Keegor achieves 157% revenue growth with SYSPRO

Insufficient controls in the warehouse, inaccurate costs and the possibility of fraud as a result of manual systems

Customer

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Customer Profile

Established in 1959 as Leonard Light Industries, the Keegor Group of companies manufactures fire assay and gold plant furnaces, machinery and requisites. The KEEGOR brand is world renowned in the precious metals assaying and refining sectors, with equipment operating and consumables used in mines, laboratories and refineries in various countries across six continents.

Their Business Challenge

The Keegor Group needed an integrated ERP solution to address challenges such as insufficient inventory and operational controls, outdated processes and delays between quoting customers and delivering product which made it difficult to provide the desired levels of customer service.

The Solution

A long-term SYSPRO client, Keegor initially selected the SYSPRO solution in 2011 based on its position as a leader in manufacturing software as well as its cost-effectiveness and ease of use. Further critical factors influencing the decision included strengths in inventory reporting and job shop manufacturing. Keegor’s SYSPRO solution is integrated with Microsoft ODBC and GreenLine general ledger reconciliation software.

The Outcome

Keegor has transitioned away from a largely manual system, which was vulnerable to error, towards a fully integrated solution with high levels of automation, efficiency and accuracy.

“Before implementing SYSPRO, we were concerned about insufficient controls particularly in the warehouse, inaccurate costs and the possibility of fraud as a result of manual systems which extended from our cash books to the annual stocktake. With SYSPRO, and particularly since upgrading to SYSPRO 8 in 2019, we have been able to achieve 157% revenue growth.”

“With SYSPRO, and particularly since upgrading to SYSPRO 8 in 2019, we have been able to keep pace with revenue growth of 157%. Our profit before tax has increased by 864% and sales per employee have risen 111%.”
– Michelle Austin, Financial Director, The Keegor Group.

Reaping the rewards of a fully integrated ERP solution

Keegor recognized the need to drastically tighten controls by putting processes and procedures in place to guard against theft and enhance the accuracy regarding the cost of each job. Physical order books were prone to human error, fraud and the manual cash books were outdated.

“We needed all aspects of the operation to be integrated and talk to each other, and to make sure everything balanced,” Austin says. “Stocktakes were only done annually which meant that problems were identified too late to be addressed. That affected our customer service when we couldn’t meet promises to the customer because information on the stock available wasn’t accurate.

“In our bid to streamline processes and procedures, greater visibility as well as the ability to better segregate duties was essential. Our staff now have access to self-service features which help them investigate data or find information which was previously elusive. End-to-end visibility across the organization has given our stakeholders easy access to that information,” Austin says.

Tackling the MRP challenge

A high level of customization means that Keegor manages thousands of stock codes. This has made Material Requirements Planning (MRP) a challenge in the past, as each stock code has to be set up strategically and individually.

During the Covid lockdown in South Africa, however, the team made the most of the time to focus on optimizing SYSPRO MRP and implementing it in certain areas. This is starting to bear fruit, with significantly improved stock levels.

“We are able to make sure we’ve got the right components at the right time,” Austin says. “Overall, MRP has helped us reached nearoptimum levels of stock.”

Collaborating for success

Keegor has undertaken its digital transformation journey in close collaboration with Intuitive IT Solutions, a SYSPRO Premium Solution Partner. From the handholding support of 10 years ago to the quick phone calls and meetings of today, Intuitive IT has consistently provided excellent response times and demonstrated its ability to deliver solutions to business challenges.

Ingrid Kleynhans, Dealer Principal at Intuitive IT Solutions, says: “Michelle played a pivotal role throughout this process, ensuring that the business process mapping had all the controls in place. She spent many hours standardizing the data and ensuring that the project stayed on track. Michelle was also phenomenal in getting her staff on board, ensuring a successful implementation. She continues to work on improvements in SYSPRO and uses those enhancements to benefit the Keegor Group.”

Michelle emphasizes that these achievements are due to a dedicated team. “I don’t do this on my own,” she says. “The team looks at things from different angles and figures out what works, not just from a finance perspective, but across the business from sales to production, our customers and logistics.”

Achieve business success with SYSPRO ERP

SYSPRO is a leading, global Enterprise Resource Planning (ERP) software provider, specializing in key manufacturing and distribution industries. SYSPRO’s ERP solution empowers customers to take the next step – whether it is expanding into new territories, adding new product lines, transforming business processes, or driving innovation.

Keegor achieves 157% revenue growth with SYSPRO

Insufficient controls in the warehouse, inaccurate costs and the possibility of fraud as a result of manual systems

Customer

Customer Profile

Their Business Challenge

The Solution

The Outcome

Reaping the rewards of a fully integrated ERP solution

Tackling the MRP challenge

Collaborating for success

Achieve business success with SYSPRO ERP

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