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CHT/BEZEMA realigns worldwide group reporting and consolidation with IBM Cognos TM1


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CHT/BEZEMA realigns worldwide group reporting and consolidation with IBM Cognos TM1

  1. 1. IBM Software Chemicals & PetroleumBusiness Analytics CHT/BEZEMA realigns worldwide group reporting and consolidation with IBM Cognos TM1 CHT R. Beitlich GmbH (CHT) in Tübingen is the headquarters of a worldwide operating group of specialist chemicals companies. The Overview group’s products improve the quality, functionality and performance Business challenge of textiles, building materials, paper and pet food, as well as cleaning CHT/BEZEMA needed a new solution for and care products for the consumer goods industry. CHT/BEZEMA reporting, planning and consolidation of its 22 worldwide companies. has production and sales locations all over the world, operated by more than 20 affiliates. In 2010, it achieved a group turnover of Solution over €300 million and employed approximately 1,600 people. CHT IBM® Cognos® TM1® enables uniform exports approximately 80 percent of its products from Germany to 120 sales reporting, exact planning and in collaboration with elKomKons™ financial countries all over the world. consolidation for the CHT/BEZEMA group. Conventional spreadsheet solutions fail to meet demands CHT faced the challenge of introducing a uniform sales reporting solution for 22 group companies that would provide a basis for group consolidation as well as for annual sales planning. Historically, each CHT/BEZEMA company used its own ERP system. Recently, the ERP landscape has been rationalised to some extent: in Germany and Switzerland, CHT uses SAP ERP 6.0, and five other subsidiaries use SAP Business One. However, in the medium term, there will still be a huge number of different ERP systems in the CHT/BEZEMA group. The use of different ERP systems meant that there were no uniform reporting processes or consistent data. Planning and financial consolidation were very laborious processes. The challenge was to bring together heterogeneous information from the different ERP systems of 22 CHT/BEZEMA companies and transform it into an analysable dataset. Martin Schmälzle, Head of IT at CHT, explains the reasons for the decision to introduce a new solution: “The present solution on the basis of Microsoft® Excel® spreadsheets did not fulfil CHT’s high standards for flexibility. Moreover, it regularly required a lot of manual effort, and it took a long time before the desired results were available.”
  2. 2. IBM Software Chemicals & PetroleumBusiness Analytics sales reporting, and the sales departments of all connected companies can access reports and analyses via a simple webBusiness Benefits interface. Once a year, CHT carries out a sales planning• At the touch of a button, sales and financial departments receive exact exercise for its companies up to customer level and article financial figures for all CHT/BEZEMA companies. level, which currently takes place in a combined solution• Sales planning and group consolidation have become considerably based on IBM Lotus® Notes® and IBM Cognos TM1. In quicker and easier. future, IBM Cognos TM1 will take over this job completely.• IBM Cognos TM1 delivers high performance, even with huge data volumes. Another area where IBM Cognos TM1 supports the business is the extensive monthly business reporting for the whole• CHT/BEZEMA is well prepared for future challenges. CHT/BEZEMA group. Via TM1’s Excel interface, all the relevant data from CHT/BEZEMA companies is collected, imported, validated and – again – published using the Web front-end.At group headquarters, CHT/BEZEMA had been using aTM1-based in-memory OLAP solution for about twelve The CHT/BEZEMA group also uses IBM Cognos TM1 toyears. On account of the company’s good experience with the create its annual consolidated financial statement. Once thecomprehensive functionality and high performance of this data has been imported, the solution performs the calculationsmemory-based solution, CHT decided to use IBM Cognos required to generate the profit and loss statement, the balanceTM1 for the new project. To gain additional performance, sheet and the cash flow.a conversion from 32- to 64-bit technology was plannedat the same time. CHT tasked elKomSolutions GmbH, Finally, CHT/BEZEMA also produces the complete legalan IBM Business Partner from Tuttlingen, with this job. consolidated financial statement using elKomKons™ fromelKomSolutions’ TM1-based group consolidation solution elKomSolutions, a flexible consolidation solution.had