HVAC Leader Builds Viable Roadmap to SAP S/4HANA
Greenheck Inc. was founded in 1947 as a tiny sheet metal shop in Schofield, Wisconsin. It has since become a global leader in the industrial HVAC market, with sales approaching $1 billion. The company specializes in providing ventilation equipment to large complexes such as arenas, airports, hotels, restaurants and government facilities.
As a complex manufacturer of products that are made and configured to order, the company had come to rely on SAP’s variant configuration and ERP business process capabilities. By 2017, the company’s SAP configuration had evolved to include Order to Cash, Procure to Pay, Plan to Report and Hire to Retire across four continents and more than 20 facilities. The company planned to implement Enhancement Pack 7, which would require 8 months to complete, a large investment in new hardware and demand the implementation of Unicode in order to use enhanced functionality. This was thought to be less disruptive for the organization as a whole, but the company recognized that transitioning instead to SAP S/4HANA could simplify business processes while also reducing cost of ownership.
The company was concerned, however, that the risks associated with a new product outweighed the benefits, and the information available in the market lacked the detail and depth needed. Teams across the company worried that a new solution might not meet all business functionality needs and could require significant training and time commitments by the user community. The company’s IT team turned to PK to develop a Proof of Concept (PoC) to provide the leadership with objective data demonstrating the value, including quantifiable benefits and a list of functionality SAP S/4HANA would deliver.
Leveraging its extensive experience in SAP, the PK team began by standing up a copy of the company’s SAP ERP 6.0 EHP5 (Non-Unicode) Quality Assurance environment on an internal AWS environment and converted it to SAP’s latest release S/4HANA. PK also ran state-of-the-art custom code remediation tools that identified and implemented solutions to 98 percent of potential issues due to migration of the company’s custom code inventory. The successful PoC demonstrated that its core SAP ERP environment was S/4HANA compatible and demonstrated the impact of a conversion. It also allowed the company’s IT team to test out new functionality and develop a timeline and plan for the future. In doing so, it enabled Greenheck’s IT team to present a viable and cost-effective roadmap for the development and deployment of and new SAP and ERP solutions. Not only did the IT team have a path to leadership support, it also had a model and best practices to support the transition.