SAP Value Stories

Why SAP?

Inner Mongolia Shengmu Holdings

• Proven agriculture and livestock best practices using leading technologies and solutions from SAP • Strong integration and future-ready extensibility of SAP S/4HANA • Industry-specific implementation expertise from SAP and QZing that aligns with Shengmu’s global strategy

8.6% Improvement in inventory turnover, from 1.3878 to 1.5064 115 Standardized business processes

3 days Saved in monthly financial closing, from 7 days to 4 days

Agribusiness | China SAP S/4HANA

Challenges • Complex system landscape & integration. No Single source of truth • Lack of visibility of business processes, 360˚ view of customers • High operating & maintenance costs

Deriving fresh insight from every cow and extra value with every drop of milk

As the only raw milk brand in China certified by both Chinese and European Union organic standards, China Shengmu High Tech Group is also the largest organic milk supplier in China. The company began in 2009 in Mongolia‘s Ulan Buh Desert, where the company planted grass and pastures to create the first desert- based, self-sustaining organic milk operation. Now, Shengmu High- Tech Group wants to be the number one organic milk brand worldwide. To get there, the company needed to build a complete digital platform for its entire industrial value chain, one that would help Shengmu High-tech refine supply chain operations, reshape business processes, and even enable “smart pastures.” SAP S/4HANA delivers a solid base for smart farming for Shengmu High-Tech, significantly improving milk quality and controlling costs through unified data management and finance innovation. The company also uses SAP S/4HANA to strengthen supplier and customer networks to create even more value.

Outcomes

• Reduced implementation time • Optimized operations, inventory and supply chain management • Reduced Costs

• Improved finance operations • Improved decision-making

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