already been in use at CHT for many years, and thecompany had also been CHT’s software service partner for a CHT has been using a Cubeware™ application as the ETLlong time. (extract, transform and load) tool that imports data from different sources into the TM1 structure. However, thanksThe focus of elKomSolutions’ service offerings lies in the to IBM Cognos TM1 TurboIntegrator’s capabilities fordevelopment, implementation and maintenance of software extracting large quantities of data from different sources andsolutions in the field of business intelligence, corporate importing it into TM1, CHT has decided to partially replaceplanning and group consolidation. Founded in 1997, today the present ETL tool.elKomSolutions serves more than 150 enterprises, frommedium-sized businesses up to the top performers on the With the previous solution, for example, the import of a largeGerman Stock Exchange (DAX 100). data set from an IBM i server took more than three hours; now, with IBM Cognos TM1 TurboIntegrator, it can beA uniform solution for sales reporting, completed in a few minutes – approximately 50 times fasterplanning and group consolidation than before.IBM Cognos TM1 now forms the core of a group-widesolution for all CHT companies. Every company sends Overall, approximately 300 users worldwide access IBMits accumulated monthly sales data to the headquarters Cognos TM1, mostly via a Web frontend. The users arein an extensive transfer file. This file contains all relevant predominantly from the sales, marketing and controllinginformation, such as for example article numbers, amounts, departments, but the development and support departmentturnovers and costs. After validation and inter-company also uses the TM1 data to support technical customer service.turnover elimination, all the data flows into different TM1OLAP data bases. The resulting data cubes contain both Advantages of a homogeneous systemsource information and consolidated values, according to the landscapepurpose of their use. For many years, CHT has been a loyal user of IBM hardware, solely using IBM systems in its central IT department. TheBased on this data, the group-wide contribution accounting is company’s central SAP ERP applications run in an IBM iprocessed. The TM1 database provides the basis for central
  3. 3. IBM Software Chemicals & PetroleumBusiness Analytics Thanks to the long experience CHT has already gained with TM1, its own employees are able to operate the solution“Finally, we can provide clean financial independently, without external support. When a new toolfigures for all CHT/BEZEMA companies or functionality needs to be introduced, consultants fromto our worldwide sales organisation at the elKomSolutions provide support and training for CHT staff.touch of a button. Sales planning and group Schmälzle reports about many advantages of his new IBMconsolidation have also become considerably Cognos TM1 solution: “Finally, we can provide cleanquicker and more exact. TM1 is very easy to financial figures for all CHT/BEZEMA companies to our worldwide sales organisation at the touch of a button.use and tremendously adaptable.” Sales planning and group consolidation have also become considerably quicker and more exact. TM1 is very easy to— Martin Schmälzle, Head of IT, CHT R. Beitlich GmbH use and tremendously adaptable. New cubes can be created quickly,which is very advantageous for the development and testing of prototypes and provides short project cycles.Solution Components The Excel interface in particular helps many users from the controlling department work very easily with the centralSoftware system in their usual environment, and enables us to eliminate• IBM® Cognos® TM1®• IBM Cognos TM1 TurboIntegrator many isolated Excel files.”• elKomKons The performance of the solution also fulfils Schmälzle’sServers expectations: “The biggest TM1 cube contains about 800 MB.• IBM Power Systems™ 520 running IBM i• IBM System x3650 M3 Six to eight million relational records lie in the background. In spite of these huge data volumes, the high performance hasIBM Business Partner completely persuaded us of the value of IBM Cognos TM1.”