Associated British Food Ingredients
Proactive Discover ™ Business Process Re-Engineering and Optimisation
Associated British Food Ingredients (ABFI) are a collection of Global businesses, operating in diverse markets such as life sciences, industrial biotech, fermentation, pharmaceutical research and food derivatives – they are subsidiaries of Associated British Foods (ABF). ABFI generated £7.7bn in revenue in 2023 and are responsible for the manufacture and distribution of many household names in the UK such as Twinings, Jordans and Blue Dragon. ABFI operate under 8 companies: AB Biotek Human Nutrition, ABITEC Corp, Fytexia, Ohly, PGP International, SPI Pharma, present in 16 locations across the Globe and 7 legal entities. ABFI had a desire to implement a global ERP system as a foundation for their ongoing digital transformation programme and were keen to leverage the Microsoft Dynamics stack to compliment technology initiatives already in place within ABF.
Challenge – ERP Template and Standardisation
Recognising the benefits of standardisation and harmonisation between business operations and process as well as technology, ABFI approached Mint Group with the following questions:
- How can Microsoft Dynamics support our Business Transformation initiative?
- Our businesses are diverse, is ERP standardisation possible and, to what extent?
- What is the associated return on investment with a new ERP system, specifically Dynamics and what is the potential for a business such as ours?
- What is the core 80% business process across Finance and Operations that we can leverage to ensure we have consistency in job roles, a lean supply chain process and a Global mindset?
- What is our Minimum Viable Product (MVP) and what gains in digitialisation can we still achieve by implementing a base solution?
The businesses within ABFI are autonomous in their own right, with cultural differences and variation in ERP readiness so there was a strong change management aspect to the engagement that ABFI acknowledged would need to be resolved before they attempted to design and implement an ERP system across multiple countries. ABFI’s main business driver for the implementation included:
- Excessive cost in licencing as a result of disparate ERP systems and technology across the group.
- No automated and consolidated reporting meaning there was a significant overhead in ensuring data was structure and presented back to HQ each month.
- Capability to leverage data and analytics to strengthen competitive edge.
- Defining a common support model across the business.
- No defined roles and responsibilities makes business growth difficult – no clear line of authority to approve decisions as business grows. Coupled with disparate workflows and role description.
Solution – Proactive Discover ™ Business Process Re-Engineering and Optimisation
Mint Group approached this challenge with their Proactive Discover ™ methodology. Proactive Discover leverages the Microsoft Catalyst approach of Design Thinking and Envisioning whilst also leveraging Mint Groups expertise in the manufacturing industry to ensure that any technology implementation is underpinned by a best practice to-be business process and standard Microsoft Dynamics. Proactive Discover particularly lends itself to companies which operate under multiple legal entities with disparate operations and technology as it assesses the root of the implementation – what is the objective I am trying to achieve?
Through a series of workshops, Mint Group engaged with the senior stakeholders of each of the businesses in scope first to determine the art of the possible, second to understand and empathise with each of the businesses external and internal challenges and thirdly to complete a Solution Assessment whereby our team of specialist consultants presented back the ‘new way’ of standard operation across each business, with all senior stakeholders present.
Nuances in process were captured and highlighted as well as exceptions to standard product. Mint Group also demonstrated some of the technology suggested to close any gaps to standard product, that could not be fulfilled by a process change. This technology included utilising F&SCM and powerplatform as well as suggestions around One Lake and data strategy and strategic ISVs.
Outcome – Rapid Delivery in 80% Core Capability
Mint Group worked with key stakeholders in ABFI over a period of just 8 weeks – moving the business from low engagement and autonomy to an ideal situation whereby senior sponsors in ABFI felt confident enough that ERP standardisation was a viable option both functionally and in terms of the businesses now feeling ready to accept some degree of harmonisation.
Furthermore, Proactive Discover ™ provided them with all of the qualitative and quantitative information they required to present the implementation and approach to the board, ultimately securing senior level buy-in and present detailed budgetary analysis.
As a result of the understanding that ABFI now had of the optimal rollout and approach, they were better served to create and issue an RFP document to prospective Partners.
The deployment outputs acted as a baseline from which to assess Partner responses and commercials.
As an ongoing initiative, Mint Group continue to be engaged with ABFI to ensure they are reducing the risk associated to the implementation in terms of pre-project readiness and proactive discussions around run-state organisation.