Noveon Magnetics - A Force of Nature
In this WSJ interview, the CIO of Noveon Magnetics, discusses how cloud technology enabled them to create a foundation for rapid, and replicable growth. Download the DocumentHow this Texas manufacturer is
creating a foundation for rapid,
replicable growth.
A Force of
Nature
This article was previously published on partners.wsj.com on November 25, 2024. Custom Content from WSJ is a unit of The Wall Street Journal
Advertising Department. The Wall Street Journal news organization was not involved in the creation of this content.
Given their presence in everything from
smartphones and electric vehicles to MRI
machines and refrigerators, rare earth
magnets — powerful magnets made from
specific metallic elements — are attracting
significant attention. Since its founding in 2014,
Noveon Magnetics, a Texas-based manufacturer
and recycler of rare earth magnets, has seen its
operations grow substantially, expanding from
four employees to about 100 today.
Noveon’s success has been fueled by the
construction of a state-of-the-art manufacturing
plant in San Marcos, where it expects to
produce 2,000 tons of magnets annually.
Chief Information Officer Catalina Oana Tudor
recently explained how embracing technology
has been critical to supporting Noveon’s growth,
and why it’s integral for supercharging
future expansion.
creating a foundation for rapid,
replicable growth.
A Force of
Nature
This article was previously published on partners.wsj.com on November 25, 2024. Custom Content from WSJ is a unit of The Wall Street Journal
Advertising Department. The Wall Street Journal news organization was not involved in the creation of this content.
Given their presence in everything from
smartphones and electric vehicles to MRI
machines and refrigerators, rare earth
magnets — powerful magnets made from
specific metallic elements — are attracting
significant attention. Since its founding in 2014,
Noveon Magnetics, a Texas-based manufacturer
and recycler of rare earth magnets, has seen its
operations grow substantially, expanding from
four employees to about 100 today.
Noveon’s success has been fueled by the
construction of a state-of-the-art manufacturing
plant in San Marcos, where it expects to
produce 2,000 tons of magnets annually.
Chief Information Officer Catalina Oana Tudor
recently explained how embracing technology
has been critical to supporting Noveon’s growth,
and why it’s integral for supercharging
future expansion.
Catalina, what challenges has
growth presented, and how is
Noveon navigating them?
Noveon’s goal has always been to build a smart
manufacturing plant. Every new machine installed
on the factory floor and every analytical tool
purchased for our laboratory has to be properly
integrated into the overall network and software
infrastructure. Inevitably, the IT department
has had to expand to support all manufacturing
activities, including maintaining systems, servicing
devices and ensuring network integrity with
no downtime.
We’ve implemented strict procedures to avoid
adopting systems and tools that don’t integrate
well. This has prevented silos and inefficiencies
that can quickly arise as you expand.
Growing from a small team to dozens of people
no longer sitting together in one room has meant
we’ve had to enable real-time collaboration and
maintain team cohesion no matter where people
are physically located. So we’ve invested in
advanced communications platforms and robust
project management tools.
How does Noveon’s highly
specialized and sophisticated
manufacturing process affect
your decisions?
We have a great team of automation engineers and
systems architects who can design and develop
software solutions and connect these solutions
together. But we also have had to choose the
right business systems and off-the-shelf solutions
partners that allow us to integrate our data and
build off their experience and expertise.
As we’ve grown, we’ve had to transition away
from spreadsheets to a system that people could
interact with and that integrates data across the
organization. We’ve needed to bring together
everything from our manufacturing data and
analytics to the financial dimensions of the
business under one umbrella. We’re in the process
of integrating the SAP enterprise resource
planning (ERP) system and expect to have it fully
up and running in 2025.
What was Noveon’s approach to
selecting a cloud ERP platform?
We recognized if we wanted to access the latest
features and technologies, like artificial intelligence,
cloud ERP was the only option. Also, cloud-based
platforms offer the advantage of continuous
integration and deployment while more efficiently
addressing bugs and introducing new features.
Whenever we include a system in the cloud, our
key requirement is that it must provide robust
integration and flexibility so that all our systems
can communicate with each other. We needed
an ERP that could cover the wide range of
business functions that we have, like finance,
supply chain, customer relationship management
and procurement. SAP S/4HANA quickly stood out
from all the other systems we considered because
it’s globally recognized and has a vast network of
partners, consultants and developers, which, for
us, translates to great support resources and third-
party integrations.
A Force of Nature
This article was previously published on partners.wsj.com on November 25, 2024. Custom Content from WSJ is a unit of The Wall Street Journal
Advertising Department. The Wall Street Journal news organization was not involved in the creation of this content.
growth presented, and how is
Noveon navigating them?
Noveon’s goal has always been to build a smart
manufacturing plant. Every new machine installed
on the factory floor and every analytical tool
purchased for our laboratory has to be properly
integrated into the overall network and software
infrastructure. Inevitably, the IT department
has had to expand to support all manufacturing
activities, including maintaining systems, servicing
devices and ensuring network integrity with
no downtime.
