Summary:

Logan Consulting continues partnership with global network designer to create and implement procedures to support data flows on QAD MFG/PRO.

The Client:

This company designs and delivers networks for the world’s largest communications service providers. Backed by a Finnish industrial research and scientific development, this company relies on its strengths in mobility, optical, data and voice networking technologies as well as software and services to develop next-generation networks.

The Opportunity:

With the ever-expanding complexity, and related supporting cost, of import and export compliance regulations, the company made a strategic decision to outsource all systems and functions related to export compliance. This decision allowed the client to focus internal resources and expenditures on value-added activities within its core competencies, such as research, design, engineering, and development of leading-edge technologies.

Supporting this strategic initiative required an extensive re-engineering of the client’s information systems and internal resources that were supporting the export compliance function. This company invested considerably in the creation and on-going maintenance of custom software applications to support the myriad, ever-changing import/export compliance regulations, including embargo, restricted party, tariff, and nuclear proliferation legislation. Additionally, each business unit previously maintained its own import/export compliance operations, leading to great redundancy of systems, data, and personnel.

The implementation of the outsourced import/export compliance strategy would allow the client to realize the benefits of centralization and specialization of technology and resources provided by a partner focusing solely on import and export compliance, while simultaneously reducing the risk of non-compliance.

Logan Consulting was originally engaged to perform a Program Management role over the entire outsourcing project. In this role, Logan Consulting would manage the objectives, scope, roles and responsibilities, and issue and conflict resolution. The latter of these roles was of primary concern to the client’s CIO organization due to the transition from internal resources and current consulting organizations supporting the legacy import/export strategy to a new outsource partner who would replace the existing systems and personnel.

The Solution:

Upon completion of initial scoping and planning, it became evident that though extensive effort had gone into designing the new technical architecture required to support the new strategic direction, the business processes required to integrate the company’s supply chain and logistics with the outsourcing partner were not sufficient to ensure efficient flow of material and information. Therefore, Logan Consulting’s role was expanded to include facilitation of and leadership over the development of the To-Be business processes that integrated the import/export compliance partner’s process into the company’s overall supply chain process and its software applications to the client’s technology backbone of ERP, WMS, and logistics.

Logan Consulting lead design sessions that included representation from Order Management, Logistics, Materials, Manufacturing, Global Tax and Trade, Legal, Information Technology, ThirdParty Logistics Providers, and the import/export compliance partner, across six global regions to define a single business process to support all export functions required from identification of a potential new customer and quote, through shipment, to receipt of cash. The final design deliverable included functional flows and procedures as well as detail on application integration to ensure that data flows supported the related function.

The Results:

  • All potential conflicts between the various consulting, outsourcing, and internal resources were addressed by Logan Consulting as the Program Manager, allowing executives to focus on further strategic initiatives.
  • The client and the import/export compliance partner received a detailed functional and technical design that allowed the program to continue to completion without the risk of incomplete or poorly defined processes.
  • Logan Consulting provided program management, process design, and communication methodologies that allowed the project to continue to completion with fewer dedicated resources due to well-established roles, improved communication, and improved documentation.