Case Study 1_Givaudan Case Study With Hana Greenfield

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    Givaudan case study with May 29th, 2013

    .

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    © 2013 SAP AG or an SAP affiliate company. All rights reserved.  

    Agenda 

    •  Givaudan in Brief

    •  The Need for Calculation Performance

    •  The Hana Project

    •  Solution Highlights

    •   Achieved Results with SAP

    •  Summary

     

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    Givaudan in Brief

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    Givaudan in brief  

    •  Givaudan is the Leading Company in the Fragrance and Flavour Industry with

    Market Share

    •  Its rich Heritage dates back to 1796, making it the First Company to establish its

    of Tastes and Scents

    •  In serving Customers, Givaudan takes Pride in its distinct Capabilities in Creatio

    and Operational Excellence

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    Broad global presence 

    Sales in 2012: CHF 4,200 Million / EBITDA 20.4% 

    CHF 404 Million Investment in R & D in 2012 

      Over 9000 Employees – best Talent Pool in the Industry 

    81 Locations Worldwide 

    33 Production Sites 

     

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    The Need for Calculation Perform

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    Calculation of Product Compliance – Setting the Scene 

    Each Givaudan Product must comply with… 

      Legal RequirementsE.g. Reach, GHS, IATA...

      F&F Industry Self Regulation and Code of ConductE.g. Flavor labelling & compliance, EU Directives, Dietary… 

      Customer-specific RequirementsE.g. Compliance requirements, specifications, declarations … 

    This is increasingly complex

      Huge Amount of Input Data

      Increasing Number of Regulations

      Frequent Changes to Regulations

      Requirement to comply everywhere and all the Time

    Robust Calculation Capabili

    do Business and deliver Com

      As fast as possible Comp

    during Product CreationSee Use Case 1

      Re-processing of Mass Awhenever a Data Change See Use Case 2

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    Use Case 1 - As fast as possible Fragrance Compliance

    Key highlights

    Each Fragrance contains many raw materials / intermediates 

    Number of items ranges from dozens to a couple hundreds

    Each Compliance Evaluation involves a high number of

    calculation rules running with multiple parameters 

    Typical evaluation involves a couple thousands calculations steps.

    E.g. check amount of each restricted substance, count allergens,aggregate amount of substances from natural origin, etc… 

    End to End Response Time perceived by the User must be

    reduced to the Minimum 

    With the old system, typical response time was measured in minutes

    Givaudan Legacy‘Commercial’

    Systems

    Inter

    Calculatio

    Calculat

    ProductCreation,

    Adaptation or, 

    Selection

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    Use Case 2 – Re-processing of Mass Amounts of Produc

    Key highlights

    Each Data Change propagates through Givaudan Fragrance

    Portfolio (a couple hundred thousands Products) 

    Illustration: Propagation Effect of a

    Product X I

    This can affect several dozens of thousands Products

    Each existing calculated Data must be re-processed to reflect

    the Data Change 

    This can involve several millions calculations steps

    Calculation Propagation

    I

    Calculation Backlog must be reduced to the Minimum 

    With the old system, calculation backlog could reach several weeks

    Calculation Propag

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    The Hana Project

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    The Hana Project – Greenfield Implementation 

    Key highlights

    This is a greenfield implementation. HANA implementation has been completely custom develope

     Beg 2011 – Decision to build a SAP EH&S extension to cover specific Customer and Industry spe

     Mid 2011 – Successful Technical Proof of Concept using SAP’s HANA , supported by SAP PIO(1)

    (1) PIO: Performance and Insight Optimization

     End 2011 – Completion of Design phase, supported by SAP Consultants 

     H1 2012 – Progressive delivery of programs by multidisciplinary SAP Teams (CD (1), EH&S, Hana(1) CD: Custom development  

     H2 2012 – Solution golive in December following the successful Completion of Acceptance, IntegPerformance tests 

     Early 2013 – End of stabilization phase, no major issue to report 

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    Solution Highlights

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    SAP HANAInterface Proxy

    Solution Highlights 

    Integration 

    Givaudan IT Landscape SAP Application ServerKernel 7.20

    EH&S

    ComplianceR

     

    Transaction

    DB

    SAP

    Compliance

    Check Execution

    Legacy

    “Commercial” Systems

    SAP Landscape

    transformation Where Used

         M     i     d     d     l    e    w    a    r    e

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    © 2013 SAP AG or an SAP affiliate company. All rights reserved.  

    Excellent feedback from Business with regards to respo

    and calculation capabilities

      Interactive Calculations are 10x faster than

      Daily mass calculation capacity is 20x bigge

      There is no calculation backlog anymoreHana

    Old Legacy

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    Summary

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    Key Learnings 

    •  Never under estimate Effort for Functional Design Phase and Data Modeling / Mig

    •  Paved the Way for Data Replication between SAP EH&S and Hana: constant Ch

    Coherence between the Systems

    •   Amount of Hana Releases generated during the Project Period

    •  Go-live with 0 Business Disruption, Solution stabilized almost immediately

    •  Excellent Support from Hana, Custom Development and PIO(1) Teams

    •  Many thanks to Custom Development, EHS, PIO(1) Team and SAP Project Manag

    (1) PIO: Performance and Insight Optimization

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    Thank you

    .