For an organization with approximately 4,000 employees worldwide and a complex application environment, this was anything but easy. Due to time constraints, DSM's IT landscape was taken as a starting point. In this case, Danny van Oost, Director Digital Solution Delivery and Bas van Trier, Chapter Lead Support Functions, both working at Envalior tell us about the approach and results of this IT transition.

Danny was closely involved in this transition as a Chapter Leader. Together with Bas, the other Chapter Leads and the internal Digital Solutions Team, he bore responsibility for integrating the two companies into one SAP environment and executing the integration strategy. This challenge could only succeed with the help of an expert project team, consisting of the internal IT team supplemented by external IT consultants.

Several project managers from Valid were involved in this transition. Among them was program manager Yvo Brands. As part of the core team, he was closely involved in supervising the carve-out of both DSM and Lanxess. In addition, at a later stage he was responsible for one of the four important pillars within the project: support functions.

The challenge: speed over perfection

Setting up the Envalior IT infrastructure and carve-out from DSM had a hard deadline: by April 1, 2024, Envalior had to have its own IT infrastructure live and be completely disconnected from DSM. This time pressure determined the program's approach. A pragmatic strategy was chosen, in which the existing DSM SAP environment and integrated applications were migrated like-for-like to Envalior's new infrastructure. The premise of the SAP migration was clear: First make sure everything works, then optimize. "Speed above perfection," says Danny, aptly summarizing the approach taken.

The technical side of this merger was one aspect. Just as important was including employees in this change. For many colleagues, the transition to Envalior meant that processes changed or that they had to work with new systems. Therefore, in addition to the technical migration, change management was also used: guiding people through the transition. The impact of the change often only really becomes clear once people start working with the new system. For that reason, an extensive hypercare phase was part of change management. This is always a challenging component. In retrospect, additional attention to this could have provided even more value. At the same time, the current approach provided important insights that Envalior is now using in future changes.

The approach: structure and collaboration

To maintain control and progress, the program was divided into four pillars: infrastructure and network, support functions, non-SAP applications and SAP. A program manager was responsible for each pillar. This clear division ensured overview and ownership and created short lines of communication.

As program manager, Yvo was responsible for the support functions pillar. He monitored the process, asked the right questions and acted as a sparring partner for the internal organization. Danny emphasizes:

"Yvo never acted as an external. All external consultants were fully included in the team and given the trust and freedom to add value to the project from their own strengths. This approach was an important pillar for success. Because everyone worked together as one team, decisions could be made quickly and people, internal and external, went through fire for each other to deliver according to expectations."

Implementation of the project was intensive. Because the different pillars of carve-out and integration ran in parallel, the teams coordinated weekly on dependencies between the projects. In addition, much attention was paid to user acceptance. Before the go-live, extensive testing sessions were organized in different regions. The local presence of team members in countries such as China, India and the US proved crucial for the quality and acceptance of the new SAP system. Project members were also on site during the go-live to provide direct support to employees.

Anchor security from day one

From the start, there was a lot of focus on cyber security. From the beginning, Envalior firmly established this with a strong CISO role. Security was not a separate process, but an integral part of every decision in the carve-out. Especially during a transition where systems are disconnected, new environments are built and employees start working with other applications, additional risks arise. By embedding security in the governance, architecture and operations from day one, you prevent it from becoming a costly catch-up afterwards.

Results: a solid foundation for the future

Within a year, an Envalior IT environment was created, and after two years, all 4,000 employees were working fully in this new environment. The SAP and non-SAP applications were operational and the new global network was in place. Despite the complexity and tight planning, business continuity was maintained.

For Bas and Danny, one aspect takes center stage when they look back - cooperation. "The success of this project came from the team spirit. This shared foundation made the difference and ensured that the project was completed within the timeline and budget."

Valid played an important role because several experienced project managers and business analysts were involved in crucial places within the project. In complex projects with a large IT issue, Valid's strength comes into its own: quickly creating an overview, providing structure and ensuring that strategic choices remain practicable. With an integrated approach to technology, people and process.

The carve-out of DSM and Lanxess and integration into a single SAP environment marked the first major step toward a unified Envalior organization. Envalior is now focusing on the next phase: optimizing and rationalizing applications and processes within the four pillars. Whereas in the first phase speed and continuity were key, there is now room to simplify and future-proof systems and processes.

Tips for a successful carve-out

For a carve-out and integration of this magnitude to succeed, Bas and Danny share some key lessons:

• Stay pragmatic, don't strive for perfection. 80% is often good enough to move forward.
• Set a clear end goal, but remain agile. Keep room to adjust as needed along the way.
• Stay close to the scope. Avoid straying by agreeing on clear frameworks in advance.
• Invest in collaboration and team spirit. Internal and external people must act as one team, which makes all the difference. This makes you go through fire for each other.
• Don't forget security. Establish this firmly from the beginning, for example with a strong CISO role.
• Provide hypercare. Plan a period of intensive support immediately after transition.
• Keep a grip on budget and resources. Tight budget management prevents surprises.
• Dwell on change management. Without paying attention to the human side, you run the risk of resistance. Take employees along step by step to create support.
• Celebrate successes. It motivates teams and keeps energy high.

As mentioned earlier, good cooperation was one of the key success factors. "With the right people, the right focus and a close-knit team feeling, you make the difference," Bas and Danny said.