Success Story

SAP Rollout at BWF Envirotec in China: All locations under one single IT roof

Products SAP: SAP S/4HANA & ERP
Sectors: Machinery and plant manufacturing
Processes: Rollout
References: BWF Group

BWF Envirotec intends to harmonize business processes across all sites, from sales to materials management and financial reporting. For this, it is necessary that the manufacturer of filter media for the industry, unifies its IT landscape and brings together all locations worldwide in the central SAP ERP system. The template-supported SAP rollout in China is an important building block along this process.

Smog is largely caused by particulate matter, which can cause lasting damage to your health. In order to prevent the particle matter from entering the environment, it is necessary to use high-performance filter media. This is where BWF Envirotec from Offingen in Bavaria, a division of the BWF Group comes into play.

9,000,000 filter media per year

The family-owned company is the leading international supplier of filter media for industrial filtration and product filtration as well as for the separation of solids and liquids. With sales and production sites in Australia, China, Germany, India, Italy, Austria, Poland, Russia, South Africa, Turkey, the Czech Republic, and the USA, as well as a sales network in more than 50 countries, BWF Envirotec guarantees market-driven, tailor-made solutions and a comprehensive solutions service.

BWF Group

Main office: Offingen/Bayern
Products: Leading manufacturer of textile filter media for industrial dedusting, plastic profiles, technical felt materials and wool felt
Sites: 14
Employees: 1,800 employees wordlwide

But in today’s dynamic business environment, competition is intense. In order to remain financially successful in the future, BWF Envirotec is constantly developing innovative filter products and applications and bringing them to market. It is just as important for the company to constantly improve its business processes and make them more efficient. Essential prerequisites for this are a consolidated IT landscape with uniform operating processes across all locations.

An ERP umbrella for all sites

The foundations have already been laid, as BWF Envirotec has been handling its core processes for years with the integrated functions of the SAP ERP software. Under the umbrella of the central SAP ERP system, all sites worldwide will be successively merged in terms of application technology - as far as legally and technically possible. Since the sales and production location in Turkey has been integrated into the SAP software for some time, there was already a template with predefined ERP processes available for the SAP rollout in other locations.

SAP rollout with templates in China

Said and done. As a result of the template-based rollout, the Chinese subsidiary of BWF Envirotec, based in Wuxi, has recently been integrated into the central SAP ERP system. The SAP functions for material management (MM), for sales and distribution (SD), for financial accounting and controlling (FI-CO), and partly also for production planning and control (PP) have been installed at the site in China.

Clear view of all financial information

The positive effects of the SAP rollout quickly became apparent. This has noticeably improved the efficiency and transparency of processes - from sales to material requirements planning for production (MRP) right through to accounting.

Since the BWF Group in China conducts its financial data exclusively in SAP ERP, it not only has a clear view of outstanding receivables, but also particularly of unpaid advance payments. This is very important because doing business with local customers is often based on advance payments. In order to be able to manage the open payments directly in SAP ERP, the internal IT team and ORBIS have developed a streamlined but effective solution. It combines standard functions of the FI modules with user exits and inhouse developments. This ensures a high level of transparency in advance payments and reduces the effort involved in data collection to a minimum.

Source Photo: © BWF Group

Textile filters BWF Envirotec

Likewise, all relevant information on business development is promptly available to the management team in China and it can steer it even more purposefully. Since Controlling Department at the German headquarters has access to these financial figures, it can create financial statements more easily and faster, so that the management team in Germany also receives an insight into the development of the location in China at all times. The unification of financial reporting, which had become necessary as a result, made existing SAP BW reports, which were already ready for use, considerably easier.

Rollout with competent partners

BWF Envirotec commissioned ORBIS Consulting Shanghai with the introduction of SAP applications for Financial Accounting and Controlling (FI-CO), a subsidiary of the internationally active software and business consulting company ORBIS AG. Thanks to a harmonious and goal-oriented cooperation between the internal IT team and the ORBIS consultants, the specified timeframe for the implementation and commissioning of the FI-CO module was met.

Source Photo: © BWF Group

Filter from BWF Envirotec

Even special requirements such as the mapping of the Chinese chart of accounts to the German Group accounts, the introduction of profit center accounting or the adjustment of the existing Golden Tax Interface (GTI) were resolved quickly and satisfactorily. As a bidirectional interface, ORBIS GTI at BWF Envirotec China simplifies the exchange of financial data with the Chinese authorities via the state-controlled „Golden Tax System“. It proved to be an advantage that it was possible to draw on SAP-based ORBIS solutions when creating certain mandatory reports in China, for example for cash flow.

Where necessary, SAP ERP was extended by additional ABAP programming, for example an „Inventory Aging Report“, which displays the inventory by age.

Source Photo: © BWF Group

Filter product from BWF Envirotec

Success factor: Training in Chinese

For the success of the rollout project it was also important that the consultants at ORBIS Consulting Shanghai carried out the training of the key users in China for the handling of the SAP ERP FI-CO module in the national language and also that they be provided training materials in Chinese.

The ORBIS consultants also assisted the key users with end-user training and aided the China subsidiary in the integration tests as well as in the preparation and implementation of the productive start-up. Regular project reporting also kept the management in China and Germany up to date with the current state of implementation.

Additional SAP projects planned in China

Based on the positive experience gained during the SAP rollout project, BWF Envirotec entrusted ORBIS Consulting Shanghai with the support of the SAP FI-CO modules and processes in China.

But that’s not all: In the next step, the still missing functions are to be installed in production planning and control, and individual processes such as the printing of the production documents for web material or the recording of quality data of the finished product are to be integrated into SAP ERP. In addition, the introduction of the SAP module for maintenance (SAP PM) is planned for the near future.

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