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Customer Stories

KOTL: Digitalizing an enterprise for breakthroughs in efficiency

Explore KOTL’s journey with SAP

Jinlong Machinery & Electronics Co. Ltd. (KOTL) produces important smartphone parts. With demand growing and costs soaring, KOTL needed to find new ways to keep customers happy. The company used RISE with SAP S/4HANA Cloud to begin a digital transformation that leaders expect to enable data-driven decision-making and greater efficiency across the enterprise.

~50%
shorter settlement time (down from 15 days to just 7).

1
ERP solution integrating finance, HR, and other systems.

RISE with SAP S/4HANA Cloud is rigorous and provides a world-class standard, which helped ease KOTL’s audit pressure. Our partnership with SAP also helped speed up our management innovation to take full advantage of the potential of our data and make transformation breakthroughs.

 

Zhong Lei
CIO, Jinlong Machinery & Electronics Co. Ltd. (KOTL) 

The Challenge

Transforming to find greater savings and speed

Innovations from Jinlong Machinery & Electronics Co. Ltd., commonly known as KOTL, keep industries moving. The company focuses on the R&D, manufacture, and sales of motors, structural components, LCD modules, and precision components of automation equipment. Established in 1986 and listed on the Shenzhen Stock Exchange in 2009, KOTL has continued to grow and innovate, today providing key components for leading smartphone manufacturers around the world.

 

However, as the price of cutting-edge core smartphone components – such as microchips – continues to soar, smartphone brands have passed their cost pressure onto suppliers such as KOTL. Facing a spike in the cost of raw materials, the company needed to find a way to lower the price of its own products.

 

KOTL began planning a digital transformation that it hoped would increase efficiency across the enterprise. Specifically, the company set out to modernize its legacy IT infrastructure and eliminate data silos, empowering management to make better decisions that could save the business time and money.

The Solution

Integrating business and finance for unseen levels of insight

KOTL chose RISE with SAP S/4HANA Cloud to transform processes spanning the business.

 

RISE with SAP S/4HANA Cloud provides KOTL with intelligent ERP in the cloud as well as the services and support to make its digital transformation a success. SAP S/4HANA Cloud supports the business with industry-specific processes and functionalities that continue to meet KOTL’s needs, even as the company grows. It can integrate with other SAP solutions and third-party systems, which supports KOTL on its journey to digital transformation as the company continues to implement modern new technologies. On top of all that, SAP S/4HANA Cloud is recommended by KOTL’s potential global investors as well as bonds.

 

RISE with SAP S/4HANA Cloud connected KOTL with the SAP experts the company needed for a successful implementation. SAP Preferred Success services provided comprehensive support, including a dedicated manager, from the beginning of the project to the end. For instance, KOTL used SAP Preferred Success to plan the implementation and then take advantage of customized learning to tap the potential of its new cloud solution.

The Result

Building a future on data-driven decision-making

With SAP S/4HANA Cloud, KOTL has transformed into an intelligent enterprise. The company has already integrated finance and business, which links distribution, sales, and inventory together. Now, management enjoys greater levels of efficiency enabled by the features of its integrated and intelligent ERP.

 

RISE with SAP S/4HANA Cloud smoothed the implementation of KOTL’s new intelligent ERP by providing SAP Preferred Success and other SAP services. With help from SAP experts, KOTL successfully unified and integrated the technology responsible for supporting various parts of the business, such as finance and HR.

 

Creating integrated processes that are consistent and powered by accurate, real-time data helped KOTL unlock new efficiencies. For instance, the company now has a monthly settlement time of just seven days. Previously, this process took 15 days to complete. Other processes, such as those related to auditing, have also been improved by SAP S/4HANA Cloud.

SAP helps KOTL run better

Key business outcomes and benefits

  • Built a holistic system that integrates finance and business, linking distribution, sales, and inventory together to enhance management efficiency
  • Established a group-level SOP to facilitate communication between production and R&D in different areas, speeding up operations
  • Enabled data visualization and real-time data access to support faster data-driven decision-making
  • Created traceability for smoother audit processes and better compliance

Featured solutions and services

  • RISE with SAP S/4HANA Cloud empowers businesses with intelligent ERP and provides the services and support for a successful digital transformation.
  • SAP Preferred Success accelerates cloud adoption and helps companies achieve quick business outcomes with key SAP solutions including SAP S/4HANA Cloud.

About KOTL

Jinlong Machinery & Electronics Co. Ltd (KOTL) develops, manufactures, and sells a wide range of components for electronics and equipment. KOTL was established in 1986 and has grown into an enterprise supplying some of the most recognizable smartphone brands with critical parts for their products.

Industry Region Company Size
High tech Dongguan, China 4,900 employees
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