Caitec Doubles Business with 30% Less Overhead Using Kechie ERP Software

2020 | Case Study

Challenge

Caitec made the strategic decision to move from growing their business by double-digit percentages to doubling and tripling their business. This type of aspirational business growth required an Enterprise Resource Planning (ERP) solution to scale with their company quickly. This need for rapid implementation required the My Office Apps team to remove the complexity and streamline operations.

“”[The] Service, support, and responsiveness from My Office Apps has been outstanding. Overall, an excellent experience.”
– Rich Nornhold | VP of Operations

They also integrated order processing, receiving, product location, shipping, and finance; be easy to implement and tuned to their operational requirements; and easy for new users to come up to speed and learn how to use the system. The demands of their custom design and manufacture of products for OEM customers, along with managing their manufacture and distribution to retail and direct-to-consumer outlets, had outstripped the capabilities of their QuickBooks-based system.

Solution

Caitec selected the full suite of inventory and financial management capability offered by My Office Apps Kechie cloud-based ERP software system over three other competitive systems.

Results

Rich Norn hold, VP of Operations, Caitec, has led the modernization of its manufacturing, inventory management, and supply chain systems. “We’ve refined our manufacturing process on the back end to make us as efficient at one unit as we are with a million units,” said Nornhold. “What’s important to our business customers is our responsiveness and our ability to work with them on any project that they can conceive.” Caitec needed the same responsiveness from their ERP software supplier.

“We quickly came to the conclusion that Kechie was going to be the best solution for us because the other software packages were – here’s what you get, like it or lump it.” My Office Apps team’s ability to customize the implementation in the early rollout stages ensured the success of the project.

To achieve their vision of doubling revenue while lowering expenses, they need an ERP system that would allow them to change processes and implement those changes within the software system. Continue Nornhold, “We looked at four different options in terms of ERP systems and did a competitive comparison with pluses and minuses and a return on investment of each one and came to the conclusion that Kechie was going to be the best solution for us.”

For example, Caitec needs an ERP system to help them optimize their inventory picking process. While their warehouse was laid out logically, the existing financial system wasn’t location-based. Order entry and receipt of product required a manual entry process from spreadsheets. T he people in the warehouse would spend an excessive amount of time looking for inventory. With Kechie, EDI orders are now going automatically into the system. Caitec has been able to implement a location-based inventory and control its inventory numbers even as its volume has doubled. “Rather than having to bulk up our warehouse to meet customer fulfillment demands, we’re able to manage that inventory more closely. Our inventory levels have come down, and our service levels have not dropped,” added Nornhold.

A year and a half after implementing Kechie, Caitec could directly measure the impact on their business. “We met our goal of doubling our business while reducing headcount and expenses 30-35%. To us, that was a direct saving due to implementing Kechie,” continued Nornhold. “In addition to better inventory management and shipping, we’ve freed up a good bit of time on the front end of order processing. And because it’s cloud-based, we can securely access Kechie from anywhere in the world, and now that everyone is living in a world of remote work, it’s been a godsend.”

“The overall cost was where we wanted it to be, and our staff came up to speed on Kechie during the implementation. Service, support, and responsiveness from My Office Apps has been outstanding,” concluded Nornhold. “Overall, an excellent experience.”

Case Highlights


Top Challenges

  • Business scalability
  • Operation inefficiencies

Key Solutions

  • Implemented full suite of Inventory and Financial Management modules from Kechie ERP

Results

  • Implemented scalable ERP platform
  • 30-35% reduction in operating cost
  • Doubled business volume
  • Optimized picking and warehouse management
  • Optimized order processing and receiving

View Published Case Study