This webinar from Ultra Consultants discusses how to maximize ROI from an ERP project and beyond. The speaker discusses Ultra Consultants' services including business process improvement and enterprise technology selection and implementation. Key areas discussed for maximizing ROI include developing a strong business case for change, identifying ROI opportunities across various business functions, and making investments in people, processes, and technology through the ERP project and beyond. Additional resources from Ultra like webinars and white papers are also mentioned.

1. Ultra Consultants Webinar
Getting the Maximum ROI From
Your ERP Project and Beyond
Team with Ultra to Drive Business Performance Improvements
March 22, 2017

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3. Today’s Speaker
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/20173

4. Charlie Schloff – Partner
 25+ Years experience
 Manufacturing and IT industries
 Automotive: Ford Motor Company
 Program Director on large scale projects: ERP, CRM, HRIS, PLM, BI, and
Engineering Systems
 Divisional Director of Six Sigma and Lean Methodologies
 Manager of European IT Services & Operations
 Manager of Enterprise Architecture & Development
 Manager of Information Security & Compliance
 Food & Beverage: Kerry Ingredients
 Director of Information Technology and Process Improvement
 Director of Business Acquisition and Integration
 Global Industrial Equipment: Eclipse Corporation
 VP of Information Technology
 Director of Corporate Quality
12/1/20174

5. Agenda
 Overview of Ultra Consultants
 Business Transformation with ERP
 Getting the Maximum Returns
from Your ERP Investments
 Additional Resources
 Q&A
12/1/20176
Your
Business
Case for
Change
Business
Case for
Change in
Action
ROI Areas of
Opportunity
Investments
in People,
Processes,
Technology
Maximum
ROI From
ERP

6. An Overview of Ultra Consultants
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/20177

7. Ultra Consultants – At a Glance
 Vendor independent consulting firm for Manufacturing and Distribution industries
 Clients throughout North America, HQ in Chicago
1. Your partner for enterprise technology education, selection and implementation
2. Your partner for Business Process Improvement

8. Ultra Consultants – At a Glance
 Vendor independent consulting firm for Manufacturing and Distribution industries
 Clients throughout North America, HQ in Chicago
1. Your partner for enterprise technology education, selection and implementation
2. Your partner for Business Process Improvement
 Areas of expertise:
 Business Process Improvement (BPI)
 Enterprise technology selection
 Implementation management
 Business value realization
Enterprise
Technology
Business
Process
Improvement
People,
Methodology,
Care
Business
Performance
Improvement
and Results

9. Ultra Consultants – At a Glance
 Vendor independent consulting firm for Manufacturing and Distribution industries
 Clients throughout North America, HQ in Chicago
1. Your partner for enterprise technology education, selection and implementation
2. Your partner for Business Process Improvement
 Areas of expertise:
 Business Process Improvement (BPI)
 Enterprise technology selection
 Implementation management
 Business value realization
 Our focus as a valued partner:
 Your people, processes and technology
 Ensuring you select and enable the right technology
 Driving your productivity, transforming your business
Enterprise
Technology
Business
Process
Improvement
People,
Methodology,
Care
Business
Performance
Improvement
and Results

10. Ultra Consultants – Clients Focus
 Manufacturing & Distribution
 Mid market: $25 million
to $2 billion
 Vendor independent
 Tier 1, 2, 3 vendor relationships
12/1/201711
Industrial Equipment
20%
Other
19%
Consumer Goods
12%
Industrial Supplies
12%
Food & Beverage
8%
Automotive
7%
Chemical
7%
Distribution
5%
Electronics
5%
Medical
5%
“Other”:
• Aerospace & Defense
• Dealerships
• Fabrication
• Furniture & Furnishings
• Grain & Feed
• Metals
• Paper converting
• Plastics
• Services
• Telecommunications
• Wood
300+
Client
Projects
20
Vendors Selected
& Managed
40+
Vendor
Relationships

11. Business Transformation with ERP
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201712

12. Business Transformation with ERP
 What is required of projects that transform your business?
 Time, personnel hours, investment
 Obvious investments: Outdated machinery, legacy technology
 Not-so-obvious:
 Internal operations made more efficient with best practices
 Maximize revenue streams and profitability
 Business strategy alignment
 ERP + your people + your processes = your business transformation
12/1/201713

13. Your Business Case for Change
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201714

14. Your Business Case for Change
 ERP + Your People + Your Processes = Your Transformation
 A proper business case drives your transformation
 A proper business case ensures your investment is:
a) Well-defined scope, objectives, and expectations
b) Properly funded, budgeted
c) Aligned to company objectives and strategies
d) Calculated with cost estimates in $$$
e) Calculated to accommodate internal costs
12/1/201715

15. Your Business Case for Change
 ERP + Your People + Your Processes = Your Transformation
 A proper business case drives your transformation
 A proper business case ensures your investment is:
a) Well-defined
b) Properly funded, budgeted
c) Aligned to company objectives
and strategies
d) Calculated with cost estimates in $$$
e) Calculates your internal costs
12/1/201716
• People
• Backfilling
• Training
• Continuous improvement

