Case Study: Superior Fastening Technologies, Inc.

Solution: Infor ERP

Product: Infor Syteline

Plateform: Microsoft Windows

Database: Microsft SQL Server

Industry: Metal Fabrication

Revenue: 119 Million

Employees: 570

Country: Hong Kong

About the Company

The evolution from local screw manufacturer into international fastening provider involves

more than building state-of-the-art manufacturing facilities. Superior Fastening

Technology Limited, a leading manufacturer of high-quality fasteners and metallic

accessories for the electrical and electronics industries, sees the recently implemented

Infor™ ERP SyteLine solution as a foundation for the company’s further expansion into

international markets. Superior is based in Hong Kong, and has an office in Singapore and three manufacturing plants in Mainland China (Shanghai, Huizhou, and Wuxi). It produces and sells products for use in home appliances and telecommunications, computing and imaging products, as well as motors and electrical assemblies. With its own electro-plating facility, the company provides surface treatment for the fasteners it manufactures, as well as for metal parts manufactured by other companies. This one-stop shop enables faster turnaround time, lower costs, and higher-quality goods than its competitors. Superior is listed on the Singapore Stock Exchange.

Setting the strategy

Superior is a successful company with plans to achieve growth through further expansion into international markets. Like any company in the fabricated metal industry, quality management, customer service, and cost control are critical to a successful business. For those operating in the international market, efficient, international-standard systems are an additional requirement that is increasingly mandated by customers. This was Superior’s second attempt at implementing an ERP solution. The unsuccessful deployment of a local product several years ago placed pressure on the project

team to select the right solution and ensure it would be delivered as promised. “Previously, we had two systems running separately: ERP and accounting,” explains Peter Ma, financial controller, Superior. “Reconciliations and reporting were done manually, errors were frequent, and there was no visibility from one system to the other. This was not the environment for making fast and sensible management decisions.” Superior set about finding a business solution to suit a manufacturer moving into the international marketplace. Functionality needed to include planning, control, and analysis. It had to be based on advanced technology to ensure flexibility and longevity, and the service partner delivering the solution needed to be experienced and professional.

Getting business specific

“We needed an international solution with integrated functionality, plus, it had to be suitable for our industry and for the size of our business,” explains Ma. “Our previous ERP experience taught us that the consultant, the underlying technology, and the quality of ongoing support were the keys to a successful implementation and to the solution delivering value to our business. According to Ma, Hong Kong-based Infor partner SOLAR Technologies (SOLAR) had many years of experience, a track record of successful implementations, expertise in the fabricated metal industry, the manpower to implement all sites at once, and the ability to support the solution after implementation. “We felt confident that with their knowledge of the product and the industry, SOLAR could help us gain the greatest possible return on our

Infor ERP SyteLine investment.” Superior’s IT Manager, Joe Cheung, was excited about the flexibility of the Infor solution due to its technological foundation. “SyteLine is a true .NET solution, and that

means we can tailor the system by creating new business logic and new reports as we need to, without buying source code or relying on a third party. Our IT team would be able to do much more by themselves, saving Superior both time and money.” “Ongoing support was assured too,” adds Ma, “since Infor has a strong presence and a long-standing reputation in the Asian region, with technical people and support centers in Hong Kong, Shanghai, and Guangzhou.”

Seeing results

Superior implemented Infor ERP with Financials, Manufacturing, Distribution, Sales, and Inventory running on a central server based in the company’s Hong Kong office. At the same time, a dual unit production solution that allows for simultaneous monitoring of orders by unit and by weight was developed by SOLAR to enhance the Manufacturing functionality. Three sites (Hong Kong, Singapore, and Huizhou) went live in eight months, a full two months ahead of schedule, while the Shanghai site followed two months later. Samuel Chan, project manager for SOLAR Technologies, attributes the

early completion date to the enormous effort put in by Superior’s project team and to the .NET technology. Cheung concurs, “The Microsoft® .NET technology allows us to make changes to the system logic, make minor enhancements, add fields, and create reports without

needing to purchase source code. As a result, our team did much of the application-based work ourselves, while SOLAR focused on education, business mapping, and the more

complex application-based tasks. “SOLAR did a really good job converting the data from the old

accounting system into SyteLine Financials,” says Ma, “given that the two applications were totally different conceptually. It was a complex task that required considerable attention to detail.” Post implementation, support

was really important and both teams spent time to understand any remaining issues and to resolve them.

With four sites live on Infor ERP SyteLine, Superior is enjoying the early benefits of running the integrated solution:

Better customer service.

< Delivery times are faster.

< The progress of each job order is visible throughout the production process.

< Customer response times have improved dramatically.

Increased accuracy.

< Integration eliminates duplicated entries and errors.

< Each of the company’s 6,000 products has its own costing

information, enabling precise cost control.

Time savings.

< Information is processed and available much faster.

< Time spent checking/correcting data is largely eliminated.

Greater control.

< Profit and loss status is visible in real time every day.

Previously, P&L reports were provided monthly.

< The system provides a clear view of what and when to buy.

< The dual unit production solution enables simultaneous

tracking of orders by pieces and weight.

< Real-time information and reliable, quality reports are

available to support management decisions.

User satisfaction.

< The system is stable and efficient, and searching is easier.

< Individuals can focus on their jobs, rather than fixing errors.

< The .NET technology means new reports and system

modifications can be developed in-house.

Competitive advantage.

< Investment in ERP is rare among Superior’s industry peers

and gives them a huge competitive advantage.

< Superior is able to compete in the international market.

“Since deploying Infor ERP SyteLine at Superior, we know what’s going on in our business,” reflects Ma. “This means we have greater control over day-to-day operations and the ability to focus on our future.”

Being open to an enterprising future

Ma believes that Superior is well on the way to establishing itself as an international supplier of quality fastenings and that the Infor ERP SyteLine implementation is instrumental in

this journey. “I am convinced that Superior made the right choice selecting Infor and SOLAR Technologies.” In a second phase of the project, Cheung has started work on the implementation of Infor’s ERP solution at Superior’s new factory at Wuxi, near Shanghai. Once this is completed,

the team will prepare to implement Infor SCM Advanced Planner, Infor SCM Advanced Scheduler, and Infor Workflow for ERP for even greater efficiency and control.