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Ask Approyo: How can SAP S/4HANA impact the Chemicals Industry?

We are at the dawn of the next big technology change where everything is connected and software is embedded in our lives. This technology change is bringing new opportunities and new threats. Cycle time for innovation is 5x–10x faster, and chemical companies can no longer compete unless complexity is reduced, business is reinvented, and data becomes the fuel for value creation for customers and shareholders.

The chemical world as we know it is experiencing a revolution on both the supply and demand sides of the value chain. We are experiencing a digital revolution from the technology advances of hyperconnectivity, supercomputing, cloud computing, smart technology, blockchain, and cybersecurity. We see a strong adoption of cloud solutions already, in particular for nonstrategic processes like HR or procurement, however, cybersecurity remains an important aspect for the asset-and operations-intensive chemical industry.

This revolution will transform the chemical industry away from the traditional, vertically integrated business models to an industry where access to information will overtake access to raw materials and resources as the competitive differentiator. These same disruptive technologies can also be used to reach new levels of safety, cost control, and agility in a competitive environment, while providing a bridge to success in the new, diversified, and outcome-focused economy. To succeed, chemical companies will need to put in place a coherent digital vision with clearly articulated strategies. In particular, they will need to address emerging business models such as driving outcome-based engagements and flexible sourcing of resources through external talent networks. To execute on this, firms will not only need to reengineer their business processes, but they will also have to evaluate if they have the right technology platform that can deliver on that vision.

This platform requires an IT architecture that provides both stability and long-term reliability for core enterprise processes, and at the same time allows for flexibility in areas where change is happening on a constant basis. The digital core is the foundation for the core processes that need to run consistently and flexibly. It provides uninterrupted, real-time transactions and analytics, the ability to work with Big Data and connectivity to line-of-business (LoB) extensions that enable supporting processes such as chemical solutions and chemical-specific SAP Fiori apps.

SAP S/4HANA is the real-time platform at the core of an extended digital framework, enabling companies to connect seamlessly both internally and externally. The digital network starts with a digital core that interconnects all aspects of the value network in real time to drive business outcomes. The digital core gives chemical companies the opportunity to rationalize and simplify product innovation, manufacturing, or supply chain processes and integrate those with analytics in real time to enable a smarter, faster, and simpler enterprise

Simplified Processes: Key Industry Capabilities with SAP S/4HANA

Product Innovation and Integrity

  • Project and portfolio management

  • Compliant product lifecycle management

  • Quality assurance

  • Corporate sustainability


  • Project and portfolio management

  • Compliant product lifecycle management

  • Quality assurance

  • Corporate sustainability

  • Production operations management

  • Production network

  • Environment, health, and safety

  • Asset operations and maintenance

  • Asset network

Supply Chain Management

  • Sales, inventory, and operations planning

  • Demand management

  • Response and supply management

  • Transportation management

  • Warehouse management

  • Logistics network

Sales and Marketing

  • Real-time customer insight

  • Collaborative sales force automation

  • Quote to cash

  • Sales performance management

  • Service process and operations

  • Omnichannel commerce

SAP S/4HANA is The Next Generation Business Suite For A Digital World The opportunity exists to transform business processes and achieve the digital transformation of your business with more automation and real-time visibility. Our SAP HANA and Big Data solutions address these important these needs and more. Let us show you today! Set up a free consultation.

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