16. Your Business Case for Change
12/1/201717
 Makes sure you select the right solution:
a) Requirements analysis
b) Future state design of best practices
c) Identifying improvement opportunities
d) Quantifying improvement opportunities
e) Composing the transformation plan

17. Your Business Case for Change
12/1/201718
 The right solution is not only about:
1. Software functionality
2. License costs and implementation fees

18. 0.0
1.0
2.0
3.0
4.0
5.0
Functionality
Technical Complexity
Vendor Synergy
Implementation Confidence
Costs & ROI
Solution Agility
Solution Selection Summary
Vendor 1
Vendor 2
Vendor 3
Vendor 4
Your Business Case for Change
12/1/201719
 The right solution is not only about:
1. Software Functionality
2. License Costs
3. Vendor Synergy
4. Implementation
Confidence
5. Technical Complexity
6. Solution Agility
also

19. Your Business Case for Change
12/1/201720
 The right solution is not only about:
1. Software Functionality
2. License Costs
3. Vendor Synergy
4. Implementation
Confidence
5. Technical Complexity
6. Solution Agility
0.0
1.0
2.0
3.0
4.0
5.0
Functionality
Technical Complexity
Vendor Synergy
Implementation Confidence
Costs & ROI
Solution Agility
Solution Selection Summary
Vendor 1
Vendor 2
Vendor 3
Vendor 4
also Functionality 3.6 3.5 4.0 4.1
Navigation & Integration 4.5 4.4 4.6 4.2
Order Entry 2.5 3.8 3.9 3.8
CRM(Customer Relationship Management) 4.1 3.4 3.7 4.6
Vendor Return / CORES 3.6 4.2 3.9 3.9
Procure to Pay 3.3 3.1 4.0 3.9
Warehouse and Inventory Management 4.1 3.1 3.5 4.6
Accounting & Finance 3.9 3.1 4.2 4.5
Portals 3.1 3.1 4.0 3.5
Implementation Methodology 3.5 3.7 3.8 3.9
Technical Complexity 4.0 3.8 4.1 4.0
Skills Alignment 4.5 3.7 3.9 4.2
System Integrations 4.0 3.5 4.1 4.1
Technology Toolsets 3.7 3.9 3.7 4.0
Compatibility & Roadmap 4.0 4.0 5.0 3.7
System Consumption
Technology Architecture 4.0 3.4 4.2 3.7
Technology Maturity & Stability 4.0 4.2 4.0 4.0
System Performance Benchmarks 3.7 4.0
Vendor Synergy 4.1 4.0 4.0 3.6
Culture 4.5 3.9 4.5 3.7
Financials 4.1 4.1 4.0 3.5
Business Development 4.0 3.2 3.3 3.0
Company Structures 4.0 5.0 4.0 4.0

20. A Business Case for Change in Action
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201721

21. A Business Case for Change in Action
 Multiple dimensions of evaluation in practice:
12/1/201722
99 significant
opportunities
impacting 9
business functions
AP 11
AR 9
Returns 3
CRM 21
Order Entry 26
Parts & Service 6
Shop 2
Vendor Mgmt 6
Warehouse 15
Total 99
Opportunities defined:
• Inventory reduction – 10%
• Purchased costs reduction – 1%
• Operations productivity
improvement – 10%
• Sales increased from improved
on-time performance and reduced
returns – 3%

22. A Business Case for Change in Action
 Multiple dimensions of evaluation in practice:
12/1/201723
Vendor 1 Vendor 2 Vendor 3
Year 1 Implementation Costs $2.8MM $3.1MM $3.2MM
Year-over-Year On-Going Costs $624K $615K $542K
5 Year Cumulative Cash Flow $10.1MM $10.7MM $16.5MM
R.O.I. 69.2% 65.1% 102.7%

23. A Business Case for Change in Action
 Our experience:
 Payback realized less than 12 months for investments exceeding several hundred
thousand $
 Why?
 Benefits of investment are quantified
 Benefits of investment are prioritized
 Benefits of investment are road-mapped
 Expectations are defined
 Confidence levels are applied
12/1/201724

24. A Business Case for Change in Action
 Our experience:
 Payback realized less than 12 months for investments exceeding several hundred
thousand $
12/1/201725

25. A Business Case for Change in Action
12/1/201726

26. ROI Areas of Opportunity
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201727

27. ROI Areas of Opportunity
 Inventory Management
 Supply Chain Management
 Product Development
 Sales Management
 Pricing and Margin Management
 Forecasting
 Production Management
 Quality Management
 Employee Retention
 Warehouse Management
 Financial Management
 E-Commerce Extensions
12/1/201728

