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Next Generation ERP: Kenandy's Approach

Kenandy designed its Cloud ERP from scratch with a singular purpose in mind: to deliver a robust solution quickly that would also keep pace with the rapidly changing world of business. Dive into this in-depth research paper to discover the top four reasons why Kenandy qualifies as the ERP platform for the next generation.

Kenandy
Kenandy
March  2014       NEXT  GENERATION  ERP:  KENANDY’S  APPROACH     CHANGING  THE  WORLD  OF  ERP,  ONE  CLICK  AT  A  TIME   What  do  Star  Trek  and  Enterprise  Resource  Planning  (ERP)  have  in   common?  Apart  from  each  being  a  bold  adventure,  both  have  experienced   a  rebirth  as  a  next  generation.  In  recent  reports,  Mint  Jutras  describes  the   next  generation  of  ERP  in  terms  of  new  technology  that  enables:   • new  ways  of  engaging  with  ERP   • custom  configuration  without  programming   • more  innovation   • better  integration   The  next  generation  of  Star  Trek  continued  the  original  journey  but  was   faster,  more  technologically  enabled  and  more  in  tune  with  the  evolving   needs  of  the  galaxy.  When  Sandy  Kurtzig  came  out  of  retirement  in  2010   and  founded  Kenandy,  she  may  not  have  been  thinking  about  Star  Trek   but  she  clearly  wanted  to  explore  new  worlds  in  her  entrepreneurial   journey  and  boldly  go  where  no  ERP  for  manufacturing  has  gone  before.   Using  new  technology,  Kenandy  designed  its  new  ERP  from  scratch  with  a   singular  purpose  in  mind:  to  deliver  a  robust  solution  quickly  that  would   also  keep  pace  with  the  rapidly  changing  world  in  which  we  live.   DOES  KENANDY  QUALIFY  AS  NEXT  GENERATION  ERP?   Not  every  ERP  solution  on  the  market  today  qualifies  as  a  “next  generation”   ERP.  The  depth  and  breadth  of  functionality  has  increased  over  the  past  three   decades,  which  makes  it  harder  for  a  new  entrant  to  compete  in  the  market.   The  “basics”  are  table  stakes,  but  they  aren’t  so  basic  anymore,  particularly  in   the  world  of  manufacturing  where  Kenandy  hopes  to  compete.     While  other  industries  might  be  able  to  survive  with  back  office  functionality   that  is  limited  to  accounting  or  human  resource  management,  manufacturing   requires  a  much  broader  set  of  features  and  functions.  Indeed,  ERP  for   manufacturing  has  evolved  from  material  requirements  planning  (MRP)  to   manufacturing  resource  planning  (MRP  II),  to  the  full  operational  and   transactional  system  of  record  of  the  business.  Even  the  manufacturing  of  a   simple  product  can  be  quite  complex  when  you  run  lean,  but  strive  to  be   responsive  to  your  demanding  customers.   Any  ERP  vendor  today  must  compete  on  functionality,  but  that  is  not  what   makes  a  solution  “next  generation.”  It  is  the  underlying  technology  and  the   Data Source In  this  paper,  Mint  Jutras   references  data   collected  from  its  2013   and  2014  ERP  Solution   Studies  which  are  used   to  investigate  ERP  goals,   challenges  and  status   and  also  to  benchmark   performance  of  ERP   implementations.   Over  350  responses   were  collected  for  the   2013  study.  At  time  of   publication,  the  2014     survey  remains  open,   with  over  425  responses   collected.  However,  as   additional  data  is   collected,  the   percentages  shown  in   this  report  may  change.     Next  Generation  ERP:  Kenandy’s  Approach     Page  2  of  11       power  it  delivers.    But  technology  and  functionality  are  closely  related,   because  it  is  the  power  of  the  technology  platform  that  allows  solution   providers  to  deliver  more  features  and  functions  faster.  Selecting  the  right   platform  on  which  to  build  ERP  is  therefore  critical.   While  the  platform  may  not  be  immediately  visible  to  the  end  user  of  the   software,  it  is  dangerous  to  ignore  it  and  the  power  of  technology.  You   probably  never  knew  how  the  USS  Enterprise  achieved  warp  speed,  but  you   knew  that  it  could.  