Kramp: Thanks to company-wide visual analytics, an essential step towards digital transformation has been taken
Successful digital transformation and improved efficiency with data visualization provided by Tableau
Thanks to Tableau, everyone at Kramp—including employees working remotely—can access all key data insights
A culture of continuous improvement made possible with Tableau data insights
Kramp Group is the largest supplier of parts and accessories for the agricultural industry throughout Europe. With more than 500,000 products available online, 11 distribution centers, and 24 stores across Europe, Kramp is the most reliable partner for customers and suppliers within the agricultural sector. Kramp Group was founded in 1951, with its headquarters are located in Varsseveld (The Netherlands).
Over the past five years, Kramp has gone through a very successful digital transformation. With Tableau’s visual analytics platform, the company has been able to adopt a data-driven approach in all areas. Kramp currently has over 3,000 employees, 1,200 of which are active Tableau users, checking the Tableau dashboard around 112,000 times per month. Thanks to this novel working approach, Kramp has weathered the storm of the coronavirus crisis and, in 2020. achieved a record turnover for €953 million.
Kramp Manager Digital Intelligence Ewoud van Dijk gives a great example of this new data-driven approach. “Tableau played a key role in the implementation of our pricing strategy, which ultimately had a significant impact on our results. Managing prices for over 500,000 products per country requires a clear strategy and a data-driven approach. To ensure that Kramp is able to offer competitive prices, thereby enabling volume growth and maintaining prices for our large assortment of products, visualizing price-related data is of great importance. All this data is displayed in Tableau, helping pricing managers in their ongoing search for opportunities to improve our prices. Different pricing scenarios can be calculated and visualized so that the right decisions can be made. In addition, sales results are analyzed in Tableau, discovering new opportunities and taking subsequent action.”
What else has data discovery brought to Kramp?
Ewoud: “At Kramp, while we primarily focus on the customer, we also focus on scalability and efficiency. With the most important processes are displayed in Tableau, our “Continuous Improvement Program” staff identify which processes can be improved in terms of efficiency and scalability. A good example of this is the “order to delivery” process. This is one of the first processes that we made visually transparent. For example, insight into “on time delivery” is highly valuable for the organization. Armed with such data and its visual representations, Kramp is able to focus its efforts in the right areas to further improve the process.”
Five years ago, Kramp’s turnover figures were only available via an outdated BI (business intelligence) tool, which mainly displayed data using plain tables. From a visual standpoint, this was not very engaging at all. BI was entirely under the IT department, while business self-service options were non-existent. At that time, Remko Schepers joined Kramp as Senior Business Controller in charge of the Sales & Marketing department. Remko asked his colleague Ewoud how he could make the data more transparent. Ewoud: “I showed Remko my Excel sheets. I was not happy with them at all, but it was all I had. At that point, the colossal amount of data I had could no longer even fit within my Excel sheets.” That conversation was the start of Kramp’s digital transformation in the field of BI, which later expanded into the field of data and analytics. Remko is now the Manager Business Control Development in charge of further developing analytical insights and data-driven financial forecasting.
How did you go about it? Where did you start?
Remko: “At first, it was just five early ambassadors participating in this endeavor. Very soon, we realized the limitations of what the five of us could do. If we wanted to succeed, we needed a plan to expand. So, together with the business owners in Finance and Technology, we developed a project plan. To carry it out, we had to reach out to the board members and get their approval. Eventually, the Executive Board approved our plan. We had to agree on specific BI governance, whereby each Board domain had to be self-sufficient to some extent and be able to claim some of the central BI team’s development capacity.”
Remko considered that introducing self-service was very important, since it would become a necessary step towards implementing visual analytics and consequently making that large amount of data accessible. And with that, they would be able to develop accurate and effective dashboards themselves, with which they could then create actionable insights. “For Ewoud and I, it was clear from the start that, to make the project a success, we needed to get the whole organization on board. We wanted to develop a company-wide data-driven mindset. With a decentralized approach to BI, strong involvement from all departments, and a lot of freedom for users to visualize their own data, we were able to establish the desired data-driven mindset.”
