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Powerco: Transforming Financial Operations, Achieving Excellence with SAP Analytics Cloud Download the DocumentSAP Australia and New Zealand
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Industry WebsiteProduct and Services Featured SAP Solutions
Utilities www.powerco.co.nzElectricity and Gas Distributors SAP Analytics Cloud
Powerco NZ stands as the largest dual-energy distributor in Aotearoa New Zealand, connecting over 900,000 people across the North Island to essential energy
services. With a comprehensive network spanning more than 28,000km of electricity lines and 6,000km of gas pipes, Powerco plays a pivotal role in powering homes,
businesses, and industrial operations across urban and rural landscapes. Committed to fostering a sustainable energy future, Powerco's mission extends beyond mere
energy provision to encompass community well-being and environmental stewardship. Guided by Ngā Tikanga – Our Way, Powerco's diverse team of over 500
professionals works tirelessly to ensure safe, reliable, and resilient energy connections for communities, while also preparing networks for the transition to a low-
emissions future.
Recognising the need to modernise the organisation’s financial management processes, Powerco partnered with Bluetree Solutions to embark on a transformative
journey with
SAP Analytics Cloud (SAC). Powerco sought to streamline budgeting, planning, and forecasting operations, replacing outdated Excel-based systems with a
centralised, cloud-based platform. With a focus on enhancing data insights, facilitating informed decision-making, and optimising resource allocation, Powerco’s
journey with SAC reflects its commitment to innovation and operational excellence in the dynamic energy landscape of New Zealand.
Powerco Transforms Financial Operations,
Achieves Excellence with SAP Analytics Implementation
Data and Analytics
Industry WebsiteProduct and Services Featured SAP Solutions
Utilities www.powerco.co.nzElectricity and Gas Distributors SAP Analytics Cloud
Powerco NZ stands as the largest dual-energy distributor in Aotearoa New Zealand, connecting over 900,000 people across the North Island to essential energy
services. With a comprehensive network spanning more than 28,000km of electricity lines and 6,000km of gas pipes, Powerco plays a pivotal role in powering homes,
businesses, and industrial operations across urban and rural landscapes. Committed to fostering a sustainable energy future, Powerco's mission extends beyond mere
energy provision to encompass community well-being and environmental stewardship. Guided by Ngā Tikanga – Our Way, Powerco's diverse team of over 500
professionals works tirelessly to ensure safe, reliable, and resilient energy connections for communities, while also preparing networks for the transition to a low-
emissions future.
Recognising the need to modernise the organisation’s financial management processes, Powerco partnered with Bluetree Solutions to embark on a transformative
journey with
SAP Analytics Cloud (SAC). Powerco sought to streamline budgeting, planning, and forecasting operations, replacing outdated Excel-based systems with a
centralised, cloud-based platform. With a focus on enhancing data insights, facilitating informed decision-making, and optimising resource allocation, Powerco’s
journey with SAC reflects its commitment to innovation and operational excellence in the dynamic energy landscape of New Zealand.
Powerco Transforms Financial Operations,
Achieves Excellence with SAP Analytics Implementation
Data and Analytics
Challenges
Powerco encountered significant challenges in its financial management processes, heavily reliant on manual Excel Spreadsheets and email
communications for Budgeting, Planning, and Forecasting tasks across key financial statements, including the Income Statement, Balance
Sheet, and Statement of Cashflows. These manual processes posed inherent risks, including human and modelling errors, compromising the
accuracy and reliability of financial forecasts. The labor-intensive nature of these methods resulted in inefficiencies, with prolonged
planning cycles impeding timely decision-making. Efforts expended in finance were substantial, and the cycle time was slow, hindering
agility and responsiveness to changing market conditions.
