SAP BTP Integration for Transportation

LeverX implemented an integration solution based on SAP BTP, which allowed the logistics company to reduce operational costs by 20% and create a unified, transparent environment for data management.

Client and Challenge

A large logistics company with an extensive network of branches and a huge vehicle fleet faced serious challenges in managing its complex operations. Annually, the company processed over 10 million tons of cargo and managed a fleet of 3,500 owned and leased vehicles. The main problems were caused by dozens of disparate systems that were not integrated, including WMS, TMS, SAP S/4HANA, and outdated third-party applications. This led to the following critical issues:

• Data fragmentation and lack of a centralized data hub: Information about orders, cargo status, and inventory was scattered across numerous systems. Employees and clients worked with different versions of the data, which led to confusion, errors, and lengthy internal disputes.
• Slow decision-making: Due to the need to manually collect and reconcile data from various sources, decisions on responding to supply chain disruptions were delayed by up to 48 hours, which resulted in delivery delays and customer dissatisfaction.
• Inefficiency and duplicated efforts: A significant portion of the work was performed manually, including simultaneously entering data into multiple systems. This increased the risk of errors and led to duplicated effort, reducing overall operational efficiency.
  
  

Solution

The company realized that further growth was impossible without modernizing its technological landscape and finding a single integration platform. After a thorough market analysis and evaluation of various solutions, the choice fell on SAP Business Technology Platform (SAP BTP). This platform was selected because its key capabilities perfectly matched the company's needs.

• Comprehensive integration: SAP BTP provides powerful tools for seamless data integration from various systems, including on-premise and cloud versions of SAP S/4HANA and third-party applications. This was critical for solving the data fragmentation problem.
• Single source of truth: The platform allowed for the creation of a centralized data repository, ensuring consistency and reliability of operational information across the entire organization.
• Flexibility and scalability: SAP BTP enables rapid application development and adaptation, as well as scaling them as data volumes and business needs grow.
• SAP ecosystem: The platform ensures deep integration with key components of the SAP ecosystem, including SAP S/4HANA, which guarantees the seamless and accurate operation of critical business processes.

SAP BTP acted as a central integration layer, ensuring seamless data exchange between SAP S/4HANA, the legacy infrastructure, and all third-party applications. The main components of the solution were:

• SAP Integration Suite: Created a unified communication system for all disparate applications. For example, shipment status updates from the TMS are now automatically reflected in the WMS and become available in real time on client portals.
• SAP S/4HANA: Was used as the core ERP system, providing centralized management of key business processes.
• SAP Build Process Automation: Automated routine operations, such as data entry and reconciliation, which significantly reduced staff workload and minimized errors.

This integrated approach established a central data repository, eliminated data duplication, and unified operational processes, providing employees and clients with a single, up-to-date view of all purchase and sales orders.

Results

The implementation of the solution led to significant and measurable business results:

• 85% reduction in decision-making time: Thanks to real-time data access, the response time to supply chain disruptions was reduced from 48 to less than 8 hours.
• Improved visibility and control: Management gained complete and up-to-date information across the supply chain, enabling more informed and strategically sound decisions.
• Reduced operating costs: By automating processes and eliminating manual data entry, the company reduced operating costs by 20%.
• Increased data accuracy: Eliminating duplication and manual labor improved data accuracy by 90%, with significantly fewer errors.
• Strengthened partner relationships: Providing clients with access to real-time data increased transparency and trust, which strengthened their loyalty and partnerships.