Kitron selects IFS Applications to improve business processes

Kitron ASA, one of Scandinavia’s leading contract manufacturers, has chosen IFS Applications to standardize and improve business processes throughout the organization. In a contract valued at SEK 21.5 million, including software licenses and services, the solution will also incorporate the new IFS Enterprise Explorer (IEE) interface.

The solution includes components for Manufacturing, Distribution, Finance, Project Management, Customer Relation Management (CRM), Human Resources (HR) and Business Intelligence (BI).

Kitron has a Nordic EMS (Electronic Manufacturing Services) operation with R&D and manufacturing sites in Karlskoga (Sweden), Jönköping (Sweden), Arendal (Norway) and Kaunas (Lithuania).

"We have three objectives with the project; the standardization of business processes, a higher degree of efficiency regarding process improvements and cost savings, and finally an increased quality of information," said Björn Wigström, CFO of Kitron. "With IFS Applications, we are able to respond to the highest data quality and functionality customer requirements. We will only achieve this if the new system is embraced by all users, which is the reason why we have chosen a high-level usability system like IFS Applications."

Kitron has an extended value chain including product design, development, industrialization, sourcing, manufacturing, aftermarket and re-engineering. To ensure optimal productivity in the entire value chain, Kitron has chosen the system with the highest level of usability and functionality to meet the demands of the chosen SCOR (Supply Chain Operations Reference model) processes.

Wigström continues, “Industry functionality for the EMS/high tech industry, industry competence and proof of best practice processes were the main reasons for choosing IFS. This was confirmed by IFS customer references and by the ERP pre-study completed by IFS. The project-based solution from IFS will also provide a higher degree of project control, which will enable us to stay competitive and deliver higher margins from the business going forward.

Glenn Arnesen, Managing Director IFS Scandinavia, adds, “IFS successfully continues to win against other major business application vendors. Adding Kitron to the customer list further increases our presence in the high-tech industry and contributes to building our position as a leading global vendor.”

The high-tech industry is one of IFS’ targeted vertical markets. IFS offers industry-specific solutions for companies in the electronic equipment, electronic component and semiconductor industries. These solutions support all business processes from design and mixed-mode manufacturing to after-sales support and warranty management. IFS’ high-tech customers include Rockwell Automation, NEC Philips Unified Solutions, NEC, Eltek, PartnerTech, Maxon Motor, and Olympus Optical.

About IFS

IFS is a public company (OMX STO: IFS) founded in 1983 that develops, supplies, and implements IFS Applications™, a fully-integrated, component-based extended ERP suite built on SOA technology. The company has more than 2,000 customers in more than 50 countries and focuses on seven main industries: aerospace & defense, utilities & telecom, manufacturing, process industries, automotive, retail & wholesale distribution, and construction contracting & service management. IFS has 2,700 employees and net revenue in 2008 was SKr 2.5 billion. The information is that which IFS is required to declare by the Securities Business Act and/or the Financial Instruments Trading Act. The information was submitted for publication on August 28, 2009, at 12:30 a.m. CET.

Contact Information

Vice President Corporate Communications Oliver Pilgerstorfer

Phone: +44 1494 428900

Contact Oliver Pilgerstorfer