At ATG Consulting we specialize in transformative solutions that elevate financial operations to new heights. This business case highlights our successful Finance Transformation project for a leading manufacturer of equipment within the packaging industry, focusing on its extensive operations across the EMEA region.
The Challenge
Faced with fragmented finance operations across 12 production sites and managing a substantial turnover of around 500 MEUR, the organization operated under multiple ERP systems. This complexity led to inefficiencies, delayed financial closures, and challenges in aligning with industry norms and standards.
Objectives
Our mission was clear: to establish a unified Target Operating Model (TOM) that standardized procedures across the organization. This strategic initiative also involved setting a roadmap for a Shared Services Centre (SSC) to efficiently manage high-volume, low-value transactions such as Travel & Expenses (T&E), Accounts Payable (AP), Accounts Receivable (AR), and Treasury functions.
Approach
- Comprehensive Process Assessment:
- We began with an exhaustive evaluation of the existing processes through As-Is process mapping and RACI analysis, laying a solid foundation for transformation.
- Target Operating Model Development:
- A comprehensive TOM was crafted, focusing on end-to-end accounting and controlling processes and establishing a matrix organization within the finance team for greater accountability and streamlined operations.
- ERP Integration and Automation:
- Collaborating with SAP developers, we seamlessly integrated the TOM into the ERP systems. This integration involved defining key dimensions to automate report generation, enabling precise performance metrics and analytics for better decision-making.
Implementation
- Detailed Process Documentation: Captured and documented current processes meticulously.
- Design and Mapping of TOM: Developed a new TOM emphasizing effectiveness and efficiency.
- ERP System Deployment: Successfully implemented SAP S/4HANA as the centralized ERP system underpinned by the new TOM.
Results
Over the span of two years, the EMEA region witnessed the establishment of a robust finance matrix organization. This transformation significantly enhanced operational efficiency and business performance, with the TOM serving as a blueprint for other regions within the Group.
Conclusion
The initial phase of adaptation presented challenges, yet the team swiftly embraced the transition, leading to effective collaboration with other departments. This Finance Transformation project not only improved immediate operational efficiency but also laid the groundwork for sustainable growth and performance across the organization.
