Skip to Content
A high-speed train in a train station

Customer Stories

Norgren: Improving collaboration and speed with integrated business planning

Explore Norgren’s journey with SAP

Norgren Limited’s motion control and fluid technology solutions keep equipment moving across various industries. When limited supply chain visibility and collaboration were preventing Norgren from moving in the right direction, it turned to SAP IBP for Supply Chain for help shifting from reactive to proactive operations. 

1

source of truth for stakeholders, from product management through executive leadership.

Reduced

complexity aided by better segmentation of data.

With SAP Integrated Business Planning for Supply Chain, we can see what’s on the horizon and take proactive action earlier. We have a common language, a shared system, and better processes for collaboration and consensus building.

Mike Keen
Global Sales and Operations Planning Director
Norgren Limited

The Challenge

Evolving from reactive to proactive operations

Motion control and fluid technology solutions from Norgren Limited, part of IMI, improve the quality of everyday life in sectors from life sciences to rail transport. With eight distribution centers, five factories, 19 sales companies, and scores of partners and planners, Norgren runs highly complex planning and supply chain operations. 

 

As Norgren looked to the future, the company realized its systems were focused on the short term, with no link to a long-term strategy. The company could not accurately forecast demand spikes and shortfalls or capacity constraints and had to transfer financial targets, rather than volume forecasts, to suppliers.

 

To evolve from reactive to proactive planning and supply chain operations, Norgren needed to transform its business.

The Solution

Bridging the gap between operational and business planning

To realize its goal of long-term, proactive supply chain planning and operations, Norgren implemented SAP Integrated Business Planning applications for Supply Chain (SAP IBP), including SAP IBP for demand, SAP IBP for inventory, and SAP IBP for sales and operations.

 

SAP IBP applications support robust collaboration between Norgren’s demand and supply teams by providing enterprise-wide views of capacity, inventory, and supplier constraints to support short- and long-term planning. The applications also enable Norgren to establish one, integrated set of plans with scenario planning and versioning capabilities. This allows users to create “what-if” scenarios to aid mid- to long-term decision-making.

 

By enabling intuitive data integration with third-party systems, SAP IBP helps Norgren achieve a smooth conversion from value-based to volume-based forecasts. Norgren also benefits from simplified processing of aggregated demand and automatic disaggregation to the SKU level for the production plan.

 

With help from Westernacher Consulting, Norgren was able to achieve a smooth, agile implementation of SAP IBP with support for its people, processes, and systems.

The Result

Improving decision-making, productivity, and relationships

Through integrated business planning, Norgren is increasing supply chain visibility to smooth production of more than 150,000 SKUs.

 

Increased visibility of supply capacity and constraints helps Norgren accelerate cycles, reviews, and decisions, and improved demand forecasting for value and quantity helps improve relationships with suppliers. Support for cross-functional communication and better links between finance and supply chain teams enhance tactical decision-making processes, helping Norgren achieve its strategic plan.

 

“With SAP Integrated Business Planning for Supply Chain, we can see what’s on the horizon and take proactive action earlier. We have a common language, a shared system, and better processes for collaboration and consensus building,” shares Mike Keen, global sales and operations planning director of Norgren Limited.

SAP helps Norgren run better

Key business outcomes and benefits

  • Faster cycles, reviews, and decisions thanks to improved visibility of supply capacity and constraints
  • Improved cross-functional communication and better links between finance and supply chain teams
  • Better relationships with suppliers through improved demand forecasting for both value and quantity
  • Improved productivity and operating profit and better use of installed capacity with level-load production
  • Optimized inventory management, incorporating dimensions, such as forecasting and lead-time errors

Featured solutions and services

About Norgren Limited

Norgren Limited, part of IMI, is a world leader in fluid and motion control technologies, delivering exceptional solutions that improve the productivity and efficiency of its customers’ equipment. Norgren collaborates with customers across more than 50 countries in critical areas such as factory automation, material handling, rail, energy, process control, life sciences, and commercial vehicles.

Industry Region Company Size Featured Partner

Industrial machinery and components

 

 

 

 

Lichfield, England

 

 

647 employees

 

 

Westernacher Consulting
Featured Partner

Established in 1969, Westernacher Consulting operates worldwide, with consultants in Europe, Asia, and the Americas. Medium-sized to large companies trust in Westernacher as a reliable partner for innovation and operational excellence. More than 750 consultants provide in-depth expertise in process and SAP consulting, design, and implementation of complex IT applications.

Explore more customer stories

Back to top