Examine how GPI built a solid infrastructure based on the SAP ERP application, positioning the company for significant growth. GPI can now reach strategic corporate objectives – including improved visibility into business processes and decreased production costs through better order scheduling and reduced inventory.
GRAPHIC PACKAGING INTERNATIONAL
ACHIEVING OPERATIONAL EXCELLENCE
QUICK FACTS
Industry Key Challenges Why SAP Was Selected. Reduce redundant IT costs . Solution scalability that enables growthMill products ? containerboard packaging . Provide a single, end-to-end platform . Product knowledge and industry expertiseRevenue solution that would allow for future company . Future vision and financial viability of SAPexpansion . SAP investment in research and US$2.5 billion . Supply industry-specific solutions for developmentadvanced planning and scheduling . Flexibility of SAP® Services organizationEmployees 7,700 Implementation Best Practices Low Total Cost of OwnershipHeadquarters . Rapid implementation, completed in less . Maintained total IT spend at under 1% of Marietta, Georgia than 1 year total company revenue. Knowledge transfer from SAP, which . Prevented additional costs by completing Web Site enabled GPI to complete rollout in-house implementation on time www.graphicpkg.com . Strong executive support . Avoided high maintenance fees from . Expert partners in building global previous providerSAP® Solution and Services implementation templateSAP® ERP application . In-house super users who helped ensure smooth implementation and trainingImplementation PartnerSAP Consulting Financial and Strategic Bene? ts Operational Bene? ts . Increased efficiencies in back-office Key Performance Indicator ImpactGraphic Packaging International Inc. processes Redundant IT costs Reduced by(GPI) is a leading provider of paper- . Decreased cost of production via better order scheduling and reduced inventory $6 million annuallyboard packaging solutions for a wide . Improved visibility into end-to-end business Total IT spend Totaled less thanvariety of products to multinational processes 1% of total revenue. Supported significant business growth and after implementationand other consumer products compa- acquisitionsnies. Following the August 2003 ac-quisition of Riverwood Holding Inc., GPI recognized the need for a single end-to-end solution across the enter-prise. GPI selected the SAP® ERPapplication to bridge the two compa-nies' IT objectives and position itself for future growth.
SAP Business Transformation StudyMill Products"Having built a solid SAP ERP infrastructure for our company, we are now www.sap.com/contactsappositioned to both grow and improve our company."Gary Mote, Director of Business Systems, Graphic Packaging International Inc.
An IT Platform Supports Growth Rapid Implementation With a Twist A single platform across the enterprise allows GPI to keep its ongoing IT costs With annual sales of US$2.4 billion and a GPI and SAP Consulting built a global low even when requirements for new leading market position providing paper template to accommodate all business functionality arise. Products such as the packaging solutions to the beverage, processes across the enterprise. GPI's IT SAP Advanced Planning & Optimization food, and consumer products industries, team partnered with SAP Consulting to component will help GPI improve demand Graphic Packaging International Inc. (GPI) run workshops where employees helped planning and scheduling processes, and continues to thrive. Following the 2003 to identify the gaps between the two solu- the SAP NetWeaver® Business Intelli-acquisition of Riverwood Holding Inc., tions. Subsequently, the global template gence component will help improve the Graphic Packaging Corporation, GPI's was created. availability and usefulness of data and parent company, was still running a JD make reporting easier. Since these solu-Edwards solution, while Riverwood had Implementation began at GPI's Golden, tions integrate seamlessly with the rest of been running SAP® R/3® software (func- Colorado?based converting plant in May the platform, GPI can avoid unnecessary tionality now available in the SAP ERP 2004. The pilot was completed six months integration costs.application). later. Rollout to the remaining 17 plants was accomplished in just 11 months. GPI is now well-positioned for growth. When GPI was formed, they sought the Today 3,600 users, performing back- GPI recently announced its intention to expertise of a leading consultant to help office functions such as customer ser- merge with another large packaging com-them choose between the two solutions. vice, accounting, purchasing, inventory pany, which will... [download for more]
