Coca-Cola Hellenic, one of the largest Coca-Cola bottlers worldwide, has started a three year long project to substitute all legacy systems with a SAP implementation called Wave 2, in order to maximize efficiencies in use of resources and apply common best practices and polices accross the group.

1. Group Project
Operations & Information Management
Instructor: Prof. Papadopoulos
Zoi Karakosta
Stathis Simeonidis

2. What is ERP ?
Corporate / Enterprise-wide information systems
Highly complex
Aggregate information from entire company or outside it
Automate processes from all functions
Modular Information Systems
Available in the Market
Incorporate Best Practices from other companies
Customization needed to fit to own company
Comply with international standards

3. MRP
MRP becomes the fundamental concept used
in production management
History of ERP
MRP is the initial effort
Software application that generates planning
and scheduling materials for complex
manufactured goods
SAP company is born
Five German engineers begin the company
SAP for producing and marketing standard
software for integrated business solutions
MRP evolves into MRP II
Distribution Management Activities
HRM
Human Resource Management is developed
MRP becomes ERP
The term ERP is coined when MRP II is
needed to cover areas like Engineering,
Finance, and Project ManagementEuro
Introduction of Euro, many companies take
this opportunity to use ERP (because of
disrupted legacy systems) 9/11 triggers a drop in demand for new ERP
systems.
ERP becomes internet enabled
Early 60s
1970s
1972
1980
1988
1990
2000
2001
2002
2004
Services Oriented Architecture (SOA) allows
different systems to communicate one
another

4. Scope of ERP systems
Manu-
facturing
Accounting Finance
Sales &
Marketing
Human
Resources
Vendors
Vendors
Vendors
Customers
Customers
Customers
Production
Systems
Accounting
Systems
Finance
Systems
CRM
Systems
HRM
Systems
Business
Processes
Business
Processes
Business
Processes
Business
Processes
Business
Processes
TraditionalSystems
Manu-
facturing
Accounting
FinanceSales &
Marketing
Human
Resources
Business Processes
Business Processes
Enterprise–wide Business Processes
Enterprise System
Vendors
Vendors
Vendors
Customers
Customers
Customers
EnterpriseSystems

5. Why ERP ?
Changing economic & business environment
Economic outlook drives for efficiencies
Maintain competitive advantage
Eliminate duplicate efforts and Leverage Best Practices
Increased need for unified on-time information and user interface
Business alignment towards strategy & Control towards standards (IFRS, SOX, etc.)
Quick decision support
Sharing & integration of management information with partners

6. Advantages & Disadvantages
1. Potential failure in utilizing the system properly could make
the company less efficient in the long run
2. High costs - Only large corporations can access these benefits
offered by this technology
3. Continuous training of employees
4. ERP has a number of limitations (the success is fully
dependent on how employees utilize it)
5. Hard to customize.
6. Making the necessary changes may make the company less
effective in the market
7. ERP vendors may charge additional license fees
8. ERP technical support has been questioned
1. Accounting applications (integration of costs, profit and
revenue information of sales in a granular way)
2. Easy alterations in manufacturing
3. The company keeps better track of their products which are
produced with a higher level of quality
4. High Employed Security
5. ERP in logistics strengthens the cooperation between
suppliers, companies and clients
6. Efficient cash management
7. Quality control support (Internal auditory procedures and
providers)
8. Improved Financial Information

7. Challenges of ERP
Needs a clear understanding of the organization and how it does things
Clear documentation of Business Processes & Legacy Systems
Scope defined in detail
Implementation brings a lot of change & resistance
ERP packages may need customization to fit but also
Organization has to adapt to it (organization changes)
Expenses of implementing are high – so is the risk
Implementation is resource-intensive

8. Critical Success Factors
Clear understanding of strategic goals, expectations and deliverables
Top management support, engagement and participation
Engagement in excellent project management (define the objectives, develop work plan)
Business driven implementation directed by business requirement (not by IT dept.)
Top-notch implementation team (detailed project plan and full availability of all necessary resources)
Absolute data precision (invalid data can have a negative domino effect)
Thorough training and extensive education
(giving 10-15% of the total ERP implementation budget for training provides 80% chance of success.)
Specific performance measures. (Evaluation criteria must be included from the early beginning)

9. Implementation Process
Review
Get
Trained
Plan the
Project
Define
Gaps
Test
solutions
Document
Processes
Roll-out
Improve Continuously
Review the pre-implementation processes (how the company does things now)
Get extensive training on the selected software package
Establish project team, plan, milestones, risks and contingency plans
Set up a process for gap analysis & assessment
Consult extensively the end-users

10. After-implementation support level
Reputation – Nb Of installations in industry and area –
Successful track record of its partners
Compatibility with the existing infrastructure
Modularity – Customization Possibilities - % of processes
covered – Best Practices of Industry
Technology
Vendor
Support
Costs
Vendor selection
ERP Market ShareFunctionality

11. Company Profile
Coca-Cola Hellenic is one of the largest bottlers and vendors of The
Coca-Cola Company’s products in the world, and the largest based in
Europe, spanning over 28 countries and serving 560 million people.
€1 billion
EBITDA
42,000
employees
90
brands
28
countries
Coca-Cola Hellenic was formed in 2000 as a result of the merger of
the Athens-based Hellenic Bottling Company and the London-based
Coca-Cola Beverages

12. Implementation in CCH
Coca-Cola Hellenic has selected SAP as its ERP Vendor
Will replace a legacy system BASIS, designed by TCCC for all its vendors worldwide
Since 2004, it used the Accounting & Finance Module only of SAP, called Wave 1
The total implementation, that will replace all legacy systems is called Wave 2
Started in Czech & Slovakia operations, will phase in all countries until 2014
Major release in established countries Italy & Greece on 01/01/10

