LX Semicon: Moving to future-ready ERP for continued growth and global expansion
Explore LX Semicon’s journey with SAP
LX Semicon Co. Ltd. (LX Semicon) is a global leader in display semiconductors. Over the past 20 years, the company has developed products for applications including mobile, tablet, TV, kiosk, and automotive displays. To continue expanding its global business, LX Semicon needed to modernize its current on-premises ERP and turned to the RISE with SAP journey.
| Industry | Region | Company Size |
| High tech | Daejeon, South Korea | 1,451 employees |
CIO, Process Innovation Department, LX Semicon Co. Ltd.
Overcoming system limitations and lengthy build times for new functionality
Based in South Korea, LX Semicon Co. Ltd. is a leading semiconductor company known around the world for its display solutions. The company is committed to fostering R&D talent and advancing innovative technologies. Its focus on growth and future-proofing the business meant that the company’s existing ERP solution needed an upgrade. LX Semicon’s current on-premises ERP solution required a development team to add new functionality. It also lacked a production mode to allow its development team to safely build and test new features in a nonlive environment. These limitations meant the company was not able to respond quickly to new business needs. In addition, while the company’s treasury and financial management processes for closings were performed in the on-premises ERP solution, the master records were not managed by the system.
The company needed a flexible ERP solution that could integrate with its entire business and allow for business expansion, including mergers and acquisitions. In modernizing its ERP system by moving to the cloud, LX Semicon hoped to connect its systems and automate tasks for better order management, reduce its technology maintenance costs, and enable faster and more-accurate decision-making.
CIO, Process Innovation Department, LX Semicon Co. Ltd.
Adopting a unified technology ecosystem for more cohesive business operations
LX Semicon chose the RISE with SAP journey, which includes SAP S/4HANA Cloud Private Edition, an AI-enabled cloud ERP solution that can adapt to the company’s unique needs and drive productivity across its lines of business. With RISE with SAP, the company also gained analytics capabilities and tools to enhance its business process transformation. With help from leading global AI service provider LG CNS, LX Semicon implemented SAP Business Technology Platform (SAP BTP) to help expand on the capabilities of SAP S/4HANA Cloud Private Edition. Specifically, it implemented three key offerings that run on SAP BTP. The first was SAP Build Work Zone, standard edition to quickly implement a personalized business engagement portal using low-code-based technology. The second was the SAP Document Management service, which provided the company 30 times more savings than other file systems. The third was the SAP Analytics Cloud solution, offered as software as a service and built natively on SAP BTP to provide user-friendly analytics accessible to users company-wide to analyze data without involving the operational team. Finally, LX Semicon replaced its current data warehousing solution with the SAP Datasphere solution to harmonize data management, analytics, and intelligent planning. By moving to a more unified technology ecosystem with SAP solutions, LX Semicon gained greater visibility into its operations and business performance.
CIO, Process Innovation Department, LX Semicon Co. Ltd.
Supporting innovation and growth with a modernized core
By leveraging RISE with SAP to upgrade its on-premises ERP solution to cloud ERP, LX Semicon gained flexibility in preparation for the expansion of its overseas production. With SAP S/4HANA Cloud Private Edition, many of the functions the company was lacking, such as integrated treasury management, are all part of the core solution, allowing it to extend capabilities without additional development. Ongoing maintenance and the continuous adoption of new technologies are also available through SAP solution upgrades. LX Semicon expects to realize significant savings over time by reducing the need for ongoing maintenance and development. The company has also improved efficiency by providing a user-friendly analytics platform that allows users across the organization to quickly access and analyze the data they need. Furthermore, SAP Datasphere helped the company achieve data consistency by establishing consistent and holistic data management, including the integration of reference information, business rules, and output logic from disparate legacy systems.
CIO, Process Innovation Department, LX Semicon Co., Ltd.
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