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04/12/2024
Success Story

SAP® migration at GWG Reutlingen – a housing company’s success story

How can housing companies meet the growing challenges on the market and at the same time take the pressure off their employees? The answer lies in digitalisation. Rising administrative costs, complex legal requirements and the need to react quickly to changes on the market require efficient solutions. For cooperatives, whose operational processes are regulated by cooperative law, there has been a lack of standardised ERP solutions to date. Therefore, until now there was always a risk that migrations could consume a lot of resources. GWG Reutlingen took the plunge anyway!
ERP-Einführung bei GWG Reutlingen

Starting point for Mission Future


The company opted for the new, preconfigured and ready-to-use system from PROMOS, which is based on SAP®. Together, the two companies managed the migration within 12 months. The result is a customised system that can meet the requirements of the property industry as well as the special requirements of cooperative law, while at the same time offering the flexibility and user-friendliness of web-based working.


Initial situation and project planning


With around 11,000 managed rental units, GWG – Wohnungsgesellschaft Reutlingen mbH is the largest provider of residential property in the Reutlingen region. In addition to letting and management, the company’s activities also include new construction. The Reutlingen-based company was already working with an ERP system based on SAP® before the migration. However, this could not fully map all operational processes and was also no longer fit for the future. Due to the special requirements, the introduction of standard software was not an option. Ultimately, GWG decided on the ready-made SAP® system PROMOS.GT ready2, which is adapted to the needs of property companies and is ready for immediate use. This decision not only saved time, but also minimised the risks typically associated with an extensive system migration. But how is it that PROMOS.GT ready2 is able to do in such a short time what otherwise regularly turns standard migrations into resource-guzzling black holes?


The advantages of the PROMOS.GT ready2 introduction


The introduction of PROMOS.GT ready2 combines the best of the two worlds of a greenfield and a brownfield approach. But what does that mean? While a greenfield implementation involves setting up a completely new system without any legacy issues, with a brownfield implementation the existing system is modernised step by step. You can think of it like a smartphone: either I upgrade my old phone and keep duplicate files, superfluous apps and the scratched screen, or I buy a new one and start again from scratch. An upgrade is, of course, much faster, but is not always available and does not solve all the existing problems. Setting up a new device, on the other hand, often takes a lot of time and patience.


The situation is similar with a greenfield versus brownfield approach. The solution? PROMOS.GT ready2. The SAP®-based system offers the advantage of a new, fully customised system that already contains tried-and-tested, industry-specific solutions. This eliminates the lengthy adjustment phase that is normally associated with a greenfield approach. At the same time, the time-consuming preliminary investigations and tests that would be necessary for a brownfield introduction can be skipped. In this way, companies often save months during migration, and GWG Reutlingen is no exception. Supported by PROMOS, the project began on 1 August 2023 and went live after just twelve months on 1 August 2024.

The PROMOS.GT ready2 introduction


The new system was introduced in several phases, as is standard. The so-called Delta Workshops play a central role in the introduction of PROMOS.GT ready2. In these workshops, GWG Reutlingen employees reviewed the solutions that are already available in PROMOS.GT ready2 with regard to necessary adjustments. GWG Reutlingen’s project management is satisfied: “In this phase, we clearly benefited from the many years of experience and in-depth industry knowledge of the PROMOS consultants. After all, just because we had become accustomed to the appearance and functionality of certain solutions over the course of time does not mean that they were actually good and effective. We therefore entered into an intensive dialogue with the PROMOS employees. We took a close look at where the existing solutions from PROMOS.GT ready2 already meet our needs well and where we still need to make adjustments. The result was a great many advantages for us and a very modern system.” For example, GWG Reutlingen decided to retain its own invoice receipt workflow. PROMOS customised the standard process in PROMOS.GT ready2 so that it corresponded to GWG Reutlingen’s usual processes and functionalities.


The special features of SAP S/4HANA® and Fiori®


PROMOS.GT ready2 is not only equipped with a whole bundle of industry-specific and tried-and-tested solutions, but is also based on SAP S/4HANA®, the latest business suite from the Walldorf-based industry leader. Thanks to the powerful in-memory database technology, data is processed in real time and complex analyses are carried out quickly. Another key advantage of SAP S/4HANA® is the user-friendly SAP Fiori® interface. Fiori® is a web-based interface that structures applications in tiles. It can be accessed via the Fiori® Launchpad, which enables access to various applications and data via a central URL, allowing employees to work regardless of their location. According to the project management, this web-based way of working is one of the most significant advantages: “We were already working with SAP® before. However, the fact that our employees can now simply log in to their browser from anywhere makes them much more flexible. They no longer have to click through the old SAP® GUIs, but can find what they need immediately thanks to the user-orientated interface in Fiori®.”

Software Oberfläche des neuen ERP-Systems bei GWG Reutlingen

Figure 1: On the start page, the clearly organised tile system allows users to access various options quickly and at any time – from contract management and document processing to task management.

Status quo


One year after going live, the project has been fully completed. GWG Reutlingen now benefits from a modern ERP system that fulfils the company’s needs. The project management from GWG Reutlingen emphasises: “With our new system, we can map all the requirements arising from cooperative law and our articles of association – from the obligation to prepare reports for members to the procedure for associates leaving the cooperative and the distribution of profits. And all based on the latest SAP® technology. This is something unprecedented in the sector of housing companies organised as cooperatives. We can be very proud of that.” The system also offers the flexibility and user-friendliness of web-based working. The combination of independent work in the browser and the easysquare professional app, which maps on-site processes directly in the ERP system, is particularly noteworthy.


Conclusion and outlook


GWG Reutlingen is currently examining the potential introduction of the SAP® Analytics Cloud. This solution would enable the controlling team and the management to gain an even deeper insight into company data and make more informed decisions. The Analytics Cloud offers powerful analysis tools that collate data from various sources and analyse it in real time.


The project management at GWG Reutlingen is proud to have successfully completed the migration and praises the close cooperation with PROMOS: “The introduction of the new system was a big step for us. Thanks to the competent support from PROMOS, we were able to carry out the changeover smoothly and on time. Our employees quickly accepted the new opportunities and now benefit from a much more efficient working environment.”


The SAP® migration at GWG Reutlingen impressively demonstrates how modern ERP systems can not only increase efficiency, but also enhance employee flexibility and satisfaction. The project is an example of how digital transformation can be successfully implemented in the housing industry.

redaktion@openpromos.de

Informationstechnologie und Immobilien (IT&I) Ausgabe Nr. 37 / Mai 2024

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