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The 2010 IBM Business Partner Award Winner: Smart Work

The 2010 IBM Business Partner Award Winner: Smart Work

Key business benefits for Delegat’s Wine Estate

Provides hard metrics to support business decisions; specifically enabled the company to run scenarios and understand the impact of strategic decisions; Empowers planners to plan ahead in a 10-year timeframe. from the establishment of an individual vineyard to the sales of a mature bottle of wine in the UK from that vineyard; Preliminary ROI of less than three years; much greater returns anticipated as the system is made more proficient and applications are added; Saves business four to six weeks during each planning cycle; specifically 12 weeks for three to four people per annum.

Technology used:

IBM Cognos TM1 9.4

In this case, Cortell has provided Delegat’s with a solution that doesn’t just solve problems, but enables them to significantly expand its operations with confidence based on hard metrics. Delegat’s can now run scenarios in a 10-year timeframe and accurately predict wine sales in the UK based on vineyards not even planted. In addition, the ROI of less than three years means that its significant investment in technology will pay premiums well into the future. Raymond Skoglund, channel manager IBM New Zealand

Delegat’s Wine Estate, one of New Zealand's largest family-owned and managed winemakers, was using a comprehensive, but time-consuming planning process based on spreadsheets and manual manipulation. Monthly updates to its general plan were taking weeks to complete, causing bottlenecks and uncertainty in the planning process. In addition, it was proving difficult to manage multiple scenarios.

Delegat’s selected Cortell to implement the IBM Cognos TM1 business intelligence solution to help thecompany with its strategic planning requirements. Delegat's had a suite of complex business rules it had developed over the years, as well as a number of Excel-based reports that managers wanted to retain. In addition, Delegat’s was planning a replacement of its ERP (enterprise resource planning) solution as well so they needed a BI solution that could interface with the new solution as it came on line.

Cortell’s implementation overcame all of the technical hurdles and delivered a solution that ‘changed the business’. Cortell managed to retain almost all of the business rules while preserving the Excel-based reports that management preferred. No data is kept in Excel as data is extracted from the source using ODBC-based (open database connectivity) techniques. This ensures that as Delegat’s changes any data sources the pathways and subsequent analyses will not be affected. As a side-effect of the implementation, Delegat’s was able to eliminate data capture errors and correct omissions in source data.

Delegat’s now has powerful new tools to help it expand overseas and take advantage of opportunities here in New Zealand. For instance, analysts use TM1 to create scenarios for establishing new vineyards, opening new offices and to model product/demand analyses. In addition, they use TM1 to report forecasted results to the stock exchange and look into past results for trends and analysis. Delegat’s can now look at a 10-year planning cycle and run monthly updates to the plan in less than a day. Before TM1 the process would take up to and sometimes more than a month.

Delegat’s now has much more control of its business and can run simulations to predict the effects of any changes to operations. Indeed, it can quantify the results in increased sales by the application of changing the fertilisation application on a specific vineyard. This particular implementation illustrates the benefits from working smarter by using technology. Delegat’s has been able to retain its intellectual property – complex business rules and tried and true reports – while significantly upgrading the back-end processes to deliver those results faster, more accurately and with much more scope.


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