Mlékárna Hlinsko, a.s.

Mlékárna Hlinsko is a Czech producer of dairy products

Product and customer profitability calculations

Company website
http://www.tatramleko.cz/en/

Headquarters
Hlinsko, Czech Republic

Industry
Dairy production

Products and services
Long life milk, butter, flavoured milk, ice creams and other





Business need
Mlékárna Hlinsko aimed to build a company wide planning solution that would integrate department plans and enable accurate profitability calculations. Existing spreadsheet-based solution didn't provide sufficient granularity, flexibility, security, integrity and performance. The new solution was to utilize existing MS SQL Server data warehouse.

Resolution
For Mlékárna Hlinsko we created a comprehensive planning application, using SAP Business Planning & Consolidation, version for MS SQL Server. The application covered sales planning, production planning, standard financial planning and profitability calculations. The solution also covered standard financial budgeting, forecasting and reporting.

The project has been delivered by consultants of the MIBCON Group.

Key benefits

  • Enablement of fast, flexible and detailed product and customer profitability calculations and analyses.
  • Shorter planning cycles and reduced amount of induced FTEs.
  • Significant reduction of data duplication, inconsistencies and human errors.
  • Built-in planning workflow, security and audit trail.

Key features

  • Detailed product and customer profitability calculations.
  • Automated calculation of direct costs, using input parameters such as production volume, price of milk, fat percentage, bills of material, etc.
  • Multi-level allocation of overheads to products and customers.
  • Support for flexible, scenario-dependent definition of overheads, selection of allocation keys and allocation targets.
  • Import of BoMs and standard prices from primary production system, followed by automatic calculation of material and packaging costs per product.