Osram Chooses Scala to Automate Manufacturing and Delivery Processes in Eastern Europe

12th country implementation of Scalas ERP solution enables Siemens subsidiary to ensure delivery deadlines and reduce the cost of doing business

25 June 2002: In a move aimed at driving down costs while ensuring delivery deadlines to their worldwide distribution network are met, Osram, a subsidiary of the Siemens Group and one of the worlds leading light bulb manufacturers, has chosen to implement a fully integrated manufacturing, planning, and control system from Scala Business Solutions for its largest manufacturing plant in Slovakia.

Osram previously relied on a combination of different software packages, including Microsoft® Access and Excel. By implementing Scalas ERP software, the company has eliminated the manual re-keying of transactions in the different elements of the previous systems, leaving their staff free to carry out value added activities. The integration of Scala has dramatically reduced the manual effort involved in the purchasing and stock control and eliminated duplicated data. Osram already uses Scala in the Czech Republic, Poland, Finland, Turkey, Dubai, China, Hong Kong, Indonesia, Singapore, Australia and Malaysia.

The amount and immediacy of the information provided by the Scala system is very exciting", said Martin Wiedenmann, IT co-ordinator at Osram. We now do our planning and purchasing on an interactive daily basis, rather than monthly, allowing us to take immediate action if a problem arises. Even more valuable, we can now see our complete raw material status -- not just the stock currently held in the warehouse and on order, but also what is currently being used on each of our 35 production lines."

On top of this, Osram are planning to implement an available-to-promise system that calculates delivery dates from the information held in the Scala system, thus ensuring they achieve their goal of delivering its goods on time, every time. Osram is also planning to use the Scala system to link the manufacturing plant with its largest distribution facility in Germany, which uses SAP. The aim is to eliminate the slow and labour intensive preparation of weekly purchasing and quarterly planning schedules by automating the entire process.

Key Partners, a Scala Implementation Partner, implemented the fully integrated system for Osram. The integration functionality in Scala between the logistics, manufacturing and finance processes is extremely powerful and will provide Osram Slovakia with a very efficient and effective tool for managing their business," says Bob Smith, Global Solutions Partner for Osram from Key Partners.

The system we are building at Osram operates at the very core of its business", says Patrick Pando, Scalas Vice President Operations for Central and Eastern Europe. Scala believes in providing companies with cost effective solutions that will fit their business needs both now and in the future to maximise their investment over the longer term. Endorsement from companies such as Osram proves that our product strategy is right."

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Notes to Editors

About OSRAM

OSRAM is one of the largest lamp manufacturers in the world. Light from OSRAM shines in more than 140 countries. With sales outside Germany accounting for 89 % of total turnover and a sales presence on every continent, we are a true global player.

In the 1999/2000 fiscal year, OSRAM's 32,000 employees produced sales of Euro 4.3 billion. Three quarters of this amount came from just two Divisions - General Lighting and Automotive Lighting.

For more information about OSRAM please visit www.osram.com

About Scala Business Solutions

Scala Business Solutions creates collaborative ERP software -- integrating Internet technology and traditional ERP functionality -- to make global business simple. With Scala, global companies can fully integrate all their ERP systems anywhere in the world, whether in a subsidiary, division or headquarters, and extending to their partners and suppliers. Scalas collaborative ERP software makes it possible for global companies to meet the requirements for advanced e-business as well as use a standard ERP product for managing traditional business processes. This enables them to gain measurable benefits from trading electronically, building a private exchange or global portal, or optimising the supply chain.

From offices in Europe, North America and the Far East, and through its network of partners and dealers, Scala delivers software and services that are available in over 30 languages in more than 140 countries.

Scala is listed on the Euronext Amsterdam Stock Exchange (symbol: SCALA). 2001 revenue was USD 70.6 million.
Visit Scalas website at www.scala.net for press information including press releases, information for investors, and company and product information.

© 2002 Scala Business Solutions, NV. All rights reserved. Scala® is a registered trademark. Other trademarks or registered trademarks are the property of their respective owners.