Hinsun Motors & SAP Ariba - Creating Long-term Sustainable Value for Hisun Motors Corp., U.S.A - Premikati
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Linking Hisun Motors Corp., U.S.A.’s Vision to the Value of SAP Hisun Motors Corp., U.S.A. How can SAP Help Business Benefits Vision & Strategic Priorities Hisun Motors Corp., U.S.A.’s vision is to By partnering with SAP, Hisun Motors Corp., Hisun Motors Corp., U.S.A. can realize position the company as a leading automotive U.S.A. can streamline the following processes significant benefits through process company by providing smart mobility and accelerate its journey towards achieving improvements: vehicles and offerrings to meet customer its vision: • 1,851.6 K in annual recurring benefits needs. • Sourcing and Procurement • 3,600.8 K in one-time benefits To achieve its vision Hisun Motors Corp., U.S.A. is focusing on: This analysis elaborates on the potential benefits • Collaborative smart vehicle development that SAP solutions can enable for Hisun Motors • Digitalization of end to end processess Corp., U.S.A.. • Enabling smart mobility business models SAP can help Hisun Motors Corp., U.S.A. in accelerating the journey to the intelligent enterprise. *The steady state benefit represents the potential benefit that can be gained in an year by considering 100% realization for the value driver © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 2
Recurring benefits One-time benefit Hisun Motors Corp., U.S.A. Can Realize Significant Benefits Currency: U.S.Dollar Sourcing and Procurement Reduce days in inventory 3,120.0 K Reduce time to market for new products 1,025.8 K Potential Cumulative Value Comprehensive improvement on indirect 565.0 K spend 1,851.6 K 3,600.8 K Improve days payable outstanding 480.8 K Improve sourcing savings on direct spend 89.2 K Reduce inventory carrying cost 55.1 K Improve procurement FTE productivity 49.0 K Improve tactical sourcing savings 25.8 K Note: The steady state benefit represents the potential benefit that can be gained in an year by considering 100% realization for the value driver © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 3
Recurring benefits One-time benefit Hisun Motors Corp., U.S.A. Can Realize Significant Benefits Currency: U.S.Dollar Sourcing and Procurement Improve incremental discounts 16.6 K Improve supplier/external partner compliance 13.4 K Potential Cumulative Value Improve accounts payable FTE productivity 7.5 K Reduce revenue loss due to stock-outs 4.2 K 1,851.6 K 3,600.8 K Note: The steady state benefit represents the potential benefit that can be gained in an year by considering 100% realization for the value driver © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 4
Intelligent Processes Deliver Significant Value Process Area SAP’s Value Proposition Value Drivers Customers are Realizing Value • Advance service contract compliance by enforcing complex pricing across • Reduce days in inventory • Drogery Retail OOO - 10% materials, geography, and volume Inventory reduction for wholesale • Reduce time to market for new channel and 4% reduction in retail ( • Automate tactical sourcing processes for major cost reductions with request-for- products Link ) spot-quote solutions • Comprehensive improvement on • KAESER KOMPRESSOREN SE - • Boost shared-service procurement operations with better collaboration of casual indirect spend Faster time to market ( Link ) users and professionals • Improve days payable • Delux Bearings - Tighten sourcing • Capture service entry sheet details for your field contractors outstanding and inventory management Sourcing and strategies to cut costs and eliminate Procurement • Close the procure-to-pay loop with secure electronic payment execution with • Improve sourcing savings on waste ( Link ) comprehensive remittance direct spend • Villeroy & Boch AG - Freed up • Collaborate better and source smarter • Reduce inventory carrying cost purchasing staff to focus on strategic tasks ( Link ) • Collaborate with suppliers and service providers to define efficient contract • Improve procurement FTE scope and service terms productivity • A Financial Services Company - $7.4 million in cost savings since the • Comply with contracted prices and terms automatically across all operational • Improve tactical sourcing program’s inception ( Link ) procurement activities savings © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 5
Intelligent Processes Deliver Significant Value Process Area SAP’s Value Proposition Value Drivers Customers are Realizing Value • Drive business value by using managed catalogs to standardize procurement • Improve incremental discounts • AL DAHRA HOLDING L.L.C. - processes Manage the buyer and supplier • Improve supplier/external ecosystem efficiently and effectively • Drive compliance and contract adherence using supplier performance partner compliance ( Link ) information for actionable feedback • Improve accounts payable FTE • Migros - Improve customer • Drive compliance and realize savings you negotiate using contract authoring, productivity satisfaction with increased product execution, and repository availability and reduce stock-out • Reduce revenue loss due to situations ( Link ) • Drive comprehensive compliance by guiding service requisition and service- stock-outs order procurement processes Sourcing and • Increase spend under Procurement • Drive scalable and business process specific supplier onboarding and management (Strategic) qualification • Improve user compliance • Drive trusted, confident decisions based on insightful spend analysis, (Strategic) classification, and enrichment • Improve sourcing savings on • Enable casual users to create contract, supplier risk, and procurement requests indirect spend (Strategic) across sourcing channels • Expedite invoice processing through an end-to-end digital procedure for invoice collaboration © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 6
