SAP: Cloud Is the Success Enabler in the Fourth Industrial Revolution


Cloud computing is the “great enabler” of successful transformation needed for the Fourth Industrial Revolution (4IR) as its benefits go way beyond speed, scalability, storage and cost efficiencies.

At the Intelligent Cloud Forum organised by TM One in Q4 2021, SAP Malaysia managing director Hong Kok Cheong explained that cloud computing provides the foundation for most advanced technologies – from artificial intelligence (AI) and machine learning to the Internet of Things (IoT)– and gives businesses the means to innovate.

“The data that fuels Industry 4.0 technologies resides in the cloud, and the cyber-physical systems at the core of Industry 4.0 use the cloud to communicate and coordinate,” said Hong.

“All enterprises – even and especially SMEs – can be part of IR4.0 to survive and thrive in this new revolution,” he added.

Hong explained that, in the ‘new normal’, it was imperative for local businesses to transform themselves into becoming ‘intelligent enterprises’.

“Intelligent enterprises better address challenges with technology-enabled capabilities, and have the agility to respond faster to market changes and addressing customer needs,” he said. “They have unique capabilities that help them close the experience gap, unlock new sources of growth and lead in their respective industries.”

“These enterprises are also able to collect insights from customers, employees, products, and brands at every touch point, use powerful technology to sense opportunities, risks, and trends and turn this intelligence into action across every part of the business.”

Hong cited Aspen Glove, a joint venture between Aspen (Group) Holding Limited and CMY Capital Sdn Bhd, which was a new player in the healthcare gloves industry and up against industry players that have several decades’ worth of experience.

To distinguish itself from its competitors, Aspen Glove automated its production lines and processes end-to-end with SAP’s S/4HANA Cloud – Private Edition as the enterprise resource planning (ERP) solution for its manufacturing plant in Kulim Hi-Tech Park that was running 96 production lines.

As a result, Aspen Glove was able to fully focus on business objectives, rather than maintaining the ERP system, as well as shortening the sales cycle and helping in the company’s decision-making process. It was also able to connect production with end-to-end process execution across the supply chain.

“At SAP, we are committed to bring the best combination of break-through technology innovations together to help business accelerate your business agenda. With our history and focus on software innovation, SAP continues to help local companies become intelligent enterprises,” said Hong.

He added that “SAP is for everyone” and cited the collaboration with TM ONE to accelerate the transformation of Malaysian enterprises by improving their operating efficiencies through digital solutions.

This collaboration also marked the appointment of TM ONE as the first local hyperscaler to become the Partner Managed Cloud (PMC) provider for SAP business suite solutions in Malaysia.

“Together, SAP and TM ONE are making available to local companies the largest sovereign-Cloud to empower SAP Business One solutions targeted at SME and medium-sized enterprises.  With this solution, enterprises will be able to enjoy secure, world-class Cloud-based enterprise business solutions, hosted on TM ONE’s intelligent Cloud – α Edge cloud infrastructure. It provides unmatched Cloud connectivity and cybersecurity as well as full data residency in Malaysia,” said Hong.

Under this collaboration, TM ONE is offering its corporate customers a full subscription-based model of SAP Business One hosted on TM ONE’s α Edge, bundled with managed services. This arrangement will aid in enabling organisations to migrate their enterprise systems to the Cloud with confidence, visibility, and predictability.

SAP is today one of the world’s leading enterprise applications providers. Across the globe, SAP customers include 92% of the Forbes Global 2000 companies, 98% of the 100 most valued brands, 97% of the greenest companies (according to Newsweek), while approximately 80% of SAP’s customers are SMEs.

Note: This article was originally published in Business Today Malaysia.