MOTHER DAIRY FRUIT & VEGETABLE PVT. LTD.

UNIFYING DIFFERENT LINES OF BUSINESS FOR BROAD-BASED GROWTH
QUICK FACTS
Industry Consumer products Employees 3,000 Headquarters New Delhi, India Web Site www.motherdairy.com SAP® Solutions and Services Consolidating operations with the SAP® ERP application and the SAP NetWeaver® Business Warehouse component Implementation Partner SAP Consulting, Siemens Information Systems Ltd. Implementation Best Practices • C-level executive support • Full-time assignment of team members from each function and division • Minimal customization • Leveraging of best-practices approach throughout business Key Challenges • Support company’s growth from a regional to a national business • Enable real-time visibility and fast response required by the dairy and food industry • Consolidate multiple lines of business on a single platform • Improve financial control and reporting Why SAP Was Selected • Broad functionality that enables a simplified landscape • Customer’s confidence that solution met all business requirements • Scalability that supports growth objectives • Accepted standard in consumer products industry • Extensive portfolio of integrated applications available for future improvement Low Total Cost of Ownership • Eliminated 10 stand-alone systems, including custom-built and Microsoft applications • Mitigated risks of operating on some systems that were no longer supported • Reduced attrition in IT by building SAP® software skill set • Centralized IT and taxation operations • Reduced effort for extending software footprint to new facilities Operational Benefits Key Performance Indicator Time spent on annual statutory closure of accounts Working capital Ability to forecast business results

Mother Dairy Fruit & Vegetable Pvt. Ltd. – a wholly owned company of India’s National Dairy Development Board – markets dairy products, edible oils, and fresh fruits and vegetables through a national distribution network. Disparate systems among these multiple lines of business once hindered profitable growth. But Mother Dairy has consolidated operations on the SAP® ERP application and established standard business processes across the enterprise.

Financial and Strategic Benefits • Increased support for perishable food operations with real-time functional integration • Reduced monthly close cycles by 50% • Reduced time spent on financial reconciliation of interunit transfers by 75% • Gained support for multiple costing methods and dynamic price changes • Achieved enterprise-wide, real-time visibility of inventory • Improved capital planning with automated capital asset budgeting and accounting

Impact -65%

-7.5% despite business growing by 10% Plan versus actual within a range of ±5%

SAP Business Transformation Study Consumer Products

if any. which is paramount in Mother Dairy’s business. unified operations and high-quality products are both helping ensure that Mother Dairy remains one of India’s finest food companies. Crystal Reports.com /contactsap Revolutionizing India’s Dairy Industry it required an innovative approach. In the past. Only customizations that were unique a national presence with three separate to the business – such as dual-axis pricing lines of business: dairy products. is enforced process discipline. All other product and service names mentioned are the trademarks of their respective companies.sap. These materials are subject to change without notice. integration.” Executive Leadership Team. Mother Dairy has the ability to Mother Dairy decided to replace all of compute both moving-average and stanits legacy applications and consolidate dard cost methods for inventory valuation operations on the SAP® ERP application and product costing. The most significant benefit. Planning for the Future Mother Dairy is always identifying additional ways to promote good corporate health. ment. it adopted SAPdesigned to revolutionize milk producsupported best practices and minimized tion in rural India. BusinessObjects. This in turn has led to the ability to make better decisions faster. a fracports increased visibility and greater tured IT landscape resulted in siloed control across its fast-paced operations – business processes. This once regional company boasts trol. And the company with the SAP NetWeaver® Business can dynamically effect price changes Warehouse component. the company decided to roll out financials. materials manageMother Dairy Fruit & Vegetable Pvt. executives were confident that the software’s broad functionality met the Having a better view and control of cusunique needs of the industry and tomer receivables and credit limits. www. and distop management had very little visibility tribution can all occur on a daily cycle. production planning. Xcelsius. fruits for milk and retro pricing for fresh foods – and vegetables. 50 101 147 (10/09) ©2010 SAP AG. Ltd. Mother Dairy requires clear visibility across complex supply chains and the Today. processing. R/3. Mother Dairy customizations. Operating in the fresh foods indusDelivering Fresh Benefits Every Day try. costs. Mother Dairy Fruit & Vegetable Pvt. has growing company. in order to standardize markets 2. All rights reserved. need for integrated business technology. the firm chose SAP Consulting to manage the overall As Mother Dairy grows. For into vital information such as sales. and the Mother Dairy was the first large-scale time needed to close annual accounts has SAP software implementation in the Indian dairy and fresh foods sector. and SAP Group shall not be liable for errors or omissions with respect to the materials. Next on the agenda are enhanced business intelligence capabilities to further improve market responsiveness and a shared services center for the company’s HR and finance operations. were undertaken. Moreover. Ltd. without representation or warranty of any kind. the company now has real-time inventory. and dropped significantly. Business Objects and the Business Objects logo. Web Intelligence. National product specifications may vary. so does its project to help ensure its success. The company can also forecast business results more accurately. The only warranties for SAP Group products and services are those that are set forth in the express warranty statements accompanying such products and services. First. more accurate financial information management and reporting. SAP. and edible oils. SAP BusinessObjects Explorer. in the United States and in other countries. Second. Company when necessary. Crystal Decisions. and the company’s where procurement.“The SAP ERP application addressed our immediate needs for standardization. example. Mother Dairy has an enterpriseability to respond quickly to dynamic wide SAP software footprint that supmarket conditions. Nothing herein should be construed as constituting an additional warranty. and margins. visibility into inventory at all locations. and other Business Objects products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of Business Objects Software Ltd. couoffered the scalability required by the pled with the ability to integrate its SAP software with its bank accounts. Duet. PartnerEdge. For example. These materials are provided by SAP AG and its affiliated companies (“SAP Group”) for informational purposes only. Today. Finally. ByDesign. . and sales and distribution functionwas founded in 1974 as part of a ality in a big bang across locations nationwide development program and businesses. and consolidation while providing us a solid business platform on which we can continue to grow and innovate. SAP NetWeaver. the company also rolled out the SAP Advanced Planning & Optimization component and is currently fine-tuning the user experience to maximize improvements in sales and operations planning and execution. resulted in improved cash flow and robust Developing a Recipe for Success working capital management at Mother Dairy. on which the executive leadership team is unanimous. which has paid off in faster. Data contained in this document serves informational purposes only.8 million liters of milk every business processes and centralize conday. These days. and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and other countries.

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