Rheem - Best Tech Awards 2025 Industry Disruptor

Building intelligent business flow: Rheem’s SAP S/4HANA journey Download the Document

SAP Australia and NewZealandBest Tech Awards 2025
Best Tech SAPIndustry WebsiteProduct and Services Featured SAP SolutionsManufacturing(Consumergoods)www.rheem.com.auWater heaters, hot water systems,residential and commercialheating solutionsSAP S/4HANA (RISE Private Cloud), SAPCloud ALM, SAP BTP, SAP SAC, SAP FioriRheem is one of Australia’s most iconic manufacturers, delivering hot water solutions for over 80 years. As a vertically integrated manufacturer, Rheem controlsevery step from raw material to final product, making operational uptime and system precision absolutely critical. The business has relied on SAP since 1997 and,over time, built significant custom code into its on-premise ERP.In 2024, Rheem completed its enterprise-wide cloud transformation by migrating to SAP S/4HANA via RISE Private Cloud. With over a dozen SAP platformsalready modernised, including Sales Cloud, Service Cloud, SAC and IBP, this final phase unified business systems, streamlined integration, and replacedperformance-heavy custom code with a clean, scalable core. Rheem used this opportunity to retire ~30% of the custom code and set a substantiable pathtowards Clean Core. Rheem also utilized SAP BTP for integration, extensions and Identity management.Delivered on time, within budget and with zero critical defects, the project also demonstrated bold leadership. It brought together teams across Australia, NewZealand and Vietnam in a coordinated, enterprise-wide rollout, laying the foundation for continuous innovation, real-time analytics and next-gen user experiences.Effective engagement and collaboration by project team across geographical and language barrier greatly increased the business confidence in IT and SAP.Building intelligent business flow:Rheem’s SAP S/4HANA journeyIndustry Disruptor
“”Images are from an actual Rheem value assessment discovery woEnterprise-wide business Engagement started with Value Assessment program
ChallengesRheem’s legacy ERP system had served the business for decades, but as the company modernised its broader SAP landscape, the on-premise ERPbecame the next logical step in their transformation. While Rheem’s cloud-based platforms, including Sales Cloud, Service Cloud, SAC and IBP, weredelivering real-time insights and modern, user-friendly experiences, the ERP system presented a clear opportunity to bring the core of the business inline with this cloud-first vision.Key drivers for change: Latest Functionality for daily operationsS/4HANA functionality improvements for finance, manufacturing and operations was identified as key in value assessment exercise AnalyticsStandard reporting, embedded Analytics and integration with SAP Analytics Cloud from S/4HANA delivered for key decision-making requirements ofRheem Harmonizing process and across various geographiesRheem wanted to harmonize business process across various geographies towards Industries best practices Optimising custom developmentRheem aimed to simplify its code base and reduce system load by replacing legacy customisation with clean-core functionality Unifying a cloud-first ecosystemAligning ERP with existing SAP cloud platforms enabled seamless integration and consistent, real-time visibility Elevating user experienceWith intuitive tools already in place elsewhere, modernising ERP ensured a consistent, user-friendly interface across the business Shifting to strategic ITMoving to RISE with SAP reduced overhead and freed internal teams to focus on innovation and growthWith clear challenges and strong business alignment, Rheem set the stage for one of its most ambitious transformations reimagining its ERP core tomatch the flexibility, intelligence and user-centricity already seen across the rest of its SAP landscape.