Baan launches mixed ERP/PLM suite for industrial machinery and equipment manufacturers

Fast recovering mid manufacturing enterprise software vendor Baan last week launched an end-to-end hybrid ERP (enterprise resource planning) cum PLM (product lifecycle management) suite specifically for what it terms the ‘industrial machinery and equipment’ sector. The firm says iBaan for IM&E is the first ever to be geared in this way for organisations invariably involved in complex, project and order-driven industrial goods manufacturing. It includes elements of ERP and CRM (customer relationship management), SCM (supply chain management) and PLM (product lifecycle management), effectively linking all of sales, engineering and production operations right out to after sales service. Says Henk de Ruiter, senior vice president of marketing and alliances at Baan, says it’s been developed for the Volvo Constructions, ABBs, Liebherrs and Gildemeister Aktiengesellschafts of this world. “This sort of sector is very different from the rest of manufacturing. Key characteristics include order- and project-driven, so they’re much more about performance management than shipping. There is long term design co-ordination with a significant contribution from subcontractors. And business is cyclical. Very few of the ERP vendors have PLM specific to this industry and its requirements.” He insists that iBaan for IM&E handles all of these requirements. “It focuses on the front end design and development processes in terms of the BoMs and the lifecycle of the BOMs say over 30 years. Companies in this sector need this as-sold, as-built, as-shipped, as maintained coverage… And they need a different level of contract and project management.” And he says the inherent CRM/ configuration requirements, which impact these companies well beyond classic CRM in sales and help desk, are also built in. Engineering/pricing knowledge is available across departments and on out to resellers and customers, so that everything from initial order accuracy, to accurate service order entry and confirmation on-site is there. As for supply chain and production management, he says: “They need real time integration all the way from demand, through planning and scheduling to execution because of the time scales and complexity.” And here, he adds, “We have Wonderware (from parent Invensys) InTrack specifically for discrete manufacturing. De Ruiter cites early iBaan for IM&E adopter lathe and milling machine manufacturer Gildemeister as notching up considerable benefits, including reduced order handling by 30—50%, improved stock turns from 3.8 to 5.8 and production per employee also up by an impressive 50%. And he claims similar achievements for others in this sector. Says Gildemeister director Raimund Klinkner: “The Baan system allows us to configure and to manufacture our machines with an extremely high degree of customer-specific customisations. At the same time, improved data transparency across the supply chain and closer collaboration with our suppliers, who are now integrated electronically in our logistics and production processes, enabled us to reduce the average order execution time by more than 30%.” In brief detail, iBaan for IM&E offers a sales configurator that takes into account all constraints and helps speed up the sales process. It also ensures that ‘as sold’ BOMs are transferred into the ‘back-end’ manufacturing configurator managing the ‘as built’ configuration. And it’s recognises project management requirements, controlling everything from engineering and sales to delivery on site, with support for progress billing to maintain visibility on cash flow and reporting. Additionally, installation phases are supported with time and expenses tracking and project scheduling.