Security concerns regarding the protection of Personally Identifiable Information (PII), particularly payroll information stored in spreadsheets,
posed a significant risk to data confidentiality and compliance. The risk of Intellectual Property (IP) and dependency was also evident, as
only a few individuals possessed the knowledge of the financial processes and models, leading to a single point of failure and potential
disruption in operations. Monitoring progress and tracking tasks proved challenging due to the use of incongruent spreadsheets and email
communications, with approximately 60 managers involved in the process. This lack of visibility delayed effective oversight and decision-
making.
Cumbersome review and approval processes further compounded operational inefficiencies, with evidence accumulation and proving the
existence and chronology of reviews challenging. Version control issues arose, with discrepancies between Finance and Business Units
working on different figures due to versioning and communication confusion, highlighting the need for a centralised and streamlined
approach to data management and collaboration.
The over-reliance on a limited number of individuals possessing expertise in navigating these complex processes further exacerbated the
situation, leaving limited time for meaningful analysis and insights over the output. These challenges collectively emphasise the need for
Powerco to modernise its financial management approach and adopt an integrated and efficient solution to drive operational excellence
and strategic decision-making.
Powerco encountered significant challenges in its financial management processes, heavily reliant on manual Excel Spreadsheets and email
communications for Budgeting, Planning, and Forecasting tasks across key financial statements, including the Income Statement, Balance
Sheet, and Statement of Cashflows. These manual processes posed inherent risks, including human and modelling errors, compromising the
accuracy and reliability of financial forecasts. The labor-intensive nature of these methods resulted in inefficiencies, with prolonged
planning cycles impeding timely decision-making. Efforts expended in finance were substantial, and the cycle time was slow, hindering
agility and responsiveness to changing market conditions.
Security concerns regarding the protection of Personally Identifiable Information (PII), particularly payroll information stored in spreadsheets,
posed a significant risk to data confidentiality and compliance. The risk of Intellectual Property (IP) and dependency was also evident, as
only a few individuals possessed the knowledge of the financial processes and models, leading to a single point of failure and potential
disruption in operations. Monitoring progress and tracking tasks proved challenging due to the use of incongruent spreadsheets and email
communications, with approximately 60 managers involved in the process. This lack of visibility delayed effective oversight and decision-
making.
Cumbersome review and approval processes further compounded operational inefficiencies, with evidence accumulation and proving the
existence and chronology of reviews challenging. Version control issues arose, with discrepancies between Finance and Business Units
working on different figures due to versioning and communication confusion, highlighting the need for a centralised and streamlined
approach to data management and collaboration.
The over-reliance on a limited number of individuals possessing expertise in navigating these complex processes further exacerbated the
situation, leaving limited time for meaningful analysis and insights over the output. These challenges collectively emphasise the need for
Powerco to modernise its financial management approach and adopt an integrated and efficient solution to drive operational excellence
and strategic decision-making.
Solution
Powerco’s Finance and Technology teams collaborated closely with Bluetree Solutions to produce a Solution Planning Study which
documented a comprehensive list of Initiatives and delivered on the joint creation of multi-year roadmap which was followed by a project lead
by Bluetree to implement SAP Analytics Cloud (SAC) for financial operations. SAC seamlessly integrated with existing systems like SAP
S/4HANA and Payglobal, enabling swift delivery of financial forecasts and budgeting. This integration facilitated unprecedented efficiency, as
evidenced by the swift delivery of the FY24 Re-forecast and FY25 Budget. Key models, including Network Maintenance Planning, Workforce
Planning, and Core Finance Planning, were implemented, marking significant progress in Powerco's financial transformation journey.
The partnership ensured meticulous management of model changes and data actions, promoting accuracy and knowledge sharing across the
organisation. Restricted end-user access and streamlined approval processes further enhanced efficiency and data integrity. With dedicated
team training and robust documentation, operational workflows were optimised for maximum efficiency.
Real-time dashboard views and comprehensive task tracking provided operational transparency, enabling stakeholders to monitor progress
effectively. Stringent version control measures ensured seamless collaboration, laying the groundwork for sustained innovation and growth in
Powerco's financial operations.