“Our philosophy at the start was to limit the number of Tableau licenses to about 30, distributed across all business departments. The point was to ensure that the licenses would be properly utilized. In the process, we also drafted a guideline for managers to determine whether someone was eligible for a license. The greatest freedom given to the business was to be able to connect with several often-unstructured data sources. This went straight against IT etiquette” says Remko. “Many companies tend to keep everything inaccessible. I still believe that making it available for everyone was the right thing to do. It helped speed up the development of insights and, at the same time, set up a robust data warehouse, which usually takes considerably more time. Later, however, we did have to centralize control somewhat further. That was Ewoud’s decision. The philosophy of local and decentralized management in charge of each department with the use of Tableau was maintained, but we introduced an overall management system to keep everything organized and under control.”
Looking back over the past 5 years, I believe that the implementation of Tableau was the fundamental step towards kick-starting the digital transformation within Finance in the field of data and analytics, helping managers better direct their business.
How long have you been using Tableau? And why did you choose this tool?
Remko: “In the fall of 2016, after we had laid the foundation for the data warehouse with Teradata, we settled upon a tool for data visualization. Representatives from all relevant departments were involved in the selection process, as we were looking for a tool that could fit every area as best as possible. We collectively opted for Tableau. The deciding factor was the fact that Tableau is set up very intuitively. There is also the fact that Tableau has a very large community of users in the market that is always sharing its experience for best practices.”
Did you have partners helping you along the process?
Ewoud: “In the first year, which was very hectic, Infotopics from Oldenzaal helped us with the foundation, the installation of the server, the access rights based on roles and groups, and many more related aspects. Then, we distributed the licenses, and the analysts were trained and assisted by Infotopics in creating the first dashboards. It became evident that this new tool would be adopted very quickly. Infotopics’ goal is to help their customers fully get into the swing of things, and Kramp’s goal back then was to achieve self-sufficiency. That is why our partnership with Infotopics worked so wonderfully. Now we are able to handle things ourselves in most areas, while Infotopics still jumps in and helps us with complex issues or when we need an extra pair of hands.”
Managing prices for over 500,000 products per country requires a clear strategy and a data-driven approach. Having the capability of visualizing price-related data is fundamental. In this sense, Tableau has played a key role in the implementation of our pricing strategy, which ultimately had a significant impact on our results.
How did Kramp get through the COVID-19 pandemic?
Remko: “2020 was a very special year for Kramp. When the Coronavirus crisis hit, we devised scenarios and worked out how we would weather potential setbacks. In the end, the opposite turned out to be true: our sales actually increased substantially. However, it is important to point out that we immediately took adequate measures, both logistically and within the workspace. The logistics service was able to continue as usual and remote work was quickly implemented by means of applications such as Tableau. Moreover, the digital transformation we had already kick-started added more functionality to our E-Commerce platform. This also proved to be very beneficial. I think 2020 is proof that digital transformation is the right way to go.”
Ewoud: “Tableau was very helpful during the COVID-19 crisis as it allowed everyone to access all the important insights from their homes. That way they were always aware of what was going on.”
What now lies ahead?
Ewoud: “In recent years, Kramp has mainly focused on extracting and using data insights. For this purpose, Tableau has been a great asset. Currently, we know that there are more opportunities to make our analytics even more actionable. We are now seeing more and more initiatives to use data science, forecasting, and analytics in our business processes. You do not become data-driven overnight.”
Remko: “The chosen decentralized approach has created many new KPIs and insights. However, it has become increasingly necessary to submit these findings to the country management and the board in a standardized and centralized way. Many managers still view Tableau as a maze of dashboards. Within Finance, we have started a project to create an “Integrated Country Performance Dashboard” with Tableau. The process entails retrieving all KPI data from the business domains that use the click-through functionality and displaying them on the dashboards. We also created a KPI handbook with definitions and responsibilities, along with a collaborative platform within an app that was specifically developed for this purpose.
We see the KPI framework as an integral part of sustaining good business practices. As such, we are able to cleverly combine the centralized data and set up driver-based forecast models to advance to the next stage of data-driven methodologies for continuous financial planning within Kramp. This is yet another instance where Tableau will play an important role by making the insights accessible.”