Kemai Chemical Co., Ltd., a Chinese large-scale manufacturer of rubber ingredients, has built an integrated business platform with RISE With SAP S/4HANA Cloud as the digital core solution. SAP data integration has so far helped the company standardise its key processes covering industrial chain, supply chain, global layout, and management within the organisation.
Cloud services have become a significant market in China and are continuing to grow at a rapid pace as an increasing number of businesses of all sizes and types modernise their business processes and internal systems. An IDC report (translated from the original source using Google Translate) has indicated that by the end of 2021, 55{aa282f308afcc222aaa21b0478c79e01a8fedd01972e2180867097bd93930f22} of new enterprise apps in the country would be cloud-native. By 2024, 70{aa282f308afcc222aaa21b0478c79e01a8fedd01972e2180867097bd93930f22} of China’s top 500 companies are expected to have implemented a multi-cloud management approach that encompasses both public and private clouds.
Innovation was particularly emphasised in SAP China’s strategy when SAP S/4HANA Cloud, Private Edition launched in the country in early 2021. SAP said that it would increase its efforts in innovation and localisation, with a focus on promoting collaborations and developing strategic relationships. Then SAP Greater China President Mark Gibbs anticipated huge growth opportunities in China’s green development, digital economy, and smart manufacturing.
Recently, the German enterprise software giant has added Kemai Chemical Co., Ltd. — an organisation that engages in the development, production, and sales of rubber additives — to its roster of customers that have adopted RISE with SAP S/4HANA Cloud, Private Edition. The company has three production bases in Tianjin and Inner Mongolia, and is currently preparing a site in Hebei. Since 2008, it has successively established overseas sales subsidiaries in the US, South America, and Europe, aiming to deliver high-quality products and services to global customers through an international marketing network.
Leveraging RISE with SAP S/4HANA Cloud
By deploying the ERP solution along with SAP Analytics Cloud, Kemai Chemical intended to further simplify business processes, improve operational efficiency, solidify data and product standards, enhance product quality, reinforce business relationships, and gain valuable data insights through SAP data integration.
Dr. Huang Chenhong, SAP Global Executive Vice President and President at SAP Greater China, stated that the company had a successful go-live with the digital platform last month, which allows them to run smarter by providing more flexibility and efficiency, as well as reducing their environmental impact. He expressed in a Linkedin post:
“I am proud that SAP plays a key role in Kemai’s digital transformation to achieve decarbonisation and green development.”
With its commitment to accelerating smart manufacturing and reducing carbon footprint, Kemai Chemical built a digital integrated management platform based on RISE With SAP S/4HANA Cloud, Private Edition. According to Kemai Chemical Co., Ltd. Deputy General Manager Xue Xingjie, the launch of the ERP system (translated from the original source using Google Translate) is a significant step towards digital transformation. Furthermore, he said that the company has so far accomplished the shift from decentralised to intensive management, from broad to lean management, and from individualised to standardised management through the implementation of the project.
Simplifying Business Processes Through SAP Data Integration
With the help of SAP Partner MTC Information Technology Co., Ltd., the Chinese special chemical products manufacturer has built its cloud digital core on the SAP platform and further developed a comprehensive business system covering vital processes on research and development (R&D), production, procurement, financial management, as well as warehouse operations and sales.
Lu Fuping, Chairman at MTC Information Technology Co., Ltd., commended Kemai Chemical’s team for its effective communication and cooperation for the project. He added:
“I believe that today is a new starting point for Kemai’s digital transformation and a new beginning for cooperation with MTC and SAP. As two companies moving from Tianjin to the world, MTC will always cooperate with Kemai in the future global business and management strategy.”
Meanwhile, Zhang Qinhong, Vice President at SAP China and General Manager of Mid-market in Northern Region, believes that this project demonstrates the rapid execution of the RISE with SAP strategy in China. He maintained:
“SAP hopes to use this project as an opportunity to support Kemai’s strategic development and operational improvement in the long-term, and help Kemai to become a model of digital transformation in Tianjin.”