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Global Restaurant Chain Enhances Value of Property Portfolio with SAP ERP
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Global Restaurant Chain Enhances Value of Property Portfolio with SAP ERP


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YASH implemented SAP ERP and SAP Real Estate Management to provide Au Bon Pain with much needed visibility into its vast portfolio of assets. The real estate functionality provided seamless …

YASH implemented SAP ERP and SAP Real Estate Management to provide Au Bon Pain with much needed visibility into its vast portfolio of assets. The real estate functionality provided seamless integration with SAP ERP—helping to streamline processes and offering powerful support for every stage of the real estate portfolio life cycle.

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  • 1. TM SAP® ERP Success Story @ YASH Global Restaurant Chain Enhances Value of Property Portfolio with SAP ERPIndustry The ClientConsumer Packaged Goods Au Bon Pain is a leader in the fast casual restaurant sector specializing in high-quality, fresh foods. Founded 30 years ago, Au Bon Pain operates comfortable casual café environments emphasizing hospitable service with a focus on breakfast, lunch and light fare. Today, the company operates more than 250 bakery cafes in the US and abroad.GeographyUSA
  • 2. Lease Management Activities Hindered by Existing Legacy SystemsMarket fluctuations are a constant Au Bon Pains operations are divided into two categories: corporate and franchise,for the restaurant industry—its each with their own business processes and real estate management needs.the nature of the business. Werefaced with tighter profit margins Corporatethan other industries and wanted The corporate division includes company-owned urban cafes that are leased andto leverage the best-in-class located in office centers of at least 500,000 square feet within central businessfunctionality of SAP to help us districts and serve the surrounding office tenants and pedestrians. Corporategain a competitive advantage. cafes are concentrated in Boston, Chicago, New York, Philadelphia, Pittsburgh,Because of YASHs successful and Washington. Au Bon Pain wanted to enhance profitability reports and leasedeployments, were now able to management activities for this business priorities, based ontrends and measurable Franchiseperformance indicators, which Currently, Au Bon Pain manages over 230 franchise locations. They plan to takehelp us, remain a market leader. advantage of an exploding market segment and accelerate franchise development —Ed Mockler, CIO in both domestic and international territories, within their five preferred trade channels of city-center office buildings, transportation centers, hospitals, universities and shopping malls. As an independent business entity, the franchisee is responsible for selecting all café locations within an Area Development Agreement (ADA) and negotiating all lease terms. However, Au Bon Pain does provide assistance in creating a plan that incorporates the preferred trade channels, and will map the area and advise on securing sites and leases. When a potential café location is being considered, a Site Information Package is submitted to the Au Bon Pains real estate committee. The client only signs an ADA if it is based on a territorial market with a minimum unit potential of 10-20 locations, as they do not sell single unit agreements. Au Bon Pain wanted to streamline their franchise management operations into an integrated, single platform to lower operating costs. The franchise, real estate and finance departments used several different and disparate legacy systems that involved a variety of manual processes, which created costly inefficiencies in their lease management activities. With such large amounts of data processed daily, they needed a comprehensive solution for both real estate and back-office tasks that could provide: • Many contract options with flexible contract conditions • A universal software platform to support global real estate management • Increased transparency and compliance with FASB 13 • Monitor and maintain contract renewal details • On-demand access to ad-hoc reporting • Integration of department silos, i.e. Finance, Franchise, Real Estate, etc Au Bon Pain sought an SAP ERP and SAP Real Estate Management solution that would deliver an end-to-end solution for facilities management and improve data visibility across the enterprise. They chose YASH as their strategic partner to drive business improvement across the company. As an SAP certified Gold Partner, YASH has the experience to lower the Total Cost of Ownership through flexible programs and global delivery options, accelerator tools, and a proprietary implementation methodology.
