SAP Korea signs 10 SMB deals and expects 20 or more by the end of the year
Singapore — SAP Korea today announced that SAP Business is actively being implemented by small and medium businesses (SMBs) including Estsoft, Shin Chon Feed (SCF), Kolen, LG Cable China plant, and Thomas Lapp Cable Korea, since its launch on June 22 this year. The company expects more than 20 customers to be added within the year.
SAP Business One is an integrated ERP solution for small businesses and branches or subsidiaries of large corporations running an overseas plant or sales operation, which requires a simple and rapid implementation. The solution comes with an inexpensive introduction cost that is suited for SMBs. It has an easy user interface, and has a set of comprehensive functionalities required by SMBs, including financial and cost accounting, sales and distribution, inventory management, and reporting.
In addition to the basic functionality required by SMBs, SAP Business One also provides CRM and sales opportunity management functions that are not available in other comparable SMB solutions in the market. Furthermore, automatic alerts for exceptions enables fast decision making, and integration with Microsoft Office programs boosts workforce productivity. The unique ERP solution with 25 localized versions, including Korean, has already secured over 4,000 customers worldwide.
What SAP Business One Customers Say
Shin Chon Feed Co.,Ltd.
The medium-sized feed producer with 77 employees and 39.4 billion won (€ 28 mil) revenue was founded in 1972. Functional limitations of the existing system and plant-specific accounting requirements needed after the acquisition of a new plant were the major drivers for the company to use SAP Business One. SAP solution supporting continuous upgrade is raising expectations for site-specific sales management and greater efficiency in financial management. Ik Seung Son, General Manager for Finance and Administration, said, “Our primary objective was to integrate all the systems in different sites into one to enhance connectivity and operational efficiency, and we decided that SAP Business One was the optimal solution. Our initial concern about the price of SAP solutions was no longer valid when we learned that SAP Business One can be implemented at a reasonable cost.”
The venture company of 122 employees, established in 1999, produces camera lenses and records an annual revenue of 7.2 billion won (apprx. € 5.2 mil). Typical for any company experiencing rapid growth in a short period of time, Kolen suffered from inefficient business processes and slow operations due to the lack of standardized collaboration procedures with its overseas plants. After the process innovation consulting conducted by a leading local firm produced little benefit, the company expects that SAP Business One will resolve all the issues. Soo Bok Jeong, Financial Manager of Kolen, said, “Business process integration through Process Innovation will streamline processes and enable seamless communication to maximize our profit. We are positive that SAP Business One will make a big contribution as the backbone system to support our medium and long term objectives.”
LG Cable China Plant
The leading cable manufacturer producing optical cables and high voltage electric cables, records 1.939 trillion won (apprx. € 1.4 bil.) in revenue in 2003. The company has 3,266 employees. SAP Business One was rolled out at its China plant to achieve seamless integration with the SAP ERP system currently being implemented at its headquarters. Byoung Wook Park, PI Manager said, “While our overseas branches do not require complex and advanced functions like the headquarters, they must achieve seamless communication with the central organization. We expect that SAP Business One will satisfy our business need to enable organizational integration and lay the foundation for LG Cable to emerge as a global enterprise.”
Thomas Lapp Cable Korea
Headquartered in Germany, the company produces insulated wires and cables and wholesales electric equipments and machinery. Its 2003 revenue reached 11.6 billion won, and the company currently has about 70 employees. SAP Business One was selected for its rich functionality, complete integration with ERP suite, global customer support network, and short implementation period. Lapp Group aims to achieve enterprise-wide integration and connectivity by implementing the same solution globally. Ki Soo Sung, Finance and Administration Manager of the Korean affiliate, said, “We chose SAP Business One to consolidate our scattered systems and thus enhance system integration and operational efficiency. SAP Business One is the optimal solution fit for an extended enterprise.”
Commenting on the successful market penetration of SAP Business One, Eui Noung Han, Managing Director of SAP Korea, said, “The fact that the companies with varying size and industry chose SAP Business One is clear proof that it is the best ERP solution for SMBs and that the solution satisfies the requirements of varied business processes. Through flawless collaboration with our partners who worked closely with our customers, SAP Korea provides the best solution and service and contributes to enhancing the competitiveness of local SMBs.”
The solution is sold and implemented only by professional SAP partners that have completed SAP’s special partner training (sales and consulting). To prepare for the rising demand, SAP Korea plans to increase its pool of six partners, namely Daebo System, Morning Data Communications, SungEun Information, Shinsegae I&C, Entroi Consulting, and ETNC, in October.
SAP Korea is currently promoting a special program to deliver SAP Business One at an attractive price of 35 million won. The price is based on 5 users and includes software license, maintenance, MS SQL server and IBM or HP hardware to consulting and training. For more information on the special offering, contact SAP via firstname.lastname@example.org or 02-515-3404.
The leading applications provider, before the launch of SAP Business One, had already introduced the Korean version of mySAP All-in-One in October last year; the preceding solution is designed for relatively larger SMBs with more extensive and complicated business processes.