Unicharm Mölnlycke Signs Contract for Scala Software

Japanese supplier chooses Scala as the only vendor offering low total cost of ownership in a system built for Japanese business

11 December 2002: Unicharm Mölnlycke K.K. has signed a deal to implement Scalas traditional ERP software in order to gain better control of the business. The company is a supplier of hygiene products, including adult incontinence products sold under the TENA brand, and a joint venture between Swedish multinational SCA Hygiene Products, and Japanese Unicharm K.K.

We have been very impressed with the speed of implementation from the time we made the decision to go ahead with Scala to our anticipated 'go live date," said Alan Dixon, Vice President Unicharm Mölnlycke. Most capable IT systems on offer here are large and complex, and require weighty platforms like AS/400. We have considered these options in the past but we couldnt justify the cost of ownership. Because Scalas Japanese offering is available on Microsoft platforms it has given us the opportunity to have a world-class system with the right size fit for a comparatively low total cost of ownership."

Up until now Unicharm Mölnlycke has been using home-grown legacy systems and knew there was a shelf life attached to this. SCA had just implemented Scala at two other subsidiaries in the Philippines and Taiwan, both of which have achieved such good visibility that they have been able to reduce delivery times from two days to the day after the order is made. Scala was brought to Unicharm Mölnlyckes attention because of the association with SCA Hygiene Products, however, there were many criteria that still had to be met before Scala was chosen.

In Japan requirements are very different from anywhere else in the world, and ERP packages have to comply with local business practices," said Stefan Gerstmeier, Scalas VP for North Asia. This, among many other things, involves monthly or periodical billing, consumption tax rounding, and different treatment of promissory notes. Unlike many competitors we have been able to accommodate this for some time, and it is all part of our aim to provide customers with a system that has in-built legislative support for fiscal requirements in the countries they operate, therefore enabling companies to work consistently throughout its global offices."

Unicharm Mölnlycke addresses a number of different sectors of the hygiene market and will be using Scala to bring about business continuity across all areas. Dixon concludes, Our implementation is based on those that have already taken place in the Philippines and Taiwan, and it is as near as you can get to just dropping in a template of Scalas software from theses sites to our own. Scalas integration capabilities and scalability are key factors to a business like us."

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Notes to Editors

About Unicharm Mölnlycke
Unicharm Mölnlycke K.K. is a joint venture company established in 1997 between SCA Hygiene Products, part of the Swedish SCA Group, and the Japanese company Unicharm K.K.
Unicharm Mölnlycke is responsible for the sales and marketing in Japan of SCAs global leading TENA brand incontinence products. The head office is in Tokyo and the company has nationwide sales and distribution, mainly to the institutional segment including hospitals and nursing homes.
Further information about TENA may be obtained at www.tena.co.jp (Japanese) or www.tena.com. Information about SCA Hygiene Products can be obtained at www.scahygieneproducts.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 US$70.6 million (€79.1 million).
Visit Scalas website at www.scala.net for press information including press releases, information for investors, and company and product information.
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