- Client: Syngenta
- Country: South
- Project: Development of a new technology platform (SAP) to support the legal merger of Syngenta Agro and Syngenta Seeds
- Practice: ITS (Integration & Technology Services)
The Company (www.syngenta.com)
Syngenta is a world leading agri-business company focused on research and technology innovation. It ranks first worldwide in crop protection, and third in the commercial seeds market. Syngenta was born from Novartis agrochemicals and seeds division and Zeneca’s agrochemicals, thus inheriting the strengths and traditions of both companies. Headquartered in Basel, Switzerland, Syngenta employs over 19.000 people in 90 countries and is listed on the Switzerland (SYNN) and New York (SYT) stock exchange markets. Syngenta Argentina has over 250 employees across the country and a 50-year track record in the market.
Syngenta’s goal was to develop a technology platform to comply with the regulatory and tax requirements of the legal merger of Syngenta Agro and Syngenta Seeds in Argentina.
- Syngenta has two technology divisions running SAP on Windows NT with Oracle database:
- Syngenta Agro, running SAP 4.7 on servers located in Basel, Switzerland, used by 120 local users
- Syngenta Seeds, running SAP 4.6 B on local servers, used by 50 local users
- At the time of the decision, Syngenta took into account not only the economic factors but also gA’s expertise in this kind of project, customer success stories, and previous successful projects.
Thanks to gA’s experience in business process transformation projects, ERP system replications, and SAP implementations, as well as the professionalism it showed throughout the procurement process, Syngenta Agro chose gA to develop a technology platform that would ensure compliance with the legal and tax regulations of the Syngenta Agro and Syngenta Seeds merger in Argentina. gA was chosen by Syngenta Agro to develop a new technology platform to support the merger of two companies (Syngenta Agro and Syngenta Seeds). The following responsibilities were assumed during the Syngenta Merger Project:
- Project Management: using the methodologies developed by gA for project management, monitoring and follow-up, supported by its knowledge of SAP, to ensure quality
- Functional and technical consulting, to develop the technology platform required to comply with the legal and tax regulations arising from the merger of both companies: by assigning experienced consultants to SAP Finance and ABAP modules in order to comply with those requirements
The following activities were also carried out:
- Implementation of cross-division procedures to manage shared transactions
- Modification of Syngenta Seeds system settings (specifically as regards regulatory compliance) to align it with Syngenta Agro’s system
- Alignment of the seeds systems (BIT) and HR (Payroll SAP) with the Merger Project requirements.
- Development of tax and legal reports according to the Merger Project requirements
- Software development to generate the general ledger balance statement on SAP, consolidated between both divisions
- Implementation of cross-divisional control and follow-up criteria
- Internal and external communication of the division merger
Upon completion of the Merger Project, Syngenta obtained the following benefits:
- A single business entity called Syngenta Agro S.A., and two divisions (Crop Protection and Seeds), in compliance with the merger’s regulations
- Operation on both divisions, according to Syngenta Agro S.A. tax status
- Independent reporting for each of the businesses, according to the guidelines and criteria defined by the corporation
- SAP systems in both divisions (Syngenta Crop Protection Division and Syngenta Seeds Division), running on independent platforms and enabling separate operation of each division
- Consolidated tax statement information between both divisions
- Consolidated accounting data between both divisions to comply with Argentine regulations
“This project’s success was based on the teamwork of gA’s representatives and Syngenta’s people in both divisions, who worked together to manage a single project, by consolidating the system requirements and management activities needed”. Andrea Barón, Systems Manager, Syngenta Argentina