“The longer we use Epicor, the more reliable our overview and insight into the state of affairs. And the more competitive we can act in rapidly changing circumstances. The implementation makes us future-proof and allows us to respond faster. ”
Derako, producer of solid wood ceiling, wall and facade systems, has delivered national and international custom work for prestigious projects such as the ceiling system in the Birmingham Central Library up to the sustainable solid wood walls in the Erasmus University in Rotterdam and the Fugro TechCenter in Nootdorp. Each Derako project is based on the architect's design idea, creating a warm feeling within modern architecture.
When Richard van den Engel joined Derako in 2013 as finance & information manager, it was his job to increase the company's annual sales and efficiency. Derako's production was in good shape but, like other companies in the sector, struggled to recover after the recession. Van den Engel knew that the implementation of an enterprise resource planning (ERP) system could take Derako to a higher level.
compare apples and oranges
Derako's business processes were performed using a variety of Excel spreadsheets and finances were managed using Exact Software. Van den Engel knew that this was easier with an integrated ERP package. However, this system had to match the handling of complex and specialized estimates, quotations and the wood production requirements.
“You cannot easily define or manage working with wood in numbers, articles or units,” says Richard van den Engel. “We literally sell in endless variations. And what we sell and produce in wooden panels, we produce in linear meters and we buy them back in cubic meters. In addition, there is nothing as erratic as the properties of our wooden raw materials in their various applications and conditions of use. Or maybe it should be the fluctuations in the global timber market where we buy. ”
Other ERP vendors have tried to support Derako in automating business processes, but have been unsuccessful. For example, the purchasing, production and sales departments worked with different units, which meant that an appropriate ERP solution should be able to compare apples to pears.
Leverage costs
Dutch production is based on high-quality knowledge, experience and technology and is performing well. But Derako lacked the correct steering information. Results only came afterwards and provided outdated control information for calculations and quotations of projects that had already been realized. Which in turn affected the margins of individual projects and the results of Derako.
For sales and calculation, everyone used their own models and macros in Excel. And with the doubling of turnover realized after the takeover, fixed, indirect costs grew equally. While a good ERP system puts a lever on the fixed costs, so that much more turnover can be realized at the same indirect expenditure.
Business Intelligence
After experience with other ERP suppliers, van den Engel turned to the Dutch Epicor partner Macroscoop. The team of ERP experts recommended Epicor ERP version 10 to streamline the complex processes.
Van den Engel continues: “Epicor turned out to have an asset: their product configurator supports the infinite variants that our range offers, without creating so many articles. Infinite numbers of articles would thwart our aim to produce good management information with Business Intelligence. The advice and approach of Macroscoop therefore appealed to us very much. ”
Fresh look
After the implementation of Epicor, Derako benefits from an all-in-one system, with a dashboard for the major cost of timber procurement. This improves purchasing and saves many man-hours. There is also a dashboard for customer management (CRM) and for the turnover forecast.
“Routine is making way for adding added value,” says Van den Engel. “We load the data ('data') from the individual Excel files into Epicor. Epicor understands our own production capabilities. Everyone can calculate and quote with equal resources and the right knowledge. Agreements are immediately converted to production. We no longer need to enter the production hall three times a week to inventory consumables such as foil, nails and dowels - Epicor makes a purchasing suggestion. At the end of 2015, we also want our foreign representatives to calculate and quote from Epicor. ”
Future-proof
Derako is now able to respond quickly to changes in the market, customer requests and stocks. In the quotation stage, Derako can ask the customer logical, simple questions. Bursting with Derako's knowledge and experience and the market, Epicor provides a well-founded answer: the best for the customer, commercially responsible for Derako and feasible for production. “This implementation process takes us to a higher level and makes us future-proof, no matter what the market does, because Derako is on the ball the shortest,” says Richard.
“For the first time in Derako's history, we can make really quick and informed decisions. We are now dynamically responding to the circumstances. We have grown into a process-driven organization instead of an organization that suffers from a lack of knowledge. The longer we use Epicor, the more reliable our overview and insight into the state of affairs. And the more competitive we can act in rapidly changing circumstances. The implementation makes us future-proof and enables us to respond faster, ”concludes Richard van den Engel.
About Macroscoop
Macroscoop is an independent Dutch company that specializes in automation solutions that support complex business processes.
As an important Epicor Partner in Europe, Macroscoop is primarily concerned with solving automation issues in new and existing relations in the areas of Production, Distribution and Financial. Macroscoop is a solid partner in Epicor ERP systems with the knowledge and experience that Macroscoop has built up in recent decades. For more information, see www.macroscoop.nl.
About Epicor
Epicor Software Corporation is a global leader in providing business software solutions for manufacturing, distribution, retail and service companies. With over 40 years of experience, Epicor has over 20,000 customers in more than 150 countries. Epicor solutions enable companies to achieve greater efficiency and increase profitability. With a history of innovation, industry expertise and passion for excellence, Epicor inspires its customers to achieve competitive advantage in a sustainable manner. Epicor offers a single point of contact for local, regional and worldwide operating companies. For more information, see www.epicor.com.
