U.S. ACQUISITION TO
STRENGTHEN A LEADING
MARKET POSITION

Purple Square supported the integration of a US based leading provider of electric lighting accessories into our customer’s global operations.

 

WITH THIS ACQUISITION

  • Our customer fulfils its strategy to strengthen its market position in North America.
  • Increase of innovation power.
  • Providing more competitive offerings.

CUSTOMER CHALLENGES

  • Master data models across the two companies had to be aligned due to different ERP systems leading to additional synchronization and cleaning efforts requirements.
  • Setting up hardware such as RF devices, servers, racks and switches was a challenge due to global hardware shortages.
  • User acceptance tests (UAT) were conducted on remote locations in different time zones which made UAT extremely challenging.

DELIVERABLES

While the front offices of the merged companies continue to operate separately, the back office functions gained significant benefits from an integrated supply chain and cost efficient distribution network.

IN ORDER TO ACHIEVE THIS..
The acquired company integrated the key applications into the IT network of the new owner. Operational IT cost savings in the backend systems were achieved by exploiting synergies across the local SCM applications in use. Per application a strategy was formulated and implemented to either keep, use, or terminate each application.

 

OUR CONTRIBUTION TO SUCCESS

Three guidelines were applied to integrate the acquired company in short timelines to create value from this acquisition within record time:

  1. BPOs were assigned to every application to collect insights about process and system. The BPO also translated new processes and systems into a training program.
  2. Change management applied to middle management on all (manufacturing) sites, especially when local (IT) project knowledge and experience is not available.
  3. Standardized and centralized system integration and user adoption test scripts enabled rapid feedback loops between the central project team and the local end-user teams onsite.

Integration of warehouses and manufacturing activities between the two entities continues after the initial merger, which will lead to increased efficiency of supply chain operations. Additional benefits will result from cross-selling product of the two entities.