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Customer Snapshot

Shedding New Light on Customer Needs

Good indoor climate
increases kids' learning
abilities by up to

15%

 

Rapid global expansion is good for business. But it puts pressure on IT to provide easy access to critical data, identify market trends, and react faster to customers’ needs. Faced with this very situation, VELUX saw a window of opportunity to improve both performance and results with SAP.

 

Company

The VELUX Group

Headquarters

Hørsholm, Denmark

Customer Website

www.velux.com

Revenue

€2.4 billion

Number of Employees

10,000

Implementation Partners

Accenture, HP, SAP Services

Line of Business

Sales, Finance, Information Technology

Industry

Mill Products

Featured Products

SAP Business Planning and Consolidation, SAP Business Warehouse, SAP BusinessObjects, SAP Lumira, SAP HANA, SAP Customer Relationship Management, SAP Predictive Analytics

History

Sky’s the limit

Everybody deserves some sunshine and fresh air. And Villum Kann Rasmussen built what he called a “model” company to make it happen. He wanted VELUX, now a leading manufacturer of skylights and related products, to be the company against which others benchmark themselves.

 

  • 1941Villum Kann Rasmussen (known as KR) founded V. Kann Rasmussen & Co.
  • 1942The company developed their first roof window and registered VELUX as a trademark.
  • 1952VELUX expanded into Germany, the United Kingdom, Belgium, Holland, Austria, Switzerland, and France.
  • 1970Manufacturing facilities opened in Great Britain, France, and the United States.
  • 1980 Product innovations included integrated blinds, shutters, and balconies on roof windows.
  • 1997The VELUX Group established an environmental policy to minimize consumption, waste, and emissions
  • 1999Company launched VELUX Solar Energy.
  • 2000Product innovation continued, including electronic windows with wireless controls.
  • 2005VELUX Group’s new vision was launched: “To lead the development of better living environments with daylight and fresh air through the roof.”
  • 2009The VELUX Group initiated the ‘Model Home 2020’ project to show that it’s possible to build sustainable buildings for the future – today.
  • 2012Two new product ranges were launched, forming a completely new business area that focuses on bringing daylight and fresh air into commercial buildings. This represents VELUX´ largest investment to date and reflects the company´s commitment to solving global challenges.

Business Model

Yes, they do windows

With manufacturing and sales operations in more than 40 countries, VELUX windows are installed all across the globe. Thanks to an extensive, local distribution network, the brand is well-known among property owners, who appreciate the quality and accessibility of VELUX products and services. Serving customers and partners with local know-how, the company is committed to developing better living environments for people

Success Strategy

Bringing light and air into homes across the world

The VELUX product portfolio includes roof windows, modular skylights as well as a variety of decorative and sun screenings, roller shutters, installation solutions, and remote controls. The company is committed to providing flexible solutions that allow for more daylight, even for roofs that were considered unsuitable for window installations. In fact, by leveraging sophisticated craftsmanship and different kinds of roof tiling, VELUX is able to provide window solutions for almost any roof shape – turning previously dark and airless loft spaces into cozy living spaces. The main value proposition of the company´s products is to create a healthy indoor climate. Be it for work, living, playing, or relaxing.

 

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Reinventing the Window

The Challenge

Self-service for all lines of business to reduce IT dependence

Most importantly, VELUX’ goal is to make sure that users are able to serve themselves on the platform, rather than having to ask a business analyst or IT to help them generate a report. While this may sound easy, it requires a drastic change in how business analytics is perceived and an agile user interface.

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Creating agility around BI

Enter SAP

Establishing one truth, powered by in-memory technology

VELUX has been on a journey to establish one version of the truth by storing all relevant information in a central data warehouse that is easy to access. After using the SAP Business Warehouse and SAP BusinessObjects Business Intelligence (BI) platform for several years, the company started leveraging additional offerings from SAP, such as SAP Data Services, to feed all relevant information from across the business into their data warehouse.

 

Intrigued by the capabilities of SAP’s In-memory technology to speed up processing of large amounts of data, the team moved their SAP BW deployment onto SAP HANA. VELUX also selected SAP Business Planning and Consolidation powered by SAP HANA, with its robust business planning and rolling forecasting capabilities, as their planning engine to further support their vision of creating a single truth for employees.

 

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Changing our budget and planning processes to meet our vision

Following the roll-out of SAP CRM across their European business, the VELUX sales support team was able to provide the sales force with instant access to all relevant customer data from across the company.

The SAP Experience

Simplicity matters

Simplicity matters a lot to VELUX – not only when developing new products for their customers, but also in the area of analytics. Making something simple is not a simple task. Together with SAP, VELUX is on a journey to provide quick answers to questions that arise on a day-to-day basis and with that, to facilitate decision making. The biggest challenge for the team is to convey the results of analytics towards the users in an easy and understandable way.

