Monday, May 01, 2006

RPG Bods too expensive?

Codan Rubber Ltd, based in Corby, Northants, manufactures and distributes fluid handling system. As part of the Codan Group they had previously implemented a high-end MRP and accounting system costing in excess of £300,000, of which £180,000 were training and consultancy costs. It also proved difficult to implement and costly to develop. Hament Patel, IT Manager said; There were numerous bugs in the system. Product costing did not work, and neither did EDI, which impacted heavily on the main business as costings were inaccurate. We found the software too complex, and if we wanted to modify the system it would require development by AS/400 RPG programmers, which are very costly. In 2005, the demise of Rover Group - one of Codan�s largest customers - caused Codan to re-evaluate their MRP needs. Said General Manager Jonathan George MBA, 'The big push for change was when Rover went bust in April 2005, which happened at a time when some of our other business was being transferred to low-cost countries. The combination of massive restructuring meant that we had to get a new system in quickly otherwise we would not have survived'

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