The Schaeffler Group has been driving groundbreaking inventions and developments in the field of motion technology over the last 75 years. From bearing solutions and linear guidance systems to repair and monitoring services, the manufacturer has innovated a range of critical technologies, products, and services for electric mobility, CO₂-efficient drives, chassis solutions, and renewable energies.

All this hard work and ingenuity has turned Schaeffler into a reliable partner in making motion more efficient, intelligent, and sustainable across the entire life cycle.

According to Christof Heurung, head of Strategic Digitalization at Schaeffler: “We see sustainability and digitalization as key topics for our future success. By combining the right digital technologies, such as AI innovations, with our pioneering spirit, we can take sustainability to the next level and create an even more sustainable future for Schaeffler, as well as for our customers and suppliers.”

Partnering for Greener Supply Chain Digitalization

Shipping diverse offerings to customers worldwide requires a wide array of containers — all of which must be managed efficiently and transparently across internal operations, suppliers, and customers. However, to be successful, this approach demands the integration of numerous business systems and applications to access and exchange information securely, streamline processes strategically, and react to new challenges and opportunities with precision.

Unfortunately, most companies fall short of achieving this