Restructuring
A proactive approach
KWS is pursuing a new vision with Global Business Operations (GBO). Christoph Hengst, Head of Global Business Operations, explains how restructuring will enable us to collaborate more efficiently.
Christoph Hengst (right) explains how GBO helps us act holistically.
GBO was launched in August. Why was a new organization needed?
First, GBO is the logical further development of the structures we’ve established with GLOBE. Second, the new organization allows us to focus even more strongly on end-to-end processes, digitalization of them, and doing the right thing at the right moment throughout the entire process. We’ve set ourselves the goal of creating clear responsibilities, continuous improvements and greater added value.
How does the new structure differ from the old one?
If we look at the previous structure, a process ended at some point in the transactional section. An example from procurement: An invoice has to be paid or posted. The starting point is often in our operational business, for example a purchase requisition. This leads to many handover points along the process. If you’re then only assigned the section of the chain where the transactional part begins, you’re dependent on how good the quality of the upstream processes was. We now want to ensure that we help steer these processes with a different focus from the get-go – and, ideally, be able to say at the beginning of the chain what information we will need at the end in order to work as efficiently as possible.
“The new organization focuses on end-to-end processes.”
Christoph Hengst
How will this change the way we work?
Responsibilities are changing. This requires everyone involved to think holistically, not just about their own stage in the process: How can the entire chain function optimally, and what information is needed at what point to achieve that? We need to create clean handover points between the strategic and operational parts of the work – and then change the driver behind the wheel when all strategic points have been fulfilled and the operational unit continues on its way. But GBO must also remain flexible and, for example, get behind the wheel sooner or later, depending on the situation. It’s important to ensure the process runs smoothly. It’s like in a relay race: A squad only wins if the baton is handed over cleanly every time.
What impact will the switch have on KWS as a whole?
Costs incurred in administration are charged on and ultimately end up in the income statement. So if we work more efficiently and save money as a result, the company benefits directly. Administration also has an impact on profit. We’re involved in many areas – whether it’s improving tax returns and therefore recovering VAT, or ensuring in receivables management that master records are maintained in such a way that we can collect outstanding amounts because the contact information is up-to-date. Purchasing is also important: Where we are involved in the processes and enable KWS to make better decisions by comparing offers, we have a direct influence on the company’s profits and losses.
Basically, we’re all one team. Whether in Berlin or at other locations, we all have the same goal: to make KWS even more successful. |© KWS SAAT SE & Co. KGaA 2025
