The key point of chemical suppliers transformation is new business model and process. As we know, the chemical industry is experiencing a revolution between supply and demand in the value chain. We are experiencing a digital revolution brought by technological advances such as super connectivity, supercomputing, cloud computing, intelligent technology, blockchain and network security. We have seen a large number of cloud solutions being adopted, especially in non strategic processes such as human resources or procurement, however, network security is still an important aspect of asset and operation intensive chemical industry.

This revolution will transform the chemical industry from the traditional vertical integration business model to an industry where information acquisition will replace raw materials and resource acquisition as the competitive differentiation elements. These disruptive technologies can also be used to achieve higher security, cost control and flexibility in a competitive environment, while building a bridge for success in a new, diversified and results oriented economy. To succeed, chemical suppliers need to build a coherent digital vision and develop clear strategies. In particular, they will need to address emerging business models such as driving results based participation and flexible access to resources through external talent networks. To achieve this, businesses need not only redesign their business processes, but also assess whether they have the right technology platform to achieve this vision.

Priority 1: deliver customer outcomes, not rethink the value chain from the customer's perspective

Priority 2: simplify, simplify operations and maximize asset performance with the Internet of things, and shorten cycle time

Priority 3: compete as an ecosystem integrating the supply chain of customers and suppliers to release outstanding value

Priority 4: increase market driven strategic agility and dynamically adjust strategies and portfolios based on market opportunities and needs

Main reasons for chemical suppliers moving to sap s/4hana

M & a divestiture entities that need their own ERP system and SAP will trigger the implementation of s/4hana

Digital transformation - Digital initiatives require simplified system layout, standardized processes and data, which can be achieved by turning to s/4hana to avoid sunk costs of old technologies while maintaining ECC

The aging workforce needs to bring highly customized systems back to s/4hana based standards

Agility to better respond to a more dynamic market environment, which is made up of OLTP and OLAP provided on s/4 (intelligent business cockpit)

The improvement of efficiency comes from the process automation of new technologies such as system simplification, better business insight and machine learning

Need new ERP, technology upgrade, reduce TCO