Oracle Customer Success—Yamama Cement

Yamama Cement Streamlines Supply Chain with Automated Human Resources and Consolidated Dispatch Handling While Boosting Processing Speed by Over 70%

We trusted Oracle to deliver a comprehensive enterprise resource planning suite that would bring new rigor to our supply chain, financial, human resource, and asset management processes. It also integrated seamlessly with our existing logistics and dispatch-handling tools. Adopting Oracle E-Business Suite was clearly a smart choice.

— Ibrahim Almatrafi, IT Manager, Yamama Cement

Established in 1961, Yamama Cement is one of the leading cement companies in Saudi Arabia. The company started with just one production line producing 300 tons of clinker per day—a key cement component produced by burning raw materials in industrial ovens—and today it is capable of producing 6,300,000 tons per year. Yamama mixes its clinker with gypsum to produce its original salt-resistant Portland cement, which it then delivers to clients either bagged or in bulk.

Business Challenge

Replace legacy, standalone purchasing workflow, financial accounting, and materials-stock tools with modern enterprise resource planning (ERP) applications proven in an industrial manufacturing environment and able to integrate with legacy logistics and sales tools
Improve raw material production, sourcing and inventory control, management, and accountability for manufactured cement goods

Automate employee-time calculations and remuneration to replace manual and error-prone purchase-order-approval processes
Enable employees to access and interact with human resource (HR) information themselves, rather than require HR staff to fill in multiple spreadsheets of information

Deployed Oracle E-Business Suite Release 12 to help revolutionize financial, HR, supply chain, and asset management processes, as well as to support supplier and customer relationships, while delivering full integration with an existing third-party dispatch system
Automated order-to-cash business process and cement-sales agreement creation by deploying Oracle Purchasing and Oracle Financials, reducing process times by more than 70%

Deployed Oracle Inventory and Oracle Order Management to provide a single inventory system that provides balances, automates cement raw-materials-receiving, and accelerates the order-approval process, while improving visibility into the customer-order cycle and customer satisfaction
Replaced outmoded punch-card machines with fully-automated and integrated Oracle Time and Labor and Oracle Payroll, enabling accurate remuneration, absence tracking, overtime settlement, contractor payment, shift planning, and personal access to pay slips
Used Oracle Order Management, Oracle Sourcing, and Oracle Complex Purchase Orders to automate the entire raw-material-receiving process to centralize supply chain management, including importing and processing information from the existing third-party systems
Optimized supply-side performance by integrating data from Oracle Purchasing with Oracle Financials, enabling business managers to make more informed procurement decisions with time-and-spend-analysis reports
Deployed Oracle Human Resources, Oracle Succession Planning, and Oracle Self-Service Human Resources for 90% of the total workforce, eliminating the need for paper-based personnel files and manual data-entry by HR teams, while empowering employees to administer their own time sheets, training, career plans, grievance processes, leave applications, visa controls, travel permits, and other HR procedures
Monitored and recorded formulas, recipes, user functions, quality controls, 120 daily batch reports, plant performance, equipment maintenance, and more for crucial cement production differentiation by implementing Oracle Process Manufacturing and Oracle Enterprise Asset Management

Why They Chose Oracle

Yamama Cement needed a flexible and scalable ERP solution, and was determined to work with a vendor that not only had the best technology stack, but also understood Yamama business processes. It also required that the vendor have an excellent reputation and presence in Saudi Arabia. Oracle had all those qualifications, and, based on other Oracle E-Business Suite Release 12 implementations referenced across the region, Yamama was confident that Oracle was capable of delivering the application-language Arabization it required—a key requirement.

About Yamama Cement

Headquarters

Riyadh, Saudi Arabia

Employees

1,200

Annual Revenue

$100 to $500 Million

Yamama Cement

Partners

Oracle Diamond Partner Tata Consultancy Services leveraged Oracle’s best practices to deploy Oracle E-Business Suite Release 12 and integrate it with the legacy applications. Tata placed a strong emphasis on integrated views and a sharp focus on cross-module process flows, and it enabled more rigorous use of the standard business processes that are defined and recommended by Oracle, while minimizing the number of customizations required. Tata Consultancy Services provided three rounds of piloting prior to user acceptance testing and go-live.

“Tata demonstrated global experience with Oracle E-Business Suite implementations and a strong presence in Saudi Arabia with proof points within the Kingdom. Tata was also able to demonstrate extensive experience in ERP and legacy system integration. Finally, it beat all competitors with the cost-effectiveness of its proposal,” said Ibrahim Almatrafi, IT manager, Yamama Cement.