You  didn’t  know  how  the  transporter  beam  worked,  but   you  knew  what  happened  when  Captain  Kirk  said,  “Beam  me  up,  Scottie.”   While  neither  were  the  only  ways  to  get  from  point  A  to  point  B,  both  added   speed  and  efficiency.     While  Kenandy  chose  to  build  an  ERP  solution  from  a  clean  sheet  of  paper,  in   order  to  compete,  it  needed  to  find  a  way  to  add  both  speed  and  efficiency  to   the  development  process.  Kenandy  chose  to  build  on  the  Salesforce  Platform   to  deliver  both.  And  in  doing  so,  its  customers  also  benefit  from  speed  and   simplicity,  which  together  yield  efficiency.     ERP:  EMPOWER  REAL  PEOPLETM   Speed  and  efficiency  are  prerequisites  for  delivering  on  the  first  element  of   next  generation  ERP:  providing  new  ways  of  engaging  with  enterprise   software.     Traditionally,  users  have  engaged  with  ERP  through  a  hierarchical  series  of   menus,  which  require  at  least  a  rudimentary  knowledge  of  how  data  and   processes  are  organized.  Hopefully  this  organization  reflects  how  the  business   processes  and  the  enterprise  itself  are  structured,  but  with  a  hierarchy  of   menus,  there  are  no  guarantees  that  navigation  is  intuitive  or  that  business   processes  are  streamlined  and  efficient.   When  processes  within  ERP  are  clumsy  and  inefficient,  employees  spend  more   time  trying  to  work  around  the  system,  rather  than  working  with  it.  Cynics  like   to  refer  to  ERP  not  as  “enterprise  resource  planning”,  but  as  “Excel  runs   production.”  Sandy  Kurtzig  strives  for  a  different  goal  where  ERP  stands  for   “empower  real  people.”  For  that  to  happen  you  need  to  reach  both  up  and   down  the  corporate  ladder.   Traditionally,  a  small  percentage  of  employees  of  any  company  ever  put  their   hands  directly  on  ERP,  and  this  select  group  almost  never  included  top-­‐level   executive  decision-­‐makers.  But  the  speed  of  required  decision-­‐making  and  the   consumerization  of  IT  are  making  this  unacceptable.     While  the  percentage  of  employees  with  direct  access  to  ERP  used  to  be  very   small,  Mint  Jutras  research  shows  that  today  that  percentage  is  holding  steady   at  about  50%.  And  we  are  also  seeing  evidence  of  increased  executive   engagement  (Figure  1).  While  in  the  past  it  was  very  unusual  for  top-­‐level   Next  Generation  ERP:  Kenandy’s  Approach     Page  3  of  11       executives  to  lay  their  hands  on  ERP,  the  2013  ERP  Solution  Study  signaled  a   change  with  almost  half  of  participants  (47%)  indicating  top-­‐level  execs  have   access  to  and  use  ERP  regularly.  Preliminary  results  from  the  2014  study  show   this  trend  continuing,  with  a  30%  jump  in  executives  with  full  access  to  ERP.   Figure  1:  Executive  Access  to  ERP     Source: Mint Jutras 2013 and 2014 ERP Solution Studies So  how  does  Kenandy  empower  real  people?  It  relies  on  the  Salesforce   Platform  to  deliver  a  user  experience  that  is  appealing  to  the  younger  work   force  that  has  grown  up  on  the  Internet.  And  in  making  the  solution  appealing   to  the  millennials,  it  also  makes  it  easier  for  the  older  crowd  to  use.  It   recognizes  there  are  “mobile”  and  “social”  users  as  well,  both  of  which  are   addressed  by  the  platform.     The  Salesforce  Platform  provides  a  simple  user  interface,  using  a  single  screen   approach.  Its  popularity  with  (non-­‐technical)  sales  teams  (using  Salesforce)  is  a   tribute  to  this  simplicity.  No  sales  person  is  going  to  read  a  manual.  If  it  is  not   intuitive,  it  doesn’t  get  used.  And  yet  more  and  more  companies  today  are   successful  in  requiring  the  use  of  sales  force  automation  (like  Salesforce)  as  a   prerequisite  for  getting  paid.  No  opportunity  in  the  system  means  no   commission.   And  yet  ERP  is  not  sales  force  automation.  