Hanse Orga Group: Supercharging SAP Financials

Sven Lindemann, CEO Evolving business dynamics involving entry into new markets and regulatory mandates just make the tip of the iceberg that CFOs have to deal with. Managing finance in today’s fast paced world is anything but easy. While SAP’s Financial Supply Chain Management (FSCM) platform provides a great range of features for global finance management, there is room for further enhancements with regard to automation and integration of key finance processes, particularly in the area of Order to Cash (O2C) and Purchase to Pay (P2P). Credit management, collection management, cash application, and dispute management are perfect examples where process optimization can help corporates using SAP achieve their true potential. “We overcome the typical impediments in every day finance processes by bringing end-to-end automation across the Order to Cash processes,” affirms Sven Lindemann, CEO, Hanse Orga Group. He remarks, “We are AMG in the world of finance value chain for SAP.” Akin to how AMG catapulted Mercedes- Benz to the top of the motorsport world with its high performance enhancements, Hanse Orga Group has augmented the power of SAP by building a centralized, automation-driven solution system built natively to govern the end-to-end processes in the areas of Order to Cash (O2C), Purchase to Pay (P2P) and Treasury.

Enhancing Cash Visibility

For a modern CFO in a corporate, having clear visibility into cash flow is imperative to improve liquidity. To achieve cash visibility, a corporate needs to have higher levels of automation across the various components of the finance supply chain such as O2C and P2P cycle. Cash visibility, however, depends on a firm’s ability to overcome data integration challenges in a standard SAP platform. “Hanse Orga Group brings the wherewithal in the form of an SAP-embedded software suite, FS2, that has revolutionized the way financial supply chain is managed in SAP—on premise, in the cloud or in a hybrid approach,” Lindemann substantiates. FS2 integrates global financial data from various systems, empowering the finance teams with key insights in the form of real-time key performance indicator data on easy-to-use dashboards that support cash visibility. The dashboards also provide management with an instant overview of all key data and enable informed management decisions. Cash visibility and forecasting is only as good as the data they are based on. SAP customers leverage Hanse Orga Group’s intuitive suite to bridge the silos across processes and consolidate cash flow data from all company-wide systems while automating the workflow in working capital management. Additionally, FS2 supports S/4HANA and the earlier SAP versions, and provides Fiori functionality that ensures powerful graphical recording functionality and intuitive SAP dashboard features.

"We enhance SAP capabilities with our intelligent solutions driving unparalleled levels of efficiency"

As a robust and scalable suite for automation, optimization, and standardization of global cash management, FS2 facilitates centralized payments and secure bank communication, optimized cash forecasting, and compliance-driven transactions resulting in cost savings through minimized global payment fees. Being a SAP Silver Partner, Hanse Orga Group excels in automating the evaluation of business data such as Days Sales Outstanding (DSO) and Days Payable Outstanding (DPO) and provides key information on settlement, billing processes, and revenue management.
Furthermore, the suite’s mobility and flexibility capabilities—supported by comprehensive reporting bring a holistic view of the global financial data to facilitate insights-driven decisions across the financial value chain that addresses financial and treasury challenges.

O2C Processes – Detailed to Perfection

Having recently acquired a specialist provider of SAP-based credit and receivables management solutions, Hanse Orga Group brings a holistic O2C suite that helps businesses unlock the hidden cash potential of their accounts. “The most important aspect of this acquisition is that the company’s solutions are available as an add-on to SAP that enriches the functionality of the SAP platform,” highlights Lindemann. From credit management including credit rating categories and scorecards to integrating market data from information providers such as Dun and Bradstreet and other third party vendors—all the data can be collected and updated to SAP systems automatically. With this, businesses gain an automated credit rating scorecard for the customer, while the score is updated in real time. This is Know Your Customer (KYC) at its best. Additionally, the O2C suite empowers businesses to focus on those customers who delay payments and allows them to implement dunning to get their payments. “The automated collection process facilitates enterprises to easily track invoices that are sent to customers and focus on taking further actions to get the payments faster.”

By automating O2C and P2P processes, corporates fast forward their business

Once payments are received via check, lockbox bank center, PayPal, or Electronic Fund Transfer, the cash application processes are implemented automatically through intelligent reconciliation features for bank statements, incoming checks, remittance advices, and lockboxes. As a result, manual tasks are significantly reduced so that users can focus on value-adding tasks to detect and handle discrepancies such as short pays, delayed payments, or invoices reference challenges. In case of payment disputes, the Cash Application solution of Hanse Orga Group provides SAP-powered, highly automated processes for better exception handling.

