Why SAP?
KUKA Industrial Manufacturing | Germany SAP S/4HANA Cloud Public Edition & Industry Cloud Solution
• Ability to build a powerful and comprehensive outcome-based manufacturing model that meets very specific business requirements using SAP® Subscription Billing – an industry cloud solution • Simplified and automated approach for everything from subscription product design to selling, billing, payment, and lifecycle management • Ease of integration with existing service and finance processes using SAP S/4HANA® Cloud Public Edition • Extensive business expertise in various areas, making it possible to successfully implement a new business model into the existing business process landscape
Enabling Outcome-Based Operations in the Cloud
When it comes to robots and production automation, companies around the globe turn to KUKA AG. Part of providing its customers with the very best is meeting the demand for flexible engagement models with equipment providers that allow production capacity to adjust to market needs. To meet the challenge of helping customers realize consumption and outcome-based operations, KUKA looked to pilot a new business model that would enable tailored subscription billing for commercial offerings and was also integrated with existing business, service, and finance processes. To complete its proof of concept, KUKA needed an IT partner with the industry and solution expertise required to first realize this new model and approach, and then present a plan for scaling it up across the company’s rapidly growing business.
Up to 9% Savings on direct and indirect costs for customers
Up to 7% Savings on direct and indirect costs for suppliers
Challenges
• Lack of visibility of business processes, 360˚ view of customers • Lack of collaboration & capability to scale
Outcomes
• Optimized operations, inventory and supply chain management • Expand business networks and collaborations • Improved decision-making
“Outcome -based business models are of great interest to industrial manufacturers. But so far, there have been too many challenges for most customers and providers to go this route. This joint KUKA and SAP project using SAP Subscription Billing offers a viable solution to change the industry approach.”
Head of Strategic Alliance, KUKA AG - Dr. Christian Liedtke
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