In the spotlight

Setting sail for the coffee business of tomorrow

In the spotlight

Setting sail for the coffee business of tomorrow

On course to the first ERP rollout for NEUMANN GRUPPE USA

We all live in a digital world. From buying clothes online, to checking in real time which street the delivery person is on, to paying for services with ours phones while knowing the exact balance of our accounts, we have become accustomed to interacting in a digital world. It helps us get the things we want faster and obtain important information easily.

At the same time, the world is becoming more complex, markets are becoming more volatile and regulations are increasing. Despite these challenges, we at NKG want to continue our success story and further grow our coffee business. That is why it is our high priority to become a digitalized company. We want to make the right decisions at the right time to support and drive the growth of the company, based on solid data and in a digital environment that we all are already used to. Yet, this will only be possible when all group companies speak the “same language,” follow common processes and make business information accessible to everyone involved in the transactions, ideally in real time.

A major step toward achieve this goal is to replace our legacy IT systems and implement state-of-the art ERP/CTRM software. With Microsoft Dynamics/Dycotrade as a unique, groupwide, shared, cloud-based solution, we are convinced that we have selected a strong and suitable system for NKG worldwide. Further, it is the core of NKG´s new holistic digital ecosystem that will come with several integrations to cover additional business requirements.

Focus
box

What is Microsoft Dynamics,
our future ERP system?

Microsoft Dynamics is an ERP (Enterprise Resource Planning) system, a software solution that helps companies to manage and integrate their business processes. It’s comprised of various modules that cover different business areas such as finance, sales, logistics and purchasing. The aim of an ERP system is to increase efficiency and transparency within a company by storing data centrally and optimizing the flow of information between departments.

What is Dycotrade, 
our FUTURE CTRM extension?

Dycotrade is a specialized software solution for commodity trading and risk management (CTRM). It provides comprehensive functionality to manage and optimize trading activities, including commodity trading, logistics, risk management, financing and reporting. Dycotrade is designed to support companies operating in the commodities industry by enabling them to efficiently manage their trading and risk strategies and increase the transparency and efficiency of their business processes.

And we have great news: With a project team of the Neumann Gruppe USA (NGUS) companies as front-runners, the global Digital Transformation Program (DTP) team from Hamburg is already on course for the first rollout! (read more here in the INSIDE NKG HUB).

Suffering from performance issues due to old IT systems, interdisciplinary teams from NGUS already started implementing a “light” version of Dycotrade before joining forces. “A year ago, we decided to implement Dycotrade with a vision of using IT to upgrade our business efficiency. Given the age of Rothfos’ system, we prioritized a fast implementation over a customized solution. The ambition to get to a 21st-century system was a huge motivating factor,” states Nicolas Rueda, CEO of NGUS.

As the introduction of Dycotrade was pursued simultaneously at global and U.S. levels, it became clear that a joint effort, integrating the U.S. rollout as the first implementation in the global NKG project, made the most sense.

This DTP & NGUS team will plan and execute the U.S. implementation of DycoTrade/MS Dynamics. The Steering Committee plans and decides the way forward, representating the holding’s Board of Management and NGUS (CEO Nicolas Rueda) during the U.S. rollout.

“We took advantage of the already existing deeper DycoTrade solution understanding gained by the U.S. team and added the fully dedicated global NKG team. As one team, we now deliver more sophisticated processes together and establish a wider digital eco-system for the U.S. beyond DycoTrade. Furthermore, we build a solid foundation in this first implementation to be leveraged in the future roll outs,” says Michael Bode, Director of IT & Digitalization.

“When Michael and Justin suggested joining efforts, we quickly agreed, knowing it would result in an ultimately richer system than we initially envisioned. While a larger team can slow down some processes, we believe the benefits of a bigger, fully dedicated team will be far greater than we can know, sharing the implementation workload,” Nicolas Rueda further explains.

Better performance stability, a modern user interface, better decision-making due to the ability to gain group-wide insights more quickly and improved processes underlying the new system — what the new solution will bring sounds promising. And the project team plans to introduce MS Dynamics/Dycotrade to all NGUS companies later this year. When and which NKG companies will be next after the first roll-out will be planned in the next months.

However, getting familiar with a new implemented solution while taking care of day-to-day business can also be a challenge and takes time. That’s why the project team attaches particular importance to supporting all colleagues during the transition. A dedicated team has been set up to provide answers to pressing questions, such as why the changeover is necessary, how exactly it will take place and what it means for everyone individually. The team is also working on building a network of contacts who can offer support when needed. They are planning the creation of various formats to continuously build up the necessary knowledge and create confidence in using the tool.

What we already know after the first steps of the U.S. rollout together: The recipe for success is excellent teamwork. Michael Bode sums it up well: “The approach of working hand-in-hand helps to create an environment of understanding, collaboration and trust, enabling everyone to evaluate different viewpoints to reach the best solution — for the local company and for the group.”

“We are grateful with all the colleagues who have vested their time beyond their daily duties to make our vision of connecting the coffee ‘ecosystem of the 21st century’ a tangible reality. We will get there soon!”

Nicolas Rueda, CEO NGUS

Stay tuned for further updates
about this exciting journey!

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