SAP integration Suite / SAP BTP Support and Innovation Factory
SAP BTP & Integration Suite for Enhanced Supply Chain Transformation
Introduction to the Client
This client is a globally recognised distributor of electronic, electrical, and industrial components, serving industries ranging from automotive to aerospace. Renowned for their extensive product range, they play a vital role in the supply chain, delivering everything from safety equipment to cutting-edge electronics. Notably, during the COVID-19 pandemic, their safety division became a critical supplier of personal protective equipment (PPE), including face masks, plastic aprons, and safety shoes, cementing their reputation as a dependable partner in challenging times.
Business Problems
The safety division faced operational challenges due to the limitations of their existing warehouse facilities, which were not scalable enough to meet growing demand and distribution needs. The organisation sought to consolidate operations to leverage economies of scale and improve supply chain efficiency. This included integrating smaller satellite businesses, acquired through mergers and acquisitions, into their major distribution centres.
Additionally, reliance on legacy systems hampered the flexibility required for modern logistics and supply chain management. These systems impeded seamless integration of the new and existing business units and limited the organisation’s capacity to respond quickly to market changes and customer demands.
Engagement Overview
In pursuit of a modern, scalable solution, the client engaged Bluestonex, an SAP gold partner and SAP AppHaus member, to implement SAP’s Integration Suite via SAP BTP as part of our SAP BTP Support and Innovation Factory service.
“We chose SAP BTP because it’s a go-forward product, a standard product, and it’s easy to maintain.”
– Client Project Manager
The primary objective of the project was to enable seamless communication between the client’s various business units and centralised warehouse operations, transforming them into a third-party logistics provider for their satellite businesses.
Integration Suite replaced the client’s existing EDI system. This included creating a back-to-back ordering system that allowed satellite companies to maintain their customer relationships while the client managed order fulfilment and logistics. This approach optimised the use of warehouse resources and allowed satellite businesses to focus on sales and customer service.
“Bluestonex did more in one day than the previous supplier did in a month.”
-Client Project Manager
Engagement Benefits
The implementation of SAP BTP delivered several significant benefits:
- Enhanced Operational Efficiency: Centralising logistics operations achieved economies of scale, reduced costs, and improved resource utilisation.
- Improved Supply Chain Visibility: Integration enabled better stock level visibility across the supply chain, facilitating more accurate demand forecasting and inventory management.
- Flexible Fulfilment Options: Orders could be routed globally, enhancing service offerings and expanding market reach.
- Seamless Customer Experience: Satellite companies retained control over customer interactions, maintaining high standards of customer service while leveraging the client’s logistics capabilities.
- Scalability for Future Growth: The SAP BTP solution provided a scalable framework, enabling further integration of other satellite businesses and supporting future growth.
Project Results
The supply chain transformation delivered immediate results, including cost savings and operational efficiencies. The system now processes approximately 1,000 sales orders per month, serving numerous tier-one clients, many of which are household names.
This integration also paved the way for subsequent rollouts, with a second deployment already planned. The client is exploring further improvements, such as early morning and Saturday deliveries and enhanced bulk order management, showcasing their commitment to innovation and continuous improvement.
Why Bluestonex Was Right for the Job
“We came to Bluestonex because you said you could deliver, and you did deliver.”
-Client Project Manager
Bluestonex stood out as the ideal partner for this supply chain transformation project due to several key factors:
- Expertise in SAP BTP: Bluestonex’s deep knowledge and experience ensured the swift and effective delivery of a robust integration solution.
- Proven Track Record: Their history of successful SAP implementations inspired confidence and trust.
- Agility and Responsiveness: Bluestonex delivered a working prototype within days, compared to the months spent with previous partners.
- Collaborative Approach: They worked closely with the client’s internal teams, ensuring alignment and engagement among all stakeholders.
- Long-term Partnership Potential: The successful implementation has strengthened the relationship, positioning Bluestonex as the client’s preferred partner for future projects.
Conclusion
This collaboration exemplifies the power of strategic partnerships and the transformative potential of modern technology. Through the deployment of SAP Integration Suite via SAP BTP, the client has achieved significant supply chain transformation, positioning themselves for continued growth and success in a competitive logistics landscape.
“Now we buy not only BTP services from you but we’ve also got a long-term partnership, and we are committed to Bluestonex.”
-Client Project Manager
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