While  selling  is  not  necessarily  easy,   the  process  of  managing  contacts  and  opportunities  is  far  simpler  than   processes  like  planning,  scheduling  and  production  or  managing  cash  flow.  So   while  ERP  can  inherit  features  such  as  web-­‐based  access  and  intuitive   navigation,  it  must  go  further  than  this  to  really  provide  new  ways  of  engaging   a  very  diverse  audience.  Different  disciplines  and  different  types  of  users   expect  different  experiences.  Those  who  spend  the  day  heads  down  doing   data  entry  require  the  ability  to  minimize  clicks  and  tabs,  search  extensively   Next  Generation  ERP:  Kenandy’s  Approach     Page  4  of  11       and  even  type  ahead.  This  type  of  audience  might  prefer  what  Kenandy  refers   to  as  a  “grid  design.”  On  a  different  note,  a  sales  or  support  person  out  in  the   field,  communicating  through  a  mobile  device,  needs  to  maximize  the  value  of   the  limited  real  estate  on  a  small  screen,  but  still  have  immediate  access  to  a   full  view  of  a  customer,  including  history.  And  an  executive  needs  a   customized  collection  of  key  performance  indicators  (KPIs)  displayed   graphically,  that  takes  advantage  of  touch  technology  to  drill  down  to  the   detail.   According   to   Charlie   Merrow,   CEO   of   Merrow   Sewing  Machine   Company,   a   family-­‐owned   business   in   Fall   River,   Massachusetts,   Kenandy   has   brought   “unprecedented  visibility”  to  the  entire  company.  “Kenandy  lets  us  see  what  is   really  going  on  in  our  business.  We  have  the  system  running  on  three  50-­‐inch   flat  screens   in  our   lobby.  Plus   in  each  department  there   is  a  giant   flat-­‐screen   with  dashboards  showing  what  is  going  on  in  that  particular  area  –  how  many   invoices   need   to   go   out,   what   packages   are   shipping,   what   products   are   in   production.   We’ve   never   had   access   to   this   breadth   and   depth   before.   It’s   really  extraordinary,  and  it’s  making  an  enormous  difference.”   So   Kenandy   can   be   on   your   desk,   on   a   “big   screen”   or   in   your   pocket.   Not   exactly  your  traditional  ERP  user  experience.   The  Salesforce  Platform  also  enables  collaboration  by  connecting  people  to   the  business  and  to  information.  For  years,  salesforce.com  made  a  big  deal  out   of  its  “social”  capabilities  but  the  manufacturing  community  is  just  now   appreciating  social.  While  a  hot  topic  among  pundits  and  industry   “influencers,”  the  perceived  value  was  lost  on  many,  particularly  in   manufacturing.  Traditionalists  distinguish  between  a  business  event  and  a   social  event,  between  a  business  conversation  and  a  social  chat,  between  a   business  colleague  and  a  friend  or  social  acquaintance.  Many  didn’t  “get”  that   social  is  really  just  shorthand  for  new  and  improved  ways  of  getting  and   staying  informed  in  a  collaborative  way.  And  who  doesn’t  want  that?   By  building  an  ERP  on  the  Salesforce  Platform,  these  social  and  mobile  aspects   are  built  in.  Kenandy  doesn’t  need  to  use  its  own  precious  development   resources  for  that.  It  can  concentrate  on  what  it  knows  best:  ERP  for   manufacturing.  And  yet,  in  spite  of  its  collective  knowledge  and  expertise,  it  is   important  to  not  develop  a  solution  like  ERP  in  an  ivory  tower.  And  therefore   Kenandy  needs  to  actively  engage  not  only  with  its  prospects,  but  also  its   customers.  For  that  type  of  engagement,  it  needs  to  build  an  active   community.   This  was  something  Sandy  Kurtzig’s  prior  company  was  very  good  at  –  so  good   in  fact  that  the  MANMAN  (ASK’s  product)  community  has  outlived  the   company  and  lives  on  even  today.  Can  Kenandy  replicate  this  kind  of  success?   Odds  are  in  favor  of  doing  just  that.  The  MANMAN  community  was  built  on   word  of  mouth,  local  and  regional  user  groups  and  an  annual  conference.  