FOR IMMEDIATE RELEASE:

Lantiq wins West Trax Gold Quality Award

21 July 2014 - Ross-On-Wye, Herefordshire, U.K.

Lantiq, a leading provider of semiconductors and technology for broadband systems and

network carriers, has achieved outstanding success this year in the optimisation of its

SAP system. As a result Lantiq has won a West Trax Gold Quality Award. In particular,

Lantiq has achieved the highest level of SAP Standardisation within the Teleco sector

since the introduction of these Quality Awards.

A four step approach –“As Is” analysis; identification of potential for improvement; definition

of required actions; and establishing the implementation plan- guided the Telco enterprise

through the implementation of a full action plan for rapid improvement in efficiency. In the

recent past, Lantiq has exploited its SAP system more effectively than its competitors as an

analysis from 2013 clearly showed. Then in March 2014 Lantiq completed the

implementation of the actions recommended by West Trax and has now achieved the Gold

Quality Award.

Jochen Siegle, Head of IT Corporate Services at Lantiq said: “From the results of the West

Trax analysis we have gained confirmation that our continuing attempt to use as much of the

standard functionality of our SAP System as possible is absolutely the right approach. And the

achievement of the Gold Award makes us really proud and happy. “

Mr. Brunner, VP & Head of IT at Lantiq Is Presented With A Gold Award by Diana Bohr, CTO of West Trax.

Especially outstanding is the level of Standardisation in Lantiq’s SAP system at 86%. The

average in the Telco Industry is about 60%, and in other industries about 50%. Lantiq’s

achievement is the highest recorded in the Telco Industry. In addition, the percentage of

custom code in the Lantiq system is a low 22%. This is also an excellent result compared to

the industry average of 46% . Although unused custom code exists in the system,

improvements already achieved in 2013 resulted in Bronze Award.

Implementation of the recommended actions from West Trax at the end of 2013 led to the

achievement of the criteria for a Silver Award. After continuing activities from Lantiq a final

West Tray analysis in March 2014 resulted in the presentation of the Gold Award.

With this Gold Certification Lantiq is recognised as a “Best User of SAP Systems.”

Mr. Siegle stated, “The greatest cost efficiency can only be achieved in a standard system like

SAP by using as much of the standard functionality as possible. For many years we asked

ourselves the question, “How effectively are we using our standard functionality?” Before we

met West Trax we found no answers, and we could not find any information to compare our

performance with other industries.”

“Another important benefit from the West Trax analysis is the possibility to understand our

Custom Code situation. Over the years a lot of custom code has been accumulated which is no

longer in use. This drastically increased the complexity of our system. Also our resources

could not be used effectively anymore.” “Using the West Trax analysis we were able to clean

up our system and improve our overall efficiency”, says Siegle.

Benchmark figures from West Trax show that typically up to 45% of an SAP / ERP system is

custom code, 40% of which is not used. Up to 70% of standard applications are not used and

about 30% of the custom code could be replaced by standard applications.

Diana Bohr, CTO of West Trax describes the benefits of an optimised SAP system: “As more

of each business process is supported by SAP standard functionality, the execution time of

such processes is reduced and the value chain is increased. On the other hand, time consuming

interfaces and workarounds drastically increase the process and maintenance costs and

overall response times, impacting performance. The result is that the value chain is badly

weakened.”

(From left) Diana Bohr (CTO West Trax), Erwin Lösel, Margret Domschke, Dorothee

Zmarsly, Jochen Siegle, Markus Brunner (VP & Head of IT) - (not in the picture but involved

in the implementation): Matthias Wällisch, Stephen Ong, Michael Suerbier

The West Trax approach is to investigate the overall SAP landscape for enterprises in order

that they are able to respond to ongoing and growing requirements of SAP systems in an

increasingly international environment.

In straightforward business language West Trax provides its clients with an overall “As-Is”

status of their SAP systems and identifies the individual “Ideal “status. This is achieved using

the unique West Trax offline analysis methodology which has been certified by the German

Chambers of Commerce. It provides clients with essential information with regard to system

Costs, Productivity, Performance and Quality. Using this information drastically reduces

optimisation time and effort. Cost savings and optimisation can be realised in a much reduced

timeframe.

A West Trax analysis requires about 1 hour of the client’s time. No workshops or interviews

are required, minimising disruption for the client’s resources. If the relevant qualification

criteria are achieved the Client will qualify for a West Trax Quality Award at no additional

cost.

About West Trax:

West Trax is an enterprise operating internationally. It specialises in the optimisation of value

created from SAP® systems. This is achieved by the identification and monetary valuation of

optimisation potential in the areas of costs, productivity, performance and quality.

More Information at www.westtrtax.com

Press Contact:

David Long

West Trax Ltd

T.: +44 (0) 1989 780114

M: +44 (0) 7774 808694

E: dlong@westtrax.com