givaudan case study with hana - sapevent.ch · beg 2011 – decision to build a sap eh&s...

Givaudan case study with Hana Yves Courbot – Givaudan

Marc Fontaine – SAP

May 29th, 2013

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 2

Agenda

• Givaudan in Brief

• The Need for Calculation Performance

• The Hana Project

• Solution Highlights

• Achieved Results with SAP

• Summary

Givaudan in Brief


Givaudan in brief

• Givaudan is the Leading Company in the Fragrance and Flavour Industry with close to 25 %

Market Share

• Its rich Heritage dates back to 1796, making it the First Company to establish itself as a Creator

of Tastes and Scents

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

and Operational Excellence


Signature fragrances

Line extensions

Fine Fragrances 19%

Fabric & personal wash

Hair & skin care

Household & air care

Oral care

Consumer Products 69%

Internal use

Third party sales

Ingredients 12%

Soft drinks, fruit juices &

instant beverages

Beverages 37%

Ready made meals

Snacks, soups & sauces

Meat and poultry

Savoury 35%

Ice cream & yoghurt

Desserts

Yellow fats

Dairy 13%

Baked goods, sugar

confectionery

Chocolate & chewing gum

Confectionery 15%

Flavours - CHF 2,200 million

Fragrances - CHF 2,000 million

Business segments 2012 group sales of CHF 4,2 million


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

The Need for Calculation Performance


Calculation of Product Compliance – Setting the Scene

Each Givaudan Product must comply with…

Legal Requirements E.g. Reach, GHS, IATA...

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

Customer-specific Requirements E.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

As fast as possible Compliance Evaluation

during Product Creation See Use Case 1

Re-processing of Mass Amounts of Products

whenever a Data Change occurs See Use Case 2

Robust Calculation Capability is a Prerequisite to

do Business and deliver Competitive Advantage


Use Case 1 - As fast as possible Fragrance Compliance Evaluation

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

Product

Creation,

Adaptation or,

Selection

Interactive

Calculation Request

Calculation Result

Givaudan’s SAP

Solution consisting

of ECC, SAP EH&S

and HANA

Master Data

Calculation Rules


Key highlights

Each Data Change propagates through Givaudan Fragrance

Portfolio (a couple hundred thousands Products)

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 Backlog must be reduced to the Minimum

With the old system, calculation backlog could reach several weeks

Calculation Propagation

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

Product X

Intermediate

Raw

Raw

Pure

Pure

Pure

Raw

Raw

Intermediate

Pure

Pure

Pure

Raw

Change of Input Data

Calculation Propagation

Illustration: Propagation Effect of a Data Change at the lowest Level

The Hana Project


The Hana Project

Key highlights

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

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

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

(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, Integration and Performance tests

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

Solution Highlights


Solution Highlights

SAP HANA

Calculation results

SAP Application Server

Kernel 7.20

Givaudan IT Landscape

Master Data

Integration

Compliance Calculation

Legacy

“Commercial”

Systems

Mid

dle

wa

re

EH&S

Compliance

Transaction

DB

SAP Landscape

transformation

Compliance

Calculation Parameters

Substances

Compositions

Check

Results

Compositions Where Used

Check Execution R

R

SAP HANA Interface Proxy

Achieved results with SAP


Excellent feedback from Business with regards to response time

and calculation capabilities

Interactive Calculations are 10x faster than before

Daily mass calculation capacity is 20x bigger than before

There is no calculation backlog anymore Hana

Old Legacy

http://www.google.com/url?sa=i&rct=j&q=drapeau+%C3%A0+damier+noir+course&source=images&cd=&cad=rja&docid=1-DKU4w44HZw_M&tbnid=PbO5dDwz7edUEM:&ved=0CAUQjRw&url=http://fr.freepik.com/psd-gratuitement/drapeaux-a-damier-psd-icone_567689.htm&ei=1c8HUd-cGs7Vsgavj4HADg&bvm=bv.41524429,d.Yms&psig=AFQjCNE0JbGugBhRGu8Ytuf5Rfdt7L-qFA&ust=1359552853971328

Summary


Key Learnings

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

• We paved the Way for Data Replication between SAP EH&S and Hana: constant Checks of the

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 Manager

(1) PIO: Performance and Insight Optimization

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

Thank you

Contact information:

Yves Courbot Compliance & EHS Portfolio Manager - IT Demand

GIVAUDAN

[email protected]

Contact information:

Marc Fontaine Senior Project Manager

SAP

[email protected]

givaudan case study with hana - sapevent.ch · beg 2011 – decision to build a sap eh&s...

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