Saudi’s Leading Car Dealership Announces Successful SAP Implementation

IT Business Solutions Enable Mohamed Yousef Naghi Motors to Benefit from Operational Excellence

RIYADH, Kingdom of Saudi ArabiaSAP AG (NYSE: SAP) today announced the successful implementation of SAP Enterprise Resource Planning (ERP) solution at Mohamed Yousef Naghi Group, one of Saudi Arabia’s leading automobile dealerships.

The first phase of SAP implementation covered the installation of ERP solution across three of the four divisions of Naghi’s automobile firm, including Hyundai heavy commercial vehicles, Hyundai passenger vehicles, and Aqusat, which provides finance for customers to buy cars on credit.

Full implementation in three divisions was carried out in an unprecedented six months, with installation due to take place in the company’s fourth division, BMW, in the coming months. The SAP ERP software includes a host of horizontal solutions, such as finance and human resources, as well as modules from the core ERP solution, such as quality management, sales and distribution, production and planning, materials management, and work clearance management.

“SAP solutions will improve the business process and transparency across all areas of our company from ordering, import, sales and distribution through to after sales,” said Syed Abdullah, group IT director for Mohamed Yousef Naghi Group, which has the dealership of BMW, Mini, Rolls Royce, Hyundai passenger and commercial vehicles in Saudi Arabia.

“Companywide integration is crucial in the fast-paced environment of the automobile industry and the ERP modules for administration and finance are helping us to make the right decisions by allowing us immediate access to required data. This is making us more efficient and streamlined, which is in turn allowing us to be more competitive in the market,” added Syed Abdullah.

The second phase of implementation, which is due to start by the end of 2009, will see SAP’s BusinessObjects and Strategy Management (SSM) solutions installed across the same three automobile divisions.

“SAP BusinessObjects solutions provide companies with comprehensive functionality for business intelligence; information management; enterprise performance management; and governance, risk, and compliance. These flexible solutions can be customized for specific sectors such as the automobile industry. They are designed to complement and extend companies’ existing enterprise application infrastructure, streamlining key capabilities, including strategy management, planning, forecasting, analysis, risk mitigation, and compliance,” said Abdul-Raheem Bawazeer, Managing Director for SAP in the Kingdom of Saudi Arabia.

SAP business solutions assist enterprises and governments globally to improve customer relationships, enhance partner collaboration, create efficiencies across supply chains and business operations, and improve access to information. SAP solution portfolios support the unique business processes of industries including utilities, high technology, financial services, healthcare, education, and public services.

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(*) SAP defines business software as comprising enterprise resource planning and related applications.

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