Not   “Kenandy  lets  us  see   what  is  really  going   on  in  our  business….   We’ve  never  had   access  to  this  breadth   and  depth  before.  It’s   really  extraordinary,   and  it’s  making  an   enormous   difference.”   Charlie  Merrow,  CEO,   Merrow  Sewing   Machine  Company   Next  Generation  ERP:  Kenandy’s  Approach     Page  5  of  11       only  does  Kenandy  hope  to  be  able  to  deliver  a  full  customer  list  for  references   (as  ASK  did  for  many  years),  but  also  has  many  more  tools  at  its  disposal  to   support  that  community,  including  a  one-­‐stop  customer  portal  (called  the   Kenandy  Community).  Its  ability  to  engage  with  the  community  either  as  a   whole,  or  personally,  one  customer  at  a  time,  has  never  been  more   technology-­‐enabled.   PERSONALIZING  WITH  CLICKS  NOT  CODE   The  Kenandy  team  has  decades  of  experience  with  both  ERP  and   manufacturing.  It  knows  how  inherently  complex  that  world  can  be.  While  all   manufacturers  face  similar  challenges,  they  also  have  unique  ways  of  dealing   with  those  challenges,  and  in  doing  so,  actively  seek  differentiation  in  their   individual  markets.  What  company  today  doesn’t  believe  it  is  unique  in  some   way?     Being  different  used  to  mean  customization  and  with  traditional,  older   generation  ERP,  this  meant  programming  changes,  mucking  around  in  source   code  and  building  barriers  to  upgrade  and  innovation.  To  qualify  as  a  “next   generation”  ERP,  most,  if  not  all  of  this  customization  must  be  done  without   ever  touching  a  line  of  source  code.  Configuration,  tailoring  and   personalization  should  replace  customization.   Kenandy  likes  to  say  it  can  personalize  with  “clicks,  not  code.”  This  means   adding  fields,  changing  workflows,  rearranging  the  screens.  This  is  an  absolute   necessity  in  a  Kenandy  environment  because  it  is  delivered  only  as  multi-­‐ tenant  software  as  a  service  (SaaS).  In  a  multi-­‐tenant  environment,  multiple   companies  use  the  same  instance  of  (hosted)  software.  Of  course,  data  is   protected  from  access  by  other  companies  (tenants),  but  any  “customization”   is  generally  delivered  through  configuration  settings,  which  vary  per  company.         Figure  2:  What  level  of  customization  do  you  believe  you  need?     Source: Mint Jutras 2013 ERP Solution Study Next  Generation  ERP:  Kenandy’s  Approach     Page  6  of  11       Mint  Jutras  research  finds  multi-­‐tenancy  is  one  of  those  features  that  most   end  users  don’t  understand  and  don’t  necessarily  care  about.  But  they  do  care   about  the  benefits  it  delivers:  massive  scalability  and  flexibility  of  an  elastic   cloud.  But  they  are  unwilling  to  sacrifice  their  ability  to  be  unique.     To  better  distinguish  between  configuration  and  customization,  Mint  Jutras   posed  the  question  to  ERP  survey  participants,  “What  level  of  customization   do  you  believe  you  need?”  Respondents  were  allowed  to  select  any  or  all  of   the  options  presented.  Their  responses  are  shown  in  Figure  2.   Kenandy’s  architecture  allows  you  to  modify  business  processes  and  the  user   experience,  including  screens,  dashboards  and  even  the  device.  This  doesn’t   require  programmers.  Simplicity  and  this  “Do  It  Yourself”  aspect  were  among   the  primary    reasons  Blue  Clover  Devices  selected  Kenandy.  These  features   became  obvious  to  Blue  Clover  during  its  trial  run  of  the  system.   “I  immediately  saw  how  easy  it  is  to  add  and  extend  capabilities  with   Kenandy,”  said  Pete  Staples,  President  and  Co-­‐founder.  “I  was  convinced  that   this  was  something  we  could  manage  pretty  much  on  our  own,  and  that  had  a   strong  appeal  to  us.”  While  the  other  system  Blue  Clover  was  considering  had   many  positive  features,  “We  felt  like  we  would  have  to  hire  them  to  do   everything  for  us,  and  that  just  made  us  nervous.”   