Swarovski has followed its cloud transformation from 2023 with a global go-live of SAP Cloud ERP Private after choosing an exciting brownfield approach for the rollout. With its migration, the luxury brand is laying the foundation for using AI and for reaching its strategic targets by 2030.
Anyone who is looking for a prime example of how migration to the cloud can do far more than just simplification and standardization should take a closer look at Swarovski. The legendary manufacturer of precision-cut crystals, jewelry, and watches—with its origins in Wattens, in the Austrian region of Tyrol—has transformed its IT landscape from a cost factor into a strategic tool for a digital future.
The transformation was guided by Lea Sonderegger, serving in a dual role as CDO and CIO at Swarovski, with such great success that she was awarded the special “Cloud Excellence” prize in the large enterprise category at the CIO of the Year ceremony held by CIO Magazine last October.
The judging panel found her brownfield approach to be especially praiseworthy: Swarovski employees use SAP Cloud ERP Private but continue to use the familiar processes and databases. A complete redesign of these processes in parallel to the migration would have been too risky and cost-intensive. It would have also resulted in a much longer project duration, Sonderegger is convinced.
25,000 tests with 600 participants
The brownfield implementation was carefully executed. Preparations took two years and involved more than 600 participants performing around 25,000 tests. Two dress rehearsals with strict governance ensured that every function and every data point was ready for the migration.
Sonderegger and her colleagues reserved a 66-hour conversion window for the go-live on April 20, 2026. During this period, all global IT processes at Swarovski were paused. During the subsequent sensitive hypercare phase, 24×7 support ensured that any issues that arose could be dealt with quickly. Thanks to these measures, the transition was seamless. After the conversion window closed, all processes resumed without problems.
Simplification and standardization ensure consistent data
Despite the large effort involved, this migration was merely the first step. While the switch to SAP Cloud ERP Private created the technical foundation, it’s the subsequent investments that deliver additional added value. These investments concentrate on the incremental reduction of complexity through consolidation of fragmented solutions, the reassessment of user-specific code, and the harmonization of data—all with the overall goal of creating a more coherent, easier-to-handle ERP landscape.
To achieve this, Sonderegger and her team are replacing user-specific applications with SAP standard solutions step by step and only leaving custom developments in place where they offer clear advantages. “The combination of simplification and a return-to-standard solutions improves data consistency, provides for robust, reliable processes, and, ultimately, makes our entire organization more agile,” Sonderegger says.
Cloud technology is not an end in itself
By integrating key functions such as finance, supply chain management, retail, and e-commerce—and enabling their combined use in the cloud—SAP Cloud ERP Private provides for reliable processes and consistent data quality all while enabling customer experiences on a wide variety of front-end solutions on this side of the ERP system.
SAP Cloud ERP Private manages a diverse product range at Swarovski across different regions and price points and integrates with the planning results provided by other SAP and non-SAP systems.
“In all of these activities, cloud technology is never an end in itself, but rather a lever for improving efficiency, resilience, and innovative capabilities,” Sonderegger says. This determination is especially important to her.
It’s not an IT project, it’s a business transformation
Ultimately, Sonderegger and her team succeeded in executing the project on time and on budget because its scope was clearly defined, and strict discipline in change management prevented mission creep. In addition, the company benefited from the experience of its implementation partner, SAP Consulting, and its unrestricted access to SAP expertise.
The example of Swarovski proves that even an essential, unavoidable migration can and should do much more than just avoid risks and cut maintenance costs. The implementation of SAP Cloud ERP Private was imperative here, because SAP ERP Central Component (SAP ECC) had reached the end of its lifecycle.
And the implementation is showing the luxury goods manufacturer the way to the future because everyone involved in the process didn’t just consider it to be an IT project but, above all, a business transformation from day one. One that involved hundreds of experts from different fields and that enjoyed full management support from the beginning.
AI-driven demand forecasts optimize warehouse stocks
Artificial intelligence is also playing a key role in this implementation, with SAP Cloud ERP Private as the operational backbone of an AI ecosystem that can deliver reliable, real-time data and robust, standardized transaction processes.
Swarovski doesn’t use artificial intelligence as a standalone technology, but instead as an integrated capability that complements business processes across all functions. The company is already using AI for demand forecasting, for example, and then uses the results to optimize warehouse stock levels across regions, with the aim of improving the customer experience.
And the AI agent factory initiative enables the development of AI agents that link SAP Cloud ERP Private data with data from non-SAP systems, always with the objective of “automating repetitive tasks, supporting decision-making, and boosting productivity along the entire value chain,” Sonderegger emphasizes.
Top image courtesy of Swarovski