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How Mafatlal did achieve 11% growth in sales?

The article talks about the various technologies and SAP enterprise solutions implemented to achieve enhanced business outcomes.

Tags: Mafatlal, SAP, digital, sales

BY Shipra Srivastava  |  Jul 17, 2018  |  comments ( 0 )  | 
How Mafatlal did achieve 11% growth in sales?

In an exclusive conversation with Shibin Chulliparambil, ‎Head of IT,  ‎Mafatlal Industries Limited sheds light on the digital transformation strategy.  

What has been Mafatlal's growth y-o-y? 

Mafatlal has achieved 11% compound annual growth rate over the past five years (2013-2017) 

At what point did SAP install its systems at Mafatlal? What has been the result? 

Mafatlal operates in 5 divisions largely, and the idea here was to have a common platform accessible to all of them. Earlier, these divisions had their own set of applications and ERPs, and therefore used to operate as individual entities. We started installation and implementation of SAP Enterprise Support services in Oct 2016 and went live in May 2017.

The main objective behind deploying SAPEnterprise Solutions was to bring every division on a single platform or single ERP with common policies and common processes in place, to help evaluate everyday activity more efficiently. A larger goal here was to improve server performance, run business processes and reports faster, and above all set the stage for future digitaltransformation.

We also wanted to implement the solution in a way that would maintain business continuity while accelerating time to value, and thereby enabling real-time business improvement.

As of today, we have gone live with SAPS/4HANA for 2 divisions out of 5, andwe have been getting outstanding results so far. 

What new technologies have been implemented from SAP to improve internal processes? 

We have deployed SAP S/4HANA to enhance our overall system performance. Additionally, we have also leveraged the SAP HANA database for simplifying business scenarios. Therefore, SAP Enterprise Support has not only aided us in implementation but also in our operations. 

In which department is it crucial to have IT? 

We believe it is absolutely crucial for each and every department to not just use IT, but to get the best out of their operations through the same. Mafatlal usedto be a business driven organisation, where IT took a backseat. However, in the last couple of years the company has undergone a major transformation with increased use of technology across all departments. Not just the management, but even the employees have been on their toes when it comes to deploying IT. This has particularly played a catalytic role in our finance department. Also, our overall system performance has drastically been revamped.

Case in point, after going live with SAP S/4HANA, we have witnessed 30% faster reporting as well as a 50% increase in system performance. 

How many staff at Mafatlal are trained at handling SAP systems? 

Select employees are completely proficient at operating the SAP system since they constitute the core team in charge of the implementation. We are now enabling all relevant employees across the company to work on the systems through systematic training and other sessions. 

What has been the change in volume / sales since incorporating the SAP system?

Post SAP system, Mafatlal has achieved 11% growth in sales. 

How does IT help in quality management of products / fabrics at Mafatlal?

As we have gone live with the new system around 6 months back, it is too soon to comment on the same. However, our objective right from the beginning of implementation of SAP solutions has been to streamline processes, bring real-time visibility into operations and enhance quality for our customers. We believe that we are on-track to realise this objective. 

Has the introduction of GST improved organized retail in India?

As of now, Organised retail in India has not seen improvement post GST introduction. 

What are the new innovations from Mafatlal for the year 2018? 

From an organisation perspective , we are constantly innovating to provide the best of fabric and fashion garments to our customers. We will be aiming to add more to our product portfolio. 

Tell us about the trends in fabrics and uniforms in India in the past few years.

In the School Uniforms, there has been more usage of fancy designs in shirting and in suiting various new shades are increasingly used.For consistency and durability in colour, fibre dyed fabric is used in Suiting in place of the piece dyed fabrics. Nowadays even schools and parents prefer to buy readymade school uniform garments in compare tobuying fabric and getting it stitched from local tailors.This saves them time and effort and they get better quality stitching than that made from the tailor.

How did Mafatlal Industries embrace digital transformation?

Company Name

Mafatlal Industries Limited

Mumbai, Indiawww.mafatlals.com

Industry

Consumer products

Products and Services

Quality textiles for men’s and women’s clothing, ready-made uniforms for schools and institutions, and ready-made bed and bath linens

Employees

3,000

Revenue

US$197.5 million

 Mafatlal Industries Limited is known for providing a wide range of high-quality fabrics for clothing families from every walk and in every stage of life. So, when the company decided to replace its legacy enterprise resource planning system with SAP S/4HANA, it chose SAP®Enterprise Support services to help blaze a trail to IT modernization while minimizing risk to a long-standing reputation for quality.

 Before: Challenges and Opportunities

•Improve server performance, run business processes and reports faster, and set the stage for future digital transformation

•Implement SAP S/4HANA in a way that maintains business continuity, accelerates time to value, and enables continuous business improvement

 Why SAP

•Availability of a clear road map with milestones highlighting relevant offerings for safeguarding the implementation project

•Continuous quality checks (CQCs) for SAP HANA®database performance and tune-ups after going live

•Introduction of SAP Enterprise Support value maps for fast identification of services, tools, and expertise to address operational business challenges

•Prescriptive guidance on mission-critical support processes to minimize the risk of business disruptions

 After: Value-Driven Results

•Simplified business scenarios with the SAP HANA database

•Improved overall system performance with SAP S/4HANA

•Incentive to implement future innovations in pursuit of digital business

 With CQCs delivered through SAP Enterprise Support, we were able to prepare for SAP S/4HANA go-live activities as well as execute performance tuning after going live. SAP Enterprise Support provides continuous, excellent supportfor both implementation and operations.”

Mr. Shibin Chulliparambil, Head of IT, Mafatlal Industries Limited

 

 





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