13. Goals of implementation
SAP Wave 2 is a complete end-to-end business tool that will allow CCH to standardize all
systems & processes applying the same technology in all divisions.
Significant investment in SAP Wave 2, introducing new and more effective methods to
optimize productivity and performance throughout the organization.
SAP Wave 2 Platform allows CCHellenic to provide excellent customer service by improving our
customer-centric procedures such as inventory management and invoicing accuracy.
With the installation of SAP Wave 2, business developers have access to various critical
customer information such as:
 Transaction History
 Promotion Activities
 Product Availability
…through their handheld devices that enable more competitive customer service.
Projected benefits
$53 - $109
million

14. Enterprise Process Map
Key Account
Wholesaler plan
Field sales
plan
Equipment
Monitoring
Customer
Profitability
Promotion
Evaluation
Survey
Monitoring
Field Sales
Monitoring
Equipment
demand
planning
Equipment
Placement
Equipment
Maintenance
Equipment
Refurbishment/
Disposal
Business
Planning
Demand
Planning
Supply Network
Planning
Financial
Planning
Capital
Budget
Treasury
Cash Mgmnt
Financial
Accounting
Period End
Closing
Operational
Reporting / KBI
Group
Reporting / KBI
Product & Customer
Segmentation Financial
Management
Controlling
Channel / Category
Plan and
Promotion Plan
Settlement
Billing
Distribution
Mgmnt
In Store
Execution
Territory/
Visit Plg.
Accounts
PayableRFA
Process
Receiving
Mgmnt
Procurement
Mgmnt
Vendor
Mgmnt
Market-to-Cash
Forecast-to-Deploy
Procure-to-Pay
Asset Management
Weekly Dem. &
Supply Mgmnt
Production
Execution.
Product
Quality
Fleet Mainten.
Haulage
Warehouse
management
Integr. Order
Mgmnt
Strategic Route
Planning
Vendor
Monitoring
Human
Resource
Planning
Recruit-
ment
Org.Mgmt
& Admin
Compen-
sation
People
Performance
& Development
Recruit-To-Retain
Pricing
Treasury
Cash Mgmnt
Financial
Accounting
Period End
Closing
Financial
Management
Controlling
Corporate &
Management
Reporting
Sales, Marketing & Distribution
Manufacturing & Haulage
Procurement
Asset Management
Human Resource Management
FinanceManagement
CorporateReporting
(BusinessIntelligence)

15. Change Management
Document processes
Define Gaps
Assess / Implement
Build knowledge
Transfer knowledge
(train)
Use knowledge

16. Implementation Process

17. Preparation
Set up Project
Team
Define Project
Plan
Define and
finalize Scope
Establish
Milestones
Special / separate project team per country:
Project management office +
Extracted Operational Users
Freeze general scope before kick-off
Only critical details implemented later
Highly detailed plan (who, when, what)
Extends after the go-live
Important dates where certain events take place
(kick offs, trainings, set-ups, unit tests etc.)

18. Assessment
Evaluate Solution
Define Key Users
/ Critical
personnel
Gap Analysis /
Change Requests
Assess / Approve
changes
Users with operational knowledge join consultants
Access to specialized training
Champions as reference for user queries
Define distance from toll-gates
Create requests for implementing
alterations in template solution
Toll-Gate
The level of readiness to
major organizational change
concerning People, Process
and Technology.
The project committee approves/rejects change
requests based on priority and importance
Evaluate existing solution provided in software lab-tests
(UNIT TESTS)

19. Implementation
Allocate external
& internal
resources
Monitor
Implementation
Test solution
provided
Provide
Feedback
Allocate all external & internal resources (people,
computers, rooms, consultants etc.) to be available
according to the change plan
Continuously monitor and test according to the schedule
the provided solution and anticipate change needed
in the organization
The final solution must be tested by both project
team but also champions & key users
Provide feedback in order to decide if will
be included in the next roll out phase

20. Roll - Out
Halt change
process
Define cut-off
period and
Phase in
Define
Contingency Plan
(in case of
failure)
Minimize
functionality
until stabilization
The project plan must have some kind of contingency plan
(pen and paper, overtime budget, backup systems)
for every critical process.
A short time before the go-live, only important and major
changes occur in the system and priority and focus is
given only to critical operations.
A given time before the go-live, change requests are not
longer accepted and any gap identified is left out of the
scope.
After go-live, focus is given in critical operations such
as order taking, production and distribution until the
system is declared stable by the committee.

21. Expectations of Change
Go Live
The go-live event
is both an end
and a beginning.
Recovery
Immediately after
going live,
performance,
productivity and
morale usually
declines as people
adapt to the new
system and processes.
Project Implementation Timeline
Once people
become
comfortable using
the system and all
the bugs are
worked out, then
the environment
stabilizes.
With a stable
environment,
the benefits of
SAP can be
obtained, such as
efficiency,
effectiveness
and
transformation.
Preparation
Phase
Much work to
prepare
for new systems and
business processes.

22. Conclusion
In the Czech Republic, Slovakia, Italy and Bulgaria, hand-
held electronic devices allow the delivery drivers to
produce customer invoices at the time of delivery, reducing
invoice inquiries and improving cash flow.
In Poland, Bulgaria and Romania, automated dispatching of
products results in faster delivery and optimized route
planning, to help meet specific customer requirements.
In Austria and Italy, a SAP-driven vendor management
inventory system allows exchanging electronic inventory
information with large customers and plan the
replenishment of their warehouses.
In Bulgaria, a specialized customer order entry process and
keyboard have helped Customer Service specialists reduce
the time required to take a product order by 25%-30%.

23. Group Project
Operations & Information Management
Instructor: Prof. Papadopoulos
Zoi Karakosta
Stathis Simeonidis
Thank You!