Since  implementing  Kenandy,  Blue  Clover  has  found  it  easy  to  add  its  own   customized  objects,  including  samples,  test  reports  and  regulatory  certificates.   These  new  objects  are  not  only  connectable  and  searchable,  but  also,  all   customizations  are  protected  when  Kenandy  does  its  upgrades.   Staples  goes  on  to  say,  “Kenandy  is  like  Legos  whereas  the  traditional  ERP   systems  are  more  like  a  stack  of  lumber  and  blueprints.  With  Kenandy,  it’s   fundamentally  easier  to  put  things  together  and  make  them  work.”   Kenandy  also  allows  you  to  extend  the  solution  with  your  own  added   applications  built  on  the  platform  or  purchase  pre-­‐built  extensions  from  the   Salesforce  AppExchange.  Merrow  Sewing  Machine  Company  did  just  that,   purchasing  an  extension  built  on  the  Salesforce  Platform  to  manage  repairs.   According  to  Merrow’s  CEO,  it  was  integrated  with  Kenandy  by  “one  of  our   smart  guys,  who  doesn’t  have  a  programming  bone  in  his  body.”   BEYOND  THE  INITIAL  IMPLEMENTATION   While  this  level  of  personalization  and  configuration  is  important  when   Kenandy  is  first  being  implemented,  it  becomes  even  more  so  as  life  goes  on.   Today’s  manufacturers  are  bombarded  with  change,  whether  as  a  result  of   growth,  regulatory  requirements  or  just  the  desire  for  continuous   improvement.  Change  doesn’t  halt  once  you  implement  ERP.  In  fact,  the  need   for  change  may  accelerate  as  new  functionality  and  new  technology  opens   doors  for  growth  and  improvement.   “I  immediately  saw   how  easy  it  is  to  add   and  extend   capabilities  with   Kenandy.  I  was   convinced  that  this   was  something  we   could  manage  pretty   much  on  our  own,  and   that  had  a  strong   appeal  to  us….   Kenandy  is  like  Legos   whereas  the   traditional  ERP   systems  are  more  like   a  stack  of  lumber  and   blueprints.  With   Kenandy,  it’s   fundamentally  easier   to  put  things  together   and  make  them   work.”   Pete  Staples,  President   and  Co-­‐founder,  Blue   Clover  Devices   Next  Generation  ERP:  Kenandy’s  Approach     Page  7  of  11       And  yet  managing  change  has  traditionally  been  an  obstacle  to  achieving  the   goals  of  an  ERP  solution.  The  2014  ERP  Solution  Study  found  this  to  be  the   number  one  challenge  with  the  vast  majority  (82%)  rating  it  as  moderately  to   extremely  challenging  (Figure  3).   Figure  3:  The  challenge  of  changes  to  ERP  as  a  result  of  business  change     Source: Mint Jutras 2014 ERP Solution Study The  ability  to  handle  this  kind  of  change  was  the  primary  reason  Big  Heart  Pet   Brands  (formerly  Del  Monte  Foods)  selected  Kenandy  to  support  its  recent   acquisition  of  Natural  Balance  Pet  Foods.  “One  of  the  many  reasons  Del  Monte   selected  Kenandy  was  that  we  wanted  a  flexible  system  that  easily  adapts  to   business  changes,  such  as  acquisitions,  while  also  offering  enterprise-­‐class   capabilities,”  said  David  McLain,  Senior  Vice  President,  Chief  Information   Officer  and  Procurement  Officer,  Big  Heart  Pet  Brands.   Kenandy  attributes  this  post-­‐implementation  agility  to  the  flexibility  and   extensibility  of  the  platform  and  Stuart  Kowarsky,  Vice  President  of  Operations   at  Natural  Balance  seems  to  be  a  big  fan.  “At  Natural  Balance  and  in  our   corporate  systems,  we’re  replacing  a  patchwork  of  applications  with  one   unified,  extensible  solution  that  will  grow  and  scale  with  Big  Heart's  needs.”     But  Kenandy’s  ability  to  accommodate  change  is  not  only  attributable  to  the   platform,  but  also  to  how  it  has  architected  the  solution  on  top  of  that   platform,  with  a  unified  data  model  that  takes  full  advantage  of  the  power  of   business  objects.       “WIDE-­‐BODY”  OBJECTSTM   Legacy  ERP  solution  data  models  consisted  of  an  extensive  number  of  tables.   Joining  those  tables  together  reflected  relationships  between  data.  