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Case study Company name: RITEK Corporation
Industry: Automotive, Banking, Chemicals and petroleum, Consumer products, Education, Electronics, Energy and utilities, Financial markets, Government, Healthcare, Insurance services, Life sciences, Media and entertainment, Retail, Telecommunications, Travel and transportation, Wholesale distribution | Last updated: 07 Jun 2004 |
IBM Business Consulting Services helped RITEK Corporation, a global manufacturer, transform its business processes to enable managers to access realtime business data, resulting in improved speed and quality of decision making as well as reduced operational costs. |
Business need Faced with a fast-paced market characterised by rapid technology innovation and an influx of new competition, RITEK, a global leader in the CD-ROM/ODM technology market, could ill afford slower business processes and higher costs compared to its competitors. It realised it needed a comprehensive enterprise resource planning (ERP) system, but lacked the technical expertise to implement it using in-house resources. |
Key challenges RITEK had a homegrown management information system (MIS) comprised of numerous disparate components and lacking data consistency. Accessing and using enterprise information and managing business processes were difficult and time consuming. |
Solution IBM On Demand Business RITEK turned to IBM Business Consulting Services (BCS) to carry out the complex, business-critical integration of a comprehensive solution encompassing hardware, software and services. BCS provided an end-to-end SAP integration solution to help RITEK build a global information system featuring realtime data management capabilities to help standardise operating procedures companywide. Following an assessment based on an IBM sizing tool and a SAP architecture proposal, BCS implemented an IBM  pSeries 670 server to run RITEK's SAP production environment and a pSeries 660 server to support its development and testing systems. |
Results As a result of working with BCS to integrate its ERP technology systems from end to end and restructure its core business processes and procedures, RITEK managers can leverage realtime business information for decision making across all lines of business. The solution also enhanced the company's responsiveness to changes in market demands by shortening decision cycle times; reduced operational costs associated with intercompany communication and operations, including an estimated US$67 million in savings in improved inventory turnover rate; and shortened the accounting department's end-of-month closing time frame from nine to four days and improved its monthly inventory turnover rate by three times. |
Customer information | RITEK Corporation | | Founded in 1988, the RITEK Corporation is the leading manufacturer of CD-ROM/ODM technology in the world. With a reported US$560 million in revenues in 2002, the 3,300-employee company offers a broad range of products including optical discs, display components, photonics and electronic storage devices. Headquartered in Taiwan, RITEK has received worldwide recognition for its outstanding business and product innovation endeavors including awards from several prestigious industry journals including Forbes, Business Week and Common Wealth Magazine. |
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pSeries 670 server to run RITEK's SAP production environment and a pSeries 660 server to support its development and testing systems.