“This is one of the reasons why we have some of the biggest companies in the world—such as Dow Chemical—placing their trust in us to improve their finance processes,” says Lindemann.

Centralized, Secured Payment Management

“Handling multiple payment formats and coordinating with banks for payments both national and overseas is often a challenge for ERP platforms,” observes Lindemann. Hanse Orga’s FS2 Payments solution provides companies with a bird’s eye view of their company-wide cash flows and processes in treasury, account receivables, and payables, while driving the performance of SAP in payment handling and security.

If a payment is approved, companies often struggle to select the right payment format in their standard ERP environment. “They also struggle to figure out whether it’s best to use check, EFT, or international payment formats for making the respective payment. Selecting the right bank and payment system—SAP system, SWIFT network, or international bank—also remains a puzzle. “We have developed solutions for all of this,” says Lindemann. “Our FS2 payment management solution overcomes these challenges by allowing customers to decide whether to use different banks for making each payment or to route the payment through another country and currency. With our payment optimization feature companies can predefine criteria for automating the selection of the most cost-efficient payment method.”
A stringent approval workflow ensures that payments are made effectively, securely and in compliance with international regulations. This is particularly important today as companies are increasingly faced with fraud attempts through systems being tampered with, phishing scams or fake invoices. “To make the entire payment setup impregnable, our Fraud Monitor analyzes payment types, tracks changes in invoice data, checks for anomalies in payment amount and all this happens automatically. The Fraud Monitor is a unique new tool that helps corporates detect fraud attempts more easily and quickly, and empowers them to act quickly. This could potentially save companies millions of dollars.

Powerful Payment Factory

If a multi-national organization wants to communicate with five international banks with branches spread across 160 countries, the organization has to maintain 800 different payment formats. This poses significant challenges in testing, communication, and connectivity with bank networks with additional Common Global Implementation (CGI) formatting predicaments. “Hanse Orga Group’s fully automated Payment Factory functionality has all the payment formats readily available including all the country-specific CGI formats for large global network banks,” says Lindemann. “Thus, if the organization wants to pay through Citibank in over 100 countries, our format settings empower large organizations to fast pace their payments in an easy and quick manner. Everything ranging from format conversion, data enrichment, and payment routing are automatically addressed in our payment factory.”

Today, Hanse Orga Group’s customers deal with more than 400 banks in 150 countries with over 10,000 companies using the FS² solution globally while the global payment transactions exceed $500 billion a year. The technology roadmap that Hanse Orga Group has built for its customers is a testimony of its dedication toward developing and refining its product portfolio. For instance, Lufthansa Group, the premium airliner with 1,500 bank accounts, was using numerous local electronic banking solutions for their bank communication and payment management. This lead to fragmented systems and a lack of a consistent view of data and visibility of group liquidity. In Hanse Orga Group, the airliner found a reliable partner for building a central bank-independent payment processing hub that would connect their in-house systems on one side and their banks on the other to ensure a seamless two-way flow of transactions and information. This ensured automation of payment processes and allowed central visibility and control over group-wide liquidity across the 540 global entities of the corporate. Thanks to the payment factory, Lufthansa has achieved considerable success in enabling automated, controlled, and consistent payment processes.

SAP and Beyond

With the acquisition of a provider of web-based solutions, Hanse Orga Group continues to bring its intuitive solutions to greater audience, solving their challenges in cash and liquidity as well as working capital management. Having a simple, modular approach, the multi-ERP solutions assist medium-sized and large companies to improve the efficiency of their payment systems. “The web-based solutions act as a force multiplier in the ERP agnostic payment, cash application, cash management and treasury space, through which we are bringing greater ease into finance and liquidity management in both SAP and non-SAP environments,” says Lindemann. With a comprehensive product strategy, Hanse Orga Group is delving into building stronger connect between the various entities in the finance supply chain. The company is also focusing on bringing straight-through processing to the SAP HANA cloud for the greater benefit for its clients. “It is our objective to help companies worldwide to achieve automation to the entire financial supply chain. With our innovative solutions which we constantly develop further to meet current and future requirements, customers have the tools to be ready for the future,” concludes Sven Lindemann.

Hanse Orga Group

Chicago, IL

Sven Lindemann, CEO

Provides SAP-embedded and cloud-based financial supply chain solutions to automate Order to Cash and Procure to Pay and Treasury processes

Hanse Orga Group