Digital transformation in APAC with SAP AMS
Key Takeaways
⇨ FPT Software successfully addressed the digital transformation challenges for a South Korean multinational by providing SAP maintenance services and implementing a Global Delivery Model to improve system performance and communication.
⇨ Leveraging offshore resources from Vietnam allowed the client to access skilled professionals at competitive rates, leading to optimised costs and improved quality in the development process.
⇨ 77% of businesses across ANZ, East Asia and South East Asia have a digital transformation strategy.
Digital transformation is an ongoing theme not just for businesses in Australia, but also the entire APAC region. Take a 2022 report from CPA Australia which found that 77% of businesses in the region had a digital transformation strategy, with 45% stating that digital transformation was a “very important part” of their overall organisational strategy. Surveyed in the report were accounting and finance professionals working across industries such as banking, consulting, accounting and manufacturing. The respondents were based across ANZ, East Asia and South East Asia.
55% of these used cloud computing all of the time in the preceding 12 months to the survey, with ERP software not far behind at 53%. Interestingly, 89% of those using cloud saw their business grow strongly in 2021. Australia had the highest percentage of respondents (47%) in indicating that they expect their employer to increase investment or upgrade technology.
Digital transformation in South Korea
According to Vietnam-headquartered global technology and IT services provider FPT Software, many organisations in ANZ, APAC and globally are adopting SAP to optimise resource management and operational efficiency as part of their digital transformation.
It provides a case study from one country in the APAC region, South Korea, as revolving around SAP Application Management Services (SAP AMS). The client, a leading multinational manufacturing and services conglomerate headquartered in Seoul, had an SAP system with numerous customisations, enhancements, and integrations with other systems. When the client’s previous vendor released updates for the product, the customised systems were affected, including failure to update or new updates overriding existing customisations, thus stymying its digital transformation.
As an SAP Regional Strategic Services Partner (RSSP) with a large pool of SAP resources, FPT Software was chosen as partner to address these challenges by
- Taking over the project while ensuring complete knowledge transfer from the previous vendor for continuous improvement.
- Providing SAP maintenance services to optimise system performance for future projects as part of its digital transformation.
After thoroughly analysing the client’s system, FPT Software devised the following digital transformation solutions for its client:
Guideline development
- Developed guidelines and standards to streamline the development process and coding practices for the team.
- New team members could quickly grasp and adhere to these standards, making it easier for them to integrate and contribute effectively.
A Global Delivery Model
- Addressed the time zone difference with offshore teams.
- Worked closely with the client to define the deliverables and acceptance criteria.
- Provided on-call support for emergencies occurring outside of business hours.
The company also secured necessary in-house manpower for future innovation in the client’s digital transformation by shifting all AMS works to FPT Software (including the support for apps integrated with partners’ systems), as part of a Resource Allocation strategy. According to FPT Software, compared to managing projects internally or hiring a Korean vendor, leveraging offshore resources from Vietnam helped the client gain access to skilled SAP professionals at competitive rates.
FPT Software also reports the following results for the client’s digital transformation journey:
- It provided flexible onshore and offshore teams to help the client optimise their costs. FPT Software’s AMS provided continuous optimisation and customisation for the client’s system to meet evolving business needs.
- Establishing criteria for code reviews improved consistency and quality within the development process. By adhering to a standardised set of guidelines, the teams could minimise errors and follow best practices across the codebase. Additionally, the reduced need for extensive revisions saved time and effort, allowing teams to focus on delivering new features.
