INDUSTRY

Improved Process Controls Allow More Time to Analyze Data and Boost Competitiveness: Springer Carrier, a leader in air conditioning, heating and cooling equipment for commercial, residential and transportation applications, announced it has reduced the number of duplicate IT systems by 40 percent and the number of suppliers by 50 percent, as a result of a major process improvement project with IBM Global Business Services. "The first financial closing was very good; it took only 16 hours to close all cost processing and accounting reporting -- more time was available to spend on analyses," said Orlando Jr., Project Manager, Springer Carrier. "It was the fastest SAP project ever deployed in Carrier, plus during the project there was no disruption to key company processes such as selling, planning, producing, billing and delivering products to customers." Completed in 13 months with an estimated investment of US$3 million, the project resulted in an additional benefit for the company. The new process controls have paved the way for improved corporate governance practices and have facilitated the company's compliance with Sarbanes-Oxley legislation in the US. The benefits of centralization obtained by Springer Carrier include systems integration, operation of a single business model that reduces operational complexity and costs, increased process control and transparency, integrated planning and shorter manufacturing lead times. "The project has allowed Springer Carrier to face the big challenges confronting players in the electromechanical industry -- having better information at their fingertips to make decisions with," said Sergei Beserra, project manager, IBM Global Business Services. "The issues were many and included improving product lifecycle management, such as guarantee and maintenance costs, as well as enabling the rationalization of products." Standardizing and improving process controls, optimizing costs and increasing customer satisfaction were the initial goals of the project. The company decided to centralize the back-office operations of its Argentinean and Chilean affiliates in a new shared services center in Brazil and to implement the ERP management solution of SAP R/3 in its Brazilian unit. The project was led by IBM Global Business Services jointly with a team of Carrier professionals. IBM Global Business Services was selected to lead the systems implementation due to its experience in this type of project and also for its wide-ranging business partnership with Carrier worldwide. The company also engaged IBM's infrastructure and support outsourcing services.