CS-ENTERPRISE PROPOSAL FOR:
KIM
CONFIDENTIAL This document contains proprietary information, which Configuration Solutions, LLC (CS) considers to be of a confidential nature. All materials contained or referred to herein shall not be disclosed to third parties without prior authorization by CS. This document and all attachments shall be returned to CS within 90 days of expiration of the validity date or destroyed.
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TABLE OF CONTENTS
1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0
INTRODUCTION ABOUT CONFIGURATION SOLUTIONS TESTIMONIALS EXECUTIVE SUMMARY BUSINESS ISSUES SOLUTION OVERVIEW POTENTIAL ROI INVESTMENT DETAIL IMPLEMENTATION METHODOLOGY
2 4 5 8 9 10 12 13 14 17
10.0 SUMMARY AND NEXT STEPS
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1.0
Introduction
Configuration Solutions 4280 Commercial Avenue, Suite B Portage, MI 49002 Phone: 616-329-2500 Fax: 616-329-2541
11/16/2008 Jeff Ritz TRB-1059 Kim unavailable Farmington Hills, MI unavailable unavailable
Dear Jeff Ritz:
We appreciated the opportunity to meet with you and the Project Team to present our CS-Enterprise Configuration Solution. Based on our discussion and your input, we are confident that CS-Enterprise will provide you a timely, cost-effective solution that will maximize existing IT investments, while returning rapid return on investment across the enterprise. We understand your high level objectives to be: 1.01 Increase Sales 1.02 Reduce Costs 1.03 Automate Manual Processes 1.04 Eliminate Order Entry Errors 1.05 Reduce BOM, RTG, Drawing Maintenance 1.06 Promote Product and Component Standardization 1.07 Reduce Engineering Busywork 1.08 Reduce Cost of Sales 1.09 Access From Anywhere 1.10 Quicker Proposal Generation 1.11 Redeploy Resources More Effectively 1.12 Competitive Pressures 1.13 Please see the Business Issues Section for more detail.
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It is with great pleasure that we submit our proposal to help you address these business issues. What follows will outline the solution, costs and benefits of the proposed solution. This proposal is valid for 30 days from 11/16/2008. Should you choose to accept this proposal, please sign, date and return the Acceptance Form contained within the Summary and Next Steps section of the proposal. Thank you for your consideration. We look forward to helping you achieve your business goals. Best Regards,
unavailable
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2.0
About Configuration Solutions
Company
Configuration Solutions delivers the most comprehensive suite of collaborative configuration software for your enterprise -- regardless of product and service complexity -- or business and operating environment. Our solutions help organizations -- from the mid-market to business units of Global 2000 companies -- meet customer demand every time -- regardless of complexity -- to drive out sales and operating costs -- while improving profits and compressing the sales cycle.
A Complete Solution -- In Your Business and Beyond the Enterprise
Configuration Solutions can address all of your business drivers -- from front-end quotes, sales, order entry and contact management for the sales force -- to engineering and the factory floor in manufacturing environments. The software can also quickly and easily integrate with your channel partners, through the use of Intranet and Internet technologies. Our product configuration deployments are designed for make-to-order/engineer-to-order (MTO/ETO) manufacturing environments, as well as product or service offerings in the financial services, travel or consumer durable industries.
Mission
Configuration Solutions partners with mid-market and business units of Global 2000 companies to meet their customer demands every time -- regardless of complexity of products, operations or supply chains. The result is profitable product lines, satisfied loyal customers and competitive differentiation in the market to expand the business.
About Configuration Solutions
Configuration Solutions, Inc., a 14 year technology company, supports its manufacturing and other related industry customers by helping them meet their customer requirements across all facets of the business from front-end sales and order management, to more sophisticated engineering and factory floor operations. Configuration Solutions delivers a comprehensive suite of collaborative configuration software solutions and professional services for the dynamic enterprise. Built on open architecture for optimum portability, Configuration Solutions' technology offerings are used by make-to-order and engineer-to-order manufacturers and related service companies to drive out excess operating costs and eliminate rework of orders, while improving profits and agility in serving their markets.