Powerco’s Finance and Technology teams collaborated closely with Bluetree Solutions to produce a Solution Planning Study which
documented a comprehensive list of Initiatives and delivered on the joint creation of multi-year roadmap which was followed by a project lead
by Bluetree to implement SAP Analytics Cloud (SAC) for financial operations. SAC seamlessly integrated with existing systems like SAP
S/4HANA and Payglobal, enabling swift delivery of financial forecasts and budgeting. This integration facilitated unprecedented efficiency, as
evidenced by the swift delivery of the FY24 Re-forecast and FY25 Budget. Key models, including Network Maintenance Planning, Workforce
Planning, and Core Finance Planning, were implemented, marking significant progress in Powerco's financial transformation journey.
The partnership ensured meticulous management of model changes and data actions, promoting accuracy and knowledge sharing across the
organisation. Restricted end-user access and streamlined approval processes further enhanced efficiency and data integrity. With dedicated
team training and robust documentation, operational workflows were optimised for maximum efficiency.
Real-time dashboard views and comprehensive task tracking provided operational transparency, enabling stakeholders to monitor progress
effectively. Stringent version control measures ensured seamless collaboration, laying the groundwork for sustained innovation and growth in
Powerco's financial operations.
Impact
Efficiency & Agility are evident
through the removal of 63
spreadsheets and their process, a 2-
week cut in the first planning cycle
and 50% faster revisions, thereafter,
saving 120 hours in Finance,
automated feeds from Payroll &
S4/HANA, improved aggregation and
granularity, and enhanced
transparency across all levels..
The Project & Risk metric signifies the
resolution of all 10 current state pain
point challenges, achieving on-time
and on-budget delivery, a
substantial reduction in Key Personnel
Risk, improved accuracy through
design enhancements, and the
implementation of tight version control
measures
User Experience is defined by 100%
adoption and positive feedback upon
first use, Managers' self-service
migration for data access, user-
controlled information security,
process-focused reporting availability,
and advanced analysis for executives.
The implementation of the SAC Planning at Powerco has yielded significant improvements in the Budgeting and Forecasting processes, driving tangible business outcomes and
enhancing overall operational efficiency. One notable outcome is the acceleration of Budget and Forecast cycles, facilitated by real-time scenario modelling capabilities. This agility
has empowered Powerco to adapt quickly to changing market dynamics and make informed decisions in a timely manner.
SAC has streamlined daily operations, standardising input forms, reports, and other essential functions. This standardisation has not only improved user experience but also enhanced
data quality, resulting in faster decision-making across the organisation. With improved data accuracy and accessibility, stakeholders can confidently rely on SAC-generated insights
to drive strategic initiatives and operational improvements.
The successful completion of the first phase of the project, incorporating four planned phases, marks a significant milestone in Powerco's journey towards financial transformation.
The expansion of planning areas and the incorporation of additional functionalities demonstrate Powerco's commitment to leveraging SAC to its fullest potential.
The project has not only delivered the expected savings but has also exceeded expectations in accelerating cycles, improving data quality, and expanding planning capabilities.
Outcomes in Phase 1 have evolved significantly as a result of the project. The focus on P&L for the main trading company within a tight scope has yielded tangible success. The system
operates seamlessly in the cloud, offering ease of use for end-users and aligning with Powerco's house style. Workflow functionalities ensure efficient task management and
completion, while roles and access control enhance security and eliminate the need for spreadsheet sharing and password management.
Cycle times have been notably reduced, and self-service access to budgets has been achieved, mitigating key personnel risk and disseminating budgeting knowledge across the
organisation. Powerco aims to adopt a 'do it together' approach to further enhance capabilities during Phase 2. Single Sign-On capabilities, automated data imports from S4HANA and
Payroll systems, and robust version control measures are among the key features implemented. Looking ahead to Phase 2, Powerco has a clear vision of its objectives and is well-
prepared to capitalise on the momentum generated in Phase 1.
