As a traditional family business, the Westfalen Group has stood for continuous growth and innovation for over 100 years. With the distinctive white horse on a red background, it is active in the areas of technical gases, cold and heat, filling stations and mobility as well as respiratory home therapy – and consistently relies on the most modern financial and business processes. As part of the ONE Finance project and as part of the preparations for the implementation of SAP S/4HANA, the company is creating the basis for precise, segment-oriented corporate management.
With around 2,200 employees and sales of 2.25 billion euros in the 2023 financial year, the family company founded in Münster in 1923 now operates at over 20 production locations in Europe. This success story would not have been possible without continuous innovation and adaptation to new market conditions. An example of this is the ONE Finance project, which supports the digital transformation of the Westfalen Group.
On the system side, the company is faced with the task of switching from SAP R/3 to SAP S/4HANA. In order to optimally meet the requirements of a changing business environment, Westfalen placed a particular focus on modernizing financial and business processes in SAP R/3 at an early stage. “A modern control concept based on segments requires structured financial data in the income statement and balance sheet in order to make the right decisions. That was the motivation to activate the new general ledger in our existing SAP R/3 in order to implement segment accounting with which we can generate precise figures for the individual business areas,” emphasizes Tilman Heise, Head of Controlling Systems at Westfalen.
Step-by-step implementation for sustainable success
The decision to take a step-by-step approach by implementing the New General Ledger (New GL) in the current SAP R/3 was also motivated by the need to prepare for the transition to SAP S/4HANA and thus minimize risks. This also enables the company to benefit from the improved financial data before the switch. “We looked through various options for introducing the SAP New General Ledger (New GL) and ultimately decided on an introduction to SAP R/3 with our migration partner cbs in order to smooth the transition to SAP S/4HANA. At the same time, we wanted to take advantage of the opportunity within the ONE Finance project to streamline our chart of accounts and bring our new control concept to life,” explains Tilman Heise.
Tests and adjustments for a successful transition
Multiple testing cycles, including unit testing, integration testing and performance testing, ensured that the migration could be completed successfully within the planned time frame. This also required optimization of the hardware in advance of the changeover: “We worked together with our service providers on system performance so that the migration runs smoothly on the planned weekend,” explains Tilman Heise.
The core team included employees from the areas of controlling, finance & accounting and IT. This team was supplemented by the migration partner cbs and other external consultants. The close cooperation and early involvement of the specialist departments were crucial to the success of the project. “Everyone involved was involved early on so that they could work effectively. A particular success factor in the project was open communication. Feedback was given and accepted by each other. It was a very constructive collaboration, we are moving forward together,” reflects Stephan Tybus, manager and project leader at cbs.
Precise control and future-oriented systems
“We are very satisfied with the result and will now tackle the next steps of improvement and optimization that we have planned. With ONE Finance, we have already created a good basis for modern corporate management in SAP R/3,” says Tilman Heise.
“The Westfalen Group impressively shows how tradition and innovation can be successfully combined. With the targeted modernization of its financial systems, it is securing a future-proof basis for sustainable growth. With more precise control instruments and innovative processes, it remains competitive even in a dynamic market and is therefore a role model for successful digital transformation in medium-sized companies,” emphasizes Stephan Tybus, Manager at cbs.
About the Westfalen Group
The Westfalen Group is active in the areas of technical gases, cold and heat, filling stations and mobility as well as respiratory home therapy. With its products and services, the company is increasingly offering solutions that help customers become more sustainable. The energy source hydrogen in particular is playing an important role in more and more areas. The family business, founded in Münster in 1923, is now represented with numerous subsidiaries and affiliated companies at over 20 production locations in Germany, the Netherlands, Belgium, France, Switzerland and Austria. In the 2023 financial year, around 2,200 employees generated sales of over 2.25 billion euros.