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Testimonials
Configuration Solutions has been helping companies achieve success in multiple industries and in many different operating environments for more than 15 years. Through our suite of solutions, Configuration Solution customers -- which range from Fortune 500 to midmarket organizations -- reported the following average bottom-line business benefits:
Reduced Operational Costs and Improved Manufacturing Processes
Reduce manufacturing lead times by 80% Eliminate errors at order entry by 98-100% Reduces inventory replenishment coverage and BOM product structuring by over 80% Achieve a 40-80% reduction in bill of materials, routings, and drawings maintenance 100% product and component standardization Reduce product information going through engineering from 70-80% to 5-10% Unify existing ERP, CRM, CAD, PDM and APS systems Reduce getting order through engineering to factory floor from weeks to minutes
Improved Sales Efforts
25% reduction in cost of sales Eliminate errors at order entry by 98-100% Improve delivery of orders with 100% reliability 24-7 access via the Internet Cost or feature-based scenarios for on-the-fly pricing Instant real time messaging and validation
3.01
Office Furniture
Technology Environment -- SAP / Copics / Demand Solutions / SDRC / Legacy
Multiple/producing divisions of high-quality wood office furniture utilize Configuration Solutions CS-Enterprise Series to configure 500-4000 configured sales order line-items per day at each division. They also have interfaces to three order entry systems and two ERP systems. They have utilized Configuration Solutions "Capable-To-Promise" customer due date quoting and critical path shop floor scheduling for 2-3 years. Their business case to acquire the CS-Enterprise system was simple: they were losing revenue to competitors with more options available. Because configuring every order took so much manpower, they had limited the options on their product lines.
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3.02
"Make-to-Order" Fluid Handling Systems
BPCS/Pro-E
The largest pump company in the world, and a leader in each of their markets, they have standardized on our software integrated to BPCS & Pro-E. Using our solution, they trimmed order processing time from over a week to a few hours. In addition, they have freed up engineering to develop new products rather than spend time configuring orders, and have achieved an 80% engineering by-pass rate for all orders.
3.03
Elevators & Escalators
Visibility / AutoCAD
How do you cut your lead-time from 36 to 16 weeks on very complex products? A combination of process streamlining and strong software. This prominent manufacturer of high-quality elevators and escalators has ramped up Configuration Solutions to generate bills of material as well as drawings of these very complex configured products. The company is saving about $600,000 of engineering time per year through a combination of CS-Enterprise and AutoCAD. "CS Enterprise becomes the heart and soul of our engineering process." For elevators, which have 1500-2000 parts, CS-Enterprise handles mechanical, electrical, and fixtures. The order-through-engineering process that once took 8-12 weeks is now down to 2-3 weeks through a combination of process streamlining and automation.
3.04 BPCS
Complex Cable & Cabling Systems
When your market leadership is based on your willingness to customize to meet the customer's need, configuration is the key to success. This user provides cable assemblies for automation systems, and has cut order processing time from 6 days to about 2 hours average. "An order used to be handled 11 times by 4 different people; now, one person can accurately enter each order. Our bottleneck used to be engineering, but now with CS-Enterprise and AutoCAD, our engineers are freed up for improving products. It only takes about a half-hour a week to keep the rules up-to date. Last year, we created 1000 new part numbers, and 90% of those go through the CS-Enterprise configurator now."
3.05 ASI
Custom Metal Can Manufacturer
How do you bring 12 acquired companies together under a single enterprise business system when they all have different part numbers, even for the same end item? A leader in quality containers accomplished this through a combination of the CS-Enterprise configurator to create accurate, consistent, multi-level BOMs for its products and American Software's ERP System. Inside sales reps now take only about 30 minutes to complete an order entry that once took about 2 weeks. Complete customer order cycle time has dropped from 6-8 weeks to 2-4 weeks.
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3.06
Door Hinging Products
Glovia
Moving from 3 days to 3 minutes to prepare a configured product order results in major savings for this leading hinge manufacturer. Configurations from sales are always buildable, and CS-Enterprise provides prices and delivery dates immediately. This user has implemented the CS-Enterprise solution integrated to the Glovia ERP system. This tight integration was critical to the company, since most of its orders include multiple standard and configured products, all of which all must be coordinated for shipment.
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4.0
Executive Summary
The following summarizes the solution, costs and benefits of the recommended solution which will help Kim achieve the stated business objectives driving this project. 4.01 The recommended solution consists of the following software components: unavailable 4.02 The implementation estimate consists of 0 professional services days. 4.03 The total cost of the proposed solution is $0. 4.04 The total potential ROI is $0. The potential ROI was developed with, and agreed by, the project team. This would show pay-back within unavailable
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5.0
Business Issues
In addition to the high level business objectives identified earlier, which are driving this project, we uncovered the following business issues during our survey and investigation steps. These issues will be the core drivers to the implementation. 5.01 Quotes take too Long to produce 5.02 Proposals are over customer budget 5.03 Manual Process takes away time for creative work
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6.0
Solution Overview
CS-Enterprise
Your Complete Enterprise Configuration Management System
Our CS-Enterprise software suite allows you to quickly deploy a configuration solution throughout your entire organization and extended enterprise. Our solution is based on a proven configuration and collaboration software platform with integration technology to leverage existing applications -- or accommodates new technologies -- with implementation services to ensure that the value of the software is realized. Additionally, each of our software products can fit in with existing ERP, CRM, CAD and PDM computing environments. Our CS-Enterprise series includes CS-Quote, CS-Sales, CS-Publish, CS-Execute, CS-Flow, CSConnect and CS-Remote, and can fully support globalization, multiple languages and currency conversion for pricing/costing.
