Sage Case Studies Luzenac Produces Talc for the World With Sage 500 ERP

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	Luzenac Produces Talc for the World With Sage 500 ERP Sage

Luzenac Produces Talc for the World With Sage 500 ERP

Sage

Technology Category	Functional Applications - Enterprise Resource Planning Systems (ERP) Functional Applications - Inventory Management Systems
Applicable Industries	Mining
Applicable Functions	Discrete Manufacturing Warehouse & Inventory Management
Use Cases	Inventory Management Manufacturing System Automation
Services	System Integration
Challenge	Luzenac America, a division of the Luzenac Group, was using a tier-one financial system (JD Edwards, now Oracle’s PeopleSoft) on an IBM AS400 to manage its operations. However, the system was complicated and unwieldy due to numerous layered customizations. It was easy to enter data but hard to extract usable information. Plus, the system was expensive to upgrade and required dedicated IS and IT departments for support. The company was spending too much on the system, even for a company of its size. They needed a new system that could address most of their needs out of the box, wasn't buggy, and had superior warehouse and inventory management capabilities. Read More
About Customer	Luzenac America, Inc. is a division of the Luzenac Group, which mines more than a quarter of the talc used around the world. Luzenac America manufactures half a million tons of talc a year at plants in Canada, the U.S., and Mexico. The company has ten locations and employs 450 people. The company was using a tier-one financial system (JD Edwards, now Oracle’s PeopleSoft) on an IBM AS400 to manage its operations. However, the system was complicated and unwieldy due to numerous layered customizations. It was easy to enter data but hard to extract usable information. Plus, the system was expensive to upgrade and required dedicated IS and IT departments for support. Read More
Solution	Luzenac America decided to switch to Sage 500 ERP for all core financial applications, including general ledger, sales order, receivables, payables, and cash management. A Production Information Management System (PIMS), authored by Ironware Technologies, records production data and integrates seamlessly with the Sage 500 ERP Inventory Management, Inventory Replenishment, Sales Order, Accounts Payable, and Accounts Receivable modules. Sage 500 ERP automatically records inventory production into the Inventory Management module, maintaining real-time inventory data for finished goods. The company also uses the Sage 500 ERP Multicurrency Management module for automated fund conversion, which is an important timesaver for the company’s Canadian operations. Sage Fixed Assets Accounting, the fixed assets module for Sage 500 ERP, manages about $100 million worth of Luzenac assets. Read More Log in to view content
Contents

Technology Category

Functional Applications - Enterprise Resource Planning Systems (ERP)

Functional Applications - Inventory Management Systems

Applicable Industries

Mining

Applicable Functions

Discrete Manufacturing

Warehouse & Inventory Management

Use Cases

Inventory Management

Manufacturing System Automation

Services

System Integration

Challenge

Luzenac America, a division of the Luzenac Group, was using a tier-one financial system (JD Edwards, now Oracle’s PeopleSoft) on an IBM AS400 to manage its operations. However, the system was complicated and unwieldy due to numerous layered customizations. It was easy to enter data but hard to extract usable information. Plus, the system was expensive to upgrade and required dedicated IS and IT departments for support. The company was spending too much on the system, even for a company of its size. They needed a new system that could address most of their needs out of the box, wasn't buggy, and had superior warehouse and inventory management capabilities.

About Customer

Luzenac America, Inc. is a division of the Luzenac Group, which mines more than a quarter of the talc used around the world. Luzenac America manufactures half a million tons of talc a year at plants in Canada, the U.S., and Mexico. The company has ten locations and employs 450 people. The company was using a tier-one financial system (JD Edwards, now Oracle’s PeopleSoft) on an IBM AS400 to manage its operations. However, the system was complicated and unwieldy due to numerous layered customizations. It was easy to enter data but hard to extract usable information. Plus, the system was expensive to upgrade and required dedicated IS and IT departments for support.

Solution

Luzenac America decided to switch to Sage 500 ERP for all core financial applications, including general ledger, sales order, receivables, payables, and cash management. A Production Information Management System (PIMS), authored by Ironware Technologies, records production data and integrates seamlessly with the Sage 500 ERP Inventory Management, Inventory Replenishment, Sales Order, Accounts Payable, and Accounts Receivable modules. Sage 500 ERP automatically records inventory production into the Inventory Management module, maintaining real-time inventory data for finished goods. The company also uses the Sage 500 ERP Multicurrency Management module for automated fund conversion, which is an important timesaver for the company’s Canadian operations. Sage Fixed Assets Accounting, the fixed assets module for Sage 500 ERP, manages about $100 million worth of Luzenac assets.

Impact #1	The company has better inventory management practices and is able to make better strategic decisions.
Impact #2	The efficiencies of the Sage 500 ERP Multicurrency Management module have saved the company time.
Impact #3	Sage Fixed Assets has helped the company streamline preparation of both its internal and tax books.

Impact #1

The company has better inventory management practices and is able to make better strategic decisions.

Impact #2

The efficiencies of the Sage 500 ERP Multicurrency Management module have saved the company time.

Impact #3

Sage Fixed Assets has helped the company streamline preparation of both its internal and tax books.

Benefit #1	Sage 500 ERP is doing the same work as the previous tier-one product, but for only 75 percent of the cost.
Benefit #2	The company has done two version upgrades since implementation, and they both came in on time and within budget.

Benefit #1

Sage 500 ERP is doing the same work as the previous tier-one product, but for only 75 percent of the cost.

Benefit #2

The company has done two version upgrades since implementation, and they both came in on time and within budget.

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Overview

Luzenac Produces Talc for the World With Sage 500 ERP

Operational Impact

Quantitative Benefit