MFG/PRO case studies

Friesland Hungary Plc.

Nutricia Commercial House Co.Ltd. a company operating in the dairy industry, is widely known for its popular curd-roll product called “Pöttyös Túró Rudi” and its “Milli” milk product family. It operates a logistic distribution center with 15 units in all parts of Hungary. It is engaged in the sale of the full range of dairy products of ‘Nutricia’ Hungary Dairy Product and Drink Group, and in fulfilling the related logistic tasks.

Company

Friesland Hungary Plc. (fromer Nutricia Plc.) a company operating in the dairy industry, is widely known for its popular curd-roll product called “Pöttyös Túró Rudi” and its “Milli” milk product family. It operates a logistic distribution center with 15 units in all parts of Hungary. It is engaged in the sale of the full range of dairy products of ‘Nutricia’ Hungary Dairy Product and Drink Group, and in fulfilling the related logistic tasks.

Situation

Friesland Hungary Plc. has requested KFKI Group to organize and improve its logistic processes. The reorganization of business processes and the related IT investment are fully in line with the process the company wishes to implement in order to maintain and strengthen its market leading position.

Solution

Friesland decided to apply the MFG/PRO Enterprise Resource Planning system as the IT means of implementation. The newly devised logistic processes, as well as the building of the integrated management information system serving the financial and accounting activity of Nutricia Commercial House Co.Ltd. were put in place by the KFKI Group MFG/PRO division. The ISYS-ON specialists carried out the implementation of the ERP system on the basis of a solution satisfying the special needs of this industry, that is, the commercial and distribution sectoral model of MFG/PRO. The purpose of the application serving almost 300 end users is to fully support acquisition, sale and stock management activities and, within this, high-priority tasks such as the quick management of customer orders and the related composite pricing, planning of finished product stocks, organization and accounting with distribution services, goods distribution, daily and weekly invoicing.

MFG/PRO in daily use

The 70 persons simultaneously receiving orders at the branch offices of Friesland Hungary Plc. organize about 300-350 routes a day to all parts of Hungary. As a result of the project started early May in 2001, MFG/PRO management information system went live at the first branch of the company exactly one year later, on May 6, 2002. Then, in mid-June, one of the biggest offices, operating in Budapest, joined the system, and by September 1 all depots, connected gradually, started to use the live IT application.

Operation

In the light of the method of operation of the food company, the nature of its products mostly having a short shelf-life and the ongoing distribution of goods, the operation of the centralized IT system to be operated at different branches permanently, 7x24 hours a week, demanded a well-thought solution from the specialists of both Friesland and the KFKI Group.

Therefore, the joint specialist team created a new, efficient operating model.

A Remedy-based help-desk system was built to ensure permanent operation. Using Tivoli, HP Openview and other surveillance tools, this system supervises all IT applications used in Nutricia Commercial House Co.Ltd. The 7x24 hour help-desk system is operated by the KFKI Group.

The central engine of the IT application is a cluster-type IBM server. The duplicated (MATÁV, PanTel lines, ISDN backup) WAN was built by focusing on operation safety principles.