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Author's profile photo Rachel Han

Chemical companies run SAP: Security, Synergy and Innovation-SAP China Chemical industry Summit 2012

On September 6 till September 7 2012, SAP chemical industry summit as well as SAP China User group Chemical Industry Branch activities held in the beautiful coastal city of Weihai. The main themes of this meeting are Chemical companies run SAP: Security, Synergy, Innovation.  There are a lot of topics including 7 SAP’s keynote speech, 4 customers representative experience sharing, 1 customer site visit and many customer communication. Because of rich and colorful contents, customer engagement and enthusiasm are very high. The summit has totally more than 60 participants from customer side, the number of the participants in the largest comparing with previous chemical Summit. From north region,  Salt Lake Group sent a lineup of the 20-member delegation is particularly conspicuous, embodies the western corporate enthusiasm for learning modern management system. The host, Yantai Wanhua followed the established practice, sent a team of 17 participants, enthusiastic support for the work of the SAP summit and user group activity.        


The summit Started at 8:30 on September 6 by the speech from Mr. Hocking Xu, vice president of SAP China. Hocking introduced SAP’s performance in the first half of 2012, emphasizing the second quarter of 2012 is the best 2nd quarter in the history of SAP.  SAP investment plans in China is a continuous program in China, the goal is to help Chinese enterprises globalization. The chemical industry has always been SAP’s core industries since SAP’s 1st customers was from the chemical industry.

Yantai Wanhua IT General Manager Mr. Wang Zongkai on behalf of chemical user group also made the opening speech expressing that the great benefit of user group for more SAP user collaboration among SAP user units. He also showed the best wishes to SAP users and potential users to use the opportunity to exchange information, learn practice from others and earn benefit from the summit.

The first keynote was coming from the Asia-Pacific  chemical industry principal Mr. Yutaka Yasunami. He made a detailed analysis of the chemical industry in the Asia-Pacific region, and a digitized description of the benefits of SAP applications for chemical companies, as well as examples from the global chemical industry leader – BASF on how SAP supports its business efficiency. In addition, based on his years of industry experience and SAP customers feedback, summed three common experience (pain point): change management, standardization and simplification. Standardization and simplification has been widely recognized by customers, eg. in subsequent SAP customers speech, many customers said they would consider these two points in the future SAP optimization project.

Mr.Sun DunSheng, the China Chemical industry principal made a speech regarding hot topics in  SAP 2012  – “the five markets — Application / Analyst / Mobile / Cloud / Database and technology. Also, he did a brief introduction the usage of these five market in chemical industry, helping chemical enterprise to improve security/efficiency and innovation. Mr.Sun particularly mentioned that the market value of the SAP Group first time catch up with Siemens DAX index, ranking No.1, in order to tell the China chemical industry customers, SAP is always in the  rapid development and the SAP products are  trustworthy.


In the following sessions, several solution experts and solution architects based on those five markets made more detailed presentation, with hands-on case studies (domestic and international customer case), attracted customer attention. All the topics are focus on chemical special process and interest, also around the main topics for this summit: safety, efficiency, innovation.

SAP Chemical industry best practices (by Chemical IBU Solutions expert Rachel Han)

SAP HANA ™ based on the memory calculation innovation (SAP HANA architect Alex Liu)

Great changes, unlimited prospects – SAP & Syclo mobile solutions (SAP China Mobile Commerce Business Development Director Henry Liu)

Business Intelligence Strategic Planning and Discussion (SAP Business Intelligence Architect Han Jiaying)

SAP chemical industry GTS (global trade service) and EHSM (Environment/health and safety) solutions progress introduction (GRC & EHSM solution architect Benny Ren)


Another feature of this summit is that the chemical industry customers did quite good preparation thus many informative brilliant speeches were made. According to the agenda, the customer-speech and SAP speech interspersed with each other, thus benefits were gained, such as customers captured the latest information explained by SAP experts and expressed their wishes timely. On the other hand, the SAP experts also grasped customer requirements and combined with their solution presentation to make it a tailor made section .

