Absolut Sweden required a reliable budgeting and forecasting system, which was user friendly and could natively integrate with their current corporate management.
Company: Absolut Sweden
Industry: Manufacturing / F&B
Key business drivers for Hyperion Planning initiative were based on solving / improving the following scenarios in the area of costs planning:
* Two Swedish locations operating on different planning schedules
* Different business processes in each location (production vs management and marketing)
* Cost center-centric approach was crossed with project based management
* Current corporate reporting was based on a different technology stack
* Different currencies were used for planning and reporting
* Reforecasting without actual was error prone
* Different workstation platforms were used (Windows, Mac)
BackgroundAbsolut Company is a leading manufacturer of premium vodka. The company belongs to the Pernod Ricard Group, and its headquarters and manufacturing facilities are located in Sweden. ABSOLUT vodka was established in 1879, and its brand is recognized in 126 countries around the world. ABSOLUT is a pioneer and leader in the production of flavored vodkas; offering the broadest range of different flavor combinations. The company required a reliable, efficient budgeting process, which was becoming significantly difficult to manage on a large scale. Codec previously implemented Oracle Planning successfully in Pernod Richard, the parent company of Absolut Vodka. Codec Poland were chosen to implement this solution due to their substantial industry experience and on the back of recommendations from Wyborowa SA (Pernod Ricard Group).
Codec implemented Oracle Hyperion Planning; delivering the following KPI’s identified by Absolut vodka:
* Flexible architecture, based around a central repository,
* Integration with current Data Warehouse and reporting solution based on SQL Server and OBIEE.
* Provides a common user interface (available on both Windows and Mac), enabling group specific drill-down for differing group planning requirements; such as differing planning calendars, differing planning objectives and differing information about currency related effects.
* Automatic forecasting based on actual data and historical plans which shortens mid-year planning cycles.
* Validation of data to expose potential errors in real-time.
* Granular level detail of ledger account, cost center, project, brand, customer, currency and market in many scenarios and with the possibility to make version snapshots.
Codec delivered this budgeting and forecasting solution for Absolut Vodka in 8 weeks.
Today, the application has a number of benefits which were not available in the previous systems.
* The entire planning process is maintained by business users.
* Each location has its own process and administrator. cu
* Hyperion Planning automatically aggregates final budgets (of each separate planning stream) and pushes them to the corporate Data Warehouse for further reporting needs.
* Due to compliance with design concepts; there is no issue with the data and master data integrity.
* IT maintenance is limited to monitoring activities.
* The system enables controlling analysts to spend more time to perform variance analysis and respond to ad-hoc requests using the powerful planning, forecasting and reporting capabilities of Oracle Hyperion Planning.