Efficiency & Agility are evident
through the removal of 63
spreadsheets and their process, a 2-
week cut in the first planning cycle
and 50% faster revisions, thereafter,
saving 120 hours in Finance,
automated feeds from Payroll &
S4/HANA, improved aggregation and
granularity, and enhanced
transparency across all levels..
The Project & Risk metric signifies the
resolution of all 10 current state pain
point challenges, achieving on-time
and on-budget delivery, a
substantial reduction in Key Personnel
Risk, improved accuracy through
design enhancements, and the
implementation of tight version control
measures
User Experience is defined by 100%
adoption and positive feedback upon
first use, Managers' self-service
migration for data access, user-
controlled information security,
process-focused reporting availability,
and advanced analysis for executives.
The implementation of the SAC Planning at Powerco has yielded significant improvements in the Budgeting and Forecasting processes, driving tangible business outcomes and
enhancing overall operational efficiency. One notable outcome is the acceleration of Budget and Forecast cycles, facilitated by real-time scenario modelling capabilities. This agility
has empowered Powerco to adapt quickly to changing market dynamics and make informed decisions in a timely manner.
SAC has streamlined daily operations, standardising input forms, reports, and other essential functions. This standardisation has not only improved user experience but also enhanced
data quality, resulting in faster decision-making across the organisation. With improved data accuracy and accessibility, stakeholders can confidently rely on SAC-generated insights
to drive strategic initiatives and operational improvements.
The successful completion of the first phase of the project, incorporating four planned phases, marks a significant milestone in Powerco's journey towards financial transformation.
The expansion of planning areas and the incorporation of additional functionalities demonstrate Powerco's commitment to leveraging SAC to its fullest potential.
The project has not only delivered the expected savings but has also exceeded expectations in accelerating cycles, improving data quality, and expanding planning capabilities.
Outcomes in Phase 1 have evolved significantly as a result of the project. The focus on P&L for the main trading company within a tight scope has yielded tangible success. The system
operates seamlessly in the cloud, offering ease of use for end-users and aligning with Powerco's house style. Workflow functionalities ensure efficient task management and
completion, while roles and access control enhance security and eliminate the need for spreadsheet sharing and password management.
Cycle times have been notably reduced, and self-service access to budgets has been achieved, mitigating key personnel risk and disseminating budgeting knowledge across the
organisation. Powerco aims to adopt a 'do it together' approach to further enhance capabilities during Phase 2. Single Sign-On capabilities, automated data imports from S4HANA and
Payroll systems, and robust version control measures are among the key features implemented. Looking ahead to Phase 2, Powerco has a clear vision of its objectives and is well-
prepared to capitalise on the momentum generated in Phase 1.
“”It is very pleasing to have a digital transformation project go to plan and deliver all the outcomes
targeted. SAC Planning Phase 1 has seen a lift in efficiency, agility, resilience, and accuracy, of our
financial planning processes. It also provides the platform for us to take another big step forward in all of
these areas when we extend it to the Balance Sheet and Statement of Cashflows in Phase 2.
We really appreciated the expert input from Bluetree to help us roadmap a journey and then scope,
design, build, and migrate to our initial solution. We have formed a very good working relationship with
them, and we found them to be good operators - knowledgeable, accurate, professional, flexible and
customer focused. We now move on to Phase 2 together with anticipation.
Rudy Gesterkamp
Manager of Process, Systems, and Continuous Improvement for Finance
targeted. SAC Planning Phase 1 has seen a lift in efficiency, agility, resilience, and accuracy, of our
financial planning processes. It also provides the platform for us to take another big step forward in all of
these areas when we extend it to the Balance Sheet and Statement of Cashflows in Phase 2.
We really appreciated the expert input from Bluetree to help us roadmap a journey and then scope,
design, build, and migrate to our initial solution. We have formed a very good working relationship with
them, and we found them to be good operators - knowledgeable, accurate, professional, flexible and
customer focused. We now move on to Phase 2 together with anticipation.
Rudy Gesterkamp
Manager of Process, Systems, and Continuous Improvement for Finance