Merlin Business Software from Aptean Case Study: IG Group UK
Delivering Excellence Through Smart Innovation
Industry
Hospitality, Catering, and Contract Cleaning Supplies
Challenges
» System knowledge siloed to IT
» Technology options restricted by legacy systems
» Business growth limited by system scalability
Benefits
» 30% operational efficiency improvement
» £8M+ growth in annual turnover
» 98.4% order accuracy
IG Group is a company built on family values paired with a relentless focus on service. For over 40 years, this UK-based business has supplied essential non-food consumables to the hospitality, catering, and care home sectors. The company’s extensive product catalogue includes everything from napkins to janitorial supplies—40,000 SKUs actively stocked to meet diverse customer needs.
Founded in the 1970s and headquartered in Peterlee, East Durham, in the North of England, IG Group proudly operates three warehouses and employs over 140 staff. With a turnover now exceeding £38 million, the company continues to thrive by providing exceptional value and unmatched service to its customers.
Their client list ranges from small cafés to hospitality giants like Whitbread’s Premier Inn. Yet, their mission remains steadfast: deliver what customers need, precisely when they need it. The team’s family-oriented ethos and emphasis on service drive everything they do.
“One van driver was not keen to have a smartphone at all. We said you’d be able to have all your orders on there and the customer could sign on the screen. He got his smartphone and within a week he was a convert.”
Grahame Barwick, Technical Services Director, IG Group
From Legacy Lock-In to Limitless Potential
By 2012, IG Group’s growth trajectory faced a series of challenges that threatened their ability to scale and grow. The existing IT system had been in place for 25 years, with its inner workings understood almost exclusively by the Technical Services Director, Grahame Barwick. This presented a major business risk. If Grahame were unavailable, even minor system issues had the potential to become operational disruptions. As Grahame candidly noted, “When you’re on holiday, you’re trying to take your sons to the zoo and having to log on to a system to sort out any issues before doing it—it wasn’t good for my personal life.” This reliance not only strained Grahame but also left the business vulnerable to potential knowledge gaps in his absence.
As business needs advanced, IG Group’s legacy system fell short in supporting digital workflows. The team recognised the growing importance of mobile tools and e-commerce but faced a critical hurdle—their software simply wasn’t built to handle it. Without mobile technology for tasks like real-time order tracking or inventory updates on the go, their ability to grow and adapt to modern demands was limited.
Warehouse processes were labour-intensive and relied heavily on manual pick lists. This not only slowed down order fulfilment but also increased the likelihood of errors. The lack of mobility for staff further compounded these inefficiencies, with workers frequently tethered to desks or running back and forth unnecessarily. As the volume of orders increased, this outdated approach was becoming untenable.
IG Group’s entry into the e-commerce market was stifled by the system’s inability to connect with modern platforms. Customers increasingly expected digital solutions, from placing orders online to receiving automated updates. The company needed an ERP system capable of handling these expectations while streamlining back-end operations to meet the growing demand for speed and convenience.
Each of these challenges highlighted the pressing need for a scalable, future-proof solution—one that could transform their operational foundation and empower them to innovate.
Merlin: The Catalyst for Change
IG Group found the solution in Merlin Business Software, a purpose-built ERP system designed to address the very challenges they faced. The decision to partner with Merlin was rooted in its ability to deliver scalability, adaptability, and efficiency—qualities the business desperately needed to unlock its growth potential.
One of the main reasons IG Group chose Merlin was the promise of reduced dependency on individual expertise. The legacy system’s reliance on Grahame’s knowledge was a critical vulnerability. With Merlin, processes were systematised and accessible, ensuring continuity even in his absence. This shift eliminated the risk of operational bottlenecks tied to a single person’s availability.
Merlin’s ability to support digital and mobile operations was another key factor. The team recognised the system’s potential to transform their workflows, enabling real-time order tracking and seamless inventory management. These capabilities aligned with IG Group’s vision for a future driven by mobility and efficiency.
For warehouse operations, Merlin offered a practical solution to replace manual pick lists with Handheld Terminals (HHTs). This upgrade streamlined picking processes, reduced errors, and improved productivity. The routing module further optimised operations by grouping orders logically, ensuring faster fulfilment and minimising unnecessary movement in the warehouse.
