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ACG Accounting and IT Solution Allows
Importer to Aggressively Grow Sales –
with Minimal Added Labor
World Concepts imports upscale residential furniture to approximately
1500 furniture stores and specialty retailers in the US and Canada.
The company is based in Springfield, Ohio, and operates manufacturing
and distribution locations in Mexico, Arizona and North Carolina.
Sales for 2005 were just over $28 million. In 2003, with internal growth averaging 30% annually, World Concepts
President Tom Holmes sought a comprehensive accounting and IT solution
that would encompass order entry, purchase order processing, accounts
payable and receivable, and collections. It would also need to accommodate
double the sales volume, have extensive, automated reporting capability,
be internet-based - and pay for itself in under one year. Finally, because
company headquarters is Holmes’ residence, the purchasing or maintaining
of computer server equipment was to be avoided. ACG hosted MAS 90 at its own facility, providing access via the internet,
and trained users, in December, 2002. Product from 10 different Mexico
factories is often shipped to a customer on a single truck – an atypical situation -
so substantial software modifications were needed to accommodate this.
These modifications were engineered by ACG and completed as a Sage
Extended Solution during a 20-week period. “The idea,” explains Holmes,
“was that when a PO was entered, the system would ‘know’ which factory
would manufacture which item and would automatically generate purchase
orders that would tie to the sales order number – and generate several
types of automated reports. World Concepts used MAS90 very successfully for 2 years, upgrading to
MAS200 in June, 2005. The reasons were a need for greater speed, and
an increasing number of users. “We had 25 by then,” explains Holmes,
“a long way from the 10 we started MAS90 with. It was a seamless upgrade.
I don’t think anyone noticed, except that processing was much faster. ” Since the install, ACG has dovetailed other software packages with MAS200.
‘We have automated systems that email invoices to customers and salesmen,”
says Holmes, “and emails with detailed order status information. We also
send our field people sales history information, open order reports and
shipping reports - weekly and monthly. We have 42 salespeople throughout
North America – all of them independent contractors – and these are main
tools they use to manage their accounts, and maximize their commissions. “At the management level, we have information we simply couldn’t generate
before, such as profitability by item, profitability by customer, profitability by
salesman, rate of sale, and sales history. This information is crucial to
keeping us efficient – and growing,” says Holmes. Using the MAS200 accounting solution and a hosted IT environment from
ACG, World Concepts now remotely accesses MAS200 accounting via thin
client from their three locations - and worldwide. The importer is now poised
to expand into Asia, with China and Vietnam firmly in its sights. With the
MAS200 / thin client solutions from ACG, they can expand at will with minimum
capital expenditure. “We can easily do $50 to $60 million with this infrastructure,”
says Holmes. “And we can do it with just 20% more people.” World Concepts has showrooms in High Point, and in Las Vegas’ new World
Market Center. World Market Center debuted in July, 2005 and is destined
to be the largest and most comprehensive showroom and convention
complex in the industry.
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