Japan’s OKI to Modernise Core Business Systems With GROW with SAP
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Key Takeaways
⇨ OKI is modernising its core business systems by adopting GROW with SAP, aiming for a unified management platform to enhance scalability, compliance, and decision-making capabilities, in line with its Medium-Term Management Plan 2025.
⇨ The company plans to implement SAP S/4HANA Cloud Public Edition using a fit-to-standard approach, which will standardise processes and reduce data inconsistencies, ultimately enabling advanced data utilisation across the organisation.
⇨ Key strategic components of OKI's transformation include leveraging SAP’s Business Technology Platform for maintaining a clean core, emphasising the importance of data quality and integration, and utilising insights gained from internal implementation to enhance their external IT solutions business.
Oki Electric Industry Co., Ltd. (OKI) is adopting GROW with SAP to modernise its core business systems and establish a unified management platform. SAP Japan will support the company-wide implementation project, SAP indicated in a statement on June 30.
“We are honoured to be able to contribute to OKI’s company-wide transformation project,” said Hiroshi Suzuki, President and CEO of SAP Japan. “We will support OKI with our knowledge and technology to realise data-driven management.”
The initiative is key to OKI’s Medium-Term Management Plan 2025. This strategy targets growth through innovation, global expansion, and business portfolio transformation.
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The Need for Scalability
According to SAP Japan, the company identified an urgent need to shift from its existing infrastructure, where IT systems were individually optimised for each department, leading to manual operations and data inconsistencies. This fragmented approach hindered advanced, company-wide data utilisation and efficiency.
To overcome these challenges, OKI sought a flexible and scalable management platform to standardise processes, improve compliance with global regulations, and accelerate potential merger and acquisition activities.
OKI will implement SAP S/4HANA Cloud Public Edition through GROW with SAP, utilising a fit-to-standard approach to align its business processes with global best practices. The implementation will create a simple, lean management foundation that will serve as a robust data platform to support swift and informed decision-making.
Looking Ahead
OKI will leverage the SAP Business Technology Platform (BTP) to maintain architectural agility. This will enable side-by-side development in specific business areas that require differentiation. It will also ensure the core ERP system remains clean and easily upgradeable.
“We are working on company-wide transformation to advance to the next stage of growth by fusing technology, the workplace, and the power of people. As we push forward with transformation in every field with the determination to go beyond existing frameworks and become a different company, we see the introduction of GROW with SAP as an essential step in building the foundation for that,” said Takahiro Mori, President and CEO of OKI.
He added that by utilising SAP, the company plans to create an environment where on-site wisdom and daily improvement efforts are reflected in the management’s decision-making.
The company plans to automate business tasks and enhance management decisions by leveraging future innovations, including SAP’s AI digital assistant Joule and real-time data visualisation.
A key strategic component of the project is OKI’s plan to leverage the knowledge gained from the internal implementation as a differentiator for its external IT solutions business. This will position the company to expand value-creation opportunities for both internal operations and external customers.
What This Means for Mastering SAP Insiders
The business case for digital transformation is a strategic imperative. The primary driver for SAP S/4HANA adoption is no longer limited to the looming end of ECC maintenance. According to SAPinsider’s SAP S/4HANA Migration 2025 report, while 57% of organisations are still driven by the end of maintenance, 34% see it as an opportunity to re-engineer business processes. For Mastering SAP Insiders, these findings suggest they must frame their business case for migration around tangible outcomes like improved decision-making, operational agility, and future growth opportunities because the most successful projects have strong executive buy-in and clearly defined business objectives from the outset.
A Clean Core strategy is essential for long-term agility. OKI’s plan to use the SAP Business Technology Platform (BTP) for side-by-side extensions is a textbook example of maintaining a clean core. This approach is gaining traction as companies recognise the pitfalls of heavy customisation. Mastering SAP Insiders should note that they must thoroughly analyse their existing customisations before beginning their migration journey. Use tools like the SAP Readiness Check to identify what can be retired, replaced with standard functionality, or rebuilt on BTP.
Data quality and integration cannot be afterthoughts. A successful transformation relies on data. However, SAPinsider’s SAP S/4HANA Migration benchmark report found that cleansing data and integrating third-party applications were among the top three challenges faced by organisations that have already moved. Therefore, organisations looking to start their migration journey must make data migration and quality a dedicated workstream in their project plan from day one. This includes cleansing and harmonising data, and defining a clear integration strategy for the entire application landscape.
