Ozonetech gains greater control over its
global operations with Sage X3
The Swedish company Ozonetech is recognized worldwide as a cleantech competence center, specializing in removing pollutants from air and water in an environmentally friendly, sustainable way.
Its solutions serve a broad range of sectors, from industry, municipal operations and real estate to pharmaceuticals, restaurants and hospitals. Ozonetech’s vision is to raise the bar for what clean means.
Rapid growth
Since taking over a decade ago, brothers Behrang and Behrooz Gilanpour have expertly guided Ozonetech to rapid growth and several awards as one of Sweden’s fastest-growing companies.
“Our growth has been 100% organic, with a compound annual growth rate of around 45% over the past ten years,” says Behrooz. He attributes success to focusing on one technology. “The purification industry is a large market, but we chose a specific application area to develop and focus on ozone technology, and it has paid off.”
Expansion strategy
Ozonetech’s R&D, production, engineering and testing take place at its Stockholm headquarters, but it has a clear vision of going global.
“We have a very strong expansion strategy ahead,” says Ozonetech CTO Behrang Gilanpour. “It is already underway; we have established subsidiaries in Finland, Germany and Estonia. Over the next five to seven years, we plan to be present in all strategic markets worldwide.”
Subsidiaries in new markets provide local sales and logistics, bringing Ozonetech closer to customers in key markets such as the Middle East, Asia and North America. Subsidiaries hold local stock of all products and spare parts, with the Swedish headquarters distributing to them only when needed.
The right infrastructure
With such an ambitious strategy, the company realized it needed an ERP solution capable of supporting its five-to-seven-year growth plan and successfully managing operations in the long term.
“We needed an ERP system that supported our full range of business processes: manufacturing, service, installation, R&D and customer service,” says Behrang.
With requirements for fast, simple, flexible finance, logistics and production management at low cost, Sage X3 was the winning solution for Ozonetech.
Better visibility
Ozonetech previously had limited visibility of financial and logistics information across its legal entities worldwide.
Sage X3 has given Ozonetech better, clearer visibility of all products throughout their lifecycle, from components through manufacturing, logistics and final customer delivery. Previously, stocking the right products in different locations was almost impossible, says Jonas.
Behrang says Sage X3 integrates well with Ozonetech’s existing CRM and case management systems, providing greater insight into inventory movements and availability.
Another benefit is integration with a credit assessment system, providing Ozonetech with customers’ credit ratings, credit limits and credit scores. “Sage X3 has enabled us to avoid the risk of credit losses while offering customers the right payment methods and terms.”
He expects the credit assessment system alone to deliver ROI within two years. Ozonetech focuses on scalability, and Sage X3 has helped accelerate its international journey.
Future scalability
A major challenge is Ozonetech’s globalization and control over all subsidiaries. “Because we have grown so quickly over the past ten years, scalability has been a key strategy,” says Behrooz. “We must financially control global subsidiaries and obtain detailed reports from project level down to individual work level.”
“Without Sage X3, I think our international journey would take much longer,” he adds.
The company already plans to extend its use of Sage X3 to fully automate its processes. Sage X3 lets us manage operations today and in ten years with [expected] continued growth, says Jonas.
“Without Sage X3, we could not operate as we do today; we would lose much of our customer-related accuracy, have longer delivery times and make work harder for the people here,” he adds.
Questions about Sage X3 – contact Fredrik
Want to learn more about Sage X3 ERP, or have questions about a particular feature, technology or industry solution?
Contact Fredrik by email fredrik.jansson@systemstod.se or phone +46 (0)8-586 142 00.