Flextek on ERP Implementation: “Time is the decisive factor”
When Flextek made the leap from their customised Navision setup to JMA’s Dealer Service Management solution (DSM), they knew the journey would be both long and demanding.
But how do you avoid the classic ERP pitfalls? For CEO Lars Bjørn Pedersen, the answer is as clear as it is simple: time. “It takes the time it takes.”
‘1.5 years.’ That’s his brief and precise take on how long an ERP implementation requires. This realistic mindset has helped Flextek steer clear of the stumbling blocks that many other companies trip over.
How Flextek avoided ERP pitfalls
With a realistic approach and strong internal support, Flextek safely navigated around the typical ERP traps. This stands in sharp contrast to the industry norm, as highlighted in a December article from the Danish trade magazine Metal Supply, titled “Even the big players get hit when ERP systems are replaced: It costs more than you expect.” The article paints ERP implementations as time-consuming, expensive, and full of frustrations – a picture that differs greatly from Flextek’s experience.
“I couldn’t help but smile when I read the article in Metal Supply. I just couldn’t recognise what they were saying.”
In contrast to the article’s bleak picture, Flextek avoided the major ERP pitfalls. They didn’t blow the budget or need extra hands along the way.
“The headline of the article was that it costs too much. But that’s something you budget for. I’ve switched ERP systems before at two previous companies. We made a budget, added a bit on top, and went slightly over – but still stayed within the limit,” he explains.
Looking after employees
Flextek had known for 8.5 years that their customised Navision setup would not be able to meet future demands. The need for a new ERP system was so obvious that it was even mentioned in the job posting when Lars Bjørn Pedersen was hired as CFO eight years ago. With this insight in hand, it was crucial to Lars to ensure that the whole organisation was on board from day one.
“Anyone who hasn’t done this before will underestimate how long you can expect to perform at 75% of your usual level. Even the most basic tasks can suddenly feel difficult – ‘in the old system, it was just a button here!’”
He knows how important it is to support colleagues through the transition period – and has seen first-hand what can go wrong if key employees aren’t looked after along the way:
“In earlier projects I’ve seen people hit the wall. It’s tough – both for the person and the company, which loses a key role. You have to look after your colleagues during the process. It’s important to understand that things take time when everything is being changed.”
To ensure that everyone was included, Lars invited the service, sales, and purchasing teams to take part in the pre-analysis with JMA.
“After the meeting we sat down and looked each other in the eye: ‘Do we believe this can work?’ It’s one thing what I think. What matters most is that my colleagues got a feel for it and didn’t feel the decision was taken over their heads.”
Concrete results after just five months
Already after just five months with DSM, Flextek began to see concrete benefits. The company’s 20 technicians could now easily record their time and document their work directly from their phones – a significant improvement over before.
“We’re already seeing clear results with Field Service Management, and our technicians feel the difference in their daily work. Previously they had to start up their laptops, log into VPN, open the terminal and start Navision. Often, it only happened once a week. Now they actually do it daily.”
Photo documentation is also far more efficient now:
“Previously we had to email photos to ourselves and then log in, etc. Now we can document directly on the phone.”
Future-proof – why Flextek chose the DSM industry solution
“We came from a Navision system that was customised to our needs, but not everyone wanted to integrate with our old system. It was outdated and too specialised, which made it too expensive to develop just for us.”
The decision to go with DSM was therefore not only about functionality, but also strategic financial logic and future-proofing. With DSM, Flextek gets an industry-specific solution where development costs are shared across the sector and the system is continuously adapted to new needs.
“For us, it was attractive that this is an industry solution where the costs are shared. We didn’t have to reinvent the wheel – in our old system we would have had to start completely from scratch.”
Flextek sees not only the immediate benefits but also has a clear vision for how the DSM solution will evolve in the future. The dynamic nature of the system means it is constantly improving, giving Flextek a long-term competitive advantage.
“When we look back in two years, we believe we’ll have seen development that we specifically asked for. The solution is dynamic – it evolves over time.”
Strategic choices brought extra challenges
Although Flextek is now enjoying the many benefits of DSM, the journey has been full of obstacles. Along the way, Flextek made two strategic decisions that made implementation more difficult:
“We chose to postpone the implementation, and here Torsten Høst (project manager at JMA) told us honestly:
‘We can do that, but then you won’t get the experienced consultants. You’ll get the ones who are available.’ We also wanted the latest version of DSM, and as one of the first, we naturally got the bugs that came with it.”
Although it was a tough start, Flextek believes it was the right decision. But the implementation required extra time and resources:
“We’ve paid with our time and have worked evenings and weekends. You can’t put an external resource on something like this – you need someone who understands the business. So I fully understand why it goes wrong for those who do it differently.”
The future looks bright
After an emotional rollercoaster, Flextek is now well on its way towards a stable and efficient daily routine.
“It’s a hump you have to get over. At first you’re happy to go live, then frustration sets in when everything suddenly breaks. Now we’re down to a manageable level of issues, and there are no recurring errors. It’s easy enough to test in a safe environment, but it’s only in daily use you see where things fall short.”
Torsten from JMA has played a key role in maintaining optimism and keeping the project on track:
“He’s been pedagogical and good at helping us put words to our frustrations: ‘You’re in a good place, stick with it.’ He’s also been good at helping us prioritise. For example, delaying CRM implementation. If we had added CRM on top, it would have failed completely.”
Right now, it may feel like everything was easier in the old days – but Lars is confident DSM will eventually provide the same sense of reliability.
“It’s definitely an upward curve, and we’re taking it slow. There are small adjustments, and not many new issues. It’s things we miss, which either get fixed, developed – or that we have to learn to live with.”
Once DSM is fully implemented, he’s sure the solution will support the entire business:
“In 1.5 years we’ll have an ERP solution that supports our whole business. We’ll also get CRM during 2025, which we’ve never had before.”
Although Lars is optimistic about the future, he’s taking it one step at a time:
“Now we just need to catch our breath. Daily operations are working, and it’s going to be fine. It takes the time it takes.”
Facts about the DSM implementation
- Project start: September 2024
- Flextek is: 9 months into the project
- Expected completion: Spring 2026
- Previous system: Customised Navision solution
- Reason for switching: The old system had become too specialised and expensive to maintain alone, with little or no integration options for modern solutions. With DSM, Flextek gets a future-proof industry solution where development costs are shared and the system can grow with the business.
About Flextek
Flextek specialises in automation and machine technology for the Danish manufacturing industry. As the exclusive distributor of Okuma and other leading brands, Flextek delivers solutions for machining tools, robots and production equipment.
Combining advanced technology with more than 75 years of experience and a deep understanding of the challenges facing the manufacturing industry, Flextek is known for its high quality, reliable service and innovative thinking when it comes to optimising customers’ production lines.
The company offers consultancy, sales, installation and service with a focus on optimising production and ensuring high uptime. With 20 service technicians, Flextek covers the entire country and delivers fast, reliable support to its customers.
Visit Flextek’s website (in Danish)
