SONDA endorses CINTAC in the Project of Operational Excellence with Integral IT Outsourcing
Client: CINTAC Industry: Manufacturing Solution: Outsourcing integral que permite a Cintac enfocarse en agregar valor a su negocio, sobre servicios TI de excelencia
Cintac, the leading industrial holding in manufacturing and supplying of steel products, needed a tech provider to back them in their operational excellence project, which implied – among other things – having an exclusive ERP for every branch in Chile and abroad, in addition to an operative reorganization that focused on its main business.
To this end, an IT Integral Outsourcing has been hired with SONDA that will add value to the business and throughout which SONDA will take charge of supplying, supporting, and maintaining, all the issues related to the company’s world class ERP, which was implemented and customized by SONDA in all the branches, including the three in Chile and Tupemesa in Peru.
Cintac is an Industrial Holding, subsidiary of the CAP, which is the leader in Chile and the south-western hemisphere in the manufacturing and supplying of cold-formed steel products for structural and fluid-handling uses.
The Cintac Group is formed by 4 industrial companies: Cintac; Instapanel; Centroacero and Tupemesa from Peru. All these companies are in the Steel Industry and they work on manufacturing profiles, structures and special pieces for Construction.
- Cintac, and its plant located in Maipú, is mainly dedicated to selling bulk steel products such as piping, profiles and ducting.
- Instapanel, whose plant is located in Lonquen, produces custom-made steel panels, manufactured according to the customer’s specification.
- Centroacero, whose plant is located in Santa Marta, produces custom-made steel for the construction and engineering industry with cutting and delivery services included.
- Tupemesa, located in Peru, is dedicated, along with CINTAC, to the selling of bulk steel products.
These four companies make up one of the major Industrial Holdings in Chile’s steel market.
Facing an important operational improvement project
In the year 2008, CINTAC decided to carry out an Operation Excellence Project, led by the General Management and the operations management of the company.
This plan to improve the operations efficiency involved an operative reorganization that included focusing on its main business.
To carry out this operation, the company decided to merge some of the subsidiary companies and needed a tech partner that could back it up during the short, middle and long term transformation and growing period that they were about to go through.
Amongst the changes in the company that this strategic plan would bring, one key aspect was the Hardware and Software renewal of the IT platform. A tech supplier that would be capable of carrying out these massive changes at the same time as the operational excellence project took place was required. This implied reform and modernization of industrial machinery, and a series of transformations in the short, medium and long term that included the implementation of a World Class ERP focused on collecting centered, appropriate and trustworthy information to make better decisions.
Up to the year 2009, all the productive plants worked with a different ERP that would make it more difficult to consolidate and review the information.
Outsourcing integral que permite a Cintac enfocarse en agregar valor a su negocio, sobre servicios TI de excelencia
Para enfrentar este desafío, SONDA le propuso a CINTAC un contrato de Outsourcing Integral, mediante el cual SONDA se encarga de proveer, soportar y mantener, todo lo relativo al ERP de clase mundial de la empresa, el que fue implementado y customizado por SONDA en todas las filiales, incluyendo las tres de Chile y Tupemesa en Perú.
Además, SONDA apoyó en la renovación de Plataforma de Hardware y Software, y presta servicios de Housing para los Servidores Centrales de Cintac, Servicios de Soporte Funcional del ERP, Mesa de Ayuda, y Consultoría, entre otros. Actualmente, se encuentra en un proceso para absorber el personal TI del grupo, de tal manera de liberar definitivamente a CINTAC de estas funciones que no forman parte de su negocio principal.
CINTAC was able to conduct important transformations along with improving the company’s IT platform.
- Centralized unique ERP for 4 Holding companies
- More than 12 projects of IT transformation & improvement
- Greater visibility of the information
- Centralized information
- Quality Functional Support Services
- Operational Continuity
Free up resources for business and centering information and reports
Among the many benefits brought by the IT Integral Outsourcing that Cintac has hired with SONDA, we can mention the stabilization and standardization of the ERP without the need for a more expensive and complex solution. This has allowed CINTAC to fulfill the strict consolidation deadlines that the CAP demands, being able to adapt to the IFRS norm, with 100% dollar accounting in all plants.
It has also allowed improving efficiency in the Holding’s management and back office, centralizing services and human resources.
Daniel Andrade, Manager of IT and Process Innovation at CINTAC:
“With this Outsourcing project that is within the Technological Excellence plan promoted by the corporate government of the company in 2008, Cintac has been able to focus on its business, facing more than 12 technological transformation projects that implied renovation of Hardware/Software, wiring, linking, and contract renewals, among others.
Besides, with the unifying and customization of the ERP, we now have centered information about production, shipping and sales. This allows us to face the business challenges, such as accounting period closing, which is a key aspect of this industry.
This project of operational excellence, which has brought important improvements to the results of the company, wouldn’t have been possible without the support of a tech partner such as SONDA”
“It’s important to emphasize that the choice of an IT Outsourcing Supplier is a critical aspect for any company, as it entails a long-term technological alliance relationship where there must be trust and spirit of service to surpass the challenges that are included when passing from an internal IT platform to an external platform. We are sure that we can trust SONDA to keep backing us in all the new challenges we may meet to remain the leaders in the Steel industry of the region.”