By undergoing SAP ERP software implementation, PT Bank Rakyat Indonesia intends to maintain its position as the major micro-lending finance company in the country while simultaneously bolstering its core business functions.
As a long-time leader in the market for the financial services industry (FSI), SAP has been providing support to more than 80 percent of the top 1,000 banks and insurers all over the world. In 2021, the German enterprise software giant launched SAP Fioneer, a specialized FSI unit co-owned by entrepreneurial investor Dediq. The subsidiary intends to accelerate SAP’s financial services customers’ journey to the cloud through the implementation of new enterprise applications that are based on SAP technology.
At SAP Indonesia, Managing Director Andreas Diantoro said that the company believes that attempting to improve the overall performance of the numerous businesses and organizations operating within the financial services industry will allow citizens to benefit from the most favorable outcomes. Recently, SAP was tapped by PT Bank Rakyat Indonesia — which is one of the largest state-owned banks in the country — for its enterprise resource planning (ERP) digital transformation project.
“With the support from the SAP system, Bank Rakyat Indonesia can improve services for both internal and external stakeholders, as well as become a more trusted bank in implementing good corporate governance . I think that not only Bank Rakyat Indonesia customers can have the opportunity to improve the quality of their banking experience, but also residents throughout Indonesia,” SAP MD Diantoro shared.
PT Bank Rakyat Indonesia has implemented a hybrid cloud model consisting of both online and on-premise services. This has been done so that the organization can have a dedicated and robust financial system as its backbone, which then becomes the “single source of truth” for all of its financial data.
Driving Business Growth with SAP ERP Software Implementation
PT Bank Rakyat Indonesia is working with SAP Indonesia to strengthen its core systems and processes as part of its efforts to improve the quality of service it provides to its over 70 million customers across the entire country. The company has adopted seven different SAP modules in an attempt to optimize many facets of its business operations. (InsideSAP Asia often references articles from websites in other languages to bring you as much information as possible.)
Acting as the Project Manager of BRI Financial Enterprise System Implementation, PT Bank Rakyat Indonesia Executive Vice President Sandra Chalik said that the organization’s long-term goals are to be recognized as the most forward-thinking banking group in the Southeast Asian region and to take the lead in the digital transformation of the banking industry. He explained:
“For that, we must continue to improve the quality of our services, expand our reach and maintain good relations with all parties.”
Chalik further said that because of the digitalization program, PT Bank Rakyat Indonesia has been able to get more detailed information, which assists in meeting the auditing and financial governance requirements of the organization. He noted that ERP technology offers a number of benefits, one of which is the ability to reduce the number of personnel needed in the back office, further enabling the company to concentrate more on expanding its business.
According to the bank, three modules have been developed and implemented up to this point. Moreover, SAP Group Reporting, SAP Income and Expenses (IEM), and SAP Fixed Asset Management (FAM) have been adopted by PT Bank Rakyat Indonesia to:
- Improve their ability to handle and keep track of the general ledger (GL) both within and across branch offices.
- Increase the group’s traceability, and move the preparation of the financial consolidation of the group along more quickly.
- Better understand data structures that are typically multidimensional and varied in order to carry out a more in-depth investigation of them.
“Thanks to these modules, we are also able to automate many of our internal operations, including for accounting and reporting needs. The process of preparing BRI Group’s consolidated financial reports can also be done more quickly and with more intensity – reports that were previously generated in three months can now be completed every month, which is good news for us,” Chalik concluded.
