Software

Nando's adopts Sage ERP X3 to streamline financial processes


Johannesburg, 31 Jul 2012
Read time 4min 00sec

Nando's, the popular South African restaurant group, was in need of an enterprise resource planning (ERP) solution that could seamlessly integrate into and support the company's complex business model and financial processes.

The solution came in the form of Sage ERP X3, which Nando's adopted with the aid of Times 3 Technologies, a premier business partner to the Softline Group.

Nando's operates in 30 countries on five continents, and specialises in chicken dishes with tangy tomato, lemon and herb, medium, hot, extra hot, or extra, extra hot Peri-Peri marinades. In some countries, Nando's has other flavour options, such as mango and lime, or Mediterranean.

Nando's has its origins in a mining town in South Africa, where many Mozambicans of Portuguese origin relocated to Johannesburg in search of gold, and carried piri piri recipes to South Africa. Industries catering to the mining communities quickly began to grow in Rosettenville in Johannesburg. The restaurant began in 1987, when Robert Brozin and Fernando Duarte bought a restaurant called Chickenland in Rosettenville, which they renamed as Nando's, after Duarte. The restaurant incorporated influences from former Portuguese colonists from Mozambique, and is known today as a South African casual dining restaurant group.

“At the core, we needed to find an ERP solution that could holistically integrate and report across all the different business divisions within Nando's from a financial point of view, to provide us with a comprehensive overview of our business operation,” says Denise Fourie, Financial Director of Nando's. “We currently have 279 restaurants across South Africa that comprise both franchised and Nando's-owned outlets, which by definition means they need to be invoiced differently. Nando's also runs a complex logistics side of the business in terms of our manufactured sauces and ingredients that are distributed across the globe. Management of our fixed assets and project building of new retail outlets also feature in the equation.”

The advanced capabilities of Sage ERP X3 provided the perfect solution to seamlessly incorporate all the varying business functions that Nando's required. “One of the largest concerns facing Nando's was their royalty invoicing,” says Ashley Ellington, a Director at Times 3 Technologies. “The financials needed to be executed very differently depending on the type of restaurant, whether a franchise or Nando's owned. The Sage ERP X3 configuration addressed the issue and will further allow Nando's to track the point of sale and banking activities of each of the stores, providing an accurate overview of each store's performance,” explains Ellington.

The entire implementation is running on an Oracle database across multiple Linux servers that are mirrored to optimise disaster recovery. “The entire implementation is planned in a phased 'go live' process, with the logistics side of the implementation scheduled to go online at the end of July. The main restaurant side of the implementation is fully tested and ready to go live during Nando's financial year end. We have executed a production dry run, where Nando's information was migrated to run parallel with their existing legacy system, from where the results were balanced back, measured and signed off,” says Ellington.

The user-centric testing that Times 3 Technologies incorporated throughout the development of the Nando's Sage ERP X3 implementation has proved to be very successful. “The initial training with the core project group provided a platform from which the Times 3 Technologies team worked very closely with us throughout the entire set-up of the system,” says Fourie. “We are quite proficient with the system at this stage, and the exchange of knowledge from both teams has ensured that we are all informed and proficient in its use, leaving us quite comfortable with the system's reporting capabilities and the overall end result,” explains Fourie.

“The multidimensional features of Sage ERP X3 allow users to easily capture data and create virtually any financial report they want,” says Keith Fenner, Senior Vice-President of Sales for Africa, Softline Accpac and Sage MMD Africa. “The reporting complexity within Nando's is greatly attributable to the fact that the profiles of staff members may vary greatly. For example, one person might be responsible at a management level for one store and a different level for another store. Sage ERP X3 will allow Nando's to create varying profiles for their users, ensuring that each person has access to the correct information and at the correct level across the enterprise,” concludes Fenner.

Softline Accpac

Softline Accpac is a provider of business management solutions including financial, distribution, service management, retail, warehouse management, manufacturing and CRM to the mid-range market. Accpac solutions are delivered to 130 countries exclusively through a global network of solution providers, including over 150 throughout Africa. Softline Accpac's product line includes: Accpac ERP, Accpac CRM, Accpac RMS, Service Manager and Accpac Insight. Softline Accpac also distributes Sage SalesLogix, Sage Geode and Sage ERP X3, a full-service enterprise management software system for mid-to-large businesses. With a choice of languages, currencies, enterprises, locations and legislations, Sage ERP X3 offers an efficient, multi-company solution.

Softline

Softline is a leading provider of accounting, payroll, CRM and ERP software solutions to small, medium and large sized companies. Founded in 1988 by Ivan Epstein, Alan Osrin and Steven Cohen, Softline was established during the formative years of the software industry and listed on the JSE Securities Exchange South Africa in February 1997. Softline expanded to establish a strong position within its area of focus in South Africa and Australia. Focused on the development of accounting, payroll, CRM and ERP software solutions, Softline has a 20-year track record as a market leader. The group has a broad range of products offering users a variety of software solutions to run their businesses efficiently. Softline's leading brands include Softline Accpac, Softline Pastel (Accounting and Payroll) and Softline VIP. The combination of the group's product offerings provides Softline customers with comprehensive, well-branded accounting, payroll, CRM and ERP software solutions. In November 2003, Softline was acquired by the Sage Group, a FTSE 100 company. The software group includes market-leading businesses throughout the United Kingdom, Europe, North America, South Africa and Australia, supplying business software to the small, medium and large sized business community. Softline has a solid track record of profitability and cash generation. The group delivers quality accounting, payroll, CRM and ERP software solutions that improve the efficiencies of businesses around the world.

The Sage Group

The Sage Group is a leading global supplier of business management software and related products and services, principally for small to medium-sized enterprises. Formed in 1981, Sage was floated on the London Stock Exchange in 1989. Sage has 6.3 million customers and 13 400 employees worldwide. It operates in over 24 countries covering the UK, Europe, North America, South Africa, Australia, India and China. For further information, please visit www.sage.com.

Times 3 Technologies

Times 3 Technologies brings an in-depth understanding of the provision of world-class systems and services, and more specifically, specialises in ERP solutions and their required integration and support. Times 3 Technologies' primary focus as a premier business partner to the Softline Group is centralised on the sales, implementation and support of Sage ERP products in Africa. This includes Sage Line 500, Sage 1000, SalesLogix and Sage ERP X3.

Editorial contacts
Watt Communications Deidre Beylis (011) 425 6290 deidre@wattcommunications.co.za
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