• elKomSolutions GmbH Prepared for future projects Within the scope of a project that was started in 2011, CHTenvironment on two IBM Power Systems 520 servers with begun to use IBM Cognos TM1 to handle reporting for themirrored data; IBM Backup Recovery and Media Services central SAP ERP system in Germany. With IBM Cognos(BRMS) and an IBM Tape Library TS3200 provide data TM1, it is possible to process the multidimensional dataprotection. from the SAP ERP system directly. This enables the CHT to provide daily sales statistics to all companies who areFurthermore, IBM System x3650 M3 and IBM System registered in the central SAP system at the click of a mouse.Storage DS3400 disk systems support VMware environments.IBM Content Manager manages the archiving of SAP data Schmälzle is sure that TM1 is the right solution, and hasand scanned documents, and will soon be used for IBM great potential for the future: “Our future plans are to extendLotus Notes emails too. IBM Cognos TM1 runs in a logical the IBM Cognos TM1 reporting capabilities in conjunctionpartition on these servers. with the SAP ERP system. Future projects are, for example, the refinement of the sales reporting, the introduction ofIBM Tivoli® Storage Manager is used to back up the System purchasing reporting, cost-centre and cost -type accounting,x servers on connected IBM System Storage TS3310 tape as well as production reporting. With its innovativesystems. technology, excellent flexibility and high performance, IBM Cognos TM1 provides the best conditions to fulfil ourManaging the solution expectations in the future.”The functional management of the IBM Cognos TM1solution is the responsibility of the controlling department,because reports and analyses of the commercial figures aremainly required here. The IT department acts as an internalservice provider, and looks after the supply of data.
  4. 4. About IBM Business AnalyticsIBM Business Analytics software delivers actionable insightsdecision-makers need to achieve better business performance.IBM offers a comprehensive, unified portfolio of businessintelligence, predictive and advanced analytics, financialperformance and strategy management, governance, risk and © Copyright IBM Corporation 2011compliance and analytic applications. IBM Deutschland GmbH 71137 Ehningen DeutschlandWith IBM software, companies can spot trends, patterns and, compare “what if” scenarios, predict potential IBM Österreichthreats and opportunities, identify and manage key business Obere Donaustrasse 95risks and plan, budget and forecast resources. With these 1020 Wiendeep analytic capabilities our customers around the world can understand, anticipate and shape business outcomes. IBM Schweiz Vulkanstrasse 106 8010 ZürichAbout elKomSolutions GmbH Advanced Business Partner elKomSolutions GmbHis an established service provider focused on development, Produced in Germany July 2011implementation and maintenance of software solutions in the All Rights Reservedfield of business intelligence, corporate planning and group IBM, the IBM logo,, Cognos, and TM1 are trademarks ofconsolidation. International Business Machines Corporation, registered in many jurisdictions worldwide. A current list of other IBM trademarks is availableelKomSolutions develops integrated software solutions based on the Web at “Copyright and trademark information” at com/legal/copytrade.shtml.on robust IBM Cognos TM1 technology. The modularsystem architecture allows elKomSolutions to develop Other company, product or service names may be trademarks, or service marks of others.perfectly tailored and easily extensible solutions for itscustomers with a user-friendly and consistent user interface. IBM and elKomSolutions GmbH are separate companies and each is responsible for its own products. Neither IBM nor elKomSolutions GmbH makes any warranties, express or implied, concerning the other’sTo learn more about products, services and solutions from products.elKomSolutions, visit: References in this publication to IBM products, programs or services do not imply that IBM intends to make these available in all countries in which IBM operates. Any reference to an IBM product, program or service is not intended to imply that only IBM’s product, program or service may be used. Any functionally equivalent product, program or service may be used instead. All customer examples cited represent how some customers have used IBMFor more information products and the results they may have achieved. Actual environmentalFor further information or to reach a representative please costs and performance characteristics will vary depending on individualvisit customer configurations and conditions. IBM hardware products are manufactured from new parts, or new andRequest a call used parts. In some cases, the hardware product may not be new and may have been previously installed. Regardless, IBM warranty terms apply.To request a call or to ask a question, go An IBM This publication is for general guidance only.representative will respond to your enquiry within two Photographs may show design days. Please RecycleBusiness Analytics software YTC03321-DEEN-00