Schluchseewerk AG establishes SAP S/4HANA as an integrated system platform

With the introduction of SAP S/4HANA, Schluchseewerk AG, one of the largest operators of pumped storage power plants in Germany, has fundamentally modernized its IT landscape. As a project partner, IBsolution provided the company based in Laufenburg in southern Baden with comprehensive support and, thanks to its holistic portfolio, acted as a competent expert in all project phases – from the pre-project to implementation and support after the go-live.

The expansion of solar energy and wind power as well as the increasing elimination of conventional power generation plants are leading to an increased demand for electricity storage in Germany. Existing surplus electricity must be stored in order to be able to use renewable energy even when the sun is not shining and the wind is not blowing. Pumped storage power plants are currently the only large-scale storage solution for huge amounts of electricity. In this respect, Schluchseewerk AG, as the operator of five pumped storage power plants in southern Germany, makes a significant contribution to the success of the energy transition and fulfils an indispensable stabilization function for the electricity grid.

Creation of a modern IT infrastructure

Schluchseewerk AG is reliant on a modern IT infrastructure in order to fulfill its own claim of being an efficient, reliable and always available partner when it comes to ensuring security of supply. This is why the company from the southern Black Forest decided to switch to the latest ERP generation SAP S/4HANA.

“Previously, we had operated a historically grown SAP R/3 system that had been in use since 1999 and had only been developed in detail in the following years,” says Ralf Brugger, SAP consultant at Schluchseewerk AG and project manager for the SAP S/4HANA implementation. “This ensured functionality, but we were hardly able to benefit from innovations and new features.”

Goal: Harmonization of business processes

The aim was therefore to replace the existing SAP R/3 system and bring the technology up to date in order to meet the challenges of a secure energy supply and clean power generation and storage. Accordingly, Schluchseewerk AG declared its primary project objective to be the optimization, harmonization and standardization of business processes through the introduction of an integrated process and data platform based on SAP S/4HANA. The aim is to make the best possible use of the potential of SAP S/4HANA in the future and to realize innovations more quickly. In the course of the SAP S/4HANA implementation, legacy issues from the SAP R/3 system were also eliminated and replaced by modern approaches.

Pre-project with important milestones

“Our approach to the SAP S/4HANA project at Schluchseewerk AG was divided into the pre-project, main project and operation or subsequent releases phases and was based on the SAP Activate methodology,” explains Andreas Fritzler, Senior Project Manager at IBsolution. The pre-project initially focused on analyzing the current situation and designing the future solution. After putting together the project team, scheduling and initiating the project, the aim was to develop a concrete implementation plan for the SAP S/4HANA main project. This included, for example, identifying the processes relevant to Schluchseewerk AG that were to be mapped consistently with SAP S/4HANA: materials management, finance & controlling, human resources and service. Functioning processes were to be adopted as far as possible, but at the same time the innovative features that SAP S/4HANA offers with regard to the design of the processes were also to be taken into account. Overall, Schluchseewerk AG based its process design on the SAP standard.

The results of the process and system solution ultimately led to the requirements specifications and the solution concept for SAP S/4HANA. On this basis, the decision was also made to introduce SAP S/4HANA by using the greenfield approach and to rely on an on-premise deployment. In addition to economic aspects, the fact that Schluchseewerk AG, as an energy supplier, belongs to the critical infrastructures that are subject to special legal regulations was also a decisive factor.

Communication as a success factor

In a complex and lengthy project such as the introduction of SAP S/4HANA, comprehensive communication plays a fundamental role in the success of the project. In regular meetings, the steering committee informed all relevant stakeholders about the current status of the project and the next steps. Decisions that had far-reaching significance for the project were presented to the management. These meetings took place every six weeks and ensured that stakeholder commitment to the project remained high throughout.

Go-live in January 2024

The SAP S/4HANA system finally went live as an integrated process and data platform at the turn of the year 2023/2024, allowing Schluchseewerk AG to carry out its accounting and annual financial statements in the previous ERP system, which significantly simplified the switch to SAP S/4HANA. The go-live was preceded by extensive testing, and IBsolution’s experts also carried out comprehensive user training to ensure smooth operation and a high level of acceptance of the new system right from the start.

Medium-sized partners at eye level

The project manager at Schluchseewerk AG is extremely positive about the collaboration with IBsolution: “We met as equal partners at eye level and maintained an open, honest exchange at all times,” emphasizes Ralf Brugger. Even after the go-live of SAP S/4HANA, the two companies are continuing their successful partnership. With the help of Application Management Services (AMS), IBsolution ensures smooth support for the software. The implementation of various follow-up projects is also planned, for example in the areas of HR and SAP S/4HANA Service.

Thanks to SAP S/4HANA, Schluchseewerk AG has a state-of-the-art ERP solution and is ideally equipped for the digital future of energy supply. Regular updates will enable the innovations provided by SAP to be used quickly and easily in future. In the successfully completed project, Schluchseewerk AG and IBsolution have succeeded in establishing a company-wide, integrated and modern system platform that brings processes and solutions from the technical and commercial organizational units closer together and ensures sustainable business success for Schluchseewerk AG.

Photo: Schluchseewerk AG