6.01
System Requirements
SOFTWARE REQUIREMENTS
HARDWARE REQUIREMENTS WEB SERVER (1) Single CPU 500 Megahertz 20 Gigabytes of Disk space 256 Megabytes of system memory
NT Server 4.0 - Service Pack 5 or Windows 2000 Server Webserver - IIS 3.0 or later Web Servlet-New Atlanta Communications Servlet Exec Ver. 3.1+ ISAPI (Other servlet runners and web servers may be acceptable - ex. JRun, Apache, Tomcat, etc. not currently supported.)
*Other Compatible Platforms (Unix, Linux, Solaris) APPLICATION SERVER (1) Single CPU 500 Megahertz 20 Gigabytes of Disk space NT Server 4.0 - Service Pack 5 or Windows 2000 Server JDK(Java Development Kit) Ver. 1.3.0_01 or greater (Free from Sun Microsystems)
256 MB RAM DATABASE SERVER (1) Single CPU 500 Megahertz NT Server 4.0 - Service Pack 5 or Windows 2000 Server
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20 Gigabytes of Disk space 256 MB RAM CLIENT Pentium II 300mz or better
Oracle 8i, Sybase 7.0 or greater, Microsoft SQLServer 7.0 *Microsoft SQL Server requires J-Turbo Driver from New Atlanta
Windows 95, 98, 2000 or Microsoft NT 4.0(Service pak #5) or anything that will run JRE Ver. 1.3.0_01 plug-in from Sun Microsystems 64MB or Better (128 Recommended) Web Browser -- Microsoft IE 5.0 or Netscape 4.0+ preferred
250 MB of Disk Space SUPPORT
One Client should have PCAnyWhere32 9.0 or greater, Citrix Program Neighborhood 4.2, or MS Terminal server.
It is possible for all three server components to reside on a single server hardware platform. (Web Server - Application Server - Database server) It is possible for more than one server component to reside on a single server hardware platform. (Web Server / Application Server or Application Server / Database Server) It is possible that un-related applications and/or databases may co-exist on a single server hardware platform.
LAPTOP DEPLOYMENT Pentium II 500mz or better 250 MB of Free Space 256 MB RAM Requires all software components of Application Server Requires all software components of Database Server Requires all software components of Client including a Web Browser
DATABASE SYNCHRONIZATION Database Synchronization tools, (all Databases), typically require that a fully licensed and complete copy of the database be resident on each laptop. Configuration Solutions currently supports only Microsoft SQL Server database for synchronization/replication. Both Sybase 7.0 and Oracle offer database synchronization tools, and Configuration Solutions will provide support for these at clients request.
