AArla Managed Services Case Study

AIntroduction to the client

Arla Foods is an international cooperative based in Aarhus, Denmark. Among the cooperative dairy companies, Arla is the third largest in the world and the seventh largest dairy company measured by turnover. Arla Foods engaged with Bluestonex Consulting for the provision of third-party SAP application support during the transition of their UK SAP instance onto a global SAP platform. The transition was complicated in the fact that the vendor currently carrying out application support was in fact a competitor to Arla. Bluestonex included the provision of a long-term strategic roadmap for decommissioning the legacy UK SAP ECC instance, thereby helping Arla realize significant future savings to OpEx expenditure through the consolidation of their existing UK SAP footprint.     

ABusiness Challenge(s)

o Heavily bespoke system requiring specialist knowledge & capabilities.
o Risk of being dependent on single application service provider.
o Internal team capacity and the need to address priority business initiatives.
o Utilisation of internal SAP resource on global roll-out.
o Reduce total cost of ownership of UK SAP ERP instance.
o Reduce overall number of support requests logged.


ASolution Overview

We believed that SAP application support should be viewed as an insurance policy by Arla. Our team of dedicated experts performed a thorough due diligence of the existing support model, business processes, configurations, end user traits, customizations and interfaces. We immediately identified areas that could be improved as part of the overall transition to our managed service, defining a cost-effective and comprehensive service level agreement framework to address Arla’s specific BAU needs.

Bluestonex adopted a user-first approach to application support provision and were pro-active in both collaborating with Arla’s SAP user community and empowering key business users through mentoring workshops. Our ABF (Analysis Before Fix) approach addressed process improvements at source, thereby reducing number of calls logged with helpdesk in the long-term. This included the establishment of a key user community and cataloging of existing training documentation that underpinned the execution of key business processes. This approach helped us deliver an overall call reduction of 10% in overall calls.

Whilst Bluestonex were primarily responsible for ensuring that the SAP application environment was in a stable production state, strategic advice was given in order to streamline the transitional phase to Arla’s global SAP model and minimizing the impact posed by shifting towards more standard SAP application adoption. This included process automation for activities previously carried out by Arla’s internal SAP support team and highlighting processes which could be shut and moved out of the SAP landscape.

ASuccess Metrics

o Achieve BAU targets of 24X7, 365 days of SAP availability.

o Achieve BAU targets of 99% SAP availability 


‘Bluestonex helped us move a SAP system application support service from one vendor which immediately removed risk and reduced cost’