In this 3-minute podcast centered on REACH compliance, Dr. Marko Lange outlines challenges posed at the customer side by the EU directives and how the REACH Compliance application addresses these issues in line with the overall EH&S and Sustainability initiatives and corresponding solution portfolio from SAP.
REACH legislation is a crucial consideration for the chemical industry. Deadlines for pre-registration and related activities are only a few months away. REACH Compliance is vital. The alternative could mean commercial catastrophe, due to potential loss of customers and markets. In light of all this, Dr. Marko Lange of IBU Chemicals at SAP joins us for a quick chat, to shed some light on the REACH Compliance solution from SAP. My name is Kieran O’Connor.
Kieran: Marko, can you first outline the customer need and pain point addressed in the central scenario?
Marko: Chemical companies are increasingly being held accountable for the environmental and safety performance of their products. This means product compliance has to become a core business capability. Companies have to address the growth in number, scope and complexity of product-targeted regulations. The EU REACH regulation – REACH stands for Registration, Evaluation and Authorization of Chemicals – is the most recent example, changing fundamentally the legal implications of chemicals.
Kieran: What’s the SAP solution and where is the value add?
Marko: In 2009, SAP launches a new product to address product compliance and other safety and environmental related issues called SAP EHS Management. This is a comprehensive and integrated application that enables companies to implement their EHS strategies on a local and global level. With its broad range of capabilities and the ability to scale globally, SAP EHS Management allows companies to overcome the challenges of disconnected systems, regions, and departments. It not only empowers executives to address regulatory compliance and enhance their corporate reputation, but also enables them to reduce costs by taking an integrated approach to operational risk management. SAP EHS Management serves as a foundation for companies to address the needs of their corporate sustainability initiatives.
SAP Product and REACH Compliances as part of SAP EHS Management supports the processes to determine, manage, track, document and communicate properties, registrations and uses of materials, products and substances that are subject to global and local regulations like i.e. REACH and RoHS (which covers further EU directives restricting the use of hazardous substances).
Kieran: What’s the competition and how does SAP shape up?
Marko: Without dwelling on competitors, it’s fair to say SAP is the definitive platform for Chemicals. One reason for this strong position is the fact that SAP is the only ERP provider with substantial support of EH&S related issues deeply integrated with respects to business processes and data while EH&S is of high relevance for the chemical industry. With regards to REACH there are no direct competitors in this space covering full REACH support holistically and integrated into SAP.
Kieran: Marko, thanks for putting this in context.