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Malaysia's Sunway Group shifts to cloud with SAP company Ariba

AvantiKumar | May 23, 2014
The Malaysian property-construction conglomerate is moving to the cloud as part of its business-transformation plan.

Mr Cheah Kok Hoong_Group CEO modified 

Photo - Cheah Kok Hoong, Hitachi Sunway Group CEO/Director of Hitachi Sunway Information Systems


Malaysia's Sunway Group has selected SAP company Ariba to deliver a cloud platform as part of a procurement business transformation plan, said the property-construction conglomerate.

The transition will allow Sunway Group's 13,000 staff to leverage on-demand applications and also deliver best practices and standardisation of its procurement practices, said Sunway Group's senior managing director of property & construction divisions Dato' KL Tan.

"In today's challenging economy, it is not enough to just identify opportunities for savings," said Tan. To be successful, we must ensure that they actually reach the bottom line."

"Ariba offers us the scalability to expand and consolidate, improve transparency and create a metric-driven approach that delivers exponential savings and sustainable competitive advantage," he said, adding that Sunway first started working with Ariba in 2000.

At that time, Sunway implemented Ariba's on-premise solution for managing purchase requests and orders to standardize procurement on an enterprise-wide basis, said Tan.

In 2009, the company started on its cloud journey with Ariba Sourcing and Ariba Spend Analysis to increase its visibility and drive spend compliance across more than 100 business units, he said.
Since then, Sunway has conducted more than 1,000 sourcing events that have generated savings of more than RM82 million [USD $25 million]. The group has also improved compliance and reduced its sourcing cycle times, said Tan.

Menara Sunway modified

Photo - Menara Sunway in Kuala Lumpur, Malaysia

 Shift to cloud

Hitachi Sunway Group chief executive officer/director of Hitachi Sunway Information Systems Cheah Kok Hoong said as well as expanding its portfolio, the group is moving to the cloud to enhance and speed up the results it has already achieved by using Ariba solutions such as Ariba Contract Management, Ariba Supplier Management and Ariba Procure-to-Order.

Sunway Group's Tan said: "Ariba makes it very easy for us to accomplish our goals. All of the tools we need to effectively manage sourcing process can be easily accessed and shared across functions, divisions and geographies."

"Because they are delivered through a single interface cloud platform, Ariba's solution allows us to quickly and easily consolidate procurement information across functions and divisions with less time, cost and effort," added Cheah.
Ariba SE Asia director, Shareen Gongular, said, "By implementing Ariba's cloud solutions, Sunway can enable new processes that allow it to anticipate and quickly respond to changes in market conditions and customer demands while maintaining its competitive edge."


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