In April 2023, Cargotec announced its plans to separate its core businesses, Kalmar and Hiab, into two standalone companies. The partial de-merger aimed to improve the business performance and unlock new growth opportunities for each independent company.
In April 2023, Cargotec announced its plans to separate its core businesses, Kalmar and Hiab, into two standalone companies. The partial de-merger aimed to improve the business performance and unlock new growth opportunities for each independent company.
The first phase of the de-merger was to separate Kalmar and establish it as an independent listed company. A project called Norsu was mobilised to plan and implement the separation, which included multiple work streams across all business functions.
The separation completion target was set for 1 July 2024, approximately 1.5 years from the announcement, when Kalmar would become an independent company listed on the Helsinki Stock Exchange.
The demerger activities impacted all functions, particularly IT, where a large project was established to complete the full separation of the Cargotec IT stack.
To support the Cargotec in-house team, valuable external resources were onboarded. Midagon team members acted as Applications Domain Project Managers, Finance Applications Project Managers, P2P Applications Project Managers, and Infrastructure Domain Project Managers. Midagon’s team supported the E2E delivery of separation activities, i.e., from planning to execution and post-go-live support.
With its significant experience implementing major carveouts, Midagon’s team provided valuable insight to ensure the smooth ramp-up, quality, and consistency of the separation activities.
The Midagon team members played a significant role in planning and executing the separation activities. Midagon team members also supported in defining the plans and working methods for these areas, for example, application separation guidelines.
Kalmar's separation was implemented as planned on 1 July 2024. The applications and infrastructure were separated without major business continuity issues. In general, the IT separation activities were completed on schedule and budget, enabling Cargotec to achieve its strategic targets.
Kalmar was separated from the Cargotec group as planned.
As a result of the successful IT separation, Kalmar received a fully working IT stack, which was required to start everyday operations on day 1. The IT stack consisted of about 260 business applications, workstations for all Kalmar employees, data centres/cloud platforms, and network solutions.
Business continuity was ensured during the separation activities (before Day 1) and during the crucial go-live ( Day 1).
Director, Process & Manufacturing Industries
