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“Because SAP Best Practices for Company Implementation Highlights
• Name: Emery Oleochemicals • Leveraged 75% of SAP prebuilt
Chemicals provides 75% of the • Headquarters: Kuala Lumpur, Malaysia processes
functionality we need, we knew • Industry: Chemicals • Cost-efficiently completed implementation
• Products and services: Oleochemical on time
it would shorten our implementation products • Successfully outsourced business func-
• Revenue: €775 million tions as well as hardware and software
time and lower our costs.” • Employees: 1,100 maintenance
Ralf Petersohn, Head of IT, • Web site: www.emeryoleo.com
• Implementation partner: Accenture Why SAP
Emery Oleochemicals Group
• Mature package of industry-standard best
Challenges and Opportunities practices for the chemical industry
• Establish an independent company, • Comprehensive solution appropriate to
business processes, and systems requirements and size of company
• Ensure deployment of best practice • Strong integration capabilities
processes for the chemical industry • Prior experience with SAP interfaces and
• Increase productivity and efficiency process automation
Objectives Benefits
• Implement a complete enterprise resource • On-time and within-budget implementation
planning (ERP) system in 9 months • Simplified inventory control and reporting
• Automate business processes according compared to former SAP solution
to industry best practices • More data transparency for greater insight
• Integrate with other SAP® and 3rd-party into inventory movement
solutions • IT focus on business processes and
• Outsource noncore functions as well as operational efficiency
hardware and software maintenance
Third-Party Integration
SAP Solutions and Services Multiple systems including:
• SAP Best Practices for Chemicals • Atrion for environmental health and safety
package compliance
• SAP Business All-in-One for Chemicals • Foreign trade
solution • Optical archive for incoming invoices
• SAP ERP application
tionality we need, we knew it would explains why the company chose for the reports. In addition, reducing
shorten our implementation time and Accenture: “Accenture presented a the number of controlling elements sim-
lower our costs,” Petersohn comments. very good and structured concept as plified reporting to suit the company’s
The ability to easily integrate the soft- well as excellent reference customers. needs.
ware was another deciding factor, as We felt they not only understood the
Emery Oleochemicals would continue needs of midsize companies but also A key integration with the digital truck-
to exchange data with its former parent, offered the global reach that we would weighing station automates the vital
need given our worldwide operations.” road tanker process. This solution auto-
Accenture coordinates the SAP mainte- matically captures the weights of incom-
“With SAP and Accenture, we have nance activities for Emery Oleochemi- ing and outgoing transports. Connection
cals at its support and data centers in with the former owner’s SAP laboratory
been able to rapidly establish Emery Germany. system eases end-to-end order pro-
Oleochemicals as a stand-alone cessing and allows testing data and re-
Leveraging SAP Expertise to sults to be automatically transferred
company equipped with tools that Streamline Business Processes into the Emery Oleochemicals system
provide full data transparency and via “IDocs” – the standard SAP format
During the implementation, Emery for electronic data interchange (EDI)
control over our processes so that Oleochemicals changed business pro- between systems. And EDI established
we can manage them strictly to our cesses to comply with the leading-edge with a logistics provider means quick
practices as preconfigured in SAP Best transmission of delivery changes.
needs.” Practices for Chemicals, using approxi-
Ralf Petersohn, Head of IT, Emery mately 75% of the practices. At the “SAP has helped us to streamline our
Oleochemicals Group same time, Accenture worked closely operations. We have appreciated the
with the business process owners with- fact that the predefined business pro-
in the company to identify site-specific cesses allowed us not only to quickly
partners, suppliers, and service provid- processes and interfaces that needed implement industry-standard practices
ers. In addition, because the parent to be developed and integrated. but also to question and redefine our
company used SAP applications, the processes where we identified oppor-
employees of Emery Oleochemicals Based on its smaller size, compared tunities for improvement,” says Andreas
were already familiar with the interfaces to its former parent company, Emery Meinz, vice president at Emery Oleo-
and automated processes, which would Oleochemicals chose to shrink the chemicals Europe.
reduce training and ramp-up time when number of interfaces, redesign its master
moving to the new solution. data management, and reduce the Emery Oleochemicals has also been
complexity of its controlling and finance able to maximize its use of outsourcing
Emery Oleochemicals combined its se- processes. As a result, new-materials because of the high level of standard-
lection of SAP software with service numbering has simplified inventory con- ization built into SAP Best Practices
hosting and application management trol and reporting, the higher level of for Chemicals. The company has out-
provided by Accenture, its implementa- data transparency provides greater sourced noncore functions, such as
tion partner. This enabled the company insight into inventory movement, and foreign trade, and eliminated technical
to meet its goal of outsourcing hardware sales reporting is easier using divisions maintenance with application support
and software maintenance. Petersohn instead of profit centers as the basis managed by Accenture. As a result, the
www.sap.com /contactsap
IT team can stay focused on streamlin- When Petersohn looks back on the
ing business functions. “Our objective whirlwind pace of the project, he notes
is spending time looking at how we can how instrumental SAP has been in
best improve process efficiency and helping achieve the fast results: “It’s
management rather than worrying remarkable that a small team could set
about system issues,” Meinz explains. up a complete and fully functional ERP
system from scratch combined with an
Global Implementation Started optimization of the company’s processes
within nine months,” says Petersohn.
Today 340 Emery Oleochemicals em- “This demonstrates the value of the
ployees use the company’s single, fast, industry-standard processes built into
and lean ERP solution. The solution SAP Best Practices for Chemicals.”
was rolled out successfully to the Unit-
ed States in 2008. Now the group is
planning to extend the use of its SAP
software to its operations in Malaysia.
“We look forward to scaling the results
we have achieved with SAP Best Prac-
tices for Chemicals throughout the rest
of our group,” says Petersohn. Once the
rollout is complete, Emery Oleochemi-
cals will continue to concentrate on le-
veraging the industry-standard practic-
es to optimize processes and increase
efficiency and flexibility. It is also con-
sidering additional SAP software for
customer relationship management.
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(09/06)
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