Our client was a company that provides logistics, component sequencing, material quality control support to Automotive OEM companies. The company had successfully grown over the past 40 years from a small entrepreneurial firm to become a large, best-in-class, multinational company. The company had an old outdated accounting software package and two point solutions supporting inventory management and component sequencing, none of which were integrated together. The company is a majority owned Canadian company with 11 factories in Canada, USA and Mexico.
Schroeder & Schroeder was commissioned to assist the company in finding a business software tool set and implementation team that met their North American automotive industry needs. The activities completed to ensure each of the reviewed solutions were viable for the company were:
- Documentation of the current state business processes across the company
- Creation of a customer requirements list
- Generation of a complete Request for Proposal (RFP) Package
- Identification of a long list of Software and Implementer pairs for review
- Management of the complete RFP process
- Review of Supplier submissions and analysis of complete data set
- Selection of Solution Short list using a proprietary ranking methodology
- Selection of a prime vendor for system implementation
- Review of pricing and legal documents between the two parties
The main challenges faced on this project included:
- The business model of the client is heavily weighted to an outsourced operations labour support role for their OEM customers. As a result, the client needed to be able to deeply integrate with multiple OEM systems while maintaining focus on the services and staffing requirements of their contracts.
- Typical business software in the automotive industry used by major multinationals is a conglomeration of point solutions developed over the history of business software, starting with accounting systems in the 1980’s. Point solutions were integrated into old systems leading to a patch work of applications none of which were designed for outsourced contract service providers.
- A detailed review of a large number of solution providers identified one solution set that from a single provider that was focused on the client’s automotive service business with a comprehensive Enterprise wide solution set.
After analyzing the project requirements our consultants addressed the challenges presented and performed the following actions to deliver results to the client:
- Conducted a Business Process Review – the consultant created a high level business process summary for all processes by interviewing all team members in the company.
- Generated RFP Requirements and Documents – the consultant took a step beyond standard software RFP practices and ensured all current state requirements were addressed in the RFP package.
- Communications with Vendors – the consultant communicated directly with each of the 20 different vendors on the long list to ensure they understood the improved requirements in the RFP
- Analysed data, Created summary and short list – the consultant addressed the submission shortfalls directly with the vendors, analysed the responses and recommended a final short list
- Demonstrations of the short listed software solutions were complete – the consultant worked with the vendors who provided a focused “client specific” solution demonstration
- Proof of Concept was complete for the primary vendor – the consultant worked with the vendor to configure a detailed system demonstration unique to the clients processes
- Review of Proposal and Contracts – the consultant analyzed the vendor’s contracts and complete proposal making recommendations to the client on solidifying the new partnership between the two companies.
Through this approach, Schroeder & Schroeder delivered:
- A complete set of process documentation
- A long list of 6 Tier 1 Enterprise Software Suite solutions
- A custom RFP package
- A summary of 3 solutions that claimed to have complete ESS solutions
- A short list of 2 solutions that were the only solutions to be within 90% of the client requirements
- Selection of one candidate for negotiations
Upon conclusion of the project, all key success factors had been achieved, and the client was highly satisfied with both the project deliverables and the value added by Schroeder & Schroeder Inc.