In addition, Merlin’s flexibility to integrate with modern platforms made it the ideal partner for IG Group’s e-commerce ambitions. The system’s EDI module facilitated seamless communication with large clients like Premier Inn, automating orders and invoice management. By reducing manual entry, IG Group not only saved time but also enhanced accuracy and customer satisfaction.
Implementation began in 2012, timed with the London Olympics, and the rollout was as intense as a relay race. It took two years of preparation and customisations before IG Group was ready to go live, ensuring the new system met their unique needs.
Initially, IG Group adopted Merlin’s core modules, including handheld terminals and custom rebate systems. Over time, they added EDI modules for electronic order processing, routing modules to enhance warehouse operations, and smartphone-enabled POD signature capture to modernise their delivery workflows. These incremental upgrades allowed the company to gradually build a system tailored to their evolving needs.
Today, Merlin serves as the operational backbone of IG Group. The system supports over 500 automated reports and tasks, enabling real-time monitoring and data-driven decision-making. Warehouse performance metrics, such as picker efficiency and order accuracy, are displayed on digital dashboards, fostering transparency and motivation among staff.
By addressing their key challenges head-on, Merlin has positioned IG Group for continued growth and innovation, equipping them with the tools needed to meet modern demands.
Efficiency, Accuracy, and Unmatched Growth
The partnership with Merlin has propelled IG Group to remarkable success, delivering transformative results that span financial growth, operational efficiency, and customer satisfaction.
Since implementing Merlin, IG Group has seen their turnover skyrocket from £14 million to £38 million—a growth of over 171%. This financial leap reflects not only the company’s ability to handle increased order volumes but also its improved cost management. The introduction of automated workflows and streamlined operations played a pivotal role in achieving this milestone.
Operational efficiency has improved by a staggering 30%. Key upgrades, such as the adoption of Handheld Terminals and the routing module, have revolutionised how orders are processed and fulfilled. Warehouse staff can now pick multiple orders simultaneously with greater accuracy, significantly reducing the time spent on each task. This efficiency gain has enabled the company to maintain a lean workforce, reducing headcount from 168 to 140 employees while scaling their business output.
“Operational efficiency has improved by a staggering 30%”
Accuracy is another standout achievement. With perpetual inventory tracking and enhanced picking systems, IG Group has reached an order accuracy rate of 98.4%. This level of precision minimises errors, reduces waste, and enhances customer trust. Customer service support tickets have dropped to just one or two per week, a testament to the reliability of Merlin-powered operations.
Speed has become a defining feature of IG Group’s service. Orders placed today are often dispatched the same night and arrive at customer locations by the next morning—even during peak periods like Christmas. The integration of routing modules ensures that deliveries are optimised for speed and efficiency, meeting the high expectations of clients like Premier Inn and independent cafés alike.
During the COVID-19 pandemic, Merlin proved to be an invaluable partner. As demand patterns shifted unpredictably, IG Group leveraged real-time data and automated processes to adapt swiftly. Post-pandemic, these same tools enabled the company to implement further enhancements, including smartphone-enabled delivery solutions and EDI integrations that reduced manual intervention.
Looking back, Grahame Barwick reflects on the journey: “The system has grown and been modified to suit our changes and needs because we’ve changed as an organisation. And the fact it can do that is a major benefit. Otherwise, we would have probably long since changed the system.” The results speak for themselves, showcasing a business that has transformed its challenges into lasting competitive advantages.
Innovation, Sustainability, and Strategic Expansion
As IG Group charts its course forward, the partnership with Merlin remains integral to their strategy—a trusted ally in their continuous evolution. Recently, IG Group undertook a new venture by acquiring Crosby’s Catering Supplies, a smaller competitor. To support this expansion, they implemented Merlin’s Trade Counter module, which has already streamlined operations at the newly integrated business.
The company is also exploring the potential of Merlin’s online banking integration. This feature could enhance financial workflows by automating routine transactions, freeing up valuable time for strategic decision-making.
Sustainability is another key focus for IG Group. With their exclusive Green Planet range, they are championing environmentally friendly products that meet recycling, compostable, and biodegradable criteria. This aligns with growing industry demand for sustainable solutions and positions IG Group as a forward-thinking leader in their market.
Technology innovation continues to be a driving force for IG Group. Grahame highlighted the importance of adapting to industry trends and the latest innovations: “It’s all driven by what you guys come up with next. If it aligns with our vision, we’re on board.” This proactive approach has led them to prioritise solutions that streamline e-commerce operations, enhance warehouse automation, and improve customer service efficiency.
