Introduction 

For centuries, metal companies have been at the forefront of innovation, continuously enhancing material composition and production methods to make materials lighter and stronger. Recently, these companies are shifting their focus towards customer centricity, aiming to balance real-time demand and supply, reduce energy usage, maintain robust supply chains, and improve the overall customer experience. Embracing Customer Centricity in Metal Industry has become essential for staying competitive and meeting customer demands.  

According to a recent survey by SAP, 75% of metal companies recognize customer centricity as a key driver for future growth. This blog explores how RISE with SAP enables this transformation, guiding metal companies on their journey to becoming intelligent enterprises. 

Strategic Priorities for Metal Companies 

To thrive in the modern market, metal companies must concentrate on five strategic priorities that drive their transformation into intelligent enterprises. 

• Achieve Customer Centricity 

Understanding and anticipating customer needs is at the heart of customer centricity. By knowing how customers make purchasing decisions and use products, metal companies can deliver unique products and exceptional experiences. 

• Connect and Automate Enterprises 

Integration and automation are crucial for efficiency and agility. By connecting all aspects of the business and automating routine tasks, companies can make better decisions faster and respond swiftly to market changes. 

• Run Smart Factories and Digital Networks 

Smart factories leverage IoT, AI, and advanced analytics to optimize production processes, reduce downtime, and improve overall operational efficiency. Digital networks ensure seamless communication and collaboration across the supply chain. 

• Support Value-Added Services and New Business Models 

Offering value-added services and exploring new business models creates additional revenue streams and enhances customer loyalty. These services can range from installation and maintenance to providing supplemental products and digital solutions. 

• Build a Responsible and Sustainable Business 

Sustainability is no longer a choice but a necessity. Adopting sustainable practices and reducing environmental impact is essential for long-term success and building customer trust. 

Achieving Customer Centricity with SAP 

To understand the impact of SAP on customer centricity, let’s consider two hypothetical companies: 

Company A (Non-SAP ERP System) 

• Disparate data and information silos hinder the ability to have a clear picture of customer orders and order statuses. 

• Significant manual efforts are required for consistent product configuration. 

• Order changes impact multiple levels and departments within the organization. 

• Different products must be ordered through different channels, complicating the process. 

• Production, costing structures, pricing, and delivery dates need manual calculations. 

• As order fulfillment and delivery are separate processes, tracking products is challenging. 

• When a claim is filed, multiple departments need to be consulted, delaying resolution and assistance. 

Company B (SAP ERP System) 

• All dependent processes are tailored to meet customer needs. 

• Machine learning supports product configuration when customers request unique features. 

• Order changes are updated immediately, with regular communication to customers. 

• Transparency in customer history and activities improves decision-making. 

• Machine learning determines appropriate responses for quick claim resolution. 

• Timely delivery of individually configured products results in high customer satisfaction. 

• Comprehensive integration throughout sales order processing enables total visibility of cost drivers at all stages. 

• Customers benefit from value-added services like installation or supplemental products, enhancing satisfaction. 

• Product status and origin are tracked across all material levels. 

• Claims and warranty cases are handled more efficiently than manual processes. 

• Understanding transportation details helps avoid delays and find alternatives.

How RISE with SAP Helps for Customer Centricity in Metal Industry? 

• On-Time Order Delivery 

Ensures timely order delivery through real-time data and advanced analytics. This visibility allows metal companies to monitor production schedules, inventory, and logistics, addressing potential delays promptly and enhancing customer satisfaction. 

• Customized Products and Services 

RISE with SAP’s intelligent ERP capabilities enable metal companies to offer highly customized products and value-added services. Advanced configuration tools and machine learning algorithms help design and manufacture products to meet specific customer needs, improving overall customer satisfaction and loyalty. 

• Enhanced Internal Cooperation 

Facilitates seamless communication and collaboration across all departments. This integrated approach ensures accurate planning and execution, minimizing errors and streamlining workflows, resulting in a more responsive and agile organization. 

• Real-Time Insights and Proactive Problem-Solving 

With powerful analytics and reporting tools, RISE with SAP provides real-time insights for proactive problem-solving. Predictive maintenance capabilities and real-time visibility into supply chain operations help mitigate risks and ensure consistent delivery performance. 

• Building Long-Term Customer Relationships 

RISE with SAP’s CRM functionalities enable metal companies to build and maintain long-term customer relationships. By capturing and analyzing customer data, businesses can tailor their offerings and interactions, increasing customer loyalty and advocacy. 

• Sustainability and Social Responsibility 

Supports sustainable practices and transparent reporting, helping metal companies address environmental and social concerns. Advanced analytics optimize energy usage and reduce waste, while supply chain transparency builds trust and strengthens the company’s reputation. 

Conclusion 

Implementing SAP software in metal companies offers competitive insights into operations, increasing efficiency and agility while simplifying processes from procurement to manufacturing, order management, distribution, and transportation.  

Own your tomorrow with a guided journey and outcome-driven practices of RISE with SAP. For more information on industry-specific solutions, contact us at KaarTech. 

 

 

FAQ’s 

1. What is customer centricity in the metal industry?  

Customer centricity in the metal industry involves understanding and anticipating customer needs to deliver unique products and exceptional experiences. It focuses on aligning business processes and operations to enhance customer satisfaction and loyalty. 

2. How does RISE with SAP enhance customer centricity?  

RISE with SAP enhances customer centricity by providing real-time insights, automating processes, and enabling customized product offerings. It ensures timely order delivery, supports value-added services, and facilitates seamless internal cooperation, ultimately improving customer satisfaction. 

3. What are the top benefits of using SAP ERP in metal companies?  

The top benefits include improved customer satisfaction, revenue growth from new products, reduction in sales and service costs, real-time insights for proactive problem-solving, and enhanced sustainability practices. 

4. How does RISE with SAP support sustainability in the metal industry?  

RISE with SAP supports sustainability by optimizing energy usage, reducing waste, and providing transparent reporting. It helps metal companies adopt sustainable practices, address environmental concerns, and build trust with customers.