August 26, 1998 Case Study AlliedSignal Streamlines Its Automotive Aftermarket With Decision Support Software AlliedSignal Automotive Products Group (APG) (Rumford, R.I.; www.alliedsignal.com), a manufacturer of automotive parts sold under the FRAM, Autolite and Bendix brand names, is using intelligent agent technology from MicroStrategy (Vienna, Va.; www.strategy.com), a provider of enterprise decision support system (DSS) software, to increase productivity and business performance, and better serve its customers in the automotive retail, wholesale, and service industries. MicroStrategy's suite of products (DSS Suite) enables both active and passive delivery of information from large-scale databases, providing enterprise user communities with timely answers to mission-critical questions. MicroStrategy's decision support platform enables users to query and analyze the most detailed, transaction-level databases, turning data into business intelligence. Back in 1996, there was no easy way for a customer service representative, mid-level manager or senior executive in the Automotive Aftermarket-Americas Unit (a part of APG) to share information across departments and perform advanced reporting and analysis of business information. To gain a better understanding of the levels of efficiency and profitability, it was determined that many employees needed to gain access to unattainable customer information stored in thousands of files and multiple transaction systems. Automotive Aftermarket-Americas financial analysts, marketing analysts, and directors, for instance, needed to examine daily sales data, compare sales figures to forecasts and budget, identify the top customers in a given channel, and determine how many orders were pending and what the cycle time was for filling orders. After considering the diverse needs of its employees, Automotive Aftermarket-Americas selected MicroStrategy's decision support solution based on functionality, rapid implementation, flexibility, and the Windows, Web and custom-built interfaces. Today, APG managers are using DSS Agent and custom-built DSS Executive interfaces to determine how successful the company has been in fulfilling its customer orders for automotive products. Mid-level managers are analyzing sales trends by region or by sales executive, and efficiently managing the number of orders customers have placed and the number and type of products a customer has requested with each order. Customer service representatives with access to the Internet are using DSS Web, MicroStrategy's Web-based decision support tool, to access order information and create, save, and customize reports within minutes. The Monthly Fill report, for instance, can be sent to a customer like Pennzoil who may want to know more about supply-chain performance within their order. DSS Broadcaster, MicroStrategy's latest product -- designed to send highly personalized messages to thousands of recipients via e-mail, fax, pager, and mobile phone -- is being utilized for the purpose of enabling fully automated, dynamic export of detailed customer information to directly benefit the AlliedSignal sales force. By receiving and being able to respond to customized information about key customers at critical times during the business cycle, the sales force will be far more effective in identifying new sales opportunities and increasing profitability. Data collected in day-to-day business operations are now being used to maximize revenues, while minimizing information technology costs. Within a matter of minutes, employees can identify any problems with customer orders and resolve them immediately. With the amount of time needed to run reports being reduced from 4.5 days to 2 minutes, the new solution has helped increased the company's productivity. As a result, the Automotive Aftermarket-Americas Unit is providing better service to its customers and field sales force, and increasing profitability for all of its sales channels. AlliedSignal is already reaping benefits at the corporate level as well, driving the strategic planning process by sharing data across functional areas and business units. Recently completed is a financial data-mart combining sales and cost data from four related business units. Now, senior executives and strategic planning teams can analyze powerful customer and product profitability information, charting a course for growth for both the Automotive Products Group and its customers. The Manufacturing Report © Copyright 1997, 1998 by Lionheart Publishing, Inc. All rights reserved. E-mail Editorial Dept: tmr-editorial@lionhrtpub.com Lionheart Publishing, Inc. 2555 Cumberland Parkway, Suite 299, Atlanta, GA 30339 USA Phone: 770-431-0867 | Fax: 770-432-696 E-mail: lpi@lionhrtpub.com Web Design by Premier Web Designs E-mail: lionwebmaster@preweb.com