Manufacturing application transition support and ERP

Client background

Known for its innovative car seat design and commitment to quality, this $160 million global automotive supply manufacturer client was purchased in 2019. This acquisition required a full transition of all systems and applications within 12 months of the transaction close date as a part of the Transition Services Agreement (TSA) with their previous owner. As part of the transition and ownership process, the client participated in multiple engagements.

The business challenge

With operations across North America, Japan and Germany, our client had over 80 unique systems in place that needed to be retained, replaced or retired. This included custom developed, on premise and cloud-based systems and applications. Given the scope of systems and the accelerated timeline, our client needed assistance with the transition, as well as a broad and deep ERP solution that would allow them to achieve their goals. This included:

• Implementing the ERP system globally across its global facilities within a 12-month period
• Simplifying and streamlining the overall system footprint from 80 to 40 systems; reducing nonessential systems and applications
• Leveraging cloud-based software and eliminating the need to set up hardware and servers
• Meeting the requirements of their business including quality, safety, traceability, customer/supplier electronic data interchange (EDI) and production control
• Providing the foundation for a common operating model across the enterprise that would position them for further growth

Strategy and solution

The Baker Tilly team assisted our client in developing a plan to successfully exit the TSA during the 12-month transition period, and stand-up their own applications and infrastructure to become self-sufficient. To achieve their overall goals, our client selected Baker Tilly for the transition effort including:

• Application transition support: Leading the development and execution of a comprehensive application strategy for systems not replaced by the legacy system, including development of an overall roadmap and project plan for transitioning those systems
• ERP implementation support: Supporting our client through the ERP implementation by leveraging our deep knowledge of the software, extensive automotive industry knowledge and broad set of tools and templates to accelerate project activities

In 12 months, Baker Tilly was able to assist our client in implementing ERP software across the three regions and successfully transitioning their applications environment despite operating in a remote delivery model due to COVID travel restrictions. Key activities and outcomes of the project included providing the foundation for a common operating model across the enterprise, including standard metrics and reporting to operate the business.

Supporting key implementation activities, including:

• Data migration from legacy systems, including archiving historical data into stand-alone databases for access/reporting
• Customer and supplier EDI across more than 150 trading partners
• A shop floor MES system to control production and quality processes
• Integration of the new ERP system with key systems including customer portals, automated material handling and payroll providers
• Development of custom customer shipping and supplier receiving labels

Additional ERP modules outside the scope of the original implementation including: time and attendance, project accounting, employee expenses, fixed assets, customer portal, Engineering Change Requests (ECR) and standard reporting