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Beacon Application Services and PeopleSoft:
An eBusiness Success Story

Orbitz Takes Off With PeopleSoft 8
In December 2000 while in the process of fully launching orbitz.com, Orbitz looked to Beacon Application Services for the rapid deployment of PeopleSoft 8 Financials, including General Ledger, Payables, Receivables and Asset Management. All applications went live in three months, with the processing of the first live check run for Payables at the close of the month in January.

PeopleSoft Products Implemented:
               
 PeopleSoft 8 Financials
            General Ledger
            Payables
            Receivables
            Asset Management
               

The Customer
The Internet economy is here and so is Orbitz. Orbitz is the Chicago-based Internet travel services company that created www.orbitz.com, the full-service Internet travel agency that offers the most low-cost airfares and flight options on the Internet, including the biggest collection of discounted web-only fares anywhere. Founded by the world’s leading airlines, Orbitz has a 60-employee team of travel, technology, consumer products and communications experts working to create an Internet travel site that meets consumers’ desire for more fare, flight and travel information to make "Visiting Planet Earth" fun and easy.

Designed with the traveler in mind, Orbitz brings you the latest in fare-finding technology, scanning more than two billion possibilities in seconds with its advanced search engine. With Orbitz.com, you can be sure that you're getting the most comprehensive list of available airfares from over 450 airlines, plus access to great values on rental cars, hotel rooms and moreæmaking your travel planning experience easier and more affordable.

 

The Challenge
Orbitz fully launched its web site and began conducting complete business operations in June 2001. During the year 2000, Orbitz was busy establishing its strategy, hiring people, developing its marketing message, planning its web site, and otherwise getting ready to launch the business. Establishing back office systems that would support the business was one of the many activities that Orbitz was planning late in the year 2000.

Orbitz chose PeopleSoft’s ERP solution for its premier functionality, scalability, and technology. The PeopleSoft Internet Architecture would provide for full and easy integration with the front office operational systems, establishing a systems infrastructure that would be truly based on the Internet. The applications licensed included General Ledger, Payables, Receivables and Asset Management. The challenge involved not only implementing back office systems to support the launch of full business operations, but also establishing accounting policies and procedures for a start-up company based on best practices available.

 

The PeopleSoft – Beacon Solution
Orbitz needed a system that would meet their current requirements and create an infrastructure for their future, and needed it done quickly. They required not only PeopleSoft systems experience and expertise, but also access to best practices so that the Orbitz management team could focus their attention where it was most neededælaunching the business.

Orbitz turned to Beacon Application Services Corporation to help them establish the PeopleSoft Internet Architecture, design the ERP solution, implement the PeopleSoft applications, and derive maximum benefit from their PeopleSoft investment. With a small team of experienced people, Beacon provided an approach that balanced the best aspects of a rapid implementation with a comprehensive, forward-looking design process so that Orbitz could accomplish the objective of quickly implementing a fully scalable solution.

 

“Beacon’s experienced consultants provided sound creative solutions to a new company starting operations and planning for growth, said Jeff Lisendahl, controller of Orbitz. They were responsive and supportive throughout the process. Beacon and PeopleSoft was the right choice for Orbitz.”

Beacon began the project on November 27, 2000æsuggesting a rapid implementation approach and working with Orbitz management to pursue a live date of January 2001. This strategy also gave the Orbitz accounting staff time to learn how to use the new systems so that they could support the launch of full business operations in June 2001.

 

Beacon installed the software and established the technical infrastructure while providing the functional expertise needed to implement the systems in the agreed upon timeframe. Orbitz was processing Payables vouchers and cutting checks in January 2001, and all other PeopleSoft 8 applications were used to close the month of January on time in a production mode. Beacon was able to begin the transition of all responsibilities to Orbitz during the month of January, including training Orbitz personnel, and retained one consultant on-site to provide production support through the end of February 2001.

 

Benefits
Orbitz is an Internet company. Its interaction with customers, operational systems, and back office systems all rely on Internet architecture. The Beacon/Orbitz/PeopleSoft solution provides scalability and infrastructure not only for those systems implemented, but also for additional systems that might be required to support future growth of the business.

 

Beacon worked with Orbitz management to design a Chart of Accounts structure that will support current and future transaction processing and reporting requirements. Accounting policies and practices were designed and implemented based on knowledgeable consultants sharing industry best practices. The systems are structured such that Orbitz is able to effectively use them now, and for the foreseeable future. All of this was accomplished in a timely, cost effective manner. Orbitz was totally self-sufficient in their use of all PeopleSoft 8 applications within three to four months of starting the project.

 

How Beacon Added Value
Beacon leveraged their technical and functional knowledge of web technology, PeopleSoft, systems implementation, project management, consulting, accounting applications and best practices to create a system that meets the needs of a start-up company planning for rapid and significant growth. With Beacon building the systems, Orbitz was free to focus on building the business.

 

  

     

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