The Yantai Wanhua IT vice general manager Mr. Ke Lin shared the Wanhua experience, mentioned SAP implementation has brought great change to the development of enterprises. The most important message he delivered is the reason to choose SAP which is very simple – the goal for Wanhua is to become a worldwide leading chemical companies, beyond its competitors Bayer and BASF, however their competitors are all using SAP. Thus Wanhua selected SAP with no suspense. Secondly, the implementation of SAP could not be successful without senior leadership personally involving in SAP projects and relying IT talent training and development. They send IT personnel to various business units to work together with the business people, thus they know business better than business department. With strong business knowledge and sense, the IT team made good process for IT system implementation year by year.

The IT general manager of Shanghai Huayi of Ms. Ni Huafang shared Huayi’s experience of enhancement of cooperate control via SAP BPC project go-live. Huayi did a different way comparing with other SAP customers, they implemented BPC before the implementation of ERP, the result is to have budgeting and budget control upgrade at the group level, and achieved very good results. In the subsequent ERP projects roll-out, Huayi particularly wants to learn from the success stories of other outstanding companies, including the chemical industry’s best practices from SAP.

Nippon paint China Information Headquarters vice president, Mr. Chen Qinghui once presented in SAP China Sapphire in July to share Nippon paint’s process of information management, this time he further refined how Nippon paint utilized SAP solutions since 2002 and SAP products step by step. He would like to optimize ERP process, referring to SAP’s chemical best practices, and will study SAP recipe Management in the near future and start the EHS project’s possibility before the end of year 2012. At the same time, the current top priority for him is the HANA application, which POC has already been passed, but the real application should be considered including BW and other areas. The share of the state legislature truly confirms the view we HANA architect: Customer demand is always ahead of the existing programs provided by SAP, which is SAP longstanding philosophy, our products come from customers, and service to customers.

Li  Runhai ,CIO of Changyi Petrochemical, oil and gas sector of Chemchina, role played during the entire SAP project implementation for SAP Value Management and highly commented on this approach. Because the premise of value management is to find companies improvement key performance indicators (KPI), and use KPI to benchmark in multi-factors, especially benchmarking business performance before and after SAP projects. The mentioned benchmarking will make the corporate leader of the enterprise will experience the power of the SAP software. And benchmarking with leading  enterprise in the industry will help the company to set specific targets for the management for further development.


On September 7, customers from the chemical industry and the steel industry altogether  100 people  visited Yantai Wanhua’s newly built  production site – Ba Jiao Industrial Park. The Wanhua representative basically introduced the  layout and overall structure of the industrial park, as well as expected output value after production starts. Excellent geographical position, by means of Yantai Westport, Wanhua is going to become a diversified Group of the recycling industry chain. Many companies (including non-SAP customers) expressed strong interest in Wanhua’s business development and information technology development and asked quite a lot meaningful questions,  such as how to setup centralized procurement, how to deploy Manufacturing Execution System convergence of ERP, how to manage master data,etc.

After the group tour,  the Salt Lake Group and Nippon paint China had individual in-depth IT technical information exchange with Yantai Wanhua IT staff on several topics in order to fully understand all aspects of production, procurement, marketing, finance, human resources process. Spontaneous information exchange between companies like this showed up everywhere in the two days events, thanks to the SAP user group platform. Our customers and potential customers fully utilized the opportunities for experience sharing and information exchange.

Chemical Summit 2012 facilitated SAP technology preach, industry analysts and customers experience sharing as well as user information exchange in one, successfully achieved very good results. The participants and guest of this meeting gave very high appreciation to this event. Based on SAP’s top five markets, we will provide more and better solutions for our customers all the time, and also to provide more convenient and efficient way for our customers and potential customers to understand how other companies are using SAP.

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      Author's profile photo Monica Gassmann
      Monica Gassmann

      What a great summary of this event Rachel. Thanks for posting. We love to hear from bloggers across the globe about what's new and interesting in their regions. Was anyone else at this event and wants to share their experience?