GateHouse, one of Denmark’s leading suppliers of software for satellite communications and maritime applications, has gone live with a complete ERP platform from IFS, implemented by Curit. The company has chosen a standard solution without a single customisation as the foundation for a complex product and project environment. This resulted in a record-breaking implementation in just one month and rapid gains in terms of agility.
At first glance, it might seem excessive to opt for a full-scale ERP system on a Maersk-scale for a company with 50 employees. But it makes perfect sense when, like GateHouse, you are a key supplier to some of the world’s largest satellite operators, consist of several companies that regularly purchase resources from one another, and, moreover, have ambitious growth plans.
GateHouse is an extremely dynamic company with high demands when it comes to redeploying resources and changing direction agilely. In addition to its core business, which is built around the two companies GateHouse Telecom and GateHouse Maritime, the group has recently established Igniter, a company tasked with developing new business ventures. This places significant demands on strategic oversight and centralised management, and, not least, on an ERP platform that can be pivoted 180 degrees at a moment’s notice when the need arises.
Farewell to the rival ERP solution
A two-year-old ERP system from a major ERP supplier had not been rolled out beyond the finance department, where it was used by three staff members. Everything else in the business was running on separate silo systems. The previous ERP supplier was asked to provide a quote for expanding the solution into a complete platform, but this would have required major customisation. GateHouse therefore declined.
-We didn’t want a system that would need to be coded and customised to suit our needs. That would be both opaque and very expensive. We’re looking at a growth scenario with more staff and more business lines, so we need to reduce the complexity of the business, not increase it. There was only one supplier that could meet our requirements, and that was IFS, says GateHouse’s CFO, Kenney Vesteraa Christiansen, who is very impressed by IFS’s system philosophy.
-The entire IFS platform consists of modules. If you need a new module, you simply open the door. You don’t have to write a whole lot of code. That’s extremely valuable for a dynamic business like ours, he explains.
Reach your goal in a month
GateHouse chose IFS Applications 10, which brings all three companies and the holding company together on the same standard platform. The solution is based on a private cloud and is used by all employees. It includes the full range of ERP functions, from Finance, Project Management, Fixed Assets and CRM to Sales Orders, Time and Attendance and HR. Employees have mobile access to functions as well as personalised interfaces to the solution, tailored to their areas of responsibility via IFS Lobby.
-Although we are a complex product and project-based company, we decided to go all out for a standard solution. Leading Danish companies in the aerospace and defence sectors with complex operations use IFS Applications, and we have to acknowledge that the solution provides a better real-time overview of the business, resource management, cost management, etc., which is not standard in other systems,” says Kenney Vesteraa Christiansen.
Significantly faster month-end closing
Opting for a standard solution enabled an extremely rapid implementation in just one month and meant that GateHouse very quickly began to reap the benefits of its investment.
-We’ve only been live for a month and a half. Normally, you’d be completely knackered at this stage of an ERP project, but we’re already up and running smoothly. We’ve cut the time spent on month-end closing by 50 per cent, and we’ll be reducing it by a further 30 per cent next month,” says Kenney Vesteraa Christiansen.
-Previously, we had to close the month in stages because the data wasn’t available. It was very time-consuming. In IFS, I have access to the entire business finance system via a finance dashboard and can manage the entire month-end process on a single screen. We’ve gone from having 25 spreadsheets, each 15 pages long, to an integrated reporting tool that draws on master data from IFS. Everything is generated automatically and utilises IFS’s built-in RPA (Robotic Process Automation) events. ’It’s a huge leap forward we’ve taken,” he says.
In-house settlement in a class of its own
The business is also very pleased with the choice of IFS Applications. No one misses having to manually transfer processes between siloed systems or spending an endless amount of time trying to get an overview of the projects. Project managers can always see the current status of their projects and project finances. No one has to wait for figures to be produced. Everything is in real time.
-‘It’s a huge benefit for our operations,’ says Thomas Jensen, Senior Vice President at GateHouse Telecom. -We are driven by projects and revenue recognition. We lend and sell resources to one another across projects and companies, which requires some very effective management tools. We’ve got that with IFS.
-IFS is exceptionally strong when it comes to multi-company reporting. Before, we used to spend half a day on internal reconciliation, much to everyone’s annoyance. When you’re busy, it feels like a complete waste of time. Now it’s all done automatically. That’s something we really appreciate. Once the resource allocations are set up, it’s business as usual. Staff simply need to record their time, and IFS then allocates and posts the time spent to the correct accounts. This makes it much easier to make optimal use of our resources, and we have full transparency throughout the entire chain, says Thomas Jensen.
Few companies are unique
It was IFS’s partner, Curit, that carried out the implementation at GateHouse. Curit is known for its efficiency, but completing a full ERP implementation in just one month is, after all, a record.
“It’s the fastest project we’ve ever completed,” says Peter Eskelund Bering from Curit, who was the project manager on the assignment. The entire process took place during the Covid-19 pandemic, which limited physical presence. Everything was therefore carried out remotely, with just one employee on-site for five days in connection with the go-live.
-Many companies consider themselves unique and believe they need an ERP system tailored to their specific needs. In our experience, the vast majority derive greater value from a standard solution, which is why I hope others will take a look at GateHouse. Standard solutions offer both a faster and smoother implementation and are cheaper. It can be done for a tenth of the price, as it is the consultancy hours that are expensive, says Peter Eskelund Bering.
ABOUT GATEHOUSE
GateHouse comprises three main companies:
GateHouse Telecom, which develops software for some of the world’s largest satellite operators. The software is the lifeblood of the satellite terminals and establishes the entire connection between the satellite and the receiver. Among other things, the software is installed on half of Inmarsat’s 120,000 terminals for secure communications in the maritime sector, in aviation and on land.
GateHouse Maritime develops solutions based on Automatic Identification Systems (AIS) for maritime authorities, ports, coastguards and similar organisations. The software is used to manage maritime traffic at sea, track ships and optimise operational planning in ports.
GateHouse Igniter is a development company that draws on expertise in the telecoms and maritime sectors to develop new business opportunities.