By Freya Purnell
Protection solution manufacturer Ansell has announced a revised ERP implementation strategy as part of its announcement of a broader organisational restructure, switching from a previous Oracle system to SAP.
Following a successful SAP implementation in the EMEA Industrial business unit, the company will roll out its SAP template to the rest of the EMEA businesses and Ansell’s commercial operations in Asia-Pacific.
The decision marks an about-turn from Ansell’s previous strategy to roll out an Oracle-based ERP globally to replace 25 legacy systems.
The Oracle ‘Fusion’ system was first implemented in 2011 in North America, but problems with the implementation led the company to switch to an SAP system for the EMEA region.
Ansell will write down an US$18.8 million portion of its earlier investment in the Oracle ERP, recognising that some parts will no longer be used globally as intended when the program was first commissioned.
According to Ansell, the move is “designed to achieve higher returns at lower cost from future investment”.
