PeopleSoft recently announced that O-Cedar Brands has licensed
PeopleSoft Accelerated Supply Chain Management
(SCM). This mid market solution offers a full suite of Supply Chain Management
applications, a rapid implementation methodology and flexible deployment
options that give users a predictable implementation timeframe. Accelerated
SCM automates core e-business functionality, including general ledger,
payables, receivables, billing, purchasing, order management, inventory,
production management, bills and routings, cost management, and production
a consumer products company based in Springfield, Ohio, makes a variety
of bathroom and kitchen-cleaning supplies at facilities across the Midwest.
The company selected the internet-hosted Accelerated Supply Chain Management
solution to link critical business processes such as order-to-cash, procure-to-pay
and plan-to-procure. By linking these key business processes, O-Cedar
hopes to achieve a dramatic reduction in operating costs.
Bob French, PeopleSoft project leader and CIO at O-Cedar, "PeopleSoft's
Supply Chain Management solutions will help us meet our continued growth
initiatives by improving operations efficiency and managing customer profitability.
Driving bottom-line cost savings into the supply chain has become an imperative
for companies our size. We found this fixed-price solution to be a very
solution will be hosted by PeopleSoft eCenter, PeopleSoft's
application service provider. PeopleSoft eCenter provides single-vendor
accountability for the Accelerated Supply Chain Management solution. PeopleSoft
eCenter will implement the solution, manage operations, and provide on-going
for businesses ranging from start-ups to companies with $500 million in
annual revenue, PeopleSoft's fixed-price Accelerated eBusiness Solutions
allow companies to extend business processes to include their customers,
suppliers and employees. "In shopping for software vendors, we found that
other mid-market Supply Chain solutions couldn't compete," French said.
"PeopleSoft is committed to our success."
has long endured criticism from competitors and analysts at what they
have portrayed as a lightweight supply chain product unable to compete
effectively with applications from pure-play vendors like i2 Technologies
and ERP rivals like Oracle and SAP. The win at O-Cedar Brands
proves otherwise and is not merely a fluke. PeopleSoft has a distinct
advantage over the pure-plays by its ability to offer a broader range
of applications in conjunction with its supply chain solution.
components of Accelerated SCM that offer the most differentiation are
certainly the financials, such as general ledger, payables, and receivables.
These represent critical areas in any organization that usually are not
well integrated to manufacturing and distribution functions. Pure-play
vendors focused solely on supply chain planning do not have the expertise
or inclination to provide financial capabilities in spite of some half-hearted
attempts in response to customers. As time goes by, ERP vendors like PeopleSoft
are sure to gain ground on the pure-plays in offering solutions that address
enterprise-wide needs with comparable depth of functionality.
Supply Chain Management is deployed around specific industry verticals,
including consumer products, technology, discrete manufacturing, and wholesale
distribution. Vertical deployment is a strategy that most vendors attempt
to pursue although many do not succeed. PeopleSoft has targeted segments
that have been profitable in the past, such as consumer products, but
others, like technology and discrete manufacturing are hotly contested
in the supply chain management space and may prove to be an uphill battle.
Among the more alluring selling points of Accelerated SCM is the guarantee
of "on-time and under budget" delivery, something that PeopleSoft implies
can be accomplished in as little as 12 weeks. We generally frown on bold
promises of speedy, trouble-free implementations and recommend that users
conduct detailed interviews with PeopleSoft and ask for sample timelines
and references from past clients who have achieved quick return on investment.
delivers Accelerated Supply Chain Management in three ways. For users
who want the security of an in-house application with implementation assistance,
PeopleSoft will work with IS departments onsite to integrate the suite
with existing legacy systems. Users with more resources may want to opt
to have PeopleSoft perform the set-up, quality check and installation,
but let internal resources make desired customizations and enhancements.
Finally, for users interested in a truly "hands-off" deployment, PeopleSoft
hosts Accelerated SCM through its eCenter. Whatever the option, users
will find PeopleSoft's graphical interface to be intuitive and easy to
use. As always, prospective clients should choose the option that best
suits their business environments and IT skill base.