Gujarat Ambuja Exports Limited chooses SAP ERP 2005

The SAP implementation to help integrate various business processes of the company

MumbaiGujarat Ambuja Exports Limited – a leading player in agro- products with focus on exports, competing in the global market – today announced that the company has opted for SAP ERP 2005 as it core enterprise software solution. A Rs. 1300 crores (USD 300 million) company employing over 3000 people, Gujarat Ambuja Exports’ products include Soyabean Meal, Other oil seed Meals, Refined Edible oils, Vanaspati Ghee, Cotton yarn, Maize based starch and its derivatives, Wheat products and Cattle feed.

Speaking on the SAP implementation, Mr. P.G.Makhija, Executive Director, Gujarat Ambuja Exports Limited said, “The key challenges we want to tackle through the SAP implementation are – track inventory at different locations & different stages of manufacturing in real time, implement standard business policies & practices across the company operation and ensure availability of precise and online information to enable the management to take quick decisions”.

“As geographical boundaries diminish and global markets become more crowded, companies will rely on their software platforms to adapt to market changes, lower operating costs and drive growth opportunities”, said Alan Sedghi, President and CEO, SAP Indian Sub continent. “SAP ERP 2005 – the latest version of SAP ERP together with SAP NetWeaver serves as a stable business process platform and delivers continuous innovation . I am confident that the SAP implementation would significantly complement Gujarat Ambuja Exports Limited’s efforts to take their business to newer levels of business agility and competitive edge”.

Project Renaissance – aims to build a robust enterprise software backbone

Named project Renaissance, the SAP ERP 2005 implementation at Gujarat Ambuja Exports Limited would cover the companies seven plant locations including (Ahmedabad, Kadi, Himmatnagar, Indore, Pithampur, Akola, Uttranchal) and several sales depots including). The company has opted for 100 user licenses to begin with.

The company wide implementation of SAP ERP 2005 would address the company’s key business processes like raw material purchase including imports, sales & distribution including exports and quality checking for sales & purchase. The implementation would enable the integration of different Business processes, ensuring online Information availability, efficient inventory controlling, improving resource utilization, improve efficiency by eliminating effort duplication and ensuring data integrity and security. The key benefits expected of the SAP implementation include –

Strategic – Efficient inventory management

Operational – Improve plant utilization, better Stock / Turnover ratio, Identify less utilized Resources, better utilization of idle / lower utilized Resources

Technical – Cost centre accounting, Operation & Maintenance scheduling, down time monitoring

Financial – Achieve 10 – 20 % higher turnover with same inventory levels and 50 % higher turnover with same support staff.

Commenting on the selection process of choosing SAP Mr. P.G.Makhija, Executive Director, Gujarat Ambuja Exports Limited said, “We opted for SAP after careful evaluation of the various solutions available in the market. SAP was a unanimous choice for the number of successful installations in India across in sectors and the tightly integrated modules of the SAP solution. SAP ERP 2005 features industries wise ready-made SAP approved templates are available, for faster and easy implementation. The solution is operating system and database independent – giving us the freedom to choose the right fit solution from a variety of solutions”