Integration of Lise Watier Cosmetics Division Into the JD Edwards System of Groupe Marcelle

Impressive Results

• Linking Lise Watier’s business processes with those of Groupe Marcelle
• Compliance with the tight deadline (two months)
• Changes made in compliance with Health Canada

Groupe Marcelle is a Canadian leader in the cosmetics industry. By adopting high quality and excellence standards, its mission is to provide hypoallergenic accessories, makeup, and skincare products for the following four brands: Marcelle, Lise Watier, Annabelle, and CW Beggs & Sons.

Challenges and Objectives

In the process of acquiring Lise Watier Cosmetics and before any official announcement, Groupe Marcelle had to make sure to plan each step of integrating the operations of its future division into JD Edwards. In addition to the complexity of the transaction itself, as well as an ambitious timeline, there were some challenges, such as:

• Confidentiality

  Groupe Marcelle had limited access to information about Lise Watier Cosmetics, which made it difficult to prepare some aspects of the integration project. A structured and proven approach was required since we had to avoid the slightest leakage of information.

• The Complexity of the Transaction

  Groupe Marcelle already had an excellent in-house IT team, but the company wanted to have experienced resources in integrating businesses with JD Edwards. For this, Groupe Marcelle had to turn to external support, since the type of operation that the company was getting ready to make was outside the scope of its current practices.

Several issues also had to be considered before undertaking this project. Groupe Marcelle aimed, among other things, at:

• Having a single email system, projecting the image of a unified enterprise;
• Maintain system performance, as well as security of access.

Integrating Two Systems

The main goal was to integrate customers, products and suppliers into a single Enterprise Resource Planning (ERP) solution to effectively manage the operations of all Marcelle Group divisions. Users had to acquaint themselves with a unified, long-term system and contribute to its improvement. The integration of the two information management systems would therefore enable the company to acquire:

• an integrated approach;
• common tools;
• a shared knowledge.

Fortunately, Lise Watier Cosmetics was using JD Edwards for many years. Using the same ERP, even if the deployed versions were different, definitely facilitated the integration of the new division. The similar format of the data tables was a considerable advantage that allowed the automation of data conversion.

Already much appreciated at Groupe Marcelle, JD Edwards’ flexibility allowed for the building of a solution that could be adapted to the business’s needs, and suitable for each of its divisions, including the Lise Watier product line.

Why Createch ?

Groupe Marcelle aimed to link the business processes of its new division with its own processes, while relying on the best practices supported by JD Edwards. Already a partner of Createch, Groupe Marcelle has seen a clear added value by collaborating with experienced experts in acquisition transactions. As Createch’s resources have also supported Lise Watier Cosmetics for many years, they had knowledge of the business processes of both companies, which significantly ensured a seamless integration.

Before the launch of the integration project itself, Createch prepared a game plan that had to be carried out quickly in the system. As a result, from the first day of the acquisition, the companies were matched so that Marcelle Group’s tax numbers and logo appeared on all official documents, such as its new division invoices sent to customers.

Key Challenges

Prior to its acquisition, Lise Watier Cosmetics served customers and did business with suppliers that Groupe Marcelle was not dealing with yet. This was directly reflected in the tracking of receivable and payable accounts. Despite the division’s identification numbers having been modified, it was necessary to ensure the continuity of services at all times during the transition.

Thanks to the successful integration of the operations of the two companies under Groupe Marcelle’s ERP system, the new division’s activities continued to meet customers expected standards.