Sage launches UK manufacturing unit

Sage (UK) has launched a business unit dedicated to manufacturing, with the objective of building on its existing base and improving credibility. Andrew Buckley, newly appointed director of Sage Manufacturing Solutions, says the division will continue to sell through its channel partners, but bring a new internal focus. That involves building headcount of pre-sales consultants. Buckley is not looking for more direct sales activity – although that will happen – but want to improve support for its dealer network. “Our biggest challenge is to build the expertise for our Line 50 channel,” he says. “Very few have solid manufacturing experience.” And while he’s happier with Sage’s bigger systems coverage, there’s room for numbers. And the other is the Sage brand itself. “Everyone has heard of Sage, but 90% still think of us as selling accounting and payroll packages to SMEs.” As for the target market, it’s middle of the road make-to-order and configure-to-order manufacturers. “We’re steering clear of the cutting edge of manufacturing: we’re providing basic tools, not those for the early adopters,” says Buckley. That said, Sage does have modules to support traceability for aerospace and defence, and the Preactor APS (advanced planning and scheduling) system further developed “so it can be configured out of the box.” The company has also launched a project management module with functions like engineering change control. And Buckley says that aspects like backflusing and works orderless manufacturing are there for lean operations, while there’s also a product configurator in Line 500 and one due for Line 50. But Buckley insists: “We’re about demystifying and simplifying: we don’t want to appear to be esoteric.” Truth is that Sage has a lot of market to go for. “25% of Line 50 users are in manufacturing, but a very small percentage of those are using our manufacturing functionality.” And at the Line 500 end, while one third of those are in manufacturing, and using the functionality, there’s more to go for – when the Sage network gets its head around the more advanced modules. “At the moment, about six of our 30 or so channel partners who are expert in manufacturing, are capable of selling and implementing APS,” he says. If Sage gets this right, the momentum could be considerable. Sage already has 80,000 British manufacturers using its software. The lure of integrated software that includes CRM, more than basic production and supply chain management, could be great.