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7.0
Potential ROI $0
Total Potential Annual Savings Pay-back in unavailable Top Line Margin Enhancement
Improved Won/Loss Percent Upsell Increase Cross-sell Increase Faster New Product Introduction Reduced Order Cancellations SLM Initiatives
$0
$0 $0 $0 $0 $0 $0
Hard Cost Savings
Technical Sales Travel Sales Travel Field Service Calls Goodwill/Promotions Parts Delivery Freight Charges Order Returns/Credit Memos Scrap Reduction Rework Reduction Tooling Reduction Field Training on Pricing IT Maintenance/Subcontracting SLM Initiatives $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0
Productivity Savings
Technical Sales Reviews Proposal Preparation Quote Preparation/Maintenance Pricing Maintenance Order Processing Order Taker Training Production Order Maintenance Engineering Maintenance Manufacturing/Plant Floor IT Staff $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$0
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8.0
Investment Detail
$N/A $N/A $N/A $N/A $N/A $N/A $N/A $N/A $N/A $N/A $N/A $N/A $N/A $N/A
Estimated Consulting Fees
Proof of Concept 0 days Project Planning 0 days Installation Survey and Install Software 0 days Project Team Training 0 days Consulting, Design and Specifications 0 days Interfacing N/A, 0 days Product Definition Phase 0 days Rule Definition Phase 0 days Validation Phase 0 days User Interface Definition Phase 0 days Programming, Testing and Documentation 0 days Data Conversion 0 days End User Training 0 days Total 0 days
Software License and Maintenance Fees
unavailable CS-Quote CS-Publish CS-Sales CS-Execute CS-Flow CS-Connect CS-Remote For N/A Laptops Maintenance unavailable Total
$N/A $N/A $N/A $N/A $N/A $N/A $N/A $unavailable $N/A
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9.0
Implementation Methodology
"The knowledge of our people is our greatest asset. No one can bring forward to customers the years of experience that we can when it comes to manufacturing and configuration deployment." -- Dale Colosky, President, CEO and Founder, Configuration Solutions We have developed a proven implementation methodology that focuses on the fastest way to install the software without disruption to the business. We apply a fully-integrated approach to implementation including the following components: Project definition Industry configuration templates Resource identification Timelines and budgets Project management Execution reporting and benchmarking
Our services are based on more than 30+ years of manufacturing -- with each professional consultant possessing an average of more than 15+ years experience. Besides their deep industry experience, each Configuration Solutions consulting team has access to a robust repository of "best practices library" that includes supply chain processes, product and industry configuration templates to ensure a fast implementation with a proven ROI.
Customer-Centric investment protection
Additionally, our teams of consultants will run possible business scenarios through our "Configurator Simulator" to ensure your business needs are met and expected and results will be accurate -- on time -- and on-budget. Our suite of services include: Impact analysis and key performance indicator (KPI) definition System installation and deployment Product education and training "Xcellerator" rapid fire implementation Performance monitoring - KPI dashboard Maintenance and support
Configuration Simulator
Ensuring a Proven Solution for Your Organization
Our Configuration Simulator is a true differentiator that sets us apart from the industry. Based on a combination of real-world customer manufacturing cases, knowledge repository, templates and best practices
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library, our team can quickly run tailored configuration scenarios and the key performance goals through our Simulator. The result is to provide the best and most cost-effective approach in meeting specific customer needs mapped to the technology requirements of your organization. The outcome: a pre-determined solution with a realistic ROI that is delivered to you on-time and on-budget. Our simulation includes: Collaboration process optimization and workflow Rapid prototyping of user interface Production environment simulation ROI calculator
Implementation
Configuration Solutions Implementation -- A Proven Approach
Because of our experience, technology and industry heritage in providing configured solutions for clients, we provide state-of-the-market solutions based on a rich repository of pre-configured process templates. Our "Xcellerator" approach to implementation provides you with a fast implementation methodology that is run through our "Configurator Simulator" to ensure a fast and accurate implementation. Fast Implementation at A Lower Cost Structure Based on our experience and best practices, we provide customers with on-site end-user and, acceptance testing and conversion that is unparalleled in the industry.
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Training & Customer Support
Training -- Delivering on the Promise
Configuration Solutions offers our customers the ability to quickly get up and running on our suite of configuration software. We transfer our knowledge to our customers, allowing them to become productive and self-sustaining from the onset. From architecture through delivery, our customers receive extensive product, process and technology. Through our training our clients can: Easily learn the system with training targeted to their specific needs Quickly realize the benefits of the system Draw from our knowledge and configuration across business functions Better deploy and utilize the full functionality of our suite of products
Customer-First Support
With Configuration Solutions help desk, our customers can reach us with query. Our people and automated inquiry tracking system allows us to immediately call up past history of a customers use of the software providing our support teams with a complete customer usage knowledge base. We then diagnose and recommend the resolution of the issue. Our product support teams are available through 800-982-7288, as well as via the Web site. We also offer on-site support and can provide third party certified experts who can address highly specialized customer interoperability issues.
Configuration Solutions Implementation -- A Proven Approach
Because of our experience, technology and industry heritage in providing configured solutions for clients, we provide state-of-the-market solutions based on a rich repository of pre-configured process templates. Our "Xcellerator" approach to implementation provides you with a fast implementation methodology that is run through our "Configurator Simulator" to ensure a fast and accurate implementation.
Fast Implementation at A Lower Cost Structure
Based on our experience and best practices, we provide customers with on-site end-user and, acceptance testing and conversion that is unparalleled in the industry.
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10.0
Summary and Next Steps
Proposal Acceptance Configuration Solutions
Dated: ____________________
By: ________________________
Its: ________________________
Kim
Dated: ____________________
By: ________________________
Its: ________________________
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