28. ROI Areas of Opportunity – In Action with Ultra
Automotive Distributor
12/1/201733
ROI Expectations
Investment:
• One-time cash release of $2.8M
Inventory Management:
• Year 1: 50% inventory reduction
• Year 2: 50% inventory reduction after go-live
On-going benefits:
• $3M/year
Distributor serving the automotive
performance enthusiast and dealer
market, providing high performance
product lines via B2B and B2C.
• Required improved data integrity
and access to data
• Improved reporting
• Eliminate over-reliance on
spreadsheets
• Eliminate manual processes; free
people to focus on continuous
improvement
• Order and product velocity
throughput in warehouse
• Seamless integration with CRM
Ultra Services
• Current state analysis and
documentation
• Future state design and
transformation roadmap
• ERP solution selection
• Contract negotiation
• Solution implementation
– Program Management
– Project Management
– Functional design
– Integration design
– System build
– System deployment
$0.14
$0.10
$1.40
$0.94
$0.41
Inventory Carrying Costs
Computer Maintenance…
Purchased Cost…
Operations Productivity
Increased Sales
$0.00 $0.50 $1.00 $1.50 $2.00

29. Investments in People, Processes &
Technology
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201736

30. Investments in People, Processes & Technology
 Processes:
 Designing the future state
 Incorporating industry best practices
 Lining up integrated flows with baseline metrics
 Identifying the opportunities and driving toward them
12/1/201737
Business Process
Analysis
• Current State
identification and
categorization
Business Process
Education
• Technology
capabilities; Best
practices; Vendor
evaluation
Business Process
Mapping
• Future State
requirements

31. Investments in People, Processes & Technology
 People
 Promoting their competencies & strengths
 Identifying individual competency gaps
 Enhancing the ability to do things better
 Managing a constructive change approach
 Organization
 Identifying gaps in organizational structure
 Organizational Design Strategies
 Align resources to the new organization and close gaps
12/1/201738

32. 12/1/201739
Industrial Mfg.
Co.
Production
Management
S&OP
Governance
Production
Forecasting
Shop Floor
Management
Shipping &
Logistics
Industrial Mfg.
Co.
Production
Management
Job
Scheduling
Shop Floor
Management
Shipping &
Logistics
Industrial Manufacturing Company
• Built out functionality and future state
processes
• Introduced S&OP processes to manage sales
demands with operations capacity
• Introduced new Production Forecast Dept.
• Some areas made more efficient through
workflow and automation within the system
• ERP system allowed us to evaluate
resources against organizational needs and
shift people and hire new people
Investments in People, Processes & Technology

33. Investments in People, Processes & Technology
 Technology
 Business continuity and disaster recovery
 Infrastructure
 Network
 Server
 Client
 Information security
 Service level management
 Technology standards
 IT governance
 Workforce mobility
12/1/201740
• Some in-house with existing staff
• Some outsourced
• Organizational assessment will
determine needs

34. Investments in People, Processes & Technology
 Plant-level technology
 Connecting the plant/warehouse to the information system
 BOM routings
 Bar coding and wireless scanners
 Handheld devices and tablets
 GPS locators for Field Service
 Capabilities to connect Programmable Logic Controllers (PLC) on the
production floor to engineering systems and ERP
12/1/201741

35. Agenda Check-In
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201748

36. Agenda
Overview of Ultra Consultants
Business Transformation with ERP
Getting the Maximum Returns
from Your ERP Investments
 Additional Resources
 Q&A
12/1/201749
Your
Business
Case for
Change
Business
Case for
Change in
Action
ROI Areas of
Opportunity
Investments
in People,
Processes,
Technology
Maximum
ROI From
ERP

37. Additional Resources
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201750

38. Additional Resources
 Ultra Education
12/1/201751
On-Demand Webinars:
Access to Ultra webinars
from past 12 months.
White Papers: Topics for
planning and executing
your enterprise project.
Blog: Searchable by
topic, industry, vendor.

39. Additional Resources
 Recent Ultra webinars
 “ERP Health Check: Is Your Business At Risk With Your Legacy System?”
 Topics:
1. What is the value our current ERP is providing and can it match the value of a new ERP
system?
2. Is our business less competitive or being held back by our legacy ERP system?
3. Where are the risks to our enterprise systems and business with our current ERP in
place?
4. What factors should be first considered in moving forward with new or upgraded ERP?
5. How is our approximate cost calculated?
12/1/201752

40. Additional Resources
 Recent Ultra webinars
 “ERP Health Check: Is Your Business At Risk With Your Legacy System?”
 “5 Factors for a Successful ERP Selection”
 Topics:
1. ERP selection is about more than just features and functions
2. Cost and contract considerations
3. Risks to your company that should be assessed prior to your project
4. Risk for your selected technology and platform
5. Implementation and support options and what questions should be asked
12/1/201753

41. Q&A
Getting the Maximum ROI From Your ERP Project and Beyond
12/1/201756

42. Ultra Consultants Webinar
Getting the Maximum ROI From
Your ERP Project and Beyond
Team with Ultra to Drive Business Performance Improvements
Thank You!