QAD Inc . (NASDAQ: QADI), a leading provider of enterprise software applications for global manufacturers, has announced that Hereford-based UK automotive supplier Polytec Holden is deploying QAD Global Enterprise Edition, GXE, QAD's flagship software application.
QAD was selected because of its proven ability to enable Polytec to meet the fluctuating demands of its OEM customer base and its additional tier-one customers, and to improve its administrative processes.
Automotive original equipment manufacturers (OEMs) face ever-increasing consumer demand for customisation, putting pressure on automotive suppliers to respond quickly to OEMs without carrying high levels of inventory safety stock.
This is even truer for Polytec, as they provide components for some of the more specialist, lower volume models, such as the Ford Focus ST and the Mercedes SLR McLaren.
This demand for customisation and the OEM drive to reduce carried inventory means that Polytec experiences constant fluctuations in OEM demand for components, with orders changing from day to day and often having short lead times to delivery.
With more than 15 OEMs, this underlying fluctuation in demand is made even harder to manage by the different methods OEMs use to submit orders; some of Polytec's OEM customers transmit updated orders once a day by Electronic Data Interchange (EDI) and others updating once a week by fax.
Polytec decided to replace its existing legacy Sage 500 system with QAD to enable it to cope with these fluctuations in customer demand, reduce stock and better meet all its customer needs, no matter how varied or unpredictable, their format or the frequency with which they are received.
A manufacturer of automotive trim panels, such as bumpers and spoilers, Polytec counts leading names such as Volvo, Mercedes-Benz McLaren, Aston Martin, Jaguar, Bentley and Ford among its OEM customers.
The automotive supplier anticipates the QAD GXE solution will improve its customer delivery times, help the business achieve its objective of reducing inventory by 25% over the next year, improve cost control and improve the overall manufacturing process so that the company can better meet existing customers' demands and ready itself to enter new market areas.