QAD Announces New Global Services Organization

Business Wire, Oct 7, 1998

CARPINTERIA, Calif.--(BUSINESS WIRE)--Oct. 7, 1998--QAD Inc. (Nasdaq:QADI) Wednesday announced the formation of a new Global Services organization to broaden its service offerings, establishing the company as a "total solution provider" to its customers.

Murray Ray has been promoted to QAD vice president of worldwide services to lead the organization.

Rita Foley, QAD EVP, worldwide business operations, stated: "QAD is positioning itself to provide even greater levels of service and support to its customers. Murray Ray has several years of successful services integration experience, most recently with QAD Australia, and is well prepared to make the Global Services organization a powerful part of our business."

The new Global Services organization will include Customer Support Services, Quality Assurance Services, Systems Engineering Services and Learning Services. Having been the first enterprise resource planning (ERP) vendor to receive the Support Center Practices (SCP) certification by ZD Service & Support Consultants, QAD is leveraging its global infrastructure and reputation for strong customer support to now include a full range of customer services.

QAD's reputation for effective global delivery of customer support also helps ensure a high level of customer satisfaction with the new On/Q supply chain solution the company is now introducing to the marketplace.

Building on its success with a Global Systems Engineering (GSE) group formed earlier this year to assist customers by maximizing their system performance, QAD is deploying GSE Services to provide a range of technical services to its customer base. QAD will be leveraging the scope of its delivery by providing technical services both directly and through certified alliance partners.

Philip Solomon, VP of finance for Courtaulds Performance Films (now Akzo Nobel UK plc.), said this about QAD's performance analysis service, "When GSE's recommendations were put into place, we were very pleased to see a four-fold increase in performance."

QAD's Education organization will offer new Global Learning Services, providing a range of educational services to customers and partners on a global basis. Rounding out the new services organization will be Global Assurance Services, offering project management services and the successful Q-Advantage methodology to speed the implementation of QAD products.

According to Systemos Integratos, a QAD alliance partner based in Mexico, "Specialized training and consulting services from QAD's GSE Services have enabled our consultants to deliver more effective service and a higher level of satisfaction to our mutual customers."

Chief Executive Officer Karl F. Lopker stated: "Today's actions leverage QAD resources by directing a pool of QAD talent to a new Global Services organization. This decision was driven by customer demand for direct QAD involvement in the integration of MFG/PRO and On/Q into their enterprises.

"The new service organization will supplement the existing services capabilities of our more than 62 global systems integrators and distributors, and intensifies our focus on our very successful vertical and territory strategy."

About QAD

Founded in 1979, QAD is a leading provider of enterprise resource planning and extended supply chain management software to multinational companies of all sizes, with special focus on the mid-market. Available in 26 languages and able to support multiple currencies, QAD software helps speed business processes for more than 300,000 licensed users at more than 4,000 licensed sites in more than 80 countries.

Ideal for distributed operations, QAD's MFG/PRO software is specifically designed for global manufacturers in the following industries: automotive, consumer products, food and beverage, industrial, electronics and medical. QAD revenues for the fiscal year ended Jan. 31, 1998, totaled $170 million.

For more information about QAD, telephone 805/684-6614 or visit the QAD Web site at http://www.qad.com. To receive any of QAD's news releases via facsimile, call 800/356-0747, or outside the United States, call 213/253-5647.

Note to Investors: This news release contains certain forward-looking statements made under the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. A number of risks and uncertainties could cause actual results to differ materially from those in the forward-looking statements. These risks include involving demand for the company's software products and products that operate with the company's products; the publication of opinions by industry analysts about the company, its products and technology; the entry of new competitors and their technological advances; delays in localizing the company's products for new markets; delays in sales as a result of lengthy sales cycles; changes in operating expenses; pricing; timing of new product releases; the method of product distribution or product mix; and general economic factors. In addition, revenue and earnings in the enterprise resource planning software industry are subject to fluctuations, and the growth rates recently experienced by the company do not necessarily represent future operating results. Investors should not use any one quarter's results as a benchmark for future growth. For a more detailed description of the risk factors associated with the company and the enterprise resource planning industry, refer to the company's Annual Report or Form 10-K for the fiscal year ended Jan. 31, 1998.