For   example,  a  sales  order  header  table  might  need  to  be  joined  to  line  items.  In   turn,  those  line  items  needed  to  be  joined  with  the  products  being  delivered,   and  any  number  of  associated  tables  for  validation,  like  units  of  measure,   product  categories,  inventory  locations,  planning  and  replenishment  codes,   etc.  The  sales  order  also  had  to  be  joined  with  customers,  shipments,  and   invoices.  It  didn’t  take  long  for  the  number  of  tables  and  joins  to  proliferate   “One  of  the  many   reasons  Del  Monte   selected  Kenandy  was   that  we  wanted  a   flexible  system  that   easily  adapts  to   business  changes,   such  as  acquisitions,   while  also  offering   enterprise-­‐class   capabilities.”   David  McLain,  Senior   Vice  President,  CIO   and  Procurement   Officer,  Big  Heart  Pet   Brands   Next  Generation  ERP:  Kenandy’s  Approach     Page  8  of  11       almost  exponentially,  making  a  change  to  any  one  element  a  labyrinth  of   changes.     Kenandy  replaces  that  myriad  of  tables  with  what  it  calls  a  ”Wide-­‐Body”   ObjectTM  architecture.    These  objects  will  sound  quite  familiar:  orders,   invoices,  customers,  etc.  But  by  packing  lots  of  information  into  each  object,  it   significantly  reduces  the  number  that  needs  to  be  managed.  Kenandy  has  less   than  100  Wide-­‐Body  Objects.     For  example,  invoice,  credit  memo  and  adjustments  share  similar  data   structures  and  therefore  can  be  expressed  as  a  single  object,  distinguished  by   embedded  fields.  Adding  fields  is  a  simple  process  and  only  has  to  be  done  in   one  place.  Changing  workflow  steps  is  equally  simple  because  the  workflow   connects  directly  to  the  objects.  Also,  these  Wide-­‐Body  Objects  are  reusable   and  it  is  a  simple  process  to  make  these  changes  by  pointing  and  clicking.  No   database  administrator  (DBA)  required.   This  simplicity  is  the  result  of  Kenandy’s  addition  of  new  dimensions  to  the   objects  for:   1. Access:  The  objects  themselves  contain  information  about  their   relationship  to  other  objects.  So  when  you  access  a  sales  order,  for   example,  it  “knows”  about  the  products  and  the  customer  and  all  the   other  related  data.  This  intelligence  is  built  into  the  object  so  you   don’t  have  to  manage  the  complexity  that  can  turn  what  seems  to  be   a  simple  inquiry  into  a  complex  nightmare.  How  does  it  do  that?  It   doesn’t  really  matter.  You  don’t  know  how  the  starship  Enterprise   achieves  warp  speed,  but  you  know  that  it  can.   2. Variants:  This  is  how  Kenandy  reduces  the  overall  number  of  objects.   The  invoice,  credit  memo  and  adjustment  can  share  a  single  object   and  be  distinguished  as  variants.  Fewer  objects  are  easier  to   understand  and  manage.   3. Lifecycle:  A  single  object  can  progress  through  different  “states.”  A   product  may  be  planned,  work  in  progress,  completed,  or  shipped.  All   of  this  is  captured  in  a  single  object  container.  This  has  the  added   benefit  of  simplifying  audit  trails  and  traceability.   This  is  a  relatively  simple  philosophical  design  change,  although  it  might  take  a   little  effort  for  an  IT  department  to  wrap  its  collective  head  around  it.  But  once   it  does,  the  implications  and  the  savings  potential  are  impressive.  Think  about   refining  or  changing  business  processes  to  add  efficiency.  Think  about  the   impact  of  large  corporations  going  through  structural  changes,  merging  or   splitting  business  units.  Think  about  how  mergers  and  acquisitions  impact  ERP.         Next  Generation  ERP:  Kenandy’s  Approach     Page  9  of  11       MORE  INNOVATION  TO  COME     The  ability  to  enable  change  this  rapidly  also  has  implications  for  the  on-­‐going   development  of  the  product,  which  impacts  the  third  requirement  for  next   generation  ERP:  more  innovation.   In  deciding  to  build  a  new  product  from  scratch,  Kenandy  avoided  a  lot  of  the   headaches  other  longer-­‐tenured  companies  face.  