Choice Organic Teas (Granum, Inc.)
Customer Snapshot: Overview
1st tea crafter in the USA to offer Fair Trade Certified (TM) tea
Choice Organic Teas is committed to great tea, social responsibility, and environmental sustainability. As the company has grown to include more varieties, more employees and more facilities, their back-end systems needed to improve in order to keep up. The company searched for an ERP solution that they could trust to manage their accounting, production, and inventory. After a couple of false starts with disconnected out-of-the-box solutions, basic spreadsheets, redundant processes, and upgrading their physical plant production systems, the company turned to SAP and Softengine to help revamp their reporting and analytic tools.
Choice Organic Teas (Granum, Inc.)
Seattle, Washington, USA
Line of Business
SAP Business One
Customer Snapshot: History
A brand of Granum, Inc. of Seattle, Washington, Choice Organic Teas made their debut in 1989 as an outgrowth of the company founder, Blake Rankin’s active involvement in the organic marketplace. As North America’s #1 selling exclusively certified organic tea line, they have promoted the growth and development of organic agriculture in tea estates worldwide.
Customer Snapshot: Business Model
As the first exclusively certified organic tea company in the United States and the first US tea company to introduce Fair Trade Certified™ Teas, Choice Organic Teas has helped to forge new ground in the tea industry since they first started in 1989. Their mission is to provide high quality teas while continuing to lead the industry towards more social and environmental sustainability with thoughtfully produced, innovative products and packaging.
Customer Snapshot: Success Strategy
A firm belief in organics, with a dedication to ensure the ethical treatment of workers who cultivate tea, and a team of dedicated employees at Choice Organic Teas, has made the company a modern day tea pioneer. Choice Organic Teas works closely with international growers in countries across the world, including China, India, Japan, Sri Lanka, and Tanzania to create organic teas known for outstanding character and clarity of flavor. They rely on simple, pure ingredients, strict organic guidelines, and an ethics-driven Fair Trade philosophy.
Choice Organic Teas operates out of a certified organic facility, which means that all product handling and packaging is done in a safe and environmentally friendly manner in accordance with, or exceeding, the United States Department of Agriculture’s National Organics Program (NOP) regulations and standards. All of their tea packaging material is sourced to be the most environmentally friendly available. They refuse to use PVC in any form, thereby exceeding the United States National Product Standards. Before purchases are made, they utilize a purchasing guideline for raw materials and equipment/supplies that concerns the necessity of the item, product packaging, distance of travel and possibility of return to manufacturer or if it can be recycled at the end of its life.
For a company focused on conservation, it was hard to see time and resources wasted through unreliable back-end systems. Choice Organic Teas realized that a cloud-based solution would save them money on IT and hardware costs and consolidate processes, conserving valuable employee time and eliminating redundancy and errors.
Choice Organic Teas tried for a long time to get along with spreadsheets and basic accounting systems like Excel, Quicken and Quickbooks, as well as an ERP solution, but there were just too many redundancies in their processes and the margin of error was too high. Redundant processes led to the need for additional personnel to enter, mine, and correct the data. Eventually, management concluded that a cloud-based ERP solution would reduce hardware and IT costs, and they realized that SAP Business One was the way to go.
SAP Business One’s reputation in the food and beverage industry was already well-known at the company. Choice Organic Teas selected Softengine, an SAP Gold Partner out of Woodland Hills, California, for their successful track record of SAP Business One installations in the food and beverage industry.
Enter SAP: The SAP Experience
Softengine examined Choice Organic Teas’ business practices carefully and designed a solution to fully automate the company’s inventory, production, and accounting processes. Not only could their new system accurately track all ingredients used in their single origin teas and blends, and help maintain inventory levels in order to keep up with demand for the more than 200 SKU’s the company sells, it was also able to keep track of performance of fair-trade vs. non-fair-trade teas, an important metric for the company and their customers.
Better Business: Benefits
The new system makes management decisions a lot easier with data from raw ingredients all the way through counting how quickly boxes fly off the store shelves into customers’ homes. Reports from receiving, product fulfillment, shipping, and invoicing have all improved considerably and the redundancies are finally a thing of the past.
Better Business: Run Simple
We feel like we are in great hands with Softengine and the SAP Business One system they installed. It’s nice to finally put all those unreliable ERP systems and redundant procedures in the rear-view mirror.— Ray Lacorte, VP of Operations
We have barely scratched the surface of what SAP Business One can offer us and we plan to utilize much more of its functionality over time.– Ray Lacorte, VP of Operations