Röhm GmbH transforms its global trade in record-time
Röhm GmbH has replaced its old global trade service system with AEB add-ons for SAP®. The result: secure, lean, and more cost-effective processes.
Challenge
"The SAP® GTS solution we previously used was based on the extensive requirements of the original company. From our point of view, the introduction of a similar system would have meant too much programming and maintenance effort."
Barthold Budde, Trade Compliance Officer, Röhm GmbH
Following its carve-out from Evonik Industries, Röhm, global leader in methacrylate chemistry, transitioned into an independent company. With this significant organizational change, the company’s IT infrastructure had to quickly get on its own feet. This included the adoption of a new trade compliance and customs management system because the parent company’s SAP® Global Trade Service (GTS) could no longer be used.
With a global customer base and operations across Europe, North America, and China, regulatory compliance is crucial for Röhm. Some of the chemical substances involved in their manufacturing processes are highly toxic and subject to strict license requirements. The procedures in the export process are correspondingly complex.
Röhm sought a new global trade solution capable of meeting their regulatory demands, facilitating a high degree of automation, and moving services to the cloud in line with their IT strategy. They were looking for an intuitive solution offering integrated sanctions screening, comprehensive export controls, and customs filing within their existing SAP® ERP system, keeping employee training efforts as low as possible.
As provider evaluations proceeded, COVID-19 developments grew increasingly alarming, and first lockdowns loomed ahead. This meant for Röhm that the IT implementation would need to be managed with a fully remote workforce under extreme time constraints, as the existing GTS solution was scheduled for deactivation within less than a year.
Röhm partnered with AEB to implement a powerful set of SAP®-integrated cloud solutions. The project go-ahead was given in mid-March with go-live planned for August of the same year.
Without delay, AEB’s trade compliance and customs add-ons for SAP® were integrated perfectly into Röhm’s existing SAP® ECC 6.0 system, effectively extending the ERP’s functionality while ensuring compatibility with the existing digital infrastructure.
AEB’s data service ensures that relevant sanctions lists and export control legislation from the EU Dual-Use Regulation, US Export Administrations Regulations, and the German Foreign Trade and Payments Ordinance are always up to date while its ISO 27001-certified data centers deliver the highest standards for data protection and IT security.
In addition to standard cloud services, AEB delivered customized developments to meet Röhm’s requirements for retaining already established procedures for container shipping, customs handling, and the German ELAN-K2 connection.
Compliance checks are running automated in the background of Röhm’s business transactions in SAP®, offering central access from any location for quick decisions on critical check results. Export licenses are now managed directly in the system from initial application to automatic write-offs of consumed quantities. Customs declarations are automatically enriched with data and transmitted directly to customs, while intelligent templates and plausibility checks further improve efficiency.
Result
AEB’s expertise in SAP® systems and global trade management played a pivotal role in the smooth and timely delivery of the project in just five months.
Röhm significantly increased the level of automation for all trade compliance and customs management processes. This enables the company to maintain secure and compliant operations with minimal manual intervention.
The system generates substantial time-savings through real-time screening of business partners and export transactions against latest sanctions and export control regulations. Transparency and ease of managing high-risk transactions is delivered by the central compliance monitor. The automatic data-enrichment for customs declarations and electronic transmissions to customs authorities accelerates import and export processes. Seamless integration with ELAN-K2 platform for license applications further secures the export control workflows.
These advancements have reduced errors, streamlined processes, and allowed a smaller team to manage complex operations in less time. This delivers efficiency and peace of mind for round about 2,700 export declarations, 720 import declarations, 11 million address screenings, and 1.8 million export controls checks, demonstrating the robustness and scalability of the solution.
The system’s user-friendly design minimized training requirements, ensuring a smooth transition for employees. Overall, the implementation of AEB software has resulted in leaner, more cost-effective operations.
"The previous time-consuming, mostly manual system maintenance processes can now be completed much faster and by fewer employees – thanks to AEB software support."
Dr. Thomas Rudolph, IT Innovation & Business Relation Manager, Röhm GmbH
Accelerate and secure your global trade
The photographic material on tis page is the property of Röhm GmbH and may only be used for agreed purposes, may not be altered or made available to third parties. ©Röhm GmbH, 2021
About Röhm GmbH
Röhm GmbH is a global leader in methacrylate chemistry, serving industries such as automotive, construction, and medical technology. With 15 production sites across Europe, North America, and China, Röhm employs 3,500 people and generates €1.5 billion in annual sales. Their innovative products and renowned brands, like PLEXIGLAS®, highlight their commitment to regional presence and global expertise.