SK Corporation to Implement Advanced Global Management System with mySAP.com

SK Corporation selects mySAP.com as the infrastructure to realize its vision to position itself as an innovative global marketing company.

Seoul, KoreaSAP Korea, leader in inter-enterprise business solutions, announced today that SK Corporation, leader in the petroleum industry in Korea, selected mySAP.com to implement the vision of the latter. SK selects mySAP.com as the core infrastructure to position itself as the “super-excellent” marketing company and to succeed in its future e-business. SK can get full support for the industry-specific processes by selecting mySAP.com Oil & Gas Industry Solution, which is not generally supported by any other solution vendors. Preceded by LG-Caltex Oil, SK Corporation selects SAP’s software solutions for the oil and gas industry, which enables SAP Korea to secure its solid leadership with the competitive edge in the industry market. SK plans to take a “big-bang” approach to implement the mySAP.com components in one go, including Financial Accounting (FI), Controlling (CO), Sales and Distribution (SD), Materials Management (MM), Production Planning (PP), and Human Resources (HR).

One SK official says: “We chose mySAP.com because of the completeness and extensive functionality of the product that supports diverse business processes to enable successful implementation of the project. In addition, mySAP.com is a complete solution proven by various references both at home and abroad.” He adds: “SK Corporation finds in SAP a trusted project partner as well as a provider of excellent solutions.”

In order to create a platform for the transformation from a general energy and chemical company to an innovative global marketing company, SK plans to adopt the best practices that mySAP.com provides as much as possible. This project differs from other enterprise resource planning (ERP) projects in that it is the first of its kind to implement global best practices to all possible areas.

SK plans to kick-off the project coming January 2000, which will last some 18 months. With the project, SK expects to standardize its business processes and share internal data in real time to facilitate cross-functional communication. Furthermore, the integrated information system will speed up their data collection and increase the data reliability, resulting in significant increase in the efficiency of the corporate decision-making process. Ultimately, SK is going to build an integrated, advanced platform system that enables successful e-business.

About SK Corporation
SK Corp, the biggest energy and chemical company in Korea, yielded revenue of about USD10 billion in fiscal 1999 with ever since it was established in 1962. SK Corp is transforming from being a manufacturing company to being a globalized innovative marketing company. To achieve its vision, the company will invest a total of USD19 million in Internet business in the year 2000, with USD13 million earmarked for business-to-consumer activities, USD4.3 million for the business-to-business segment and USD1.7 million for a new communication between the business and employees.