Transforming O2C and P2P Processes with SAP ERP Cloud Solutions
Client Profile
Our client is a leading tire manufacturer, ranked among the top 25 globally and recognized as a flagship company in the automotive sector. Known for its innovation in radial technology, the company offers an extensive portfolio spanning Truck/Bus Radials, Light Commercial Vehicles, Passenger Car Radials, Off-the-Road, Farm Vehicles, and two- and three-wheelers. They are also pioneers in motorsport tire technology and Smart Tyres with advanced Tyre Pressure Monitoring Systems (TPMS).
Challenge
Order-to-Cash (O2C)
- Manual order processing led to frequent errors and delayed fulfillment.
- Inventory mismanagement caused recurring stockouts of high - demand sizes, resulting in lost revenue.
- Delayed invoicing slowed cash inflows and weakened customer relationships.
Procure-to-Pay (P2P)
- Lack of process visibility caused inefficiencies, higher procurement costs, and potential supply chain disruptions.
- Absence of real-time supplier and inventory data hampered decision-making.
- Manual invoice processing created bottlenecks in reconciliation and payments.
Solution
Rialtes implemented comprehensive SAP ERP cloud solutions to digitize and automate O2C and P2P processes.
1. SAP ERP Integration
- Integrated modules: SD(Sales and Distribution), MM(Materials Management), FI(Financial Accounting), and Ariba for procurement.
- Used SAP PI / PO(Process Integration / Orchestration) for seamless data exchange with legacy systems.
2. Automated Order Management
- Configured SAP SD for sales order automation with ATP (Available-to-Promise) checks.
- Integrated with EDI (Electronic Data Interchange) for real-time order capture from distributors.
3. Real-time Inventory Management
- Enabled SAP Extended Warehouse Management (EWM) for granular inventory tracking.
- Integrated IoT sensors for real-time stock visibility in warehouses and production lines.
4. Automated Invoice Processing
- Deployed SAP VIM (Vendor Invoice Management) by OpenText for OCR-based invoice capture and workflow automation.
- Integrated with SAP FI for automatic posting and reconciliation.
5. Supplier Relationship Management
- Leveraged SAP Ariba Network for supplier onboarding, catalog management, and performance tracking.
- Implemented scorecards and KPIs using SAP Analytics Cloud for supplier evaluation
Fiori Solutioning: Enhancing Usability and Process Efficiency
As part of the SAP ERP transformation, Rialtes implemented SAP Fiori to modernize the user interface and improve operational agility across departments.
Fiori Implementation Highlights
- Role-Based Dashboards: Designed intuitive Fiori Launchpad tiles tailored for Sales, Procurement, Inventory, and Finance teams, enabling faster access to critical tasks.
- Responsive Design: Enabled mobile and tablet access for field sales and warehouse teams, improving real-time decision-making and reducing delays.
Custom Fiori Apps
- Order Management App: Allowed sales teams to create, track, and modify orders with real-time ATP checks and customer insights.
- Inventory Insights App: Provided warehouse managers with live stock levels, reorder alerts, and movement history.
- Invoice Tracker App: Empowered finance teams to monitor invoice status, approvals, and payment cycles with drill-down analytics.
Benefits
The transformation delivered measurable outcomes across operations:
Order Accuracy Improved by 40%
Automation reduced manual entry errors.
Order Fulfillment Speed Increased by 35%
Real-time visibility allowed faster processing and delivery.
Inventory Holding Costs Reduced by 25%
Better demand forecasting minimized excess stock.
Stockouts Decreased by 30%
Popular tire sizes consistently available, boosting customer satisfaction.
Invoice Processing Time Reduced by 50%
Payments processed faster, reducing cycle times.
Procurement Costs Lowered by 15%
Data-driven purchasing decisions improved supplier terms and efficiency.
Supplier Performance Scores Increased by 25%
Stronger collaboration and transparency improved relationships.
Business Impact of Fiori Enablement
User Adoption Increased by60%
Simplified interfaces and mobile access boosted engagement across departments.
Task Completion Time Reduced by40%
Role-based apps minimized navigation and manual data entry.
Error Rates Dropped by35%
Guided workflows and validations reduced process deviations.
Mobile Productivity Improved by50%
Field teams accessed real-time data on the go, accelerating order and delivery cycles.
