POST Luxembourg: Modernising and merging IT systems

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With the modernisation of its IT systems, POST Luxembourg saw an opportunity to simplify its processes and enhance collaboration. To tackle the inefficiencies of siloed working, POST teamed up with Sopra Steria to implement advanced S/4HANA technology. Together, they created a bespoke, streamlined solution, giving POST Luxembourg the agility and cohesion needed to reach its ambitious goals. 

POST Luxembourg is the largest provider of postal, telecom and ICT services in Luxembourg and offers its services to private and business customers. POST is a public company owned by the Luxembourg State and is, with more than 4.500-member workforce, one of the country’s largest employers.

In addition to POST Luxembourg and POST Telecom S.A., the group counts different subsidiaries that also operated SAP within their own information systems. These systems were all part of the project to adopt a unified IT environment.

Given the growing diversification of its expertise, POST recognised the need to modernise its IT systems and harmonise its digital infrastructures, aiming to address data silos and improve business process management. In 2021, POST selected Sopra Steria to implement a new integrated solution based on S/4HANA technology. The scale and complexity of the project required close coordination between internal teams and Sopra Steria's experts.

Modernising SAP for a smarter future
Our new SAP solution provides us with unparalleled vision across our business, meaning we can leverage maximum potential from our master data.
POST Group is the number one provider of postal, telecom, and ICT services in Luxembourg.
We are a 100% state-owned, multi-business supporting individuals, businesses, and institutions across the country and abroad.
Employing almost 5,000 people from 54 different countries, we are one of the nation’s largest employers.
We are determined to be a key architect of digital transformation.
We are always growing our technical expertise in communication networks, digitalisation, data management, and cybersecurity
Previously, we ran two SAP systems, one for our POST Luxembourg company, which includes Telco Infrastructure, Postal Services, and Core Management Services, and a second for our POST Telecoms division.
We partnered with Sopra Steria to create a new unique solution to manage these functions, creating a single, consistent interface that would combine the latest S/4 Hana technology.
They assisted in everything from solution design and development to data migration, project management, deployment and evolution, and staff onboarding and training.
The new SAP solution gives unprecedented insight on business performance, from finance to supply chain, sales, project management, customer service, and warehouse management
This was a hugely complex cross-functional project, and Sopra Steria brought a variety of skills to the table, not least in terms of technical expertise and a broad range of additional complementary abilities.
They were genuine partners in the project, not simply third-party service suppliers.
We knew we could count on them.
They complemented our team’s skills with tremendous technical expertise.
They helped overcome harmonisation and standardisation challenges and smoothly onboard our internal teams to the new system.
Our new solution allows us to make smarter, data-driven business decisions, better positioning us as a future-ready company.

Challenges of migrating to SAP S/4HANA

One of the main challenges of this project was the integration of two vastly different SAP systems, each highly customised to meet the specific needs of the entities they served. POST Luxembourg had been using a heavily customised SAP system for about 20 years, while POST Telecom operated on a more recent model that followed SAP's standardised best practices.

The objective was to reconcile these two approaches without losing critical historical data or reintroducing the limitations of the older systems. The chosen migration strategy focused on retaining essential data while streamlining processes. This approach reduced IT management complexity and costs, while creating a more flexible and sustainable solution.

A bespoke approach

As a strategic partner, Sopra Steria implemented a customised methodology to guide the project from design to end-user training. They adapted to the specific needs of POST, taking into account factors such as the regulatory requirements of Luxembourg's telecommunications sector.

The project was carried out in several key phases. Starting in February 2021, Sopra Steria and POST teams conducted a thorough analysis of the existing systems and business needs, viewing the system upgrade as an opportunity for the company and its employees. They opted for a fresh start, moving away from obsolete systems by listening closely to business requirements to design more user-friendly interfaces and restructure reporting to meet new market demands.

Development occurred between 2022 and 2023. At POST Luxembourg, the old system was converted, retaining essential data but removing outdated elements such as old accounting documents, which were preserved and archived. For POST Telecom, a completely new implementation was undertaken using a greenfield approach, meaning an entirely new S/4HANA system was built from scratch. This included the installation and configuration of a new network, ultimately merging both systems into a unified solution that retained key processes and ensured a smooth and efficient migration.

A future focused on innovation

With this digital transformation, POST is now better prepared to tackle future challenges. The ongoing centralisation of data and harmonisation of processes are not only improving internal coordination at POST Luxembourg, but also providing greater flexibility to adapt to shifting market demands. The immediate benefits of this unification are evident: enhanced organisational agility, reduced IT costs, and a significant boost in data-driven decision making, thanks to improved visibility across the different divisions. These are key strengths that will help shape the company’s future. Moreover, this transformation lays the groundwork for an easier transition of POST Luxembourg's systems to future SAP Cloud solutions.

The solution was delivered to the teams in January 2024, with the merging of data from the two legacy systems still underway, aiming for complete unification around clean, usable data. However, Sopra Steria's involvement went beyond technical implementation: change management was crucial for ensuring the successful adoption of the new solution by all employees in 2024. This aspect of digital transformation projects should not be underestimated, as changing work routines can significantly impact employees. Addressing it early is essential to prepare teams for the transition and help them adapt smoothly.

Our new SAP solution provides unprecedented visibility into the company’s performance, from finance to supply chain management.

Alessia

We are proud to support POST Luxembourg in modernising its IT systems, enhancing agility and efficiency for a more innovative and connected future.

Pierre-Etienne Son

SAP Consultant Sopra Steria Group

cloud

data

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