S/4 Greenfield Conversion
ERP optimization is an important prerequisite for Frenzelit to secure its competitiveness and drive forward its international expansion strategy. The demanding greenfield implementation according to the standard-first approach was supported by T.Con. The family-owned company Frenzelit develops, produces and distributes innovative and high-quality seals and insulation as well as expansion joints and composite materials. It operates internationally and employs around 750 people at seven locations worldwide. In order to maintain its market position and expand internationally, business processes need to be standardized, digitalized, automated and optimized across all locations.
With S/4 from SAP, which replaces the solution from another provider, the company now maps its value chain in a consistent and integrated manner in a homogeneous IT environment: from the request for quotation to development, production planning and control, intralogistics and invoicing.
With Big Bang
The implementation was carried out according to the greenfield approach and in a big bang, so that the 400 or so SAP users were able to benefit immediately. For example, they complete their tasks in a process-related manner on the easy-to-use UI5 interfaces of the SAP Fiori apps.
"T.Con impressed us with its proven SAP expertise, not only with regard to the implementation of S/4 Hana, but also with its comprehensive process know-how in the area and roll processing industry," says Heinz Jahreiß, Commercial Director at Frenzelit. Above all, however, the chemistry was right from the start - both between the companies and on an interpersonal level.
“Redesigning the software landscape is not an IT project, but a business project.“
Heinz Jahreiß,
Commercial Manager,
Frenzelite
T.Con's Solution Architects played a major role in the success of the project. Thanks to their cross-module SAP expertise, they were able to gain an overall view of the processes and their interaction. After analyzing the existing processes, they developed a concept for the target processes based on preconfigured SAP best practice packages in line with the standard-first approach that Frenzelit followed during the ERP implementation.
The target processes were put to the test once again as part of an optimization phase a few months after the go-live of S/4. Wherever possible, the solution architects made necessary adjustments and improvements to the processes via customizing; individual programming was only carried out in exceptional cases.
The fact that those responsible at Frenzelit had already closely involved the workforce in this transformation project in the run-up to implementation through a change management concept contributed significantly to its success. "When redesigning the software landscape, which affects all departments and business areas, it is not just an IT project, but above all a business project, the success of which stands or falls with the acceptance of the employees," explains Heinz Jahreiß.
The new SAP software, which remains close to the standard, does not support business-critical processes satisfactorily in all respects. This applies in particular to product lifecycle costing (PLC), i.e. the calculation of the total costs for a product from development to the end of production, and financial planning.
S/4 add-on PCL Cockpit
The SAP-based PLC Cockpit add-on from T.Con, which integrates into S/4, closes the gaps in the PLC processes. And an integrated and standardized environment based on SAP Analytics Cloud was set up for fine-grained and KPI-supported financial planning.
S/4 and the PLC cockpit are operated in a private cloud in T.Con's data center. In terms of HR processes, Frenzelit pursues a hybrid model: HR master data is stored and managed in the cloud solution SuccessFactors Employee Central in a legally compliant manner, while time management and payroll accounting are carried out in the on-prem application SAP Human Capital Management.
Heinz Jahreiß draws a positive conclusion: "With S/4 Hana as an integrated ERP suite, we are creating the conditions for the digitalization and automation of processes, but also for driving forward our international expansion strategy in a consistent and targeted manner." The S/4 roll-out is currently being carried out at the US production site in Lexington (North Carolina).
Frenzelit also has its sights set on further process optimization in production. A Manufacturing Execution System is planned that will directly link store floor and ERP processes and enable more efficient control of production processes.
