ERP cuts costs for Al-Zuhair

A joint venture between the Sage Group and Comtrust has led to the enabling of the Al-Zuhair Group to host its own ERP. The move is in a bid to slash Al-Zuhair’s capital expenditure and ongoing operational costs

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By  Charlotte McDonald Published  April 4, 2001

Sage Enterprise Solutions and Comtrust, Etisalat's e-commerce subsidary, have enabled KSA-based Al-Zuhair Group to host its enterprise resource planning (ERP) applications on the Internet. The partnership has been implemented to help Al-Zuhair cut costs by using Sage CS/3 ERP software and Comtrust’s hardware.

Talal Al Zuhair, a partner of the Al-Zuhair Group, claimed that the company has cut IT personnel costs by 50 per cent, and has reduced spending on hardware and software since it began hosting its ERP six months ago.

"With elaborate plans underway to extend our operations to the UAE, we needed a quick and cost effective route to expand our ERP footprint,” said Al Zuhair. "It is no longer necessary for us to install computer servers at every business location, and all our users can 'access' the application by merely logging on to the Internet," he added.

Shishir Srivastava, director of SES Middle East, says it has been difficult to convince the market as a whole to outsource software as Al-Zuhair is doing.

"We are glad that the Al-Zuhair Group has taken the lead in showing businesses in the Middle East that the Internet can be used to run mission critical applications," said Srivastava. "It should only be a matter of time before the rest of the industry follows," he added.

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