This global company has subsidiaries and manufacturing facilities
in many Latin American countries. Information systems were
different in each country, and none were Year 2000 compliant.
The subsidiaries were operating very independently, but needed
to start synchronizing the production planning and manufacturing
functions among themselves and with the US. SAP R/3 had been
proposed as a common system, but there was doubt that the
different needs of all countries could be accommodated, and
that the project could be done at a reasonable cost.
Our role was to establish the feasibility of a common system
replacing all the old architectures and supporting the different
local requirements; to gain acceptance from country management
to standardize processes in critical areas and to execute
a multi-national project. Mornington Consulting Partners had
to determine the cost of the project and the hardware and
support architecture for the sub-continent; and gain acceptance
of the project from country management. The creation of a
multi-national project team representing Argentina, Brazil
and Mexico was needed. We also had to design a core configuration
and implement SAP R/3 sequentially in Brazil, Argentina and
Mexico for finance, sales / distribution, materials management
and manufacturing; and prepare the ground for implementation
in Chile, Venezuela, Colombia and other countries.
Mornington led the feasibility, costing, and justification
and analysis phases of the project, including the review of
benefits stemming from a cross-country IT solution. We developed
the change management plan and convinced management in the
various countries of the feasibility and benefits of an integrated
Latin American system. We gained approval of the project.
We helped structure the team and directed the Latin American
project leader. We created the environment to process SAP
from a single US based data center, running the Latin American
The company resolved its year 2000 problem. The business
units are gaining benefits such as improved flexibility, better
logistics, reduced working capital and operational costs.
The overall cost of IT will be reduced. The ability of this
manufacturer to operate globally is reinforced.