16 | PRECISION MANUFACTURING May | June 2011 PAID SUPPLEMENT

Chirch Global Manufacturing, LLCGAINING A BETTER OPERATIONAL VIEW FROM THE CLOUD WITH EPICOR ExPRESS

When Anthony L. Chirchirillo became the CEO of Chirch Global Manufacturing, LLC in 2008, he knew the 20-person company wouldn’t be able to survive without a globally competitive business model. So he looked to the clouds, so to speak.

Chirchirillo envisioned a hybrid onshore/offshore manufacturing model that offered his customers global manufacturing options. “That kind of flexibility and one-stop shopping is a key to attracting business,” he said. “It’s like having a business without walls.”

To support his global manufacturing strategy, Chirchirillo began searching for a cloud-based enterprise resource planning (ERP) system, which would enable him to view operations anywhere at any time through a secure Internet connection. That way he could oversee the production process in China just as easily as he could in McHenry, Illinois.

A New PerspectiveChirch Global is a precision metal

fabrication and stamping manufacturer. The company also designs and builds progressive dies for medium to high volume production. The metal components it produces are varied and can be found in products such as airbag sensors for the automotive industry, shelving units for retail stores, syringe guides for the medical industry, and firing pins for the military.

One of the first things Chirchirillo noticed about the company when he took the helm was its antiquated information system. “It was one tick above a manual system,” he said. “Basic information, such as our gross margin on a daily basis, was unavailable. I couldn’t believe the company could operate in such a primitive way.”

Knowing it would be difficult to compete without that kind of information, he began looking for an ERP system that would provide information about

all aspects of the company’s operations. Ultimately, he chose Epicor Manufacturing Express Edition (Epicor Express), a cloud-based ERP system for small manufacturers.

“I really feel that cloud-based computing is the wave of the future for both large and small companies,” he said. “The key is that we’re not tethered to a physical location. We can access all aspects of our operation from any location at any time.”

Prior to acquiring the company, Chirchirillo owned three manufacturing companies in Milwaukee, which always seemed to be behind the curve in implementing the most current versions of software. Because they were small companies, they didn’t have the financial resources to maintain the latest hardware and software, let alone hire IT people to keep up with constant upgrades.

With Epicor Express, Chirchirillo said he no longer has to deal with those issues. Because the system is Internet-based, all updates are automatic. The monthly subscription fee allows him to accurately budget his IT costs on a year-to-year basis. As a result, he said he is able to focus on satisfying customers rather than managing networks, hardware and software.

“It’s like flying a plane with blinders on and then suddenly having radar,”

Chirchirillo said. “This system levels the playing field for us because now we have an ERP system that is comparable to the best-in-class systems used by much larger companies.”

The Sky is the LimitChirch Global’s business model

involves offering customers a choice of where they would like their tools and dies produced and then overseeing the entire process. If time is an issue, the tools are made here in the United States. If cost is an issue, they generally are sent offshore to a China team.

When it comes to the per-piece cost for metal stamping, Chirch Global is competitive with China because labor is not a key factor. However, when it comes to building progressive tools and dies for metal stampings, which are more labor intensive, China sometimes has a competitive price advantage. So Chirch Global lets its customers make the decision.

“It’s generally going to be less expensive to build it there, but it’s going to take longer,” Chirchirillo said. “If we do it here it could be more expensive, but it will be done quicker.”

“The key is that we’re able to use technology to oversee the entire process,” Chirchirillo explained. “I can be traveling to other parts of the world and have access to the entire spectrum of what’s going on in the company. The people in our China team are videotaping production and our people here are literally watching and monitoring their progress.

“The other thing that makes this approach different is that if the tool came here and didn’t work, we can make it work because we have all the tool building machinery and expertise here.”

It’s a business model that’s proving successful for Chirch Global. In 2010, the company reported over 50 percent return on equity and a 17 percent increase in sales.

“We’re definitely in growth mode,” Chirchirillo said.

Shop | PROFILE

Chirch Global is among the first small manufacturers in the country to use a cloud-

based enterprise resource planning (ERP) system, which allows management to view operations anywhere at any time through a

secure Internet connection.

May | June 2011 PRECISION MANUFACTURING | 17

About Epicor ExpressEpicor Express is the first cloud-based

ERP system designed specifically for job shops and smaller manufacturers. Released in 2010, the system enables manufacturers to view and manage all aspects of their operations from anywhere at any time, eliminating the need for separate applications, spreadsheets and work-arounds.

Epicor Express includes functionality for managing customers, products, inventory, production, shipping, and accounting. Further embedded within the system are performance management features and process management tools.

“You have much better visibility of your business when everything is on one comprehensive system,” said Chad Meyer, director, product marketing for Epicor. “With Epicor Express data is shared across the system, so you don’t have to consolidate information from various, disparate applications. Managing the

‘quote-to-cash’ process is significantly easier; you’re able to quote more effectively and profitably; track costs, jobs and operations better; and access key performance information quickly.”

Still, some small manufacturers may question whether they can implement or can afford an ERP system.

“We’ve minimized the complexity of implementing an ERP system,” Meyer explained. “There’s no hardware or software to install or maintain—we handle all that for you. All you need is a workstation with an Internet connection. Then we manage software updates and system maintenance. As far as costs, the system is very affordable for small

manufacturers. You simply subscribe to the service on a monthly basis.”

Epicor Software is one of the largest providers of business software solutions to the manufacturing industry, serving small job shops all the way up to Fortune 500 companies. The company has been designing and producing software for manufacturing companies like Chirch Global for more than 25 years.

“Epicor has been an incredible partner to us,” Chirchirillo said. “We wouldn’t be where we are at today without them. We feel like they’re part of our team.” PM

PAID SUPPLEMENT

Shop | PROFILE

For more information about Epicor Express or other products,

visit www.epicor.com,

e-mail info@epicor.com

or call 800.999.6995.

Released in 2010, Epicor Express allows small manufacturers to view and manage all operations over the Internet, from inventory and production to shipping and accounting.

We wouldn’t be where we are at today without them. We feel like they’re part of our team.

- Anthony L. Chirchirillo, CEO, Chirch Global Manufacturing, LLC