5 Year Benefit Estimate Currency : U.S.Dollar 11,142.9 K 11,142.9 K 5 Year Cumulative Benefit Net Present Value (NPV) 0.0 K 3 Months Cost of Delay © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 7
Recommended Solutions to Achieve Value By leveraging the power of SAP technologies, Hisun Motors Corp., U.S.A. can successfully achieve its business objectives while enabling a quantum leap in stakeholder experience. We recommend the following solutions to drive value: • Ariba Network Sourcing and • SAP Ariba Procurement, cloud edition Procurement • Ariba Sourcing, cloud edition © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 8
Customers are Achieving Value From SAP Company Company Honda Australia HARMAN International Industries Inc. Industry Industry Automotive Automotive supplier SAP Solution SAP Solution SAP® Manufacturing SAP S/4HANA, SAP HANA Execution Enterprise Cloud Customer Web Site Customer Web Site www.honda.com.au/ www.harman.com Honda Australia HARMAN International Industries Inc. Whether you’re in the market for a car, marine engine, motorcycle, or lawn mower, Honda The company needed a simpler way to connect its global manufacturing processes. HARMAN can Australia has you covered. now connect, monitor, and control manufacturing operations – enabling it to reduce cost while Honda Australia knew it needed a total digital transformation to bring all aspects of the exceeding customer expectations for outstanding product quality. business together on a single platform – and keep its customers on the go. • Achieve a high degree of automation, with communication running almost 100% in the • One integrated platform by consolidating multiple legacy systems onto SAP HANA background Enterprise Cloud – enabling common automated business processes across all divisions of • Examine and redefine processes to find and exploit areas for improvement Honda Australia • Avoid the need to retrain line personnel, thanks to automated communication • Integrated finance, reducing manual consolidation errors and improving accuracy • Enhanced dealer productivity and greater transparency in sales and procurement using SAP Fiori apps for various front-office processes, such as stock ordering Click here for Honda Australia source reference Click here for HARMAN source reference © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 9
Customers are Achieving Value From SAP Company Company Daimler AG MAHLE GmbH Industry Industry Automotive Automotive supplier SAP Solution SAP Solution SAP® Transportation SAP Product Lifecycle Costing Management Customer Web Customer Web Site Site www.mahle.com www.daimler.com Daimler AG MAHLE GmbH Prioritizing revenue growth, subsidiary Mercedes Benz Cars recently deployed the SAP ® Automotive industry giant MAHLE GmbH develops and markets technologically innovative Product Lifecycle Costing solution to help calculate future product profitability solutions for automotive and industrial engine systems and components. Subsidiary MAHLE Behr GmbH & Co. KG streamlined planning for inbound logistics processes by • One consolidated landscape for costing all projects in the company’s Powertrain business implementing SAP Transportation Management. unit and Mercedes Benz Cars division to achieve a quantum leap in efficiency • Created a new transport cockpit for quick access to an up-to-date overview for planners • Machine learning calculations and evaluation logic to increase agility in project costing and • Reduced the planning cycle horizon to six weeks throughout the company’s new intelligent enterprise • Nearly doubled inbound load capacity use • Rich analysis with engaging visualizations and high usability for 120 users company wide • ~7,200 Fewer tons of CO2 emissions produced each year Click here for Daimler AG source reference Click here for MAHLE source reference © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 10
SAP is committed to Innovation in Automotive Industry Automotive Cloud Comprehensive Industry Proven Services Consortium Coverage Offering ü Incorporates innovative technologies delivering ü More than 7,100 automotive companies in ü Use proven methodologies to drive innovation, real-time insights, greater visibility, and better 106 countries innovating with SAP solutions from reimagining customer experiences to decision-making enhancing operations ü 15 of the 15 car manufacturers with the ü Delivers preconfigured integrated processes highest production in the world running SAP ü Fuel your innovation through a managed that are user ready solutions innovation ecosystem from SAP ü Reduces complexity and the cost of adopting ü All lines of business supported on a single ü Build your own innovation capability and culture and running new capabilities and technologies platform SAP supports Automotive companies in becoming intelligent enterprises – providing integrated business applications that use intelligent technologies and can be extended on SAP Cloud Platform to deliver breakthrough business value. © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 11
SAP Vision to Value Approach Align & Mobilize Discover & Build Case Show the Path Forward Deliver on the Promise for Change • Articulate business strategy and • Conduct stakeholder experience • Build roadmap based on identified • Customer success scorecard outcomes discovery initiatives creation • Set engagement direction and • Uncover pain points and • Demonstrate the solution with a • Value realization and optimization expected results opportunity areas through focus on top value areas experience and process discovery • Measure actual value from • Align on scope, resource, and • Validate business case with investments in SAP timeline • Learn the technology landscape stakeholder and sponsors • Identify key initiates and develop • Arrive at Go / No Go decision case for change © 2021 SAP SE or an SAP affiliate company. All rights reserved. | CONFIDENTIAL 12
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