Success Stories
New Software enables an Automotive Distributor to Gain a Competitive Edge to Become Industry Leader
In today’s automotive environment, it’s challenging to grow a business and gain a competitive edge. Here’s how one distribution company used our Technology Business Solution consulting services to help implement new software systems aimed at tackling these challenges.
"The technology services provided by RSM McGladrey and the addition of this software has helped our company become a more efficiently run business," says Jim Durso, Paul MacHenry's chief operating officer. "As long as you continue to devote time and resources into Microsoft Dynamics GP software, it will continue to give you a return on investment (ROI)."
Background
As the competition increased in the auto parts industry, the owners of Paul MacHenry & Company were at an impasse. They realized if they were going to grow their distribution business, they needed to enhance their industry position. As a new parts dealer to the automotive industry, the company needed advanced systems to efficiently process and expedite orders.
Project
Situation:
Paul MacHenry & Company was using an industry-specific proprietary system that did not allow them the flexibility they needed. The company faced four major challenges with their current system: inadequate and inaccurate financial reporting, reliability or lack there of, insufficient support, and poor demand planning and forecasting capabilities. As a result, it was difficult to make good business decisions.
Solution:
RSM McGladrey partnered with Paul MacHenry & Company to help them implement an application software solution — Microsoft Dynamics GP.
- 25 user Microsoft Dynamics GP system
- 5 Business Portal users
- Inventory Control, Sales Order Processing, and Purchase Order Processing
Since Paul MacHenry & Company manages multiple warehouses with thousands of parts, streamlining the purchasing process was a key concern. The new software provided a direct link to their manufacturer, reducing the purchasing process from a five-day task to a less than eight-hour activity. They were also able to get a much better handle on their inventory levels, enabling them to reduce their inventory significantly.
In addition, the software solution helped to tackle their four major challenges in the following ways:
- Financial Reporting– Data is accurate and is pulled in minutes rather than hours
- Reliability – System is more robust and stable
- Support – Training materials and process manuals provided by RSM McGladrey and Microsoft are comprehensive
- Demand manager – Increased administrative control over expediting orders.
Outcome:
The system has now been up and running since 2004. Paul MacHenry & Company relies on it every day for the sales and purchasing process. What’s more, they have built a reputation for being an industry leader.