State-of-the-art KPI-Reporting with self-service BI tools and more besides: The Hager Group is introducing SAP BW/4HANA and SAP Analytics Cloud
Sectors: Non sector-specific, Manufacturing industry, Construction supplier industry, Steel / Steel Service Center / Metal industry, Electro and electronic industry, Machinery and plant manufacturing, Consumer goods / retail, Automotive supplier industry
Processes: Analytics
References: Hager Group
With SAP BW/4HANA and SAP Analytics Cloud as the frontend tool, the Hager Group is laying the foundationfor state-of-the-art, flexible and optimized reporting of key performance indicators (KPIs). The necessary queriescan now be performed both easily and conveniently in the form of self-service BI, and evaluations are available within an extremely short space of time – with clear visualization and any level of detail. During theimplementation process, Hager relied on ORBIS’s many years of experience with BI projects in the SAP environment.
Implementing SAP BW/4HANA and SAP Analytics Cloud at the Hager Group
In both private homes and industrial and commercial properties, power distribution systems, electric distributors and media distributors ensure that electricity and digital data arrive quickly, safely and exactly where they are needed. The innovative and easy-to-assemble quality products from the Hager Group (based in Blieskastel in Germany’s Saarland region) are used for this very purpose in many construction projects. Examples include installation distributors, switchgear, protective devices, cable routing and room connection systems or ranges of switches and building controls.
Headquarter: Blieskastel
Products: Power distribution via cable routing, intelligent building control and security technology
Locations: 22 production facilities in 10 countries with over 100 sales locations
Employees: over 1,000 (2021)
Website: www.hagergroup.com
The owner-managed group of companies – which has 22 production facilities in ten countries and over 100sales locations worldwide – is a leading provider of solutions for electrotechnical installations in real estate. In2021, it generated sales of €2.6 billion with a workforce of more than 1,000 employees.
Efficient reporting for enhanced effectiveness in business management
If the Hager Group is to strengthen and further expand its position on the market as part of its long-term growthstrategy, above all else it needs to be smart and highly targeted in managing its business activities. To do this, itrequires highly efficient reporting that gives a clear view of current key performance indicators – ideally at anytime, anywhere and on any terminal device, not to mention in a clearly visualized format and in any desired level of detail.
With SAP BW/4HANA as the latest-generation data warehousing solution, in combination with SAP Analytics Cloud as the BI frontend and for self-service BI, the corporate group is now moving a great deal closer to achieving this goal. “The SAP solutions are futureproof, because they are constantly being further developed and offer the state-of-the-art technologies we need to implement modern, optimized and standardized KPI reporting,” commented Adamo Greco (Head of Business Warehousing at the Hager Group).
The new applications replace reporting with SAP Business Warehouse (SAP BW) and Microsoft Excel. SAP BW was primarily used by business users as a data source to create reports locally in Excel. Over the years, this approach had created a “shadow BI” system with a multitude of individual reports, so a large number of queries was required to retrieve data.
Lightbulb moment when evaluating KPIs
SAP BW/4HANA and SAP Analytics Cloud provide many a lightbulb moment – especially in performance- intensive processes such as direct costing, which supplies corporate management with valid decision-making bases. The corresponding KPI evaluations are now available in less than a minute – even for large companies such as Hager Germany or Hager Switzerland.
This offers genuine added value – not to mention the opportunity to now calculate gross margins at customer and group level as well as at material, market and monthly level (as was the case previously). Direct costing has been significantly simplified too, since there is no longer any need to split large units into individual sub-units.
Source Photo: © Hager Group
Self-service BI for querying live data
Many things will become easier for business users too. Business users perform queries on live data obtainedfrom SAP BW/4HANA in SAP Analytics Cloud in the form of self-service BI (i.e. independently of IT) – and it doesn’t matter whether they do so on a desktop computer or on a mobile device such as a smartphone ortablet. But that’s not all. These queries can also be performed at any level of detail, down to document and singleitem level, which is a major plus.
As a result, business users can now link and evaluate KPIs from different divisions (e.g. Quality Management’s KPIs with Shipping’s KPIs) and gain new insights into the business – a completely competitive consideration.Controlling can also use this method to precisely calculate sales with a customer and thus also any bonus payments made to them.
Retrieving KPI evaluations at the touch of a button
Since SAP Analytics Cloud provides KPI reports in a compact, clear and easy-to-understand manner in modern dashboards at the touch of a button, it also eliminates the effort involved in extracting and preparing data created during Excel reporting. This eases the burden on business users, giving them more scope for core tasks such as interpreting the figures. Another advantage is the ability to flexibly navigate and annotate KPI reports.
All of this helps to ensure that the roughly 500 end users – many of whom do not have in-depth knowledge of BW – enjoy working with and are actively using the new BI solutions.
Making the most of the optimized BI content
Hager is also drawing specific benefits from the optimized BI content for SAP BW/4HANA (known as “BIContent Add-Ons”). These add-ons can be used to comprehensively analyze all the core divisions – such asSales, Logistics, Controlling, Finance or Quality Management – in the existing SAP ERP system
For instance, evaluating profit center accounting or managing the inventory of all 22 production facilities or thesales generated by around 60 sales companies is now an absolute breeze. At present, there are twelve BIContent Add-Ons in use, and more are to be implemented one step at a time. SAP ERP data isn’t the only data that SAP BW/4HANA evaluates. It also assesses quotation data from Microsoft Dynamics 365, a CRMapplication. The data is imported into BW over an interface for this very purpose.
Introduction with expertise from ORBIS
ORBIS AG was tasked with implementing SAP BW/4HANA and SAP Analytics Cloud – Hager is also making good use of its planning functions. The Saarbrücken-based IT service provider has extensive BI consulting and process expertise in the SAP environment and has already been responsible for several SAP projects at Hager.
Thanks to the ORBIS experts’ know-how and the trusting cooperative relationship maintained between all the parties involved at all times, implementation (which followed the greenfield approach) was both smooth and quick. The in-depth user training – which was based on the proven coaching approach, provided by the ORBIS consultants and ensured knowledge transfer at an early stage – also made a major contribution to this development.
From SAP BW straight to SAP BW/4HANA
The ORBIS experts also provided the internal project team with advice and support in terms of deciding to switch straight from SAP BW to SAP BW/4HANA. So Hager is benefiting directly from the advantages the current BWsolution offers – with respect to the likes of the lean LSA++ architecture, simple data modelling, efficient datamanagement, extremely short loading times and data access almost in real time.
Adamo Greco summed up the situation positively:
„SAP BW/4HANA and SAP Analytics Cloud make KPI reporting far faster and far more efficient and flexible. Thanks to self-service BI, performing queries is also much easier and more convenient than before.“
Adamo Greco , IT Manager SAP Applications, Hager Group
And the story continues at Hager. The company is planning to provide new reporting areas, and to extend and refine existing ones, while introducing additional BI Content Add-Ons. Adamo Greco and his team are keen toencourage even more business users to use self-service BI too.