Ability, a leader in the supply chain optimisation field and a subsidiary of JSE-listed Ixchange, is to expand its operations to the UK, USA, Australia and New Zealand. The company will now be headquartered in Atlanta, Georgia, USA.
This global move is the realisation of strategic acquisitions it has made to formulate the Ability brand into a strong player in the areas of e-commerce fulfilment and inventory optimisation. It also allows the company to take advantage of the 26-35% projected growth in supply chain management applications by 2003, according to a Forrester Research report.
The marketplace is cluttered, with a large number of brands competing for supremacy. For a South African player like Ability to make its mark, it is important for the company to place its full marketing budget and weight behind one single, strong brand, to prevent dilution of its marketing spend. It has therefore taken a monolithic branding approach, similar in nature to those undertaken by IT giants Oracle and Microsoft, to build this strong brand.
Ability`s three solutions - ProfitAbility, VizAbility and AccountAbility - will now respectively be known as Ability - eCommerce Fulfillment (emphasising enhanced supply chain visibility through effective customer and supplier management), Ability - Inventory Optimization, whose already significant supply chain planning functionality will be further deepened, and Ability - Financial Management.
When Ixchange listed, Ability had some of the pieces required to execute its vision for a niched mid-market business management solutions subsidiary. It acquired MasterPack in June last year as a platform from which to drive the international expansion of Ability in the most timely and cost effective manner.
The new company will be headed up by Johan Buys as chairman, Tony Cunnington as president and John Howick as COO, with Tracey Newman as vice president in charge of global marketing.
Ability`s product strategists for its e-commerce fulfilment and inventory optimisation products are based in the US, as that market is 18-24 months ahead of the rest of the world. The US also leads in terms of producing the best software. Therefore, customers benefit from the latest strategies, which filter down into the products.
Research and development stays in South Africa, as it is vastly more cost-effective to keep such operations in this country, resulting in a price advantage for customers.
As proof of the success of the transition, Ability has already gained two UK-based customers and one US client for its Ability - eCommerce Fulfillment product; and is about to sign two major deals for its Ability - Inventory Optimization offering in the US and Australia.
"By the end of our 2001 financial year, we aim to have referenceable customer sites for each of our products in each territory. We feel Ability has an excellent chance of succeeding internationally because of our tight focus," says Shoaib Patel, managing director of Ability Solutions.
Among its customers Ability lists Magellan and Orchid in the UK, as well as Sony, Barloworld CAT, Relyant, JD Group, Workgroup, WH Saffer, Brait and Medscheme in SA.
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Ability
Ability is a leading provider of supply chain optimization solutions. We help companies accelerate their profitability by providing specialist solutions that address the dynamic needs of businesses in the New Economy. Ability`s flexible, scaleable and robust solutions address the complex problems distributors face as they seek to drive profitable growth. Ability`s solution set includes the Ability - eCommerce Fulfillment, Ability - Inventory Optimization and Ability - Financial Management solutions.
Ability provides targeted solutions intended to guarantee its customers` ability to realize a rapid return on investment as a result of streamlining their supply chain process, improving their operational efficiencies, effectively managing their suppliers and increasing customer satisfaction. Ability has offices worldwide, with headquarters in Atlanta, GA., USA.