Bosch Packaging Technology: SAP Landscape Transformation Helps Harmonize Financials and Controlling
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SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology © 2013 SAP AG or an SAP affiliate company. All rights reserved. Picture Credit | Bosch Packaging Technology, Germany. Used with permission. Bosch Packaging Technology: SAP® Landscape Transformation Helps Harmonize Financials and Controlling Partner
SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology Executive overview Company Bosch Packaging Technology Company Industry Industrial machinery and components – machinery and Vision equipment Why SAP Products and Services Development and production of packaging solutions for pharmaceuticals, food, and confectionery industries Solution Web Site Benefits www.boschpackaging.com SAP® Solutions Future plans Services from the System Landscape Optimization group, SAP® Landscape Transformation software Partner BearingPoint GmbH (www.bearingpoint.com) As a part of its strategic decision to clearly structure and harmonize the company’s system landscape, Bosch Packaging Technology decided to fully align and standardize the company’s financial and controlling processes. The project included the conversion of charts of accounts, profit centers, and functional areas, as well as the renaming of user IDs. The System Landscape Optimization group from SAP performed the entire conversion, using SAP® Landscape Transformation software. 2/9 © 2013 SAP AG or an SAP affiliate company. All rights reserved.
SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology Executive overview Bosch Packaging Technology – “packaged Company as promised” Vision Bosch Packaging Technology (Bosch Packaging) – The Bosch Packaging slogan – “packaged as prom- headquartered in Waiblingen, Germany – is one of ised” – is part of the long tradition that represents Why SAP the leading suppliers in the field of process and packag- Bosch Packaging’s core competencies: technologi- ing technology. Established in 1974, Bosch Packaging cal leadership, modernism, quality, reliability, and Solution is a division of Robert Bosch GmbH and employs customer orientation. 5,000 associates. Benefits The company plans, designs, manufactures, and installs packaging lines for manufacturers of pharmaceutical, Future plans confectionery, food, and other products. It also provides a broad palette of services and solutions – offering filling, process, and packaging technology for the phar- maceutical and confectionery industry segments. In addition, it provides packaging solutions for piece and bulk goods in the food industry segments, as well as solutions for health and personal care products. Bosch 30 Packaging operates a global service and sales net- work with 30 branches in more than 15 countries world- wide. Around the globe, Bosch Packaging maintains production facilities in Europe, the United States, South Branches in over 15 America, and the Asia-Pacific region. countries worldwide 3/9 © 2013 SAP AG or an SAP affiliate company. All rights reserved.
SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology Executive overview Business operations based on a Company standardized system landscape Vision Bosch Packaging has a strategic plan to maintain the Another objective of Bosch Packaging was to support power of its innovation and achieve profitable growth. business development in preparing the company for Why SAP The plan – “Vision 2020” – is based on a fundamental future transformation efforts and, at the same time, to orientation to clearly structure and fully harmonize the stay fully in line with the regulations of the International Solution company’s system landscape and processes, as well Financial Reporting Standards (IFRS). For this purpose, as its customer- and partner-related data. the subsidiary companies needed to switch from local charts of accounts to the single corporate chart of Benefits Part of Bosch Packaging’s far-reaching plan included accounts at Bosch. In addition, Bosch Packaging opted the Bosch chart of accounts (BCA) conversion. The for the introduction of parallel accounting on the basis Future plans major focus of the conversion project was the full align- of IFRS, which required the implementation of IFRS ment and standardization of the company’s financial requirements across the whole Bosch Packaging busi- system. Frank Streichert, Vice President Information ness. Using SAP Landscape Transformation software Coordination and Organization, highlights the overall as a basis, the combined team of experts from Bosch importance: “The BCA conversion project was not Packaging, BearingPoint, and the System Landscape only extremely complex but also strategically of high Optimization group from SAP was able to tackle all the value, meeting internal and external accounting above-mentioned objectives within a single harmoni- standardization requirements.” zation project. 4/9 © 2013 SAP AG or an SAP affiliate company. All rights reserved.
SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology Executive overview Engaging experts from the System Company Landscape Optimization group Vision Throughout an extensive project-scoping phase, Bosch Bosch Packaging was confident that the high-quality Packaging carefully evaluated different options for SAP Landscape Transformation software platform and Why SAP meeting the intended objectives. It could then select the SAP expert services would once again support the the best vendor to help realize the demanding transfor- company’s major key decision drivers – data consis- Solution mation scenario. The company chose SAP as a trusted tency and security – while helping to ensure an efficient advisor, based on past experience. SAP experts had and reliable execution. already contributed to a successful project whose Benefits goal was to introduce IFRS while focusing on creating SAP Landscape Transformation software is designed a single common Bosch chart of accounts for some to help accelerate business and IT transformation and Future plans business units in the Bosch group of companies. better plan, analyze, sequence, and realize customer- specific business scenarios. This design made the soft- ware ideal for handling Bosch’s large data volume and minimizing system downtime. “Based on the positive experience of using the technologies and services of the System Landscape Optimization group in previous projects at Bosch, such as for customizing, harmonization, and IFRS implementation, SAP was short-listed for the BCA project.” Albrecht Werner, Senior IT Consultant for Accounting, Bosch Corporate Sector Information Systems and Services (CI) 5/9 © 2013 SAP AG or an SAP affiliate company. All rights reserved.
SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology Executive overview Mastering complex harmonization Company requirements Vision The team successfully conducted the conceptual design Throughout quality testing, the creation of mapping and planning phase for the entire harmonization proj- tables became the essential building block for the Why SAP ect and paved the way for the overall transformation upcoming conversion of the productive system. Bosch efforts. The project scope consisted of harmonizing Packaging’s preferred partner, BearingPoint GmbH, Solution and renaming the operational chart of accounts and worked hand in hand on-site in Waiblingen with the restructuring all general ledger accounts and cost ele- dedicated local project team at Bosch Packaging. A ments. Furthermore, it was decided to rename and specialist from the System Landscape Optimization Benefits merge profit centers and functional areas, as well as group provided remote support. Since team mem- to realize the renaming of about 400 Bosch Packaging bers were all located in different countries and time Future plans user IDs, based on Bosch’s global user ID guidelines. zones, most project-related tasks were handled as part of a virtual operation. Regular in-depth commu- Over the following eight months of the realization phase, nication sessions helped to foster a strong team spirit the team conducted three test cycles. The team dedi- and extensive cooperation. cated each test iteration to specific performance-related issues and incorporated technical testing, integration Holger Unzeitig, Project Manager at Bosch Packaging, testing, and user acceptance testing. praises the project: ”The expert team, operating in an international project environment, mastered this com- plex harmonization initiative with great competence, despite a challenging timeline.” Continue to next page 6/9 © 2013 SAP AG or an SAP affiliate company. All rights reserved.
SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology Executive overview Consistent and secure data handling Company Vision The BCA conversion project covered 13 sites and several runtime measurement and performance involved 4 SAP system “clients” that were distributed improvements, the team cut the initial 80-hour window throughout 2 time zones in Germany, Switzerland, and to less than 20 hours. As a result, users could log on Why SAP the United States. The conversion of the productive the system almost 12 hours earlier than anticipated. system included the reading of about 2.5 billion data Solution records and the conversion of about 1.2 billion data “Based on a very detailed cutover plan and an effi- records in the 1.7 terabyte database. One project high- cient handover between all parties involved, it was light was the renaming and merging of more than possible to release the SAP system for business use Benefits 12,500 data items during the chart of accounts con- earlier than planned and the contingency plan was version. In addition, a major project objective was to never required,” says Holger Unzeitig. “Moreover, the Future plans execute all conversions in relevant clients – within a project phases and going live were accompanied by single downtime. our financial auditor, who confirmed that the trans- formation fully met the requirements.” The company’s The tight timeline for the going-live weekend put board members were happy that the first month-end pressure on each member of the team. However, closing of all affected Bosch Packaging sites met the the scheduled weekend, together with a contiguous auditors’ quality standards. “This proves that an excel- public holiday, offered an extended window of three lent job was performed by all project members,” says days for system clients located in Europe. By making Sven Beck, Head of Finance at Bosch Packaging. “One of the essential challenges was to keep the downtime during cutover to a minimum. By taking appropriate measures, it was possible to reduce the technical conversion time by more than 75%.” Frank Streichert, Vice President Information Coordination and Organization, Bosch Packaging 7/9 © 2013 SAP AG or an SAP affiliate company. All rights reserved.
SAP Customer Success Story | Industrial Machinery and Components | Bosch Packaging Technology Executive overview Unified and efficient corporate Company management Vision After the system went live smoothly over the scheduled from the introduction of an efficient and centralized weekend, Bosch Packaging employees were immedi- organizational setup. Why SAP ately able to pursue business activities and continue their daily work. Frank Streichert says: “The BCA proj- Key users in the financials and controlling areas Solution ect was implemented very successfully in terms of immediately saw two main benefits. The users now budget and time. The standardization achievements have the advantage of centralized download function- can be seen as the basis for the consolidation of indi- ality for currency rates. Also, the unification of profit Benefits vidual divisions.” centers, cost centers, cost elements, and functional areas now offers the users simplified global reporting Future plans As a result of this successful conversion project, processes. Bosch Packaging now profits from several advantages. The company has streamlined its internal processes This demanding project was accomplished within and can offer more transparent financial and control- budget and on time, and it met all of Bosch Packaging’s ling operations. In addition, corporate managers profit requirements. “Thanks to the successful implementation of the Bosch group– specific elements within our business division, we have taken a great step toward reaching the target of standardized structures and processes within financials at Bosch Packaging.” Sven Beck, Head of Finance, Bosch Packaging 8/9 © 2013 SAP AG or an SAP affiliate company. All rights reserved.
Bosch Packaging Technology Executive overview Taking steps to support Company Vision Bosch’s vision Why SAP Bosch’s vision for the future is to establish a Bosch Packaging–wide template and to eventually migrate Solution all individual SAP and non-SAP software systems into the single newly established SAP software system. Benefits Currently, a dedicated template-development team is planning and structuring the scheduled business pro- Future plans cess optimization. According to the blueprint, the first Bosch Packaging sites will be migrated into the new SAP template by 2015. In addition, more data harmo- Picture Credit | Bosch Packaging Technology, Germany. Used with permission. nization and standardization projects will be conducted over the next few years to integrate newly acquired companies into the existing Bosch Packaging system environment. “Bosch Packaging is confident that the System Landscape Optimization group, as a preferred partner, will once again help our company to tackle future transformation projects,” says Holger Unzeitig. CMP27683 (13/10) © 2013 SAP AG or an SAP affiliate company. All rights reserved. 9/9
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