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| Case Study |
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Patni builds a Portal Solution for Global Procurement at a large IT Company |
Employing its proven onsite-offshore model, Patni provides an efficient and optimized web-enabled Supply Chain Management solution, bringing process standardization and significant cost-saving to a large Fortune client.
The Client
A Fortune 20 company, and a leading global provider of products, technologies, solutions and services to consumers and businesses in more than 160 countries across five continents.
The Challenge
The client set up a Global Procurement Services (GPS) division with the aim of developing an efficient web-enabled Supply Chain execution process to effectively manage its Supply Chain and Supplier Relationships. This division, spread across 11 countries, was being maintained by disparate legacy applications supporting various business processes covering procurement, tax saving, vendor-managed inventory and logistics service provider, across regions.
The project involved:
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Development of new business models, productivity enhancements and an integrated and scalable application suite to facilitate global process standardization |
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Rapid deployment and migration of all business models to a new integrated ERP application |
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24x7 support under an SLA framework |
Patni won the project and successfully met the challenges:
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Highly complex impact analysis: global nature of business with single instance of ERP implementation |
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Complex architecture: multiple inbound and outbound interfaces / connections to corporate, legal and financial systems |
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Global spread users: different languages and time zones |
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Varied knowledge level of business users: region specific knowledge, lack of process standardization and IT orientation |
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Unique and complex business process: involvement of multiple external/internal agencies |
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Dynamic business priorities: rapidly changing opportunities and environment |
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Requirement of minimal customizations: with optimal yield to business requirements |
The Solution
Patni leveraged its proven onsite-offshore capability to ensure focus on quality, flexibility and cost-efficiency. Some highlights of its solution are:
Business Process Development
Successfully designed and developed:
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5 New business models |
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40 Complex business solutions, 7 Productivity enhancements |
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125 Functional enhancements |
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10EDI Message, Rosettanet integration |
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A private e-marketplace for trading with business partners |
Deployment
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Deployed client's proprietary business model (Nexus) to 5 new offices ;ocated in Guadalajara, Taiwan, Hong Kong, Japan and Korea, using Patni's proprietary data migration toolkit |
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Migrated around 925 procurement projects to Nexus |
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Trained key users and provided post-implementation support. |
Support Services
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Provides efficient SLA based application and system support for Nexus, interacting with third party software vendors and client support teams. |
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Within the first 2 years |
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Closed 300+ call requests and 40+ support service requests, on an average every month |
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Resolved all business critical and high priority calls within 24 hours |
The Technology
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HP/RP7400 N Class, NT servers, MS SQL server, Apache webservers |
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Oracle database version 8.1.7.4 |
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HP/UX crontab, PERL |
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The Benefits
Patni has significantly contributed to all the client's objectives of standardization, migration and cost-effectiveness, besides providing enhanced IT enabled services. It achieved this by effectively leveraging its off shoring capability.
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Complete transaction volumes of all the 11 global sites moved to a single instance ERP, facilitating phasing out of the multiple regional legacy applications. Procurement projects in Nexus went up by 80%. The private e-Marketplace is being used by 80 suppliers and 200 customers with a transaction value of about USD 15m per month |
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Business revenue on Nexus zoomed from 25% to 95% and the business grew with a CAGR of 30%. The IT costs, however, came down by about 10% in spite of slight increase in the IT headcount
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Savings of USD 5m to reduced transaction costs with the new web-based portal solutions, and annual savings of USD 10m due to rapid development and deployment of an automated tax-saving model, were achieved.
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Enhanced business intelligence, improved call responses and resolution time |
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