SHAKAMBARI GROUP

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Overview

The Shakambari Group, situated in Eastern India, is one of the largest integrated steel manufacturing companies and was founded in 1996. With five steel factories located in West Bengal, it is one of the major producers of a variety of iron and steel products. Shakambhari Ispat & Power Ltd is a prominent manufacturer specializing in Sponge Iron, M.S. Billets, Rolling Mill, and TMT Bars. The company is committed to delivering high-quality products and maintaining operational excellence. To further enhance their business processes and improve productivity, Shakambhari Ispat & Power decided to implement SAP S/4HANA 1809.The implementation spanned across four legal entities and six manufacturing plants, with a focus on modules such as FICO, SD, MM, PP, PM, QM, and PS.

Highlights

Business Issues

Before implementing SAP S/4HANA 1809, Shakambhari Ispat & Power faced several challenges, including:

Fragmented Systems: The company operated with disparate systems across its different legal entities and manufacturing plants, resulting in data inconsistencies and difficulties in consolidating information for accurate reporting and decision-making
Manual Processes: Many of the transaction processes were manual Intervention, leading to delays, errors, and increased effort in data entry and analysis. This hindered the company's ability to respond quickly to market demands.
Lack of Integration: The absence of an integrated system made it challenging to synchronize processes and data across various departments and plants. This resulted in communication gaps redundant efforts, and unbiased inefficient resource allocation

Engagement Scope & Approach

Shakambhari ispat & Power partnered with a reputable implementation partner for the SAP S/4HANA 1809 project. The implementation approach involved the following steps

Project Planning: A comprehensive project plan was developed, Including milestones, timelines, resource allocation, management and risk strategies. This ensured a structured and organized implementation process
Business Process Mapping: The existing business processes were carefully analyzed and a future-state process map was. designed to align them with SAP S/4HANA 1809 best practices. This step aimed to streamiline operations and optimize efficiency.
System Configuration: The SAP S/4HANA 1809 system was configured to meet Shakambhari Ispat & Power's specific requirements. Customizations were made to align the system with the company's manufacturing processes and industry standards.
Data Migration: Legacy data was cleansed transformed, and migrated to the new system. This step ensured data integrity and accuracy, enabling the company to start with reliable and consistent data.
Training and Change Management: Extensive training sessions were conducted to familiarize employees with the new system and manage the organizational change effectively. This facilitated a smooth transition to SAP S/4HANA 1809

Results achieved

The implementation of SAP S/4HANA 1809 at Shakambhari ispat & Power resulted in several key outcomes, including:

Streamlined Operations: The integration of modules such as FICO, SD, MM, PP, PM, and QM led to streamlined and optimized manufacturing operations. This resulted in reduced lead times, enhanced resource utilization, and improved overall operational efficiency.
Improved Financial Management: The RICO module provided better control over financial processes, enabling accurate financial reporting enhanced budgeting and forecasting and improved decision-making.

Enhanced Sales and Distribution: The SD module facilitated efficient order management, improved customer service, and enhanced sales processes with an auto freight PO generation process in case of outward goods movement. This led to increased customer satisfaction and Improved sales efficiency.
Efficient Plant Maintenance: The PM module allowed for proactive maintenance planning, reduced equipment downtime, and enhanced overall equipment effectiveness (OEE). This resulted in improved plant productivity and maintenance costs.
Enhanced Quality Management: The QM module enabled strict adherence to quality standards throughout the manufacturing process. This ensured consistent product quality, reduced defects and enhanced customer satisfaction.

Thanks to SGN's expert implementation of SAP ERP, we have seen a significant increase in efficiency, productivity, and revenue.

Mr Sanjay Bayen DGM SAP