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"Customer Success:
Southern Pump & Tank Company - SAP Business All-in-One"
Source : SAP
Southern Pump & Tank Company (SPATCO)
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Service Performance Management,
Service Request Management,
Services Management Software,
Service Access Management,
Service Catalog Management,
Service Configuration Management,
Service Continuity Management,
Service Contract Management,
Service Delivery Management,
Service Desk Management.
SPATCO uses SAP®
Service Management
to track equipment at
its customers’ sites,
receive incoming service
calls, dispatch and
complete work, and
track labor and materials
for billing. Using
mySAP™ All-in-One,
SPATCO lowered
inventory by 28%, and
reduced slow and nonmoving
items by 70%;
reduced the days from
job completion to
invoice generation
from 8 to 3; and compressed
the financial
close from 20-plus
days to 5.
Southern Pump & Tank Company (SPATCO) , headquartered in
Charlotte, N.C., is a $60 million value-added distributor specializing
in liquid handling equipment for the petroleum and industrial
marketplaces. The company implemented a mySAP™
All-in-One solution quickly, in only 16 weeks, to support a
customer-driven culture at the company.
“Our main business is distribution – buying from manufacturers
and reselling to end users – but we also install and service all the
equipment we sell,” says Charlie Tew, CEO of SPATCO. “If their
equipment is down, customers are not generating revenue. The
biggest difference between us and our competitors is the service
that we give our customers. We use mySAP All-in-One to take
care of our customers at a higher level of service than our
competitors do.”
As a small and midsize business (SMB), SPATCO licensed the
solution from SAP business partner Osprey, the SAP division of
NIIT Technologies. Osprey drove the solution rollout, leveraging
a rapid implementation methodology and its SMB solutions
expertise to achieve the 16-week implementation.
“It was very important to be able to license mySAP All-in-One,
and get implementation assistance, from a company focused on
our size business,” Tew says. “We have all the same business processes as a large corporation, but we don’t have the same
resources. The Osprey implementation team had breadth of
knowledge about mySAP All-in-One and was able to implement
quickly. This allowed us to limit the internal business and IT
resources we had to dedicate to the project.”
That meant SPATCO could get applications like SAP® Service
Management up and running quickly, to keep it ahead of the
competition. SPATCO uses SAP Service Management to track
equipment at the customer site, receive incoming service calls,
dispatch and complete jobs, and track labor and materials for
billing. SPATCO also uses SAP
Service Management to review site
and equipment histories, as well
as track the profitability of
individual service vans.
“mySAP All-in-One closed any
holes that we had from a serviceissue
perspective,” Tew says. “We
have always been customer-driven, but this has given us the tools
we need to improve.”
Charlie Tew, CEO of SPATCO
That improvement extends to overall operations, where SPATCO
uses their mySAP All-in-One solution to integrate equipmentinstallation
project quoting and sales through component
purchasing, installation execution, progress and final billing,
and follow-on equipment tracking for 5,000 customers across
seven states, placing 4,500 orders per month.
“We lowered inventory by 28%, and reduced slow and nonmoving
items by 70%,” says John Force, vice president of technology
at SPATCO. “On the service side, we reduced the days from
job completion to invoice generation from 8 to 3, increasing cash
flow. And we compressed the monthly financial close from 20-
plus days to 5.”
CUSTOMERS GET WEB ACCESS
SPATCO runs their mySAP All-in-One solution on the IBM
AS/400 platform, OS/400 operating system, and IBM DB2 database.
Approximately 130 users access the system across
11 locations, connected by a wide-area frame relay network.
SPATCO customers have access, too.
We’re using SAP Internet Transaction Server to allow customers
to enter service calls over the Internet,” Force says. “Customers
can view service-call history information online to check status.
They can also place sales orders
and view the status of these orders
online.”
SPATCO plans to implement
mySAP Customer Relationship Management (mySAP CRM) to
enable service technicians to
update and close orders on site,
instead of calling in the information for follow-up paperwork.
The company also wants to use the solution to support its
mobile sales force and to provide an interaction center for
customers.
Our number-one issue is exceptional customer service,” Tew
says. “Everything that we do within this company starts with the
customer. mySAP All-in-One offers us complete information
concerning all aspects of the business relationship to better serve
the customer. SAP gives us a competitive advantage that we
could not get anywhere else.”