NEWSROOM

"SAP, the global leader in the market for enterprise application software, organized a special event focused on Supply Chains, highlighting Sustainable, Resilient, and Intelligent Supply Chains. The event not only featured presentations from executives of pioneering companies but also included a live connection to SAP's headquarters in Germany, offering a virtual experience on digital production.

TURKEY — SAP Turkey, which plans to hold various events specific to 24 different industries in 2024, has dedicated its first event of the year particularly to sustainable and intelligent supply chain management.

The "SAP Supply Chain" event that took place recently brought together supply chain leaders and sector professionals to discuss how cloud solutions, artificial intelligence, widespread data, and intelligent technologies are transforming the dynamics of supply chains.

After sharing global trends and innovative solutions in the supply chain, the event highlighted trends and success stories in planning, logistics, production, and asset management. Representatives from Norm Holding, Tüpraş, Eczacıbaşı Building Materials, and Improva spoke about SAP Integrated Business Planning. SOCAR and Veyseloğlu Group of Companies presented on SAP Service and Asset Manager (Mobile Asset Management) and SAP Transportation Management solution, respectively. Approximately 100 executives were hosted at the event, where a virtual experience was facilitated through a live connection to the pop-up factory at SAP's headquarters in Walldorf for the cloud-based SAP MES solution, Digital Manufacturing.

Supply chain is one of SAP's three priorities

Erdem Şekeroğlu, COO of SAP Turkey, stated that supply chains, which have recently become one of the most fragile topics on companies' agendas, are also among SAP's top three priorities. He noted that the frequency of crises in supply chain management has increased compared to the past, with challenges and crises now occurring more frequently. Companies prepared for these unforeseen processes gain clear advantages, and some even use these crises as opportunities to gain a competitive edge.

Şekeroğlu explained that the transformation in supply chains, which began with automation, has now given way to advanced analytical processes. "In the coming period, the use of artificial intelligence, along with digitalization, will come to the forefront, especially the topic of business process-focused AI is important for us. With the enablement of AI, valuable scenario outputs will be achieved in the corporate field. SAP will publish over 100 business AI processes by the end of this year. We are committed to creating relevant, responsible, and reliable AI processes," he said.

Research shows that less than 35% of digital transformation projects in supply chains are successful. Şekeroğlu emphasized the importance of a holistic perspective and a qualified team for project success. He also suggested progressing through short-term, quick-win projects instead of enduring long and tedious journeys.

"Companies prepared for supply risks can turn crises into opportunities"

Tuna Atmaca, Director of SAP South Europe Solution Group, began his presentation by emphasizing that past data in the supply chain will be decisive in what can be done in the future.

"We advised our customers to take precautions 30 minutes after the crisis in the Suez Canal"

Atmaca pointed out that companies are currently managed through the analysis of operational data. "Just 30 minutes after the crisis in the Suez Canal, companies working with SAP were notified that there was an unusual situation, and it was recommended that they take precautions. This advantage was provided through the analysis of data reaching the supply center with real-time data flow," he said.

Atmaca also highlighted that a quiet but significant revolution has been taking place in the corporate world over the past 10 years. "Considering that most technologies used in private life are not yet utilized in institutions, the question of whether the extent to which technology directs personal life can be transferred to the corporate level highlights the importance of this quiet but profound revolution. SAP, from its inception, has been focusing on this issue, constantly asking 'What happens next, or what happens when we use artificial intelligence for work?' and continuously producing next-generation solutions," he stated.

The event also featured Tiago Fernandes, Leader of the SAP EMEA Industry 4.0 Centre of Excellence, who spoke on "Digital Manufacturing," highlighting the advantages of automation in manufacturing processes. Fernandes shared up-to-date information about the "Smart Factory and Smart Asset Management Experience" through a live connection to the virtual factory at SAP's Customer Experience Center in Walldorf, Germany. He mentioned that processes and production can be simulated in the most realistic way possible in the virtual factory at SAP's headquarters, allowing for the creation of different production scenarios and experiencing the horizontal and vertical integration of production.

"Use of IBP Indicates Corporate Maturity"

At the event, Tolga Büyüksaraç, Director of Improva Supply Chain Solutions, expressed that the implementation of a planning solution like SAP IBP (Integrated Business Planning) in a company demonstrates that the company has reached a certain level of maturity in areas such as technology, culture, production, and inventory management.

"Every company has different needs. A project should be started when the infrastructure and cultural aspects are ready because IBP means integrated planning that encompasses all processes. In this sense, the infrastructure and human resources should be ready. The project must not be interrupted," Büyüksaraç suggested, listing the conditions necessary for the success of IBP projects: "The project should not be left to different departments; a special structure dedicated to this task should be established. A corporate culture independent of individuals should be created."

