Success Stories - Saleh Abdulaziz Al Rashed & Sons Co.

Saleh Abdulaziz Al Rashed & Sons Co.

Company Name:
Saleh Abdulaziz Al Rashed & Sons Co.
Industry:
Supplying and producing building materials of graded aggregate
Specializations:
Crushers, Asphalt Mixers, Graded Aggregates, Gravel and Crushers Spare Parts
Location:
Riyadh, Kingdom of Saudi Arabia
Company Size:
1500 - 2000 Employees
Year of Establishment:
1981

Saleh Abdulaziz Alrashed & Sons Co. is a leading company for supplying and producing building materials of graded aggregates. Our quarries are located at two major sites; Rumah and Summan, thus, ensuring procurement to Riyadh and the Eastern region. Through certified, engineering, and chemical testing we guarantee that the quality of our production is never compromised.

BUSINESS CHALLENGES

  • Specific problems or pain points the company faced before implementing the SAP solution.
  • Costing for production, payroll system, tracking for daily activity, weight scale not integrated with current ERP, customers payment, reporting...etc.

BUSINESS OBJECTIVES

The goals the company aimed to achieve with the SAP implementation (e.g., improving efficiency, reducing costs, enhancing customer service).
  • Implementing SAP will significantly reduce costs, especially in production and new site activities. By streamlining processes and enhancing data accuracy, the company can identify cost-saving opportunities and optimize resource allocation.
  • SAP will enable the company to track and manage the warehouse for spare parts more effectively. This will improve inventory accuracy, reduce waste, and ensure timely availability of critical components.
  • Full automation of the weight scale system with SAP integration. This will enhance accuracy, reduce manual errors, and increase efficiency in operations.
  • SAP will help to accelerate and control the process for customer delivery and payment. By automating these processes, the company can improve customer satisfaction, reduce processing times, and ensure timely payments.
Implementing SAP S/4HANA Private Cloud ERP has transformed our operations, providing us with the efficiency and flexibility needed to drive our business forward. The seamless integration and real-time insights have significantly improved our decision-making processes, enabling us to better serve our customers and support our growth strategy.
Saud Al Rashed
CEO of Saleh Abdulaziz Alrashed & Sons Co.

SOLUTION DESCRIPTION

  • Finance & Controlling (Master Data, Finance, Controlling & Standard Reports)
  • SAP Document & Reporting Compliance.
  • Project Systems (Master Data, Project Management Activities & Standard Reports).
  • Material Management (Master Data, Inventory, Procurement & Standard Reports)
  • Sales & Distribution (Master Data, SAP Sales Scenarios & Standard Reports)
  • SAP Cloud Platform Integration.
  • Basic Transportation Management (LE-TRA)
  • Production Planning (Master Data, Planning, Shop Floor Execution & Standard Reports)
  • Plant Maintenance (Master Data, Plant Maintenance Scenarios & Standard Reports)
  • Quality Management (Master Data, Quality Planning, Quality Inspection & Standard Reports)
  • SAP SuccessFactors 

IMPLEMENTATION PROCESS

  • Planned Implementation Period: 9 Months
  • Actual Implementation Period: 6 Months

CHANGE MANAGEMENT

Starting from phase number 4 Realize phase, where users are beginning to interact with the system by following test scripts for all daily business scenarios. This phase also includes a comprehensive test for system integration between our weigh scale third-party software and SAP.
This integration is set to revolutionize the company’s operations across all company plants. By automating and controlling processes through SAP, the company aims to significantly reduce user errors and enhance overall efficiency.

RESULTS AND BENEFITS

Streamlined Processes
  • Integration of various departments such as finance, procurement, and manufacturing resulted in better coordination and reduced redundancies.
Automation
  • Automating routine tasks led to significant time savings and allowed staff to focus on more strategic activities.
Real-time Insights
  • SAP S/4HANA’s advanced data management capabilities provided SAR with real-time insights into their operations, enhancing decision-making processes.
Data-driven Decisions
  • Improved data analytics facilitated more informed and agile business decisions.
Adaptability
  • The private cloud environment enabled SAR to scale their operations seamlessly in response to market demands.
Future Growth
  • The solution’s flexibility supports SAR’s long-term growth and expansion plans.
Reduced IT Costs
  • Transitioning to a cloud-based ERP system reduced the need for extensive IT infrastructure and maintenance, leading to cost savings.
Predictable Expenses
  • The subscription-based model provided predictable IT expenditure, aiding in financial planning.
Service Improvement
  • With more efficient operations and reliable service delivery, SAR was able to enhance their customer service, maintaining a competitive edge in the market.

CONCLUSION

The successful implementation of SAP S/4HANA Private Cloud ERP at Saleh Abdulaziz Alrashed & Sons Co. demonstrates the significant impact of advanced ERP solutions in modernizing operations and supporting business growth. With enhanced efficiency, improved data management, and cost savings, SAR is well-positioned to achieve its strategic objectives and maintain its leadership in the construction materials industry.

FUTURE PLANS

SAR plans to continue leveraging the capabilities of SAP S/4HANA to explore new business opportunities and further enhance their operational efficiency. They are also looking into integrating additional SAP solutions to expand their digital transformation journey.

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