Caterpillar Mexico Selects STG's OPT Solution Suite as APS System.

DALLAS--(BUSINESS WIRE)--Oct. 12, 1998--STG Americas has signed a major contract to install its OPT(R) (Optimized Production Technology) Solution Suite in Caterpillar plants in Nuevo Leon, Mexico, and a new site in Torreon, Mexico, in the state Coahuila.

This is the largest contract for STG Americas since it established operations in Dallas a year ago. STG Americas is a division of U.K.-based STG, an international provider of Advanced Planning and Scheduling (APS) software for the Supply Chain Management market.

To beat leading competitors, STG conducted a thorough evaluation of Caterpillar's operations identifying key constraints in the manufacturing process on a line-by-line basis and tested OPT's compatibility with Caterpillar's existing systems. As a result, a detailed implementation plan was developed that went beyond installation of capacity needs and training related to the software.

"We considered many of the leading Supply Chain Management systems," said Dick Powell, Manager of Information Systems for Caterpillar Mexico. "We believe OPT is the system that will not only improve our operations, but also integrate easily with our other software systems and processes as we grow. STG Americas was also able to provide us with more than just software. The implementation plan includes education and training related to business practices and the ability to provide this training in both Spanish and English."

OPT Solution Suite is an APS system that balances the flow of materials and resources by identifying constraints, managing them and synchronizing the rest of the production process to ensure optimization in due date performance, profitability and efficiency. OPT allows both discrete and process manufacturers to make reliable delivery commitments while meeting their financial objectives.

Caterpillar and STG project productivity gains worth significant savings for Caterpillar's operational expenses once OPT is fully implemented. Although Caterpillar's plants are already highly efficient with on-time delivery rates and dedicated employees, both companies view their gains as the nurturing of a solid relationship.

"This installation showcases the power of OPT to improve any operation," said Don Watkins, Vice President of Sales and Marketing for STG Americas. "These Caterpillar plants are already very well run by all measures, but OPT will give them even greater results."

Currently, STG has approximately 400 installations of its OPT Solution Suite software in more than 25 countries. STG was formed in 1987 in London to provide advanced planning and scheduling technology. In 1997, STG Americas established its headquarters in Dallas by virtue of its multinational client base.

For more information about STG: 877/OPT-4STG. E-mail [e-mail].

Look for STG at APICS '98, Booth 966.