SAN MATEO, Calif., July 24, 2014 /PRNewswire/ -- NetSuite Inc. (NYSE: N), the industry's leading provider of cloud-based financials / ERP and omnichannel commerce suites, today announced that Penguin Computing, one of the largest private suppliers of Linux-based enterprise and high performance computing solutions in North America with more than 18,000 systems installed and over 2,500 customers in 40 countries, has replaced an outdated and problematic SAP R/3 4.6D ERP system with NetSuite's industry-leading cloud business management suite. The company, founded in 1998, has dramatically improved its efficiency and visibility since going live on NetSuite in January 2014 after a rapid three-month implementation. Penguin Computing is now taking advantage of a broad range of NetSuite capabilities, including revenue recognition, work orders and assemblies, advanced inventory, demand planning and the powerful SuiteCloud Development Platform to streamline financial and operational processes in the cloud. As a result, Penguin Computing has gained real-time visibility into its key business performance across mission-critical business functions for better business decision-making. NetSuite gives Penguin Computing the speed, flexibility, agility and scalability that it needs for continued growth. With NetSuite, Penguin Computing no longer needs to deal with the integration hassles, high maintenance fees and version lock issues inherent in SAP R/3.
"We're already more efficient on NetSuite than we were on SAP and we have real-time visibility into all aspects of the business," said Garth Thompson, Penguin Computing VP of IT and Services. "Our users have access to more information and finance loves it—they have confidence in their numbers, they trust the system and can see what they're doing. It's mind-blowing how easy it is to find and access information in NetSuite compared to where we were before."
The SAP R/3 system previously in place was cumbersome and difficult to use, presenting Penguin Computing with challenges on both business and IT fronts:
- Business users had poor visibility into key data and could not readily run reports or access information on demand, relying on IT for report generation and troubleshooting.
- Accessing and updating information through any means other than the SAP fat client interface was "nearly impossible" for an IT team that had written its own middle layer to leverage open APIs, according to Thompson.
- IT had to maintain an aging ERP system while struggling with customizations and upgrades, and was faced with high costs for specialized third-party SAP consultants.
- Meanwhile, data quality had suffered over the years and the company had resorted to Excel spreadsheets to run the majority of its business processes, in line with the SAP system.
Penguin Computing began exploring its options when SAP announced it was ending support for R/3 4.6D.