We’ve implemented strict procedures to avoid
adopting systems and tools that don’t integrate
well. This has prevented silos and inefficiencies
that can quickly arise as you expand.
Growing from a small team to dozens of people
no longer sitting together in one room has meant
we’ve had to enable real-time collaboration and
maintain team cohesion no matter where people
are physically located. So we’ve invested in
advanced communications platforms and robust
project management tools.
How does Noveon’s highly
specialized and sophisticated
manufacturing process affect
your decisions?
We have a great team of automation engineers and
systems architects who can design and develop
software solutions and connect these solutions
together. But we also have had to choose the
right business systems and off-the-shelf solutions
partners that allow us to integrate our data and
build off their experience and expertise.
As we’ve grown, we’ve had to transition away
from spreadsheets to a system that people could
interact with and that integrates data across the
organization. We’ve needed to bring together
everything from our manufacturing data and
analytics to the financial dimensions of the
business under one umbrella. We’re in the process
of integrating the SAP enterprise resource
planning (ERP) system and expect to have it fully
up and running in 2025.
What was Noveon’s approach to
selecting a cloud ERP platform?
We recognized if we wanted to access the latest
features and technologies, like artificial intelligence,
cloud ERP was the only option. Also, cloud-based
platforms offer the advantage of continuous
integration and deployment while more efficiently
addressing bugs and introducing new features.
Whenever we include a system in the cloud, our
key requirement is that it must provide robust
integration and flexibility so that all our systems
can communicate with each other. We needed
an ERP that could cover the wide range of
business functions that we have, like finance,
supply chain, customer relationship management
and procurement. SAP S/4HANA quickly stood out
from all the other systems we considered because
it’s globally recognized and has a vast network of
partners, consultants and developers, which, for
us, translates to great support resources and third-
party integrations.
A Force of Nature
This article was previously published on partners.wsj.com on November 25, 2024. Custom Content from WSJ is a unit of The Wall Street Journal
Advertising Department. The Wall Street Journal news organization was not involved in the creation of this content.
How would you advise companies
navigating similar growth to
approach technological
investments and process
improvements?
For companies experiencing rapid growth, aligning
technology is critical. Designing and architecting
the right solutions for a rapidly growing company
is like a puzzle — you need to understand all
the available pieces, technologies, systems and
platforms, as well as how to fit them all together.
As you grow, the flexibility and scalability of those
solutions become even more critical. That’s what
allows you to have a foundation that can adapt and
expand as the needs of the business evolve.
It’s crucial to recognize the right time to introduce
a new technology. It can help you tremendously or,
if you introduce it too soon, break your flow and
damage your business. So we’ve focused on timing
the deployment of our ERP and other solutions
for the point at which we truly needed them. It’s
critical, I’d say, to choose the right ERP system for
your business, especially in manufacturing. Once
you understand the problems you’re facing and
you have a clear vision for the right team, partners,
tools and systems, manufacturing becomes easy.
Implemented correctly, an ERP system helps you
be more successful, precise and focused, bringing
data and processes together.
How will your ERP help propel
Noveon’s continued growth?
Our goal is to expand not just in our Texas facility,
but also create similar facilities all over the country
and the world. So if we have things set up correctly
in our first facility, hopefully we can copy and paste
them in the others. SAP fits nicely because it’s a
global solutions provider — so no matter where
you go in the world, you can adapt it.
A Force of Nature
This article was previously published on partners.wsj.com on November 25, 2024. Custom Content from WSJ is a unit of The Wall Street Journal
Advertising Department. The Wall Street Journal news organization was not involved in the creation of this content.
navigating similar growth to
approach technological
investments and process
improvements?
For companies experiencing rapid growth, aligning
technology is critical. Designing and architecting
the right solutions for a rapidly growing company
is like a puzzle — you need to understand all
the available pieces, technologies, systems and
platforms, as well as how to fit them all together.
As you grow, the flexibility and scalability of those
solutions become even more critical. That’s what
allows you to have a foundation that can adapt and
expand as the needs of the business evolve.
It’s crucial to recognize the right time to introduce
a new technology. It can help you tremendously or,
if you introduce it too soon, break your flow and
damage your business. So we’ve focused on timing
the deployment of our ERP and other solutions
for the point at which we truly needed them. It’s
critical, I’d say, to choose the right ERP system for
your business, especially in manufacturing. Once
you understand the problems you’re facing and
you have a clear vision for the right team, partners,
tools and systems, manufacturing becomes easy.
Implemented correctly, an ERP system helps you
be more successful, precise and focused, bringing
data and processes together.
How will your ERP help propel
Noveon’s continued growth?
Our goal is to expand not just in our Texas facility,
but also create similar facilities all over the country
and the world. So if we have things set up correctly
in our first facility, hopefully we can copy and paste
them in the others. SAP fits nicely because it’s a
global solutions provider — so no matter where
you go in the world, you can adapt it.
A Force of Nature
This article was previously published on partners.wsj.com on November 25, 2024. Custom Content from WSJ is a unit of The Wall Street Journal
Advertising Department. The Wall Street Journal news organization was not involved in the creation of this content.