In  developing  a  new  product,   you  don't  have  to  worry  about  keeping  any  existing  customers  happy  with   product  or  implementation  decisions  they  may  have  already  made.  You  can   start  from  a  clean  slate.  It  is  sort  of  like  building  a  new  house.  It  is  much  easier   to  start  with  an  empty  lot  and  a  design  plan,  than  it  is  to  remodel  an  existing   structure.   And  yet  Kenandy  set  out  to  build  a  very  big  and  complex  structure.  As  noted   earlier,  the  depth  and  breadth  of  functionality  needed  to  compete  today,   particularly  in  manufacturing,  is  extensive.  And  yet  Kenandy  is  being  used  in   several  companies  today,  some  mid-­‐sized,  but  then  some,  like  Del  Monte,  are   quite  large.   The  platform  itself  comes  with  an  extensive  toolbox  that  accelerates  the   development  process.  The  power  of  the  platform,  combined  with  its  SaaS-­‐only   delivery  model,  supports  agile  development,  managed  around  “sprints,”  a   concept  familiar  to  proponents  of  rapid  application  development.  Innovation   doesn’t  have  to  be  packaged  up  to  be  delivered  every  12  to  18  months,  but  in   shorter  cycles  that  include  scripting  a  scenario,  designing  a  solution,  building   and  testing.  Think  of  these  more  as  a  series  of  short  proof  of  concept  projects,   which  are  continually  being  delivered.  As  a  SaaS  model,  no  customer  is  left   behind  running  an  older  release.   In  an  interesting  twist  on  “agile”  and  “sprints,”  Kenandy  applies  these  same   concepts  to  the  implementation  process.  New  customers  gain  access   immediately  to  an  instance  of  the  software.  They  can  add  data,  experiment   and  test  it  out  in  a  series  of  pilots.  At  the  end  of  the  process,  teams  not  only   have  a  working  environment,  but  also  have  learned  how  to  make  changes  to   business  processes,  again  with  clicks,  not  code.  Nothing  is  cast  in  concrete  as   the  first  (or  any)  “go  live”  milestone  is  achieved,  therefore  it  encourages  and   supports  the  popular  manufacturing  concept  of  continuous  improvement.   These  were  some  of  the  benefits  Del  Monte  saw  in  its  recent  acquisition  of   Natural  Balance.  Indeed,  Sandra  Kurtzig  was  so  confident  in  Kenandy’s  ability   to  respond  quickly,  she  made  a  commitment  to  Del  Monte  to  go  live  with   Kenandy  at  Natural  Balance  just  90  minutes  after  the  acquisition  was   complete.  No,  that’s  not  a  typo  –  that’s  90  minutes,  not  90  days.  In  fact,  the   system  was  up  and  running  in  less  time  and  represented  a  complete   implementation  including  order-­‐to-­‐cash,  planning  and  production,  procure-­‐to-­‐ pay  and  financials.   Sandra  Kurtzig  was  so   confident  in  Kenandy’s   ability  to  respond   quickly,  she  made  a   commitment  to  Del   Monte  to  go  live  with   Kenandy  at  Natural   Balance  just  90   minutes  after  the   acquisition  was   complete.  No,  that’s   not  a  typo  –  that’s  90   minutes,  not  90  days.   In  fact  the  system  was   up  and  running  in  less   time  and  represented   a  complete   implementation   including  order-­‐to-­‐ cash,  planning  and   production,  procure-­‐ to-­‐pay  and  financials.     Next  Generation  ERP:  Kenandy’s  Approach     Page  10  of  11       BEYOND  ERP:  BETTER  INTEGRATION   As  Kenandy  and  other  ERP  companies  continue  to  expand  their  solution   footprints,  you  might  start  to  wonder  where  ERP  ends  and  other  applications   begin.  The  vast  majority  of  companies  using  ERP  today  prefer  a  single   integrated  suite  from  a  single  vendor,  although  many  will  be  cautious  before   sacrificing  functional  requirements  for  ease  of  integration  or  a  single  vendor   (Figure  4).    As  a  result,  integration  capabilities  have  become  that  much  more   important.   