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Significant revenue growth with Digital Integration Hub

Driven by the potential of an electrified society, and powered by the opportunities of going digital, Danfoss is engineering technology that helps the world to get much more out of less.

With the promise of quality, reliability and innovation deeply rooted in our DNA, Danfoss delivers an extensive range of products and solutions across their business segments of Danfoss Climate Solutions, Danfoss Drives and Danfoss Power Solutions.

By combining sustainable innovation and leading application know-how, Danfoss plays a significant role in the green transition by supporting its customers in their decarbonization journey. At the same time, Danfoss continues its own journey. They focus on the longer view and follow in the footsteps of their founder, investing in developing markets and technologies.

The challenge

Danfoss A/S has many resellers with webshops where numerous Danfoss products are in the product mix. Some of the products are on the resellers own stock, but many products are ordered from Danfoss when a customer buys the product at the reseller. Danfoss is a large company with many production and storage facilities, so the lead time for any given product can vary a lot from location to location and day to day.

In order to show delivery times for the products in Danfoss storage, each reseller must make an “Availability to promise” (ATP) check against Danfoss central SAP system for each product. These checks initiate a complex calculation in the SAP system often with a long response time. This means, that Danfoss resellers often cannot show delivery times on their web shop resulting in less sales.

The solution

The engineers from Danfoss listened to a webinar from Redpill Linpro describing a new integration architecture called: Digital Integration Hub (DIH) which could help address the challenge. After some architectural discussions between Danfoss and Redpill Linpro a solution was identified. A purpose built DIH with a logical rule engine to predict ATP check based on rules and categories.

This means, that the DIH evaluates the product based on category, storage location and type. Based on this rule, it either sends a standard lead time, or checks last ATP check only to invoke the SAP ATP check very few times, but still delivering valid ATP results to the customers. 

The solution was built on Azure integration technologies combined with SAP CPI and Apigee Api Management in a few weeks.

The result

The first customer to go live with the DIH backed APIs saw a growth in revenue on Danfoss products of 9%. The success with the Digital Integration Hub has given Danfoss a taste for more, and Redpill Linpro is currently assisting Danfoss with further initiatives to continue the digitalization journey backed by DIH technology.

Mikkel Iversen

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Head of business development Denmark

+45 28 49 80 94

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