NorthWestern Energy Powers Digital Transformation with SAP S/4HANA®

At a glance

The Challenge

By converting its existing SAP R/3 system PJA to SAP S/4HANA, Jenoptik aimed to harmonize processes, master data and reporting. The goal of the project was to provide optimal support for the global business and facilitate future leaps in innovation.

The R/3 system, which had grown over the years and contained 30 plants, 40 company codes, and around 20 sales and 10 purchasing organizations, needed to be completely migrated and then archived. Among other things, this involved a plant split and merge within a company code across all applications and including the full history.

To implement the organizational changes and planned innovations as quickly as possible, the first step was to securely switch to an SAP S/4 system with the most important functions. This is to be followed by an innovation phase in which further useful S/4 functions will be introduced.

The Benefits

• One-step approach to achieve rapid and cost-efficient project implementation
• State-of-the-art SAP S/4HANA technology enables a higher-performing ERP system and reliable planning for future technology investments
• Greater efficiency, variability, and flexibility
• Smooth business continuity due to very short downtime

The Solution

SNP worked with NorthWestern Energy and other partners to design, plan, and execute a successful migration strategy. The core project involved upgrading SAP ERP to SAP S/4HANA. The move to S/4HANA provides NorthWestern Energy with a faster, higher- performing ERP system that reduces “technical debt”, eases user adoption through the new Fiori UI, and allows the implementation of future SAP innovations and support.The entire legacy ERP portfolio was transformed by this upgrade.

Traditionally it takes companies about two years to upgrade their SAP ECC system. Using IBM’s Rapid Move powered by SNP’s one-step BLUEFIELDTM approach, NorthWestern Energy was able to complete the S/4 migration in just nine months.

Key Facts

Project Type

Full ECC migration to SAP S/4HANA

Highlights

• Substantial time and resource savings from rapid project implementation.
• Optimizing and planning for scalability by having a complete view of all SAP landscapes.
• State-of-the-art SAP S/4HANA technology enables a higher-performing ERP system and reliable planning for future technology investments.

Scope

• Migration from Classic GL to the Universal Ledger
• Customer/vendor to business partner conversion (1:1 migration of customers/vendors to BP)
• Migration to MRP areas
• Third-party solutions: PowerPlan, Serrala, PWC Utility Accounting

In-scope applications:

• ECC 6.0 EHP 8 migration to S/4HANA for the following ECC 6.0 modules:
  • SAP FICO – GL, AR, AP, CO, PRA, JVA, PS, FERC
  • SAP MM/IM – Purchasing & Inventory
  • SAP HCM – OM/PA, Payroll
  • SAP SD
  • SAP PM

SNP Products

• CrystalBridge® – The Data Transformation Platform
• Analysis: Enterprise Structure (Es)
• Transformation: Transformation Cockpit (Tc), Transformation Content (Co)

About NorthWestern Energy

NorthWestern Energy provides essential energy infrastructure and valuable services that enrich lives and empower communities while  serving  as  long-term  partners  to  customers  and communities. They work to deliver safe, reliable, and innovative energy solutions that create value for customers, communities, employees, and investors. This includes bridging their history as a regulated utility safely providing low-cost and reliable service with their future as a globally aware company offering a broader array of services performed by highly adaptable and skilled employees. The company provides electricity and natural gas to approximately 743,000 customers in Montana, South Dakota, Nebraska, and Yellowstone National Park.