IKEA Builds a Seamless Data Foundation for a Smarter Future
Discover how global retailer IKEA teamed with Syniti to harmonize complex legacy systems and build a trusted, automated data foundation that powers its SAP S/4HANA transformation, improves data accuracy, and enables scalable operations across finance, procurement, and future AI-driven initiatives.
How IKEA Modernized Its Data Landscape with SAP S/4HANA
Global retailer IKEA embarked on strategic SAP S/4HANA transformation to harmonize and modernize its processes and data environment. With operations spanning multiple regions, systems, and vendors, IKEA needed a way to synchronize critical business partner, product, and financial data while maintaining day-to-day operations in its legacy systems.
To achieve this, IKEA partnered with Syniti to design and deliver a unified data migration and continuous integration solution—one that would provide accuracy, automation, and control across its business landscape.
“We’ve seen data migrations fail before because the mappings between SAP and legacy systems weren’t consistent. Syniti stood out because they brought the transformations inside the system—connecting directly to both SAP and our sources, instead of relying on manual offline mapping.”
Data Challenges in a Complex, Multi-System Environment
IKEA’s environment consisted of numerous homegrown systems, each with its own structures and standards. The organization had more than a dozen different data sources contributing to key business objects, creating complexity and inefficiency when trying to consolidate and prepare data for SAP S/4HANA.
While each system worked well in isolation, combining their data into a single, consistent “golden record” proved to be a challenge. Value mappings and transformations varied widely, and the lack of standardized APIs made it challenging to extract, cleanse, and align information across platforms.
IKEA needed to:
- Integrate data from multiple legacy systems into a single, trusted environment
- Automate ongoing data flows without sacrificing quality or control
- Reduce manual effort and dual maintenance across systems
- Establish a foundation for continuous improvement, not just one-time migration
“We’ve seen data migrations fail before because the mappings between SAP and legacy systems weren’t consistent. Syniti stood out because they brought the transformations inside the system—connecting directly to both SAP and our sources, instead of relying on manual offline mapping.”
— Naveen Gupta, Data Transformation Leader, IKEA
“Our first test cycle already had 93–94% migration success. That gave us immediate confidence that the data would migrate with quality—and that continuous integration would actually work.”
Implementing Continuous Data Integration with Syniti
Working closely with Syniti, IKEA implemented SAP Advanced Data Migration and Management by Syniti (SAP ADMM) to support both one-time migration and customized solution for continuous daily integration.
Key Highlights
- Continuous data integration: Rather than a one-time migration, IKEA established an automated, daily flow of business partner, vendor, and financial data from source systems into SAP.
- Built-in data validation and enrichment: Enriched data met SAP’s requirements while drastically reducing manual rework. “Our systems spoke Swedish and SAP spoke German,” Naveen said. “Syniti acted as the translator, enriching and transforming the data so it could run end to end.”
- End-to-end orchestration: With manual steps removed, faster data approvals and issue resolution happened within structured workflows.
- Custom multi-tier setup: A unique two-tier database design facilitated promotion between development and production environments.
- Collaborative delivery: Syniti worked hand-in-hand with IKEA’s internal data teams to deliver a sustainable, scalable integration model.
“AI is just the tip of the iceberg. The real mass below the surface is data quality, lineage, and data governance. With the right data baseline, the innovation will follow.”
Achieving High Data Quality and Streamlined Financial Processes
By implementing a connected, rule-driven migration and validation process, IKEA achieved data migration and accuracy more than 90–95% even in early test cycles. Most errors are now identified and corrected at the source before they reach SAP.
“Our first test cycle already had 93–94% migration success,” said Gupta. “That gave us immediate confidence that the data would migrate with quality—and that continuous integration would actually work.”
Lead times for onboarding new data have also dropped significantly. Today, if all required information is available, a new product or supplier record can be live in S/4 HANA within 24 hours. Manual intervention is minimal, and teams have greater trust in the accuracy of their data for financial operations.
Laying the Groundwork for Supply Chain and Procurement Integration
While the current implementation phase focused on finance processes, the platform has created a strong foundation for upcoming phases that will extend to procurement and logistics.
The continuous integration framework now serves as a model for future deployments, ensuring IKEA can expand clean, consistent data practices across its full business ecosystem.
Building a Data Foundation for AI and Automation
IKEA’s long-term goal is to move toward fully touchless, AI-driven data management. The accurate, integrated data foundation built with Syniti enables this evolution by ensuring the right baseline for automation, AI, and analytics.
“AI is just the tip of the iceberg,” said Gupta. “The real mass below the surface is data quality, lineage, and data governance. With the right data baseline, the innovation will follow.”
Transparent Partnership Built on Trust and Collaboration
Syniti acted as both solution architect and delivery partner, working closely with IKEA’s internal teams to ensure successful delivery and knowledge transfer. What began as a migration project evolved into a continuous integration initiative that now operates daily.
“Syniti was transparent about what could and couldn’t be done,” Gupta shared. “They listened, they adjusted, and in the end, everything we agreed to deliver is up and running.”
Next Steps: Expanding Continuous Data Quality Across the Enterprise
IKEA’s multi-year roadmap includes expanding continuous integration to procurement and logistics, introducing AI-driven business rules, and further automating data approvals.
“Focus on your data foundation first,” Gupta advised. “Don’t aim for perfect data right away—prove the value in small steps, then scale. That’s how real transformation happens.”
With its new unified data platform, IKEA is well on its way to achieving a smarter, more connected enterprise—built on a solid, trusted data foundation.