Bosch Packaging Technology: SAP Landscape Transformation Helps Harmonize Financials and Controlling

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Bosch Packaging Technology: SAP Landscape Transformation Helps Harmonize Financials and Controlling
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
Bosch Packaging Technology: SAP Landscape Transformation Helps Harmonize Financials and Controlling
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.
Bosch Packaging Technology: SAP Landscape Transformation Helps Harmonize Financials and Controlling
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)

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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.”

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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

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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.

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