"With IBP, we can perform end-to-end capacity planning and take action on potential risks in advance"

Özgür Güçlü, Central Planning Manager at Norm Holding, which holds a significant position globally in the fastener sector, mentioned that they addressed their need for end-to-end capacity planning with the SAP IBP solution, allowing them to take proactive measures against risks. Güçlü continued, stating that before SAP, each process had its own planning, and they faced challenges in capacity planning across different processes, forecasting for varying customer demands, and production optimization:

"With IBP for integrated business planning, meaning demand, sales, production, finance, marketing, and all departments are managed under a single solution. With an end-to-end capacity plan, we can meet the material supply, demand forecasting, and investment needs that constitute a significant portion of production costs. Managing the process with IBP provides real-time, accessible, flexible, competitive, and accurate planning. For example, we mitigated the effects of the Suez Canal issue and were minimally affected by that crisis. Now, we can see months in advance how much overtime will be needed in human resources. With stock planning, we can take action in production."

Eczacıbaşı Building Products: "We've focused on close communication with our customers"

Mehmet Tahir Çiftçi, Senior IT Manager at Eczacıbaşı Building Products, which exports to over 80 countries across five product groups and uses various sales channels such as retail, DIY markets, wholesale, and e-commerce, stated that they implemented solutions for demand forecasting, capacity, and short-term planning in 2017, and started their digital transformation journey across all processes in 2019.

Çiftçi explained that during this period, after reviewing all processes and determining a new roadmap for the supply chain based on customer needs and expectations, they initiated transformation projects in production, logistics, and purchasing. "Without an end-to-end integrated supply chain setup, achieving the optimum solution with only 'technology' investment is not possible. After the pandemic, we implemented organizational and operational changes in 2023 based on company strategies, changing market conditions, and customer priorities, deciding to continue with SAP IBP for integrated planning."

"Creating a digital footprint from order to delivery for continuous improvement"

Mehmet Yılmaz, Founding Partner of GoLive, speaking on "Agile and Flexible Supply Chain Management with Digital Logistics Processes," said, "We are creating a digital footprint from order to delivery," and continued: "As GoLive, we ensure companies achieve full visibility in a sustainable structure in their supply chain processes. With our GoLogistics solution, we see the operational efficiency, real-time visibility, and reductions in shipping and inventory costs as the biggest project gains."

Özgür Kakmacı, Digital Transformation Director at Veyseloğlu Group of Companies, discussed the benefits of their GoLogistics solution, implemented to quickly adapt to changing market conditions and respond swiftly to demand changes in the retail sector.

Digital transformation is crucial for simplifying complexity in wholesale, distribution, retail, logistics, and production areas, increasing production, digitizing, and preparing for the future. With SAP's advanced supply chain solutions, there has been a 6.8% increase in service levels, an 83% reduction in planning times, resulting in time savings. There was also a 16% reduction in product placement times, a 50% reduction in goods acceptance, and a 22% reduction in product picking times, ensuring the business has a measurable, trackable supply chain infrastructure.

"Creating a Digital Footprint from Order to Delivery for Continuous Improvement"

Speaking on the topic of "Agile and Flexible Supply Chain Management with Digital Logistics Processes," Mehmet Yılmaz, Founding Partner of GoLive, continued by stating, "We create a digital footprint from order to delivery." As GoLive, we enable companies to achieve full visibility in their supply chain processes within a sustainable structure. By building a solid infrastructure for continuous improvement and agility, we view the operational efficiency, real-time visibility, and reductions in shipping and inventory costs as the greatest project gains with our GoLogistics solution.

Özgür Kakmacı, Digital Transformation Director at the Veyseloğlu Group of Companies, spoke about the benefits provided to the business by their GoLogistics solution, implemented to quickly adapt to changing market conditions and swiftly respond to demand changes in the retail sector.

Digital transformation plays a crucial role in reducing complexity in wholesale, distribution, retail, logistics, and production sectors, increasing production, digitizing, and preparing for the future. Together with SAP's advanced supply chain solutions, there has been a 6.8% increase in service levels, an 83% reduction in planning times, leading to significant time savings. Additionally, there has been a 16% reduction in product placement times, a 50% decrease in goods receptions, and a 22% decrease in product picking times, ensuring the company has a measurable, trackable supply chain infrastructure.

End-to-End Asset Management at STAR Refinery

Ömer Kiremitçi, Group Manager of IT Applications and Data Management at SOCAR Turkey, discussed how end-to-end asset management processes are tackled with the latest technologies at STAR Refinery and SOCAR Storage. He detailed how maintenance requests, created via mobile application or Fiori&GUI entries, are processed instantly through SAP Work Manager, and how the entire chain from field maintenance activities to entitlement and invoicing is managed across various platforms. The entire process is monitored end-to-end with SAP Analytics Cloud dashboards and Fiori applications.

Kiremitçi also mentioned, "As part of SOCAR Turkey's major digital transformation program, EARTH Phase 2, a transition to Petkim S/4HANA will also take place. While integrating SAP Multi Resource Scheduling and SAP Service and Asset Manager (Mobile Asset Management) in the Refinery and Petrochemical business unit, process automations that combine machine learning and artificial intelligence technologies with Geographic Information System infrastructure will be conducted," highlighting SOCAR Turkey's digital transformation roadmap.