“We can process orders much more efficiently in the warehouse now, with much fewer people on the warehouse floor.”
Grahame Barwick, Technical Services Director, IG Group
IG Group is advancing its data analytics capabilities by leveraging their in-house expertise to enhance the reporting available as standard within Merlin. As Grahame explains, “We have developed our own vast library of reports with our in-house knowledge and capabilities of the Merlin database behind the scenes.” This strong foundation has allowed seamless integration with advanced tools for inventory planning and data analysis. These innovations are driving significant improvements in demand forecasting and inventory management— optimizing stock levels, reducing waste, and delivering measurable benefits for both the environment and the bottom line.
Looking ahead, IG Group’s growth trajectory remains promising. With Merlin’s continued support, they are poised to expand their market presence, enhance operational efficiencies, and lead their industry in both service and sustainability. Whether it’s new module integrations or innovative product developments, IG Group and Merlin are ready to tackle the challenges of tomorrow—together.
Growth Through Partnership
For IG Group, the partnership with Merlin has been about more than just technology—it’s been about shared values and mutual goals. Merlin’s approach to customer relationships mirrors IG Group’s own ethos of family values and personalised service. This alignment has fostered a deep level of trust that has grown stronger over the years.
One of the standout aspects of Merlin’s service is their adaptability. Grahame shared how bespoke changes tailored to IG Group’s needs have allowed the system to evolve alongside their business “Merlin’s always willing to listen. We can have bespoke changes that suit our business. That for us is a big a big selling point.”
Merlin’s modular design has also been a key advantage for IG Group. By adopting features incrementally, the company has managed seamless transitions with minimal disruptions. Grahame’s advice to prospective users— “Don’t go into it and do everything all at once. Take it in stages”—highlights the practicality of this approach.
The peace of mind that comes with this partnership cannot be overstated. Grahame shared how Merlin’s reliability has transformed his work-life balance enabling him to go on holiday without worrying about system. This newfound peace of mind underscores the strength of the partnership.
“Merlin’s always willing to listen have bespoke changes that suit our business. That for us is a big a big selling point.”
“I’ve been a reference site, and we’ve had many potential clients of Merlin come in and be shown round and I’d like to think that not one of them hasn’t left impressed and pleased with what they saw, and quite a few of them have since become customers.”
For businesses considering Merlin, the benefits are clear: a scalable, adaptable solution supported by a team that genuinely cares. Grahame explained, “I’ve been a reference site, and we’ve had many potential clients of Merlin come in and be shown round and I’d like to think that not one of them hasn’t left impressed and pleased with what they saw, and quite a few of them have since become customers.”
As IG Group continues to expand and innovate, the partnership with Merlin stands as a cornerstone of their success. Together, they have turned challenges into opportunities, proving that the right tools and the right team can make all the difference. With an eye on the future, this collaboration is set to achieve even greater heights, driven by shared vision, mutual respect, and unwavering commitment to excellence.
The growth IG Group has achieved over the years is nothing short of remarkable. From their early days as a family-owned business to becoming a market leader with over £38 million in turnover, their journey is a testament to resilience, innovation, and strategic partnerships. Their ability to adapt and embrace change— backed by Merlin’s robust and flexible solutions—has transformed them into a powerhouse in their industry.
Looking back at where they started, IG Group’s trajectory is an inspiring example of what can be achieved with the right mix of determination, technology, and trusted collaborators. As they continue to evolve, they not only celebrate their past achievements but also set their sights on an even brighter future. Their partnership with Merlin is not just about systems and processes; it’s about shared goals and a vision to keep pushing boundaries. Together, they have proven that growth is more than just numbers—it’s about creating lasting impact and staying ahead of the curve.
About Aptean
Aptean is one of the world’s leading providers of purpose-built, industry-specific software that helps manufacturers and distributors effectively run and grow their businesses. With both cloud and on-premise deployment options, Aptean’s products, services and unmatched expertise help businesses of all sizes to be Ready for What’s Next, Now®. Aptean is headquartered in Alpharetta, Georgia and has offices in North America, Europe and Asia-Pacific.
To learn more about Aptean and the markets we serve, visit www.aptean.com.
