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Carlsberg
ProMark Opens up the Productivity Taps at Carlsberg
After the implementation of ProMark at the brewery giant, Carlsberg Danmark A/S, overview and productivity run out of the taps. The solution will enhance the utilisation of the employee resources and strengthen the management’s basis for decisions.
Something is brewing on the beer market. The past few years, the sales of beer have declined by 5-6 percent annually and at the same time the fight for the consumers has sharpened concurrently with the entry of new manufacturers. This makes heavy demands onthe Danish brewery giant, Carlsberg, which is focusing on resource optimisation and productivity enhancements in the fight for the customers. As a part of a thorough efficiency process, Carlsberg Danmark A/S has invested in a ProMark solution in order to enhance the utilisation of the employee resources and strengthen the management’s basis for decisions. The investment is expected to be paid back in 12-18 months.
- Carlsberg is a large production company that is rich in tradition and that will have to act on a dynamic market with keen competition. We have to keep a tight hand on the economy and at the same time be very flexible. This situation makes heavy calls on overview and planning, and within this particular area we very much needed a tool to automate and structure processes, explains Salary Manager in Carlsberg Danmark Lasse Geelmuyden, who has led the ProMark project.
Close Integration with SAP
ProMark integrates closely with Carlsberg’s large SAP system, which up till now has controlled the workdays for the employees in the production. But the need for better functionality and a higher degree of user-friendliness send Carlsberg Danmark on the hunt for a special system to this part of the company:
- For many years, Carlsberg has run SAP as ERP platform in the entire Group but we needed a dedicated system for the production planning that enables us to collect and analyse data in a simple manner. Large ERP systems may be complicated to work with and often require a technical expert to carry out the adjustments. We require flexibility, and ProMark has provided us with flexibility that we can manage ourselves, Lasse Geelmuyden tells.
The Key to Efficiency
To begin with, the ProMark solution covers Carlsberg Danmark’s supply chain- and logistics employees at the Coca Cola bottlery in Fredericia, which in a few years will be hosting all of Carlsberg’s production in Denmark. A total of 1,900 employees will be covered by the ProMark umbrella to begin with. Subsequently Denmark, Sweden and Norway will transfer to a common platform.
To the employees this means that they will click in on a ProMark terminal or on their PCs when they arrive, when they start up new jobs and when they leave.
- This enables us to collect employee and production data, which will serve as a basis for faster decision making processes. The real time consumption will be made clear and provide us with a true image of the production flows, which is crucial for our optimisation and efficiency strategy.
Strengthened Basis of Decisions
Previously the employees marked an A4 sheet with a cross when they arrived and subsequently nobody knew what they were doing. This was a significant problem to the production team managers who lacked a reliable data basis in the daily planning and in connection with the ongoing restructuring and efficiency process. The risk for making the wrong decisions was big and the possibilities of realising the specified strategy were undermined.
- With ProMark the production team managers now have a strong tool that gives them access to all data on working hours and assignments for the individual employee. The data are collected and handled in ProMark that also makes it possible to analyse the collected data. This strengthens our ability to plan and act flexible in incident cases, says Lasse Geelmuyden.
Sharp Planning
ProMark can obtain basic data such as competency profiles from the SAP HR system and will in the long term be very helpful when the production team managers make the disposal plans.
- The close integration with the SAP HR system definitely strengthens our optimisation and basis for decisions. If an overtime situation occurs, we will immediately get an overview of disposable employees and of their competencies. The better we are to carry out the manning, the better the production. We have to maintain the direction, while making sure that the production equipment is optimally utilised and in this connection ProMark will be a very valuable tool.
The Correct Wages
There are no simple wage slips at Carlsberg, which administers various collective agreements and several local agreements. Previously, the calculation of wages for employees appointed on a group contract basis was a time-consuming process with numerous subsequent questions to the wage slip due to its complex nature. But after the implementation of ProMark, the time-consumption and the number of questions have decreased significantly. The integration between ProMark and the SAP pay system means that all of the working hour data are transferred automatically to the wage system without the risk of human errors.
- ProMark ensures that the data basis that is sent to the pay system is correct in order to calculate all of the wage slip data correctly. We save time for administrative tasks alone by making the flow much more user-friendly. At the same time, we reduce the administrative expenses in connection with the overall payroll administration in the entire organisation because the employees become more resourceful. They get an enhanced overview of the wage slips and its content such as working hours, earned time in lieu, holiday and days off, and the need to contact the payroll office decreases, explains Lasse Geelmuyden, who has set the goal that everybody must understand the wage slip.
3 pieces of Good Advice
Carlsberg is a company that is rich in tradition, and Lasse Geelmuyden emphasises that the replacement of incorporated routines with new IT traditions is quite an upheaval, especially because it involves a degree of control of the employee’s workdays. He has made an effort in order to win the employees’ understanding in connection with the implementation of ProMark, among other things through local introductions carried out by local workgroups. Furthermore he has been given three good advices on how to approach the process:
- Get an overview of who the solution will affect
- Prove the value of the solution
- Make sure to choose a user-friendly system
- With ProMark we have chosen a solution that meets our requirements and that due to its user-friendliness is attractive to everybody, Lasse Geelmuyden concludes.
Carlsberg Danmark’s Promark Solution
Since 1997, Carlsberg Danmark has employed ProMark on the Coca Cola bottlery in Fredericia, which in the future will host all of Carlsberg’s Danish production. In 2005 Carlsberg initiated a thorough upgrade of the solution which at the same time was extended to include the entire logistics and supply chain area. A total of 1,900 employees in Denmark are covered by the ProMark solution. Subsequently Denmark, Sweden and Norway will transfer to the same platform.
Carlsberg Danmark’s ProMark solution consists of the modules ProTime, ProManagement and Integration to SAP HR/Payroll. Furthermore the solution includes terminals that are used on the individual locations as well as terminals that are installed directly on the PCs, which the employees can use as “PC in-kiosk”. The solution integrates closely with Carlsberg’s central SAP HR/Payroll system. Carlsberg Danmark chose ProMark due to the solution’s strong planning and efficiency functions in combination with a high degree of user-friendliness – areas which the existing SAP solution lacked.
According to Carlsberg Danmark, the ProMark solution results in economic profits due to the simplified administration and enhanced effectiveness.
About Carlsberg
Carlsberg is one of the largest international brewery groups in the world with app 100 subsidiaries and associated companies of which the majority are situated outside Denmark. Carlsberg and Tuborg are among the beer brands that are most widely spread geographically. Carlsberg consists of three companies: Carlsberg A/S, Carlsberg Breweries A/S and Carlsberg Danmark A/S. The Carlsberg Group employs app 30,000 employees including the employees in the associated companies and markets its products on roughly 150 markets.
Published December 4, 2006
