Miele Portugal is ‘forever better’ with IBS ERP software

Customer Story

Miele Portugal distributes high-quality products and has high demands on customer service. The company turned to IBS for an equally high-quality supply chain solution.

Try to be better

Miele was founded in 1899 and is a leading German manufacturer and worldwide distributor of domestic appliances, commercial equipment and kitchens. Miele Portugal is the Portuguese sales subsidiary of the German appliance manufacturer. In the spirit of its corporate philosophy, “immer besser”, which means, “forever better”, Miele strives to improve existing products and utilize the latest technology.

Miele Portugal employs 92 people with a business that is divided into four segments. The first is home appliances, building and stand-alone appliances. The second is kitchen furniture. The third is the industrial segment, which covers large-scale laundries and laundry equipment. “Our industrial segment also covers sales of disinfection equipment to hospitals, where we are the market leader,” explains Hans Egenter, CEO, Miele Portugal. The fourth segment is after-sales supply and maintenance and repair services.

The majority of Miele’s products are supplied from Germany. In some areas, such as industrial laundries, Miele offer a complete solution to its customers. This means procuring and delivering products from third-party suppliers - but only goods which match the high-quality demands of Miele’s own machines. 

IT – an important factor for Miele

Household appliance products place extreme demands on an operational and logistics IT system. In 1993, Miele Portugal decided to search for a new system that would be powerful and sufficiently flexible enough to handle ever-changing orders, as well as high volumes of inventory and transactions. The solution needed to serve well into the future. Miele hoped to implement a new supply chain software solution that would give them an edge in a highly competitive and fast-changing industry.

Another important factor was to find a long-term business partner that would still be savvy in terms of application development and technology in the years to come. Miele found the best of both worlds with the right company and the right product when it purchased the IBS supply chain management software solution, IBS Enterprise. “IBS is not just a normal supplier but a long-term business partner who listens to us and, as a result, will find the best solution to our IT problems,” explains Egenter.

Initially, the company purchased IBS software for financials, distribution, service, inventory control and business intelligence. After a very smooth and successful implementation, Miele turned to IBS Portugal to help make improvements in other business areas such as CRM, payroll and after-sales and service software. 

Service with a smile

IBS software provides Miele with an after-sales service solution that offers comprehensive support for all relevant areas. The software offers features that produce quick results and customer satisfaction - right from the outset. By arriving promptly at the customer site with the required spare parts, Miele are able to give more efficient and effective service to its customers. Task-related descriptions are integrated into the solution to provide for fast entry of incoming service jobs. Intelligent features for quick entry of orders, customer details, requests and incidents help the company save valuable time. This contributes to keeping service order handling speedy and up-to-date.

After the installation of IBS software, Miele found that sales improved, service turnaround times became faster and customers were more satisfied. “In the past, our service people were able to perform a maximum of four services per day, now with IBS software in place, we have increased our service call rate by 50%.” states Egenter.

As well as being significantly more agile, processes and responses are better structured and clearer than before IBS Enterprise was implemented – even customers have remarked about the more efficient response to their queries and service demands they now receive from Miele. 

Efficient operation

The household appliance market is highly competitive - specifically in Europe, where Miele compete with international companies whose products perform on a competing level. The company is now able to manage rapid changes in product, cost and quality demands, including constant updates for pricing and purchasing.

Hand-in-hand with their distinguished product line, Miele’s survival also depends on efficient operations that protect thin margins. Accurate demand planning is essential to free up capital by eliminating unnecessary inventory. At the same time, the company is able to keep customers satisfied by delivering a vast array of products at the right time, as well as handling rush and emergency orders.

Just like its “forever better” slogan states, so Miele needs to out-perform its competitors. “The more we get used to the IBS system the more efficient we become,” explains Egenter.” “Our faith in IBS was clearly demonstrated when our return on investment was reached sooner than we originally expected,” he adds.

Miele constantly strive for increased efficiency. By associating itself with partners who operate to the same high standard, the company’s objectives are easier to attain. The long-term partnership with IBS is a case in point: the synergy of the two companies, both at the leading edge of their respective technologies, brings to the customer an unbeatable service. 

Contact IBS for more information. »