People Soft Implementation: A Major Computer Hardware Manufacturing Organization.
The Client
Apple Computer, Inc., designs, manufactures, and markets
microprocessor-based personal computers, related personal computing, and
communicating solutions. The company’s products are sold to education,
creative, consumer, and business customers worldwide. Apple Computer
reported sales of $7.98 billion for the fiscal year ending September
2000.
The Challenge
Apple Computer’s business operations were distributed over 16 legacy applications operating on a legacy platform. Apple had a vision for a new business model centered on an integrated supply chain. That vision included the implementation of an enterprise resource planning system from People Soft. However, implementation of a large-scale People Soft system would typically require two to three years of concentrated effort. That wasn’t fast enough for Apple.
The Solution
Working with Wability, Apple devised an implementation strategy that focused on those People Soft functions—finance, sales and distribution, and manufacturing—that would most significantly help its business. The consulting team deployed leading-edge functionality to realize Apple’s new business model:
- Build-to-order and configure-to-order manufacturing capabilities
- Web-enabled configure-to-order order entry and order status for customers buying directly from Apple at Apple.com
- Real-time credit card authorization
- Available-to-promise and rules-based allocations
- Integration to advanced planning systems
In 12 months, the Wability/Apple team replaced 16 legacy applications and Apple’s core legacy hardware platform, linking 80 interfaces to Apple’s new PEOPLE SOFT system, including electronic data interchange. Two hundred users participated in data cutover, and 100 Apple trainers educated 1,300 users at 5 sites during intensive 24 x 7 training.
The Benefits
Since its People Soft system went live, the company has
experienced substantial benefits in many business areas, including
having measurable improvements in their manufacturing processes.
Build-to-order and configure-to-order cycle times have shrunk by 60
percent, an improvement achieved while processing more than 6,000 orders
a day. Newfound efficiencies have rippled through to Apple’s supply and
demand chains. In addition to enabling Apple to keep its finger on the
pulse of customer demand, users from across the company.