| Aveleda and IBS – In vino veritasCustomer Story On the surface, Quinta da Aveleda, a beautiful estate in northern Portugal where the country’s finest vinho verde is made, looks as old and traditional as the art of winemaking itself. But behind the ivy-covered walls of the romantic stone buildings beats the high-tech heart of an international company. 
Company background
Quinta da Aveleda is an example of a successful family business. The Company dates from 1947; but the owners, the Guedes family, have committed themselves to the art of vine planting and wine making for more than three centuries. Company premises are located in the heart of the Vinho Verde region and are named after the estate where the vines are grown - Aveleda, Sociedade Agrícola e Comercial da Quinta da Aveleda, S.A.
Aveleda is the leading company in the Vinho Verde industry, also producing the famous Adega Velha cognac and Charamba, a red wine from the Douro region.
Aveleda employs 180 people and had sales in excess of EUR 25m in 2003.
Business issues
The Aveleda group comprises five companies, producing a dozen individual brands. The company exports about 50 percent of its annual production of 12 million bottles to 50 different countries. The wines include the top-selling Casal Garcia, the best-know Portuguese-produced vinho verde. Vinho verde is specially fermented in temperature-controlled vats and bottled a few months later.
A multi-company group making wine involves an array of complexities that require robust business applications to solve the real challenges of its business. Furthermore, the Portuguese government can be very demanding on wine-producers when it comes to regular reporting of taxes and duties.
Aveleda’s legacy IT system was causing numerous problems and leaving the company with a bitter taste likened with corked wine. Poor business integration, difficulties in compiling financial information and lack of real-time processing capabilities were among the most worrying concerns. In addition, Aveleda wanted a more modern and open system whereby new applications such as CRM, business intelligence and e-business solutions could be complemented, if required.
Solution and capabilities
Although a number of software suppliers were evaluated, Aveleda decided that IBS and its integrated supply chain software suite, ASW, suited the company’s taste and became the clear winner. IBS software provides the information technology that enables Aveleda to blend winemaking skills developed over the centuries with cutting-edge supply chain techniques that meet the demand of global exports.
ASW is ideally suited to production and distribution of wine and IBS has provided Aveleda with an integrated IT solution that automates and optimises all its processes. The solution even serves up functionality that easily measures Key Performance Indicators (KPIs) to benchmark Return on Investment (ROI).
Initially, Aveleda implemented ASW Financials, ASW Analyser and two components specifically designed by IBS Portugal; one for the management of real-estate assets and the other a Portuguese-specific Human Resources system.
IBS’ Business Intelligence solution allows the company to rapidly access, analyse and use information to make decisions. By using SCOR (Supply-Chain Operations Reference-model), Aveleda also has the ability to measure and benchmark performance based on an international standard and leverages the full worth of their system information.
IBS has also assisted the group by implementing a portal, which has transformed the business into a real-time enterprise, capable of responding instantly to business changes by offering users their own personal browser-based portal through which they can access core applications and personalised content that is relevant to their jobs.
Benefits and value
IBS and ASW have contributed to Aveleda becoming one of the most profitable, modern and efficient wine companies in Portugal. The company is very satisfied with its decision to purchase the IBS solution.
Process efficiency has dramatically improved along with the real-time, faster process of business transactions that has reduced the risk of errors.
Aveleda now see a clear top-down view of all its operations, a dramatic improvement over the old system. Overheads have been reduced and the decisive planning of profitability and investments has been made much easier.
With IBS software, Aveleda has attained its primary objective of installing a modern system, with flexible and integrated software.
Aveleda judges that IBS’ professional support staff, working closely with the highly motivated Aveleda project team, were primary contributors to a fast implementation and the fact that the ASW system has paid for itself within one year.
A strategic partnership with IBS has prepared Aveleda to face new challenges and achieve new objectives — planting the seeds for a ripe and fruitful future.
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