  • 3. YASH Improved Support for Entire Life Cycle of Managed Assets with SAP YASH implemented SAP ERP and SAP Real Estate Management to provide Au Bon Pain with much needed visibility into its vast portfolio of assets. The real estate Customized View of Leasing Activities functionality provided seamless integration with SAP ERP—helping to streamline processes and offering powerful support for every stage of the real estate portfolio life cycle. Company Code In particular, YASH implemented the functionalities to enable Master Data Management, Business Partner Management, Contract Management, and Business Entity Reporting and Correspondence. Master Data Management Building Master Data is the central point of entry for all business process related to real estate administration. YASH developed a customized view that included rental Rental Unit units that remain fixed objects that can be leased out/franchised out as a unit only. This hierarchy forms the basis of the franchise division. Business Partner Management Integrates all contacts of people and organizations into vendor and customer records. YASH created subcategories as role differentiators for lease in or lease out functionalities. Contract Management YASH streamlined corporate and franchise management operations with the following FX-RE functionalities: • Fees configured into the conditions, with sales settlement concept used for calculating and posting fees • Automated reminders developed for contract renewal • Base, percentage, and parking rent conditions configured into corporate leased in contracts • Tenant, Landlord and Payee Business Partner roles integrated with accounting and controlling • FASB 13 Lease AccountingTechnology Component Reports and Correspondence • SAP ECC 6.0 As part of the overall ERP implementation, YASH implemented SAP • SAP Real Estate Management BusinessObjects to give Au Bon Pain management more powerful, efficient and user-friendly analytical reporting capabilities. This gave Au Bon Pain the ability to • SAP® BusinessObjects™ proactively change business processes based on: • Changing trends in the marketplace • Customer behavior and spending patterns • Customer preferences and experiences
  • 4. Single, Integrated ERP Platform Supported Strategic Decisions for Growth InitiativesBy consolidating all business processes into a centralized system for operations, Au Bon Pain gained the ability to makestrategic decisions that grow profit margins and support future initiatives. The client was also able to: ü Achieve transparency: Received full, accurate visibility into what they owned and leased, where its located, how its being used, and how much it costs. ü Streamline business processes: Reduced transaction costs, increased operational efficiency, and freed up capital from real estate assets to allow for further investment in growing areas of their business. ü Support investment and corporate strategies: Better decision making and investment strategies through accurate cost/revenue performance data across the enterprise. ü Further leverage existing investments: Tight integration of all real estate and financial data dramatically improved the way they managed their extensive real estate portfolio, with a significant reduction in IT maintenance costs and manual FASB13 calculations. ü Boost business efficiencies with end-to-end automation of processesIn the future, Au Bon Pain plans to expand significantly through its partnership with YASH. With SAP as the foundation toaccommodate their global growth strategy, Au Bon Pain plans to leverage business intelligence to access customer behaviortrends, launch promotional programs, and enhance business insight for effective decision-making capabilities.About YASH TechnologiesYASH Technologies focuses on customer success. As a leading technology services and outsourcing partner for medium andlarge global customers, we leverage technology and our flexible delivery models to drive performance and business valuethroughout a customer’s enterprise. YASH’s comprehensive service approach incorporates a holistic view of our customersthat extends beyond delivery. This approach integrates enterprise solutions and services, proprietary best practice offerings,strategic application and maintenance outsourcing, as well as consulting and integration services. YASH is a SEI CMMI (Level 3)and an ISO 9001:2008 certified company with U.S. and India headquarters and regional sales and development offices spreadacross three continents. YASH is also part of a select group of companies that are SAP-certified global providers of applicationmanagement services.For more information, visit or email TMYASH Technologies w w w. y a s h . c o m / c o n t a c t u s SAP-ERP-CPG20-0311Global Presence - USA | EU | MEA | APAC • California | Illinois | Massachusetts | Missouri | New YorkTexas | London | Germany | Bahrain | Hongkong | Singapore • Hyderabad | Pune | Mumbai | Bangalore | IndoreWorld HQ: 605-17th Avenue East Moline IL 61244 USA | Toll Free: 877-766-8934 | Tel: 309-755-0433 | Fax: 309-796-1242EU: The Mille-II Floor 1000-Great West Road Brentford London TW89HH UK | Tel: 44-20-8261-4408 | Fax: 44-20-8261-4418India: 201-205 Bansi Trade Center 581/5 MG Road Indore MP 452001 India | Tel: 91-731-426-1100 | Fax: 91-731-426-1234 © 2010-2011 YASH Technologies. All rights reserved. Referred products/ services may be registered trademarks of belonging companies.