KION Group: A central data bridge between engineering and logistics with BDF EXPERTS and SAP PPG
When global transformation meets the diversity of engineering systems
Contents
The KION Group, a world-leading provider of intralogistics solutions, sits at the heart of global supply chains. From forklift trucks and warehouse technology to complex automation systems, its products are highly varied and demand seamless coordination between engineering and logistics.
But what happens when a business transformation meets a large number of different, historically grown engineering systems? How do you create a central, consolidated data layer that absorbs the information from these heterogeneous systems and passes it on, in an orderly fashion, to procurement and manufacturing?
The challenge at KION was to build a bridge that translates the diversity of engineering systems into a central, technical order structure (TOS). The goal: to supply logistics reliably with requirements and to lay the foundation for the global transformation.
The starting point: heterogeneous data and the search for a central structure
- Diversity of engineering systems: A solution had to be found that would supply the large number of different engineering systems with data in equal measure.
- Generic interface to the TOS: The creation of a generic interface that builds a central Technical Order Structure (TOS) in order to capture all of the equipment within an order.
- Harmonisation with the project system: The chosen approach not only had to serve the generic engineering interfaces, but also harmonise with the project system in order to equip logistics with the correct requirements.
The central business objective was the creation of a central data consolidation layer in SAP, which processes different input data from a wide variety of engineering systems and then provides it in an orderly fashion to the respective logical processes required in procurement as well as production.
The solution: SAP PPG as a central data integration platform
BDF EXPERTS implemented a solution based on SAP Product and Process Governance (PPG) to introduce the TOS as the central data structure in the course of order-based engineering.
The solution comprised the following key elements:
- Introducing the TOS: The Technical Order Structure (TOS) serves as the central structure in which configurable materials and static materials with no configuration component are recorded.
- PS integration and automation: the PPG triggers the PS integration (Project System) to create direct PRs (purchase requisitions). These are processed largely automatically in purchasing and trigger the requirements at the local production plants or external suppliers.
- Handling incomplete master data: introducing the virtual material within the TOS makes it possible to take over material from the engineering system even when the master data is initially still incomplete. The clean-up (for example, correcting the configuration valuation) then takes place locally in SAP directly for the order.
The distinctive approach taken by BDF EXPERTS lay in the generic pre-planning layer of SAP PPG. This makes it possible to process information from upstream systems that is sometimes still incomplete during the order processing stage. In addition, text-based requisitions (for example for services) can be placed in the TOS in a functionally and technically correct manner.
The solution supports KION directly with its business transformation and its technology and system leadership in the automation world. By consolidating data centrally, logistics becomes more efficient and the processes between engineering and production are harmonised.
What makes the difference: flexibility in the transformation project
What makes this project unique is the successful international collaboration across time zones and the realisation that transformation projects involve not only a transformation in the software but also in the processes. With SAP PPG, KION was able to choose an approach that flexibly and generically meets the most varied customer requirements in the sector.
Potential new customers are likely to be especially interested in how SAP PPG acts as a generic pre-planning layer to integrate heterogeneous engineering systems and to supply logistics with requirements automatically.
About KION Group AG
KION Group AG is a German international group headquartered in Frankfurt am Main. The company is publicly listed and included in the MDAX. KION operates in the materials handling, intralogistics and supply chain solutions sector. This primarily covers industrial trucks (e.g. forklifts, warehouse technology equipment), automation systems and warehouse technology, as well as software and system solutions for optimising supply chains worldwide. The company serves customers in more than 100 countries and is one of the world’s leading providers in its sector, with around 42,700 employees worldwide (as at the end of 2024). KION is a global industry leader in industrial trucks and the market leader in Europe for industrial trucks. Its core brand Dematic is one of the leading global providers in warehouse automation.
About BDF EXPERTS
BDF EXPERTS is the brand of bdf consultants GmbH, a leading SAP Silver / SolEx partner with comprehensive end-to-end expertise in Digital Supply Chain and Corporate Finance & Treasury (CFT).
For more than 25 years, BDF EXPERTS has been helping companies, on the basis of SAP ERP and S/4HANA, to achieve measurable value creation through fully digitalised processes. In Digital Supply Chain, BDF EXPERTS has developed particular expertise in holistic data management.
With SAP PPG (Product and Process Governance), BDF EXPERTS offers an innovative solution for centrally managing all product and process data in SAP, thereby laying the foundation for data-driven business models.
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The BDF EXPERTS Insights platform is aimed at decision-makers and specialists working with SAP, supply chain and corporate finance. It offers well-founded expert articles, practical insights and strategic perspectives on process harmonisation, digitalisation and technological developments.
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