Western Sugar: Reducing system customization to improve efficiency
Explore Western Sugar’s journey with SAP
Western Sugar Cooperative is an American agribusiness that specializes in the cultivation of sugar beets. As it continued to grow, it struggled with an on-premise, extremely customized ERP infrastructure that was difficult to update, leaving it vulnerable to system collapse. To remedy this, it decided to implement SAP S/4HANA Cloud, public edition.
| Industry | Region | Company Size |
| Agribusiness | Denver, Colorado | 1,000 employees |
reduction in maintenance downtimes.
savings on IT operations.
improvement in reporting accuracy.
Director Corporate Controlling, Western Sugar Cooperative
Uprooting a long-standing, customized system
For more than 30 years, Western Sugar Cooperative conducted daily operations through a series of on-premise systems that integrated technology from Microsoft and SAP. These systems were tailored to the cooperative’s specific needs, making it a unique setup that was designed to accurately tackle the business’s daily tasks. However, technologically savvy individuals within Western Sugar’s IT department began to realize that this manual, customized system would harvest more problems than benefits. Not only was this patchwork ERP system difficult to upgrade, but it was also approaching a point of no return. Without a change, Western Sugar’s software foundation would ultimately collapse, leaving it vulnerable to attacks and workflow disruption.
Simply upgrading to a new solution, however, was easier said than done. Given how customized and long-standing its legacy system was, Western Sugar developers were keen to find a way to transition as much of its material as it could as smoothly as possible. The cooperative also wanted a solution ecosystem that could support and enhance its order-to-cash, procure-to-pay, and maintenance financing processes, as it determined these were three key aspects of its enterprise. Already familiar with Microsoft software, it hoped to find a solution that could house some aspects of the architecture its employees were used to working in. After making the decision to find a modernized solution, executives knew they might have to explain the benefits to change-resistant employees, many of whom were uncomfortable with leaving a system that had served their needs for years.
Director Corporate Controlling, Western Sugar Cooperative
Transitioning to cloud-based ERP to minimize risk
After a thorough search for a solution ecosystem that would best suit its unique needs, Western Sugar thought the business capabilities of SAP S/4HANA Cloud, public edition were very appealing. This cloud-based ERP software offers a variety of preconfigured, standardized processes, so the cooperative could choose how to configure its system without venturing into dangerous customization territory. With these processes in place, Western Sugar could optimize many of its key business facets and greatly reduce manual tasks, including the creation of bills of lading, delivery bills, and invoices.
SAP S/4HANA Cloud, public edition proved to be highly adaptable ERP software. The IT department at Western Sugar was delighted to learn it could migrate much of its data and software, including its Microsoft infrastructure, into the cloud. The cloud-based foundation would be much easier to upgrade and patch, which would provide valuable data and workflow security. It could also automate a variety of manual tasks, which could help the cooperative minimize costs and reduce tedious administrative labor that detracted from value-adding activities.
Optimizing data processes and establishing security standards
Soon after the public edition of SAP S/4HANA Cloud was implemented and went live, Western Sugar’s executives and employees realized the business implications the cloud-based ERP provided. Thanks to the embedded automation and preconfigured processes, the cooperative has safely downsized its procure-to-pay department by eliminating redundant or unnecessary manual tasks, which has and continues to result in essential savings that can be invested across the enterprise.
SAP S/4HANA Cloud, public edition also offers reporting and analytics capabilities that impact the enterprise. Relevant personnel can upload data into the system’s reporting and analytics tool and receive daily insights reports. These reports help departments – from IT to procurement – identify potential threats and weaknesses in their daily processes so they can act accordingly. Overall, Western Sugar has optimized many of its essential processes in a way that has supercharged productivity, improved customer satisfaction, and increased sales.
Broadening its SAP solutions portfolio
Following the successful implementation of SAP S/4HANA Cloud, public edition, Western Sugar continues to monitor its success metrics and reports positive results. It is also looking to diversify its portfolio of SAP solutions. Inspired by content covered at the SAP Sapphire event, Western Sugar has conducted research that has piqued its interest in deploying the SAP Datasphere solution. Since the cooperative would like to reduce data and solution silos, the solution’s compatibility with SAP S/4HANA Cloud, public edition makes it ideal for data warehousing.
The cooperative is also intrigued by SAP Fiori apps, which are compatible with its existing SAP software infrastructure. With integrated mobile apps, Western Sugar personnel and growers can access the data they need to further forecast issues and improve efficiency – no matter if they are in the office or in the field.