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Masstech EMS Sees Immediate Results After Deploying MAPICS

Jun 26, 2003

ATLANTA - June 24, 2003 - MAPICS, Inc. (Nasdaq/NM: MAPX), the largest global provider of extended ERP, CRM and SCM solutions committed exclusively to solving the unique challenges of manufacturers, today announced that Masstech EMS has successfully deployed the MAPICS ERP solution. Within only one month, the contract manufacturer has already seen results in responsiveness and efficiency and has high expectations to achieve aggressive goals such as shorter cycle times, greater inventory turns and improved customer service.

Masstech EMS is located in Woburn, Mass. and is an electronics manufacturing service (EMS) provider. The company produces complex electronic assemblies and systems for leading edge mid-market manufacturers in such industries as medical instrumentation, industrial controls, security and military products. The company specializes in high-mix, low- to medium-volume production, generally dealing with hundreds, and often thousands, of different lower-level part numbers per customer.

"One of the main reasons we selected MAPICS was because we needed a solution, proven in the electronics industry, that would allow us to scale our operations while we continue to focus on continuous improvement of the services we offer our customers," explained Jerry Panos, president and chief executive officer of Masstech EMS. "There are many challenges involved in effectively managing such a diverse mix of various companies' end-products. For example, in our business, a single lower-level part would have three different numbers-the customers', the manufacturers' and ours. However with MAPICS, we have been able to streamline our component part numbering strategy and processes by utilizing a model that enables us to establish a common stock where possible and segregate unique devices. This approach gives us the ability to view individual customers as separate business units, and be highly responsive to their supply demands."

Other factors contributing to Masstech's selection of the MAPICS solution have also resulted in immediate improvements. For example, Masstech was impressed with MAPICS' unique ability to link enterprise functions and maintain critical product and customer information in a single location. Program managers are now able to use these features to respond to customer inquiries in minutes, as opposed to the hours it used to take.

"One of our program managers recently received a call from a customer wanting the status of an order, a materials pipeline request and a new product quote. This list of demands used to require them to hang up, access two different systems and contact a sales rep before calling the customer back later that day, and sometimes it took until the next day," explained Panos. "With MAPICS, the program manager was able to find all of the answers the customer needed almost immediately, while they were still on the phone, because the information was all at her fingertips. I don't know who's happier with this dramatic improvement-us or our customers."

In addition to the results Masstech has already seen, the company has expectations to achieve benefits that will set it apart from the competition. According to Dieter Kaiser, director of manufacturing for Masstech, "With MAPICS in place, we expect to improve cycle times by 25 to 30 percent, which will lead to better on time delivery and reduced overhead costs. We are also planning to increase annual inventory turns from 8 to 12, an aggressive goal for the contract electronics manufacturing industry."

Masstech's next step is the addition of the MAPICS Portal, a collaborative tool that enables the real-time sharing of critical business information via self-service functionality. Masstech will use the Portal to provide its customers with 24 hour a day, 7 day a week access to product and order information, and its suppliers with an easy way to conduct electronic business transactions.

"The results Masstech has already seen since going live on MAPICS are a true indicator of the benefits of a sound implementation process," said Jeff Cashman, chief marketing executive for MAPICS. "Masstech took the time to set goals and properly align its enterprise so that the company could maintain its focus on world-class responsiveness, dependability and flexibility during implementation and beyond. With MAPICS now operational and with plans to add the Portal, Masstech EMS has set the stage for continuous improvements in key business areas and growth in the electronics industry."

About Masstech EMS

Masstech is an award-winning supplier of electronic manufacturing services (EMS). The company is a leader in the high-mix, low-volume segment of the industry and has highly automated manufacturing capabilities, leading edge supply chain services, highly skilled engineering services and world-class program management. The niche company produces complex electronic assemblies and systems for leading edge mid-market manufacturers in such industries as medical instrumentation, industrial controls, security and biometrics products. For more information visit http://www.masstech-ems.com.

About MAPICS

MAPICS is the largest global solutions provider focused exclusively on manufacturing. Building on more than 25 years of industry experience and proven success, MAPICS helps manufacturers be world class by gaining market share, operating at peak efficiency, and exceeding customer expectations. MAPICS solutions include software-extended ERP, CRM, and supply chain management-and professional services. The solutions are implemented on the two industry-leading technology platforms-Microsoft and IBM.

Headquartered in Atlanta, MAPICS has implemented solutions in more than 10,000 customer sites in more than 70 countries. For more information, visit http://www.mapics.com.

MAPICS is a trademark of MAPICS, Inc.

Other brand and product names may be trademarks of their respective owners.

Editor's Note: The correct usage of the MAPICS name is all capitals.

Statements in this press release or otherwise attributable to the Company regarding the Company's business which are not historical fact, including potential benefits from MAPICS products, are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Words such as "achieve," "expect," "planning," "improvements" and similar expressions are intended to identify such forward-looking statements. These forward-looking statements are not guarantees of performance and are inherently subject to risks and uncertainties, none of which can be predicted or anticipated. Many factors could cause the Company's actual results to differ materially from those expressed in the forward-looking statements made by or on behalf of the Company including, without limitation, relationships with our customers and business partners, the effect of fluctuations in the economy, the impact of competitive products and services, the availability of qualified resources, the ability to develop and enhance products, and other risks detailed in the Company's Annual Report on Form 10K and other filings with the SEC. The company undertakes no obligation to revise or publicly update these forward-looking statements, whether as a result of new information or otherwise.

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