Figure  4:  Preference  is  high  for  an  integrated  suite     Source: Mint Jutras 2014 ERP Solution Study A  whole  cottage  industry  of  sorts  has  sprung  up  around  the  Salesforce   Platform,  with  several  companies  specializing  in  integration.  And  of  course   Kenandy  and  Salesforce  are  quite  seamlessly  integrated.  An  opportunity  in   Salesforce  can  easily  and  automatically  be  converted  to  a  sales  order  in   Kenandy.  But  you  don’t  have  to  use  Salesforce  in  order  to  achieve  this  level  of   integration.  Kenandy  can  be  integrated  with  any  CRM.     Integration  is  not  limited  to  CRM  but  might  include  any  number  of  other   applications.  Natural  Balance  for  example  integrated  its  financials  to  Hyperion   running  at  Del  Monte  corporate.  Kenandy  has  published  Web  APIs,  creating  an   open  architecture  by  which  content  and  data  are  shared  between   communities  and  applications.  Integration  is  also  simplified  because  of  the   logic  embedded  into  its  Wide-­‐Body  Objects.     SUMMARY     Like  the  starship  Enterprise,  whose  five-­‐year  mission  was  to  explore  new   worlds  and  “to  boldly  go  where  no  man  has  gone  before,”  early  versions  of   ERP  charted  new  territory  for  enterprise  applications.  It  evolved  from  MRP   (material  requirements  planning)  to  MRP  II  (manufacturing  resource  planning)   Next  Generation  ERP:  Kenandy’s  Approach     Page  11  of  11       and  then  boldly  set  out  to  conquer  the  “final  frontier”  of  ERP,  managing  not  a   small  piece  of  the  enterprise,  but  the  enterprise  itself.     The  new  journey  Kenandy  has  embarked  on,  this  next  generation  ERP,  is  a  far   cry  from  legacy  ERP  solutions  of  the  past.  Not  wanting  to  be  constrained  by   legacy  code  or  preconceived  notions,  it  started  with  a  clean  sheet  of  paper  to   design  a  whole  new  solution.  But  this  new  company  knew  better  than  to  take   a  further  step  back  in  designing  its  own  development  platform.  Instead  it   chose  a  platform  that  has  already  proven  itself  in  terms  of  power,  flexibility   and  reliability.   When  Sandy  Kurtzig  stepped  down  from  her  first  venture  (The  ASK  Group)  she   left  behind  a  loyal  following  within  the  manufacturing  community,  where  trust   is  not  easily  given,  but  is  hard  earned.  Can  she  attract  the  same  kind  of   following  in  her  new  venture?  In  order  to  compete  in  this  new  era  she  will   need:   ü A  proven  technology  platform  that  allows  users  to  engage  with  ERP  in   new  and  different  ways,  with  intuitive  and  visually  appealing  user   interfaces,  which  don’t  rely  on  intimate  knowledge  of  how  the  system   or  the  data  is  structured.  She’ll  need  a  platform  that  opens  doors  to  a   whole  new  level  of  executive  involvement…  Check   ü A  system  that  is  easily  custom-­‐configured,  eliminating  invasive   customization  that  prevents  companies  from  moving  forward  with   updates  and  upgrades…  Check   ü To  deliver  innovation  at  an  increased  (and  impressive)  pace,  supported   through  the  use  of  web-­‐based  services,  and  object-­‐oriented  data   models…  Check   ü Good  integration  capabilities  that  provide  a  seamless  user  experience   across  the  enterprise…  Check   Manufacturers  stuck  on  older  technology  with  limited  functionality  might  well   consider  saying,  “Beam  me  up,  Sandy.”         About  the  author:    Cindy  Jutras  is  a  widely  recognized  expert  in  analyzing  the  impact   of  enterprise  applications  on  business  performance.  Utilizing  over  35  years  of   corporate  experience  and  specific  expertise  in  manufacturing,  supply  chain,  customer   service  and  business  performance  management,  Cindy  has  spent  the  past  8  years   benchmarking  the  performance  of  software  solutions  in  the  context  of  the  business   benefits  of  technology.  In  2011  Cindy  founded  Mint  Jutras  LLC  (www.mintjutras.com),   specializing  in  analyzing  and  communicating  the  business  value  enterprise  applications   bring  to  the  enterprise.
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