ORANGE AUSTRIA

MANAGING COMPLEX ACCOUNTS PAYABLE WITH SAP REAL ESTATE MANAGEMENT

QUICK FACTS

The flexibility of SAP Real Estate Management and the numerous ways we can combine the different conditions are excellent.
Anton Fildan, Senior Project Manager, Orange Austria Telecommunication GmbH

Company Name: Orange Austria Telecommunication GmbH Location: Vienna, Austria Industry: Telecommunications Products and services: Cellular telephony network, mobile broadband solutions Revenue: 624 million (2007) Employees: 900 Web site: www.orange.com/en_EN Implementation partner: scc EDV-Beratung AG, www.scc.at Challenges and Opportunities Display many contract options for various transmitter sites Transfer data during the migration Integrate complex accounts payable processes in the company-wide accounting workflow Objectives Completely manage accounts payable processes related to transmitter sites Automate integration in the accounting workflow SAP Solution and Services
SAP Real Estate Management application

Why SAP Standard product Integration into accounting processes Adaptable user interface Contract flexibility Benets Reduction in maintenance costs Functional enhancements High degree of user acceptance with less training required than anticipated Increase in transparency Integrated and partly automated accounting system Flexibility regarding contract conditions Existing Environment SAP software for financial accounting, controlling, production planning for process industries, and open item accounts SAP NetWeaver Business Intelligence component SAP for Telecommunications solutions Third-Party Integration Database: Oracle Hardware: SUN Operating system: Unix

Implementation Highlights Intensive use of the software for the accounts payable area Mapping of complicated contracts in standard software Rapid, on-schedule implementation

SAP Customer Success Story Telecommunications

Based in Vienna, Austria, Orange Austria Telecommunication GmbH, formerly ONE GmbH, has become a successful player in the Austrian cell phone market. As an early provider of Global System for Mobile Communications 1,800 MHz technology, Orange Austria is known for its innovation, excellent service, and customer focus.
Since the end of 2007, the company has also provided mobile broadband solutions in all cities in Austria with over 5,000 residents and all communities in Austria with over 2,000 residents. At the end of December 2007, more than 2 million customers were enjoying the benefits of the Orange Austria network. In 2007, the companys mobile telephony revenues amounted to 624 million. Along with its success, Orange Austria also faced some administrative challenges concerning accounts payables. Already an SAP customer, the comSAP partner scc EDV-Beratung AG on the project. Orange Austrias approximately 10,000 contracts include rental contracts for transmitter sites on buildings and land, as well as contracts in which the access rights and usage rights for the sites are regulated. Furthermore, it also has a small number of customer (accounts receivable) contracts covering, for example, rental of some transmitter sites to other cellular network providers. Since the interfaces with Orange Austrias in-house development involved a lot of maintenance work, the

interface, and the ability to map even very complex contract conditions, explains Anton Fildan, senior project manager at Orange Austria.

Integration in the Accounting Workflow

All of the companys requirements could be mapped in the standard SAP Real Estate Management application without customization. Two basic processes were defined: In the case of private customers, where no accounting is necessary and no invoices are issued, Orange Austria provides the relevant data, and the customer is sent a credit notice. This takes place automatically with SAP Real Estate Management. In the case of corporate customers, incoming invoices are compared with data from SAP Real Estate Management, and payment is triggered manually. SAP Real Estate Management helps to streamline and optimize such key business activities as portfolio management, commercial real estate management, corporate real estate management, and facilities management as well as a variety of essential support processes. The software helps optimize lease administration by reducing the time and effort involved in handling recurring procedures, meeting legal requirements, and elevating retention rates and related lease revenues. The software also supports contract indexing and the resulting periodical adaptations due to, for example, tax

We were able to simplify the user interface so that it included only those functions that the users really need. That resulted in a significant increase in user acceptance, and new users can get up to speed with the new software very quickly.
Anton Fildan, Senior Project Manager, Orange Austria Telecommunication GmbH

pany chose to implement the SAP Real Estate Management application to help it manage the numerous accounts payable processes related to approximately 4,000 transmitters throughout Austria. Orange Austria worked with

company decided to map its processes with an integrated-standard-software product. The advantages of SAP Real Estate Management were very convincing. They include integration in the accounting processes, a flexible user

The advantages of SAP Real Estate Management were very convincing. They include integration in the accounting processes, a flexible user interface, and the ability to map even very complex contract conditions.

Anton Fildan, Senior Project Manager, Orange Austria Telecommunication GmbH

law requirements, which are very important features for Orange Austria. The company can map these processes readily in the new software. The flexibility of SAP Real Estate Management and the numerous ways we can combine the different conditions are excellent, says Fildan.

Increased Level of Functionality and Transparency

The implementation of SAP Real Estate Management enabled the complex accounts payable processes to be integrated in the company-wide accounting workflow. This meant that all the accounting processes were handled by just one system. The omission of several interfaces also meant that substantial cost savings could be made in maintenance. In addition to enhanced functions and easier-to-use software, the company has also benefited from an increase in transparency since different functions can be mapped. We

Furthermore, the company can track postings at any time. With SAP Real Estate Management, the customer has everything in one system, from the complete integration of accountsreceivable and accounts-payable accounting and the automation of accrual accounting to checking the invoices. Thats not to mention the centralized display of all information related to customer communication, contracts, and transmitter sites, explains Robert Plank, finance consultant at scc EDV-Beratung AG. The implementation was completed within five months. The most expensive and time-consuming aspect of the implementation project involved creating programs for the data migration, during which several tests were required to ensure that no manual postprocessing would be necessary. The softwares high degree of flexibility means that new processes can be im-

and building services. Of further benefit is support for improved decision making through the use of automated reports based on such key performance indicators as vacancies, utilization rates, costs, and revenues. For managers of corporate real estate, SAP Real Estate Management provides full transparency into space utilization and the allocation of costs and revenues by department. For managers of commercial real estate, it provides increased insight into all lease and financials data. We are considering using SAP Real Estate Management in the future to map the stores that we rent as well, says Fildan.

We are considering using SAP Real Estate Management in the future to map the stores that we rent as well.
Anton Fildan, Senior Project Manager, Orange Austria Telecommunication GmbH

were able to simplify the user interface so that it included only those functions that the users really need. That resulted in a significant increase in user acceptance, and new users can get up to speed with the new software very quickly, explains Fildan.

plemented at any time. In addition, SAP Real Estate Management helps to ensure that all costs are visible and controllable for any type of property management. It lets managers control expenses by automating transactions and optimizing maintenance, repairs,

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