Pladis Global: Strengthening the Global Food Giant with ERP JD Edwards EnterpriseOne (E1)

A Case Study for Kazakh Confectionery Manufacturers: Which Cloud ERP to Choose for Automating Production and Distribution, Based on the Example of One of the World Leaders — Pladis Global, also known as Hamle Kazakhstan.

General Information about the Company

• Establishment: In 2016, Yildiz Holding (Hamle) consolidated its core businesses in biscuit, chocolate, and confectionery production, including Godiva, United Biscuits, Ülker, and DeMet’s Candy Company, creating Pladis.
• Global Presence: Pladis unites brands like McVitie’s, Godiva, and Ülker, creating a $5.2 billion business and solidifying its position as a leader in the global food industry.

Challenges Faced by United Biscuits (UB)

1. Fragmented Systems:
   • Different ERP systems were used in various countries across Northern Europe, leading to:
     • Integration issues.
     • Difficulties consolidating inventory and intercompany supply data.
     • High IT support costs.
2. Complex Intercompany Operations:
   • Products manufactured in one country (e.g., Verkade in the Netherlands) were sold under different brands in other countries (e.g., Delacre in Belgium, BN in France).
   • Managing inventory, production, and demand required significant manual efforts.

Choosing ERP JD Edwards EnterpriseOne

• UB evaluated various solutions, including SAP, but chose JD Edwards EnterpriseOne due to:
  • Lower upgrade costs (JD Edwards World users only needed a system upgrade).
  • Employee familiarity with the system.
  • Proven efficiency and reliability in previous implementation phases.

Implementation Process

1. Phased Approach:
   • Focused on minimizing risks and adopting the system internally.
   • Phases included:
     • Modeling current processes (“as-is”) and designing target processes (“to-be”).
     • System configuration and testing (approximately nine months).
     • Training users in a sandbox environment simulating production.
2. Standardization:
   • Harmonizing processes across regions to enhance efficiency.
   • Changes were implemented only where they were most productive.

Achieved Benefits

1. Cost Reduction and Increased Efficiency:
   • Legacy ERP systems were decommissioned, reducing IT support costs.
   • Enhanced operational transparency and efficiency:
     • Barcode integration: Reduced goods processing time from 3 hours to 30 minutes.
     • Improved EDI: Automated order processing, invoicing, and inventory reconciliation.
     • Intercompany operations automation: Simplified logistics and administrative processes.
2. User-Friendly Interface:
   • A Windows-style graphical interface improved employee convenience and work speed.
3. Centralized Operations:
   • A unified ERP system for Northern Europe, hosted in a Liverpool data center, improved reliability and scalability.

Key Takeaways

1. Strategic Integration: JD Edwards EnterpriseOne addressed integration issues and standardized regional processes.
2. Reliable Partner: UB partnered with Cadran, ensuring successful implementation through the partner’s expertise.
3. Global Efficiency:
   • Simplified intercompany operations.
   • Reduced administrative burden.
   • Improved visibility across the supply chain and inventory.

Conclusion

The successful implementation of JD Edwards EnterpriseOne at Pladis Global (United Biscuits) demonstrates the system’s ability to solve complex integration challenges, delivering cost savings and operational efficiency. With the support of a reliable partner like Cadran, Pladis Global strengthened its position as a global leader in the food industry on the world market.