QAD Software Beats Y2K Deadline
22 February 1999
QAD Software Beats Y2K Deadline and Fuels Rapid Results for Solvay Automotive
CARPINTERIA, Calif.--Feb. 22, 1999--Improvements in Financial Closing Procedures,
Inventory Turns and Production Scheduling
QAD Inc. , developer of supply chain-enabled enterprise software, announced that Solvay Automotive Inc., manufacturer of thermoplastic fuel tanks, fuel storage and delivery systems, and air-intaked manifolds, has completed the rapid implementation of QAD enterprise software at its four locations in the United States and Canada in less than six months.
Faced with rapidly approaching year 2000 compliance problems, Solvay Automotive chose QAD's enterprise software to integrate its distributed facilities and create consistent business practices throughout the company.
"All four of our automotive plants were using different versions of a business software package that wasn't year 2000 compliant and lacked compatibility between facilities," said David Stephens, Solvay Automotive director of information systems. "QAD software's enhanced connectivity and ability to meet our industry-specific needs quickly paved the way to replace our old business system."
After a team of Solvay Automotive technical and end-user employees reviewed several industry vendors, Solvay Automotive signed the contract with QAD on April 30, 1998. The company began implementing the software at its plants in Adrian, Mich.; South Bend, Ind.; Troy, Mich.; and Blenheim, Ontario, Canada in May, and went live with the system on Nov. 1, 1998.
The QAD solution was selected because of its established reputation in the automotive industry, its rapid return on investment and its Y2K compliance.
Solvay Automotive anticipates significant improvements as a result of its QAD implementation. Month- and year-end financial closing procedures have been reduced to three days with a goal of reducing it further to two days, compared with seven or more days with the old system.
Inventory turns also have improved as a result of greater visibility of inventory data, the ability to schedule production directly from customer requirements and enterprisewide access to data in standardized reports.
Solvay Automotive has gained greater control over production scheduling through the use of QAD's Advanced Repetitive Line Schedule Workbench to create a two-week production schedule. The two-week production schedule, along with long-range EDI planning information, feeds Material Resource Planning (MRP) to drive the component requirements. The supplier schedules are then released to support the production schedule.
"We now have more streamlined, integrated operations, with better control over data and more detailed data reporting for fact-based decision making," said Stephens.
To support Solvay Automotive's 24-hour, seven-days-a-week operation, the company's system runs on an HP K460 server and an HP K-420, ensuring the highest possible level of up time. The servers are centrally located in Troy, and the plants are connected via the WAN. The company plans to expand the use of its system to include supplier EDI, resource planning, financial budgeting and forecasting, and online requisitions.
About Solvay Automotive
Founded in 1863, The Solvay Group is an international chemical and pharmaceuticals group, with headquarters in Brussels, Belgium, specializing in four sectors: Chemicals, Plastics, Processing and Pharmaceuticals. With 1997 Group sales of more than $8.4 billion, Solvay consists of 400 entities spread across 46 countries that provide direct employment for more than 34,000 people.
Solvay is a leading automotive supplier, with automotive plants in most European countries, the United States and Argentina. Global automotive sales totalled $560 million in 1997. Visit the Solvay Web site at http://www.solvay.com.
About QAD
Founded in 1979, QAD is a leading provider of enterprise and extended supply chain management software and services to multinational companies of all sizes, with special focus on the mid-market. Available in 26 languages and able to support multiple currencies, QAD software helps speed business processes for more than 300,000 licensed users at more than 4,000 licensed sites in more than 80 countries.
QAD software is specifically designed for global manufacturers in the following targeted industries: automotive; consumer products; electronics; food and beverage; industrial; and medical products. Another important advantage is MFG/PRO's quick results wherever sites are located. QAD revenues for the fiscal year ended Jan. 31, 1998, totaled $170 million.
For more information about QAD, telephone 805/684-6614, or visit the QAD Web site at http://www.qad.com. To receive any of QAD's news releases via facsimile, call 800/356-0747, or outside the United States, call 213/253-5647.
Note to Editors: QAD is a trademark and MFG/PRO(r) is a registered trademark of QAD Inc. All other products or company names herein may be trademarks of their respective owners
Note to Investors: This news release contains certain forward-looking statements made under the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. A number of risks and uncertainties could cause actual results to differ materially from those in the forward-looking statements. These risks include: evolving demand for the company's software products and products that operate with the company's products; the publication of opinions by industry analysts about the company, its products and technology; the entry of new competitors and their technological advances; delays in localizing the company's products for new markets; delays in sales as a result of lengthy sales cycles; changes in operating expenses; pricing; timing of new product releases; the method of product distribution or product mix; and general economic factors. In addition, revenue and earnings in the enterprise resource planning (ERP) software industry are subject to fluctuations and the growth rates recently experienced by the company do not necessarily represent future operating results. Investors should not use any one quarter's results as a benchmark for future growth. For a more detailed description of the risk factors associated with the company and the enterprise resource planning industry, refer to the company's Annual Report or Form 10-K for the fiscal year ended Jan. 31, 1998.