 

“It’s my experience, if you’re able to do that in a simple manner, then you will succeed. If you do it too complicated, then you won’t succeed. So I think simplicity and the way we do optimal analytics, they go hand in hand.”

–Anders Reinhardt, Head of Business Intelligence, Velux A/S

 

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Making something simple is not a simple task…

 

Intrigued by SAP´s guiding principle to help all customers Run Simple, VELUX is watching new innovations from SAP very closely to support their own journey and to take advantage of new approaches to conquering complexity. Just recently, the company upgraded to the latest release of SAP BusinessObjects Business Intelligence to get access to new features and enhanced user interfaces, as well as to more tightly integrate the different front-end tools from SAP they use for an even simpler user experience.

 

Success, Thanks to Strong Partners

To successfully deploy, manage and enhance their sophisticated SAP landscape, VELUX relies on partners such as Accenture, HP and SAP Services, ensuring they receive the highest possible ROI.

 

“I would recommend using some of SAP services because you just have to realize at least within business intelligence, that there is so much integration going on now, luckily, because we’re also taking advantage of that, that things are becoming complicated and if we can speed up things by applying a service from SAP, why wouldn’t we?”

 

–Anders Reinhardt, Head of Business Intelligence at VELUX A/S

Better Business

More informed users - new opportunities

Three years ago there were about 800 users on the reporting platform. Now there are 2,200 users with an expected increase to 4,000 in the upcoming year. Despite the extensive use of the BI platform across VELUX, users consistently experience fast response times of seconds, and BW on HANA enables them to manage larger amounts of data resulting in reporting feats that were simply not possible before. SAP Business Planning and Consolidation powered by SAP HANA enabled VELUX to deploy a planning solution that is easy and simple to use and supports rolling planning and forecasting. VELUX is also embracing more advanced analytics. For example, utilizing SAP Predictive Analysis, the company is running a project focused on warranty costs to understand which products have a strong potential to fail and to clarify the impact on the company’s bottom line.

 

“The main benefit that we have is actually taking away the […] black box element of what we are doing with our […] sales reps in the field, and to actually help them to plan better, to execute better in front of the customers, to make sure they’re seeing the right customers, and to give us that transparency over the activities that we do and the results that that delivers.”

 

–David Varey, Head of Global Sales Support, Velux A/S.

 

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Where good gets better…

Benefits

Benefits to internal and external customers

As adoption of the new reporting and planning offerings increases across the company, hard work and investments in innovative technology are paying off for both employees and customers.

 

 

With the new, enhanced SAP landscape, VELUX has enjoyed:

4-5 seconds

Consistent, fast response time for reporting queries thanks to SAP BW powered by SAP HANA

 

300%

increased usage of BI tools across the company in the last three years (+ expected increase of another 180% by 2015)

 

Monthly forecasting

and planning that's rolling, as opposed to annual planning

 

 

 

Enhanced predictability

of product failure for better customer service and better control over financial implications

 

 

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Handling product failure with the customer in mind

Run Simple

Everybody wins

VELUX is on a journey to dramatically change the way employees across all lines of business access and manage the data that is relevant for their jobs. Sales employees now have easy access to all the insights they need to prepare for customer meetings, and executives can monitor business performance using dashboards.

 

“There used to be a lot of dependency on core resources whenever you wanted new reports or you wanted something changed. We would see that either you would go to finance or you would go to IT. We’ve really tried to spread the message that, why not try to help yourself, if we can create systems that are easy to use, you can do your own report if you want to. You don’t have to ask somebody for help and we’ve really tried to kind of foster that idea and rolled out systems to support that.”

 

–Anders Reinhardt, Head of Business Intelligence at VELUX A/S

 

Even for more complex analytics or planning jobs, there is now a solution in place that is simpler and easier to use than what employees were used to. And the fact that even those complex jobs don´t take forever to show up on the screen, but run fairly fast has dramatically helped to drive user-acceptance and adoption across the company.

 

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David Varey – Head of Global Sales Support, VELUX

Journey Ahead

Continuous innovation shapes modern indoor lifestyles

Considering these impressive results, one would think that VELUX would declare themselves satisfied with the status quo achieved. Yet, the team does not stop there. With the goal of being a model company, VELUX continues to strive for innovation and constant improvement.

 

Next On the Agenda: Data Discovery and Predictive Analytics

VELUX knows that their ambitious goals can only be realized with an empowered workforce that is not distracted by internal processes and tools but can focus on their actual jobs. As a next step in the evolution to an agile reporting environment, the team is now taking a closer look into Data Discovery and the SAP Lumira software to create an even more flexible reporting environment for employees. With SAP Lumira, business users will be able to bring the big picture and granular details together. The creation of visuals to support the data will just be a matter of a few clicks, thanks to a simple user interface that doesn´t require a lot of training or expertise to use.

 

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Working on future planning with more visual techniques than spreadsheets

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