News
ORTEC experiences major growth19 May 2009
150 new clients in 2008 and a strong first quarter in 2009
Despite the worldwide economic downturn, in the past year ORTEC has undergone considerable growth. In 2008, more than 150 companies selected ORTEC as their new supplier for Advanced Planning and Scheduling (APS). The worldwide trend that ORTEC has identified is that the demand for optimized deployment of staff and resources by means of APS is growing in line with the crisis. Another observation is that ORTEC’s 1250 clients are generally better equipped than other companies to deal successfully with the challenges posed by the current economic climate. This year, ORTEC has also had a promising first quarter.
“We have noticed that various companies have taken this recession as an opportunity to perform major reorganizations and at the same time optimize the logistical processes,” says professor and ORTEC Logistics Director Goos Kant. “In doing so, they have also prepared themselves for future growth. It has been proven that our clients – logistics companies, health care institutions and service organizations alike – have all increased their profits using ORTEC’s Advanced Planning and Scheduling (APS). Optimized deployment of staff and resources always results in major savings, which we have seen with TNT and Coca-Cola Enterprises, but also with several health care institutions and service organizations.”
Most implemented product
Approximately 25% of the companies who choose ORTEC as their new supplier in 2008 and the first quarter of 2009 are from the transport and distribution industry. While only 15% of the new clients are from the CPG industry, their average investment in Advanced Planning and Scheduling (APS) was almost double that of those from the transport industry. About 20% of the new clients are active in the professional and public industry, 20% in health care, 10% in manufacturing and construction industries and 10% in oil, gas and chemicals. In these sectors, the most widely implemented solution was scheduling and routing, closely followed by workforce scheduling.
Among SAP users, especially those in Food and Beverage, the combination of load optimization, routing and scheduling has been a major success. Accordingly, ORTEC users now include many food and beverage companies, like AB-Inbev and Coca-Cola Enterprises. In the retail sector, Transgourmet – a business unit of Coop et Rewe – recently also selected ORTEC. This resulted in a visible increase in ORTEC’s share in this market. As ORTEC’s 50th large retail client, Transgourmet has joined a clientele boasting giants such as SPAR, Lidl and Ahold.
Acquisitions and strategic partners
In addition to its organic growth, ORTEC has grown through acquisitions and alliances with other companies. By opening offices in the UK and Central and Eastern Europe in 2008, and early this quarter in Singapore for Asia and the Pacific, and by acquiring Inovia, Brightrivers and ORTEC TSS, ORTEC has gained a large number of additional clients. Furthermore, the strategic partnerships are beginning to bear fruit. By entering into close cooperations with parties such as TomTom WORK, GreenCat, Transics, Anago, SAP, NAVTEQ and Touchstar, ORTEC has been able to provide its existing clientele with an even better service, and at the same time appeal to an even broader group of new and existing clients.
Strategy for 2009
ORTEC expects considerable growth in the remainder of 2009. Proof of this potential was achieved in the first quarter when again more than 30 international retail, CPG and professional service companies choose ORTEC’s loading, scheduling and routing, and workforce scheduling solutions.
Click here to read the summary of the ORTEC ROI report.