert Opinion: David Manning of Oliver Wight

 View from the Top: Lex Auto Logistics | Part 2

 Implementation Issues: Plaut Consulting's Mike Hurt | Part 2

 E-Procurement: Chris Wootton of Cocoon | Part 2

 Outsourcing Trends: Accenture's Charles Findlay and Len Sharman | Part 2

 Globalisation: Graham Young of Young Markets | Part 2

 New Technology: Previewing emerging technology | Part 2

 Round Table: Experts from EDS, PRTM, Deloitte and The Logistics Business | Part 2 | Part 3

View from the Top - Part 2 | Part 1

Read Part 1

  COMPANY FILE

Lex Auto Logistics (LAL) is a provider of outsourced logistics services. It runs the spare parts operations for manufacturers of commercial and other vehicles – including the Challenger tank. Its customers include Fleetguard, Vauxhall, Hyundai, Triumph Motorcycles and the MoD.

LAL is part of the £1.5 billion RAC Group. Lex itself has a turnover of £220 million and 500 staff. As a logistics specialist, it has a main 500,000 square metre warehouse in Chorley, Lancashire. This stocks around 309,000 product lines which Lex delivers to around 2,700 different UK customer locations, as well as overseas. Lex itself has around 1,300 active suppliers and 23 UK distribution centres.

It manages this warehousing and distribution operation using the SSA BPCS enterprise resource planning (ERP) system integrated with Manhattan Associates’ PkMS warehouse management system, Manugistics demand forecasting software and the Sherpa technical database.

Q: HOW WAS THE IMPLEMENTATION PROCESS MANAGED?

A: We signed the commercial contract with Manhattan in late 2002 and went live in November 2003. We agreed we would follow Manhattan’s implementation methodology and established myself and Ian Thomson as executive sponsors, with one of Manhattan’s professional services people as sponsor on their side, who is now Wilma Randall.

We appointed an operational project manager on each side and implementation teams. We established monthly project meetings and Manhattan developed an operational functionality flow definition, which basically showed how the system would be deployed.

Another learning point is we should have spent more time specifying the functional flow in more detail, ensuring that we had a full understanding of what we were implementing and that Manhattan fully understood our business. This would have saved us time in the subsequent stages of the project.

In doing this, we identified around 20 minor modifications, for example integration with our transport carrier TNT, and the packaging system needed to interact with BPCS.

Manhattan handed the modifications while we constructed the interfaces and carried out the configuration. Then we did the testing with our developers and analysts proving the software, culminating in a conference room pilot to prove it would work in the workplace. We drove out about 360 scripts then did the data preparation and about six weeks of CRP execution – we exercised the business processes in a logical sequence to capture any problems.

Alongside that we prepared the training materials and took two weekends where we exposed the application to a small number of users. We also did a performance stress test to make sure of the response times and this went well. We also had to deploy the RF kit from Symbol.

The strategy is that we are implementing PkMS in the segment of the warehouse for our customer Fleetguard which makes sense because they were keen on the system and it’s a self-contained area of the warehouse.

The project went live on November 24th last year. It’s been a success though we are still in the stage of benefits realisation.

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