SAP Rollout

Global steel manufacturer adopts SAP for massive savings and improved operational efficiency

The client is a steel-based technology and capital goods group based in Linz, Austria

Steel Manufacturing

The Client

The client is a subsidiary of an international steel-based technology and capital goods group based in Linz, Austria. This company is active in steel, automotive, railway systems, and tool steel industries in around 100 countries worldwide.

The Challenge

  • Raw Material Management – Over 500 trucks of RM received in one manufacturing Plant
  • Financial Consolidation – Pending AR, Cost-benefit analysis, Asset Mgt.
  • Multi-level stock-points – Depots, Stockiest, Distributors, Wholesalers, Dealers, Retailers, Consignment & Forwarding agents
  • Operational Efficiency of the Manufacturing process

The Solution

  • Implementation of Cemeframe, JKT’s SAP Framework for Cement Industry
  • Apart from Key ERP system JKT implemented Business Objects and ESS/MSS
  • Integrated real time system with standardized processes across the organization
  • Identified Value realization areas for enhanced benefits as part of blue printing
  • Established monitoring system of energy consumption

The Benefits

  • Inventory Management Optimization by 15%
  • Reduction in Maintenance Cost by 3%
  • Reduction in Energy Cost by 6%
  • Increased Order Fill Rate by 4%
  • Higher Workforce Productivity by 17%
  • Reduction in Bad Debts by 7% (Effective AR Control)
  • Reduction in Time to Market due to Timely MIS