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Colbún and the advantages of having a single SAP services provider

Last updated : August 5, 2022
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Colbún and the advantages of having a single SAP services provider

Since 2020 Novis provides Colbún with SAP AMS services, including support, continuous improvement, and management of all its SAP® systems. In this article, we will talk about how we have built up our relationship with one of the leading power companies in South America.

Colbún is a Chilean power generation company that owns 26 power generation plants in Chile and Peru and got its name from the first and largest hydroelectric power plant in Chile, inaugurated in 1985. Currently not only provides power from an hydraulic matrix, but also from a thermal plant. It has 21% share of the Sistema Interconectado Central de Chile (Spanish for Chilean Central Interconnected System) and a 7% share of Sistema Eléctrico Interconectado Nacional de Perú (Spanish for National Electric Power Interconnected System of Peru).

The company is leading energy decarbonization and transition to cleaner, sustainable, affordable, and competitive matrices. Colbún is planning to generate 4 GW of renewable energy by 2030, using wind and solar resources, green hydrogen, and other sources.

Soon, in the north of Chile, they will inaugurate Horizonte, the largest wind farm in Latin America. The project contemplates an annual average generation of 2,400 GWh, equivalent to the consumption of more than 700,000 homes. Horizonte’s future operation will reduce its annual CO2 emissions by 1,200,000 tonnes, the equivalent of taking more than 300,000 vehicles out of circulation a year or planting 2,400,000 trees. The wind farm has more than 8,000 hectares and nearly 140 wind turbines, each one with a 95 meters high tower and three 78 meters long blades.

In this context, he says that Systems Area should follow through and implement such innovative projects, that will require new processes and ways of operating. “For example, in the Horizonte project is key to provide solutions that allow mobility, so we can support maintenance crews during fieldwork; they have to be able to receive orders onsite, send realization tests from wind turbines, etc., and integrate that information to our SAP systems”.

 

«… when a support issue arises, that sometimes involves a change in the system, the requirement is classified as a corrective evolutionary service and hours are uploaded to a different bank of hours, but there is no need to explain the situation to a new consultant; Novis’ internal coordination makes it easy to the user». said Claudio Gutiérrez, Corporate Systems Manager at Colbún S.A.

 

Which business processes in Colbún are supported by SAP solutions?

Our policy is to prefer world class solutions. SAP is our main corporate platform that supports all financial and accounting processes, logistics, purchases, maintenance, project management, human resources, invoicing, commercial, etc. Among the solutions, we have S/4 HANA, I-SU, SuccessFactors, Employee Central Payroll, PO/CPI, Concur, Ariba, IAG, etc.

How have you faced the complexity of operating SAP?

A few years ago, we had several SAP providers that offered specific services for different components, but that way of working posed a major burden when it came to coordination and management. Since everything is more integrated in SAP, in order to solve a specific problem, we often had to get involved and work with some of them, and that entailed additional complications.

For that reason, in October 2020 we invited world-class IT companies to a tendering process so they could provide us with support services for all our modules.

We wanted one contract and a single counterpart, both for SAP S/4 HANA, PO/CPI and SSFF and for the management of all SAP platforms.

Novis had a wide experience in this type of services and presented the best proposal in terms of added value, at a very attractive price, so it was the chosen one. Currently, our platform is on SAP HEC and we are migrating to SAP RISE. Novis will continue to be our partner in the management of SAP on RISE.

When it comes to SAP requirements, we have a different niche provider for SAP I-SU support and maintenance.

What is your evaluation of Novis’ services?

We are very happy with their role as counterpart for support services, SAP management, and continuous improvement. First of all, we received a good evaluation from our internal clients, from the different business areas. They consider that they are getting quicker solutions and with a higher quality. For example, when they are solving a management control issue, they value the fact that if a financial area specialist is needed, Novis is in charge of the integration and internal coordination, that way, our users get solutions where the needed experts are timely involved.

We also see improvements in the IT area. If we generate a requirement for Novis that is cross-cutting in nature and addresses multiple areas, we know that the company will be able to take care of it since it has a specialist for each requirement. It has been very convenient for us since SAP operation and maintenance has been simplified. We have been able to create a work dynamic that allows us to manage processes.

On the other hand, the single counterpart that Novis (KAM) provides us simplifies coordination greatly, since it has weekly meetings with different functional leaders from Colbún in order to follow up on all the requirements that have been generated. We also have a monthly meeting where we review all the requirements of the period, their progress, and the contract SLA fulfillment.

Another advantage is that when a support issue arises, that sometimes involves a change in the system, the requirement is classified as a corrective evolutionary service, and hours are uploaded to a different bank of hours, but there is no need to explain the situation to a new consultant; Novis’ internal coordination makes it easy to the user, concludes Claudio Gutiérrez.

To learn more about Novis services, please contact us.

Article by Gilda Valderrama, Novis Newsletter Editor.

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