Implementing SAP S/4HANA at a Global Level: The Successful Strategy Behind a Pharma Group's S/4HANA Rollout in Japan
Large enterprises that operate on the global stage with multiple locations are some of the users that can benefit the most from the powerful capabilities of S/4HANA for operational management, performance optimization, and other data-driven decision-making. However, rolling out a consistent system on such a large scale while navigating localization can be a significant barrier to this digital transformation.
Many of our clients seek our help with this exact dilemma. For example, we worked with a global pharmaceutical group that understood the value of implementing S/4HANA across their international group but they faced a setback. When they were left unsatisfied with a previous partner, they turned to NTT DATA to lead their Global Template definition and initial S/4HANA rollout in Japan. They chose NTT DATA because we can work with GxP validation and as a Japanese company, understand the challenges of Japanese implementation. Our partnership paid off as the rollout was a great success and we have already been tasked with other rollouts internationally. Here's how we garnered such success.
The Challenge of Multi-Location Implementation
As an international pharmaceutical group, the client has a high volume of data to leverage and high-stakes operations to manage. After adopting SAP S/4HANA for their India subsidiary, they realized how powerful it was and decided to roll out the ERP to more of their companies in other countries. First on their list was a Japanese company the group had acquired.
However, they ran into an issue. The Global Master Template they had commissioned for the international rollout was unsatisfactory. They needed to start again so they could get it right the first time and have a repeatable process to follow with future implementations across the group. Following a new selection process, NTT DATA was chosen as their strategic value partner. The proposal we presented for their S/4HANA Cloud rollout in Japan fulfilled their complex needs and was given the green light.
The Winning Process Behind Successful S/4HANA Migration
When producing a roadmap for this client's Japanese S/4HANA Cloud rollout, we first focused on their main goal for the migration. They wanted a Global Master Template that they could use across the companies in their international group to uplevel their operational management and intelligently leverage data analysis. The implementation in Japan was only the first step in the implementation process.
With that in mind, we produced a value proposal that centered around these key principles.
Launch Ready
We took a turn-key approach, committing to the full delivery of the scope of the project. Therefore, we allowed for the flexibility to manage the limited fluctuations in the project so that on completion, S/4HANA would be successfully implemented and ready to use. Our work wouldn't be done until the system was in active use.
Expert Led
NTT DATA would not only manage the implementation project but also provide resources, mainly a team of a mix of Italian governance, international EU resources, and local-specific support in Japan for the implementation of all SAP modules. We formulated a multi-location team in order to leverage the breadth and depth of expertise within the NTT DATA team to achieve the best results in the shortest timeframe possible.
Future Focused
The rollout project in Japan would test the usability of the Global Master Template for future rollouts by following all its processes. This would ensure the template was refined and fit for purpose across locations. The only changes would be mandatory localizations during the analysis phase.
Industry Aware
As a pharmaceutical group, the client has specific needs in how they manage processes and data. Consequently, we would adapt our project management and implementation process to meet the standards required of life science companies. For example, by using the waterfall model and gaining GxP validation, we could maintain their high standards of the quality, efficacy, and safety of its processes, products, and documentation.
These principles gave the client the confidence to trust us to lead their Global Template definition and initial S/4HANA rollout and gave the NTT DATA team the parameters to deliver the results promised within the approved timeline.
The End Result of an Expert Implementation Partnership
Overall, the partnership was very successful. NTT DATA was able to meet the launch date that was scheduled during the initial meeting with the client and they were very happy to go live with the framework we had built for them. Despite the implementation of S/4HANA Cloud requiring multiple processes and modules, they were all released at the same time for a truly turn-key launch. The data migration to the new system was just as smooth with all objects migrating correctly so there was no disruption to usual operations.
After having such a positive experience with the project team from NTT DATA, the client decided to entrust us with future projects which currently include the Italian rollout across 5 plants, the Indian rollout, and the review of the Master Global Template.
The pharmaceutical group's decision to trust NTT DATA with the first of the international rollouts of their SAP Global Template paid off and only solidified our reputation as a formidable force in the SAP services market. With an international team of our own, numbering 20,000 SAP professionals, we were able to manage the international project with an international team which in this case spanned Italy, Romania, and Japan. Our experts are ready to support multi-location and multi-company rollouts of SAP's systems bringing expert knowledge, resources, and as a result ease of use.
Director, BU SAP NTT DATA Europe & Latam