In the rapidly evolving landscape of the manufacturing industry, digital transformation has become more than a buzzword—it’s a necessity. Leading this change in Indonesia, Sari Murni Group (SMG), a renowned snacks manufacturer, is leveraging the power of SAP’s innovative solutions in partnership with SAP Indonesia and IBM Consulting Indonesia. This strategic move marks a significant shift in how manufacturing businesses can optimize operations and drive growth in the era of the Fourth Industrial Revolution.

Indonesia’s Technological Leap into the Future

Indonesia, a vibrant hub of manufacturing, is embracing technology to bolster its competitive edge in the global market. The ‘Making Indonesia 4.0’ roadmap introduced by the government in 2018 aims to revolutionize seven key manufacturing sectors, including food and beverages, through advancements in AI, automation, cloud computing, and IoT. This initiative underlines the urgent need for manufacturers to adapt to a new digital paradigm, where AI-powered tools reshape customer experiences and operational efficiencies.

For two decades, SMG has been a household name in Indonesia, spreading its reach to over 10 countries. The transition from its legacy ERP systems to a unified, cloud-based ERP solution marks a pivotal moment in SMG’s history. Previously, disparate systems across various departments led to inefficient data reporting and management challenges. With the implementation of RISE with SAP, SMG is not only enhancing its reporting capabilities but also harmonizing business processes and streamlining data processing across its units in West Java and East Java.

The Role of RISE with SAP in Business Transformation

RISE with SAP, a comprehensive business transformation package featuring SAP S/4HANA, is a game-changer for enterprises looking to shift their ERP to the cloud. For SMG, this move has resulted in increased automation of end-to-end business processes, improved inventory, costing, pricing controls, and enhanced monthly financial reporting. With IBM Consulting Indonesia as the implementation partner, SMG is now positioned to further boost employee productivity and customer experience.

Teguh Ilham, Director at Sari Murni, acknowledges the transformative impact of RISE with SAP. This digital overhaul is enabling SMG to increase operational efficiency, improve decision-making processes, and foster in-depth analytical work, thanks to enhanced data visibility and integration.

Andreas Diantoro, Managing Director at SAP Indonesia, emphasizes how SMG’s digitalization journey, powered by cutting-edge technologies, is optimizing business processes and catalyzing development. The integration of AI and cloud computing facilitates precise and actionable data collection across the company, enabling faster strategic decisions that propel growth.

IBM Consulting Indonesia: Pioneering Digital Transformations

IBM Consulting Indonesia also plays a crucial role in this transformation. Deep Bhau, Managing Partner Indonesia at IBM Consulting, highlights their commitment to driving successful digital transformations. By collaborating with SAP, IBM Consulting Indonesia helps SMG unlock new levels of manufacturing efficiency, competitiveness, and productivity, rooted in reliable, responsible, and regulation-compliant technologies.

Sari Murni Group’s journey with RISE with SAP is more than a story of a business upgrading its systems. It’s also a testament to the transformative power of digital innovation in the manufacturing sector. As companies like SMG embrace these changes, they set a benchmark for others to follow, showcasing how technology can not only streamline operations but also open new avenues for growth and competitiveness in the global market. This journey is not just about keeping up with the times; it’s about leading the charge into a future where digitalization is the cornerstone of success in the manufacturing industry.

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The recent study sponsored by SAP dubbed IBM Insights on SAP revealed that the cloud is still the key technology driver for digital transformation in this era of recovery– enabling new platform-based business models, the orchestration of digital ecosystems, and the delivery of connected customer and employee experiences. According to the study, 74% of CEOs say that cloud computing will help them deliver the results they need over the next 2-3 years and 80% of the cloud opportunity will focus on shifting core business applications and workloads to the cloud and optimising everything from supply chain to sales.

IBM and SAP have been longstanding partners modernising operations of organisations across industries worldwide using hybrid cloud environments. In August, the two tech giants embarked on a partnership centred on onboarding two of SAP’s finance and data management solutions to IBM Cloud for Financial Services to help accelerate the banking and finance industry’s IBM cloud adoption. 

IBM Consulting Portfolio Complementing RISE with SAP

Acknowledging that companies, both large and small, are leveraging the cloud infrastructure and services for their next-generation enterprise transformations, the IBM and SAP launched another innovation that complements RISE with SAP, the German enterprise’s Business Transformation as a Service (BTaaS) offering. Converging IBM services with SAP solutions, the new solution BREAKTHROUGH with IBM is comprised of a collection of existing consulting services designed to help customers accelerate and amplify their journeys to S/4HANA Cloud with RISE with SAP at its foundation.

“I am excited to announce the launch of our latest collaboration with SAP – RISE with SAP, BREAKTHROUGH with IBM, a collection of our existing consulting services designed to help clients accelerate and amplify their journeys to S/4HANA Cloud with RISE with SAP at its foundation. With RISE with SAP – BREAKTHROUGH with IBM, clients can have access to an engagement model that can plan, execute, and support a holistic business transformation,” Michael Stevens-Jones, Executive, SAP Alliance – IBM Consulting, Asia Pacific, wrote in LinkedIn.

The new IBM solution, built on a flexible and scalable hybrid cloud platform, is designed to bring together tools and accelerators and allow clients to build upon their SAP investment, streamline operations, drive growth, and help reduce costs. It offers services that are compatible with RISE with SAP, ultimately empowering customers to define the full business value of the transformation opportunity.

BREAKTHROUGH with IBM services include:

• Value-driven assessments to define the optimal business case
• Reference architectures to help choose the cloud solution to determine the approach to help accelerate business transformation
• Advisory services that build differentiated solutions in an agile manner to move SAP S/4HANA to the cloud
• Business process management, which includes tools, applications, and adoption of intelligent workflows to maximize the value of SAP S/4HANA 
• Application management to support minor enhancements, DevOps, automation, and continuous innovation

Sharing about IBM’s latest collaboration with SAP, Garrick Keatts, Partner – Americas and Global SAP Practice Leader at IBM, said:

“IBM plans to combine our industry, cloud and architecture experience to provide services designed to help our clients regardless of industry, size or point of departure in their transformation journeys.”

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