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ArcelorMittal

Enhancing internal processes through the Business Control Centre

Middle East & Africa | South Africa | Manufacturing | Digital

Improving the procure to pay process

Providing the identification, analysis, and strategy needed to enable continuous business process improvement for South Africa's largest steel producer.

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Challenge

SAP has been implemented and running for a period of time, but our client is still experiencing a disconnect with the Procure to Pay process and execution. 

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Solution

Several improvement projects are suggested to reduce risk and drive business value. The system's as-is state and pain points are evaluated.

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Result

Focused business cases are provided, ensuring that people, processes, and technology align.

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Challenge

Controlling BPI on a continuous basis

The Dimension Data Business Control Centre (BCC) aims to provide value out of the day-to-day use of SAP and associated business processes. The people performing the business processes are monitored to ensure the efficient use of SAP. The BCC proof of concept (POC) project, at the largest steel producer on the African continent, aims to provide more transparent insight into the selected business processes and users’ experience. 

ArcelorMittal has an average production capacity of 7 million tons of liquid steel and 5.5 million tons of saleable steel per annum.  As part of a global organisation, it employs over 232,000 employees worldwide. As a leader in the global market, it supplies to a wide range of industries, including automotive, construction, household appliances, and packaging.

A major challenge for today’s organisation is to identify, analyse, and control business process improvement (BPI) on a continuous basis. In the process of ensuring a constant flow of BPI, it's necessary to ensure that synergy is taking place at all levels, from an operational, tactical, and strategic level. 

This is an issue that many organisations face. Often this is because they don’t have the capabilities, the resources, or the know-how to create a congruent BPI strategy, which leads to an inability to close the gap between effective software and bottomline value.

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Solution

Dimension Data realised that problem solving is the key to success in business, especially within an ever-changing economic climate.  Therefore, we aimed to offer the steel company a robust problem solving capability at all levels, as an ongoing service.  As a trusted advisor, we offered expert guidance and solutions to issues, as well as improvement projects to opportunities discovered for the duration of the proof of concept.

We began the project by analysing the as-is state. To complete our view of the challenges which this company is facing, a pain-point discussion was conducted as well as a system evaluation, i.e. SAPs Continuous Quality Check.

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Result

This system evaluation program produced the Untouched by Human Hand Report, depicting the most pressing throughput and backlog business issues currently in the system. The outcome of this phase led to the identification of the procure to pay module as the area of improvement, as well as six Business Process Monitoring KPIs to be activated in SAP Solution Manager.

By taking into account their people, process, and technology, the BCC was able to provide focused business cases to ensure that all these areas were effectively working towards a common goal.

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