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Automotive

AUROBAY IMPLEMENTS SAP S/4HANA AS A FOUNDATION FOR TRANSFORMATION

Client: Aurobay
Region: Sweden
Industry: Automotive

After becoming an independent company in 2021 following a separation from Volvo Cars, Aurobay collaborated with Capgemini to launch a digital transformation project with SAP S/4HANA at its core

Client Challenge: After separating from Volvo Cars in 2021, Aurobay wanted to rapidly develop itself with a transformation program.

Solution: Partnering with Capgemini, Aurobay moved from Volvo Car’s legacy systems to a modern SAP S/4HANA platform after a 10-month-long project.

In 2021, Aurobay separated from Volvo Cars and became its own organization, now owned by Geely. This event offered the newly formed company a chance to define its own vision for the future.

Embracing this opportunity, Aurobay partnered with Capgemini to launch an extensive transformation program supporting the overarching ambition of, “Becoming Aurobay.” At the core of this initiative was the company’s desire to disconnect from the IT systems that it used in coordination with Volvo and create its own technological foundation that would enable more scalable and cost-efficient operations.

As part of this overarching initiative, Aurobay and Capgemini determined that the SAP S/4HANA platform would be the most effective platform for enabling future scalability and innovation. In order to support the program properly, this transformation needed to take place quickly. This launched a fast-paced project that saw Aurobay and Capgemini collaborate as a single, unified team.

Defining a transformation approach

The implementation of the S/4HANA platform was based on four guiding principles.

First, Aurobay and Capgemini agreed to utilize a standardized approach for the transformation. Doing so ensured that process design was aligned to the selection of system applications for standard operating practices. The partners leveraged Capgemini’s iCaptivate methodology, which combined pre-built accelerators with leading business practices. By incorporating lean and agile concepts, such as a scrum team, backlog, sprints, and feedback loops with users, Aurobay and Capgemini ensured that the project approach delivered as standard an SAP environment as possible while ensuring that its design supported easy management and growth opportunities.

The second guiding principle was rapid scaling with accelerators. Together, Aurobay and Capgemini assessed potential accelerators and frameworks to help facilitate and expedite changes as well as support the design of an infrastructure that could scale well as the business grew. This led the organizations to select Rise with SAP. The partners initially applied an application architecture and business process model to ensure that this was a good fit for Aurobay’s objectives.

Expertise and team unity

In addition to established methodologies and solutions that fit Aurobay’s particular needs and objectives, the partners relied on collaboration throughout the project, which they supported with the final two guiding principles of the project: a committed team and a strong partnership built on industry experience.

The S/4HANA implementation’s success relied on a tightknit team made up of members from both Aurobay and Capgemini that brought extensive technical knowledge to bear. This group engaged business stakeholders so that, while the solution remained as standard as possible, it also addressed the unique requirements inherent to the project and intended users. By utilizing the Rightshore resourcing model, the combined team optimized costs, supported efficient practices, and maintained easy collaboration throughout.

Finally, Aurobay and Capgemini drew upon extensive industry knowledge drawn from both organizations. While the project only began early in 2022, Capgemini had worked with companies within Geely group for the previous 4 decades. This meant that when Aurobay set off on its own, its depth of expertise related to the industry was equaled by Capgemini’s understanding of the automotive sector and the specific organizations in question. An existing Center of Excellence and SAP partnership meant that the partners could leverage world-class proficiency that covered every element of the project.

This is a really exciting time at Aurobay as we’re charting our own course into the future. SAP S/4HANA is a really important step for us to take. It made us more independent and capable of pursuing our vision for the years to come. Throughout the project, our relationship with Capgemini proved essential to success, as our unique combination of expertise and methodologies made for a relatively simple and painless transition.

Fredrik Alenrot, Head of Corporate Products, Aurobay

A foundation for the future

After only 10 months, Aurobay successfully completed a transition from the majority of its legacy environment and implemented the SAP S/4HANA platform. The delivery was not only the conclusion of this particular project but also an important milestone within the broader digital transformation initiative. The successful transition provided a new level of independence for Aurobay as a first major step away from Volvo systems.

With SAP S/4HANA in place, the new company is now prepared to support further transformations and innovative work. Going forward, Aurobay and Capgemini will continue their partnership in pursuit of a comprehensive digital transformation.