! "# $ % Agility with customers and suppliers Documented: August 2002 Country: Mexico “Technology generates business value by simplifying and optimizing processes, which in turn facilitates the decision makingprocess with reliable and timely information.” ! "# $ % Corporación Control was interested in improving its critical operations and processes by simplifying the tasks in the company’s various areas. Its aim was to improve communication with suppliers, speed up the exchange of information in both directions, and reduce the margin of error in manual processes, which represented about 80% of day-today work. Profile of Corporación Control This commercial organization was established in 1963 with the opening of “Del Centro,” the first convenience store in Tampico, Tamaulipas. This store quickly consolidated itself, and within ten years, it began to expand outside Tampico when it setup the first “Del Sol” store in Monterrey, Nuevo Leon in 1972 in an area in which at that time there was very little business activity; a fact which represented a challenge that was quickly overcome. Today, it is considered one of Monterrey’s most important businesses– pioneers and explorers–of commerce in this city’s downtown area. The store’s penetration into the Monterrey market gave rise to the opening of a chain of "Del Sol" stores in a number of cities throughout Mexico. In 1990, the company introduced a new concept in boutiques called “Locura,” which soon became very fashionable among young girls. Today there are many of these stores throughout much of Mexico. Corporación Control’s solidity in the Mexican market led to Woolworth Mexicana (including its restaurants) becoming part of the group in 1997, although it retained its name and identity. This is the brief history of Corporación Control, the result of the trust placed on its staff and on its day-to-day effort to win the confidence of its customers. Juan Felix Rodriguez Managing Director Corporación Control S.A. de C.V. Solution Overview Corporación Control was seeking to improve its internal processes, adding value to its critical operations and simplifying the tasks of its various departments. As a result, it wanted to improve communication with its suppliers, by speeding up the exchange of information in both directions and reducing the margin of error in its manual processes, which used to account for 80% of its day-to-day operations before purchasing this solution. Corporación Control had its own Website on which it mainly published payment notifications Microsoft Products Used: Microsoft® bCentral and Microsoft® bCentral Connector; analyzing the implementation of BizTalk Server. Benefits Corporación Control has managed to incorporate 95% of its business partners (suppliers) into its Value Chain Integration System, making it the single point of contact for exchanging documents, creating and canceling orders, notification of outstanding and due payments, and general notifications, among others. Corporación Control has also managed to reduce the amount of time that people spend on controlling the printing and distribution of these documents of key importance to the development of the business. Business Challenge • Corporación Control used to have an extranet that it used to integrate operations with its supply chain; however, the network required much management and maintenance, in addition to which not all buyers and/or suppliers could use it. • The extranet that the company used as an electronic information exchange tool was severely restricted as it could only send outstanding payment notifications, the purpose of which were merely informative. • The company wanted to incorporate a greater number of documents that originated from its various departments within purchase orders, and also to be able to cancel these purchase orders, generate shipping statements, return of goods notes, as well as other matters. 1 • “Mayor investment and effort on the part of the IT Department was required to expand our website, and this was difficult as they were very busy implementing the new ERP at that time. It is for this reason that we believe that creating a platform to integrate all communications with our suppliers is just the first step in setting up information exchange projects with them.” Marcial Martinez Systems Manager Corporación Control S.A. de C.V. On the other hand, Corporación Control has three business systems that it inherited from the companies that now make up the group, and this resulted in a very complex management process. Why did Corporación Control choose Microsoft? Corporación Control went straight to Microsoft in search of a solution to its problems, because it already had a close-working relationship with Microsoft for years. For more information: Microsoft’s offering comprised implementing bCentral as a flexible solution to integrate and exchange information along the supply chain and also to automate criticalbusiness processes. Marcial Martinez Corporación Control Systems Manager 01(81)8329-5581 mmartinez@ccontrol.com.mx Corporación Control decided on the Microsoft bCentral proposal, as it would be a profitable investment and because it would not require a large effort to develop the data interfaces among the company’s systems, thus enabling the centralization of information and the existence of one single point of contact and an open flow of data among suppliers. Microsoft implemented bCentral in Corporación Control by creating customized interfaces for the company, and through the implementation of Microsoft® bCentral Connector, it enabled documents to be exchanged with the value chain. The company made few changes to its existing operating processes, sped up its day-to-day operations with suppliers, making information available over the Internet and automating its business generation and exchange processes. Benefits of the Solution One of the benefits that Corporación Control obtained by implementing the Microsoft® bCentral solution as its internal network is that it can now communicate with its suppliers in order to exchange documents, so that five documents may now be handled simultaneously: purchase orders, outstanding payments, payments made, cancellation of purchase orders, and informative bulletins (specific announcements to suppliers). The system also has the facility to increase the number of documents published and sent to the company’s business partners, and system information is now available for consultation by any user with Internet access. Those suppliers of Corporación Control who are interested in becoming part of this information network only need to contract the bCentral access service by paying a fixed fee, regardless of the number of documents sent. Corporación Control is currently working with around 1,045 suppliers out of a total of 1,100. The company estimates that within two years, all its suppliers will be part of the bCentral network, so that they may electronically exchange critical business information. Fernando Zabal Microsoft Mexico Business Development Manager (55)5267-2299 ferzab@microsoft.com Press only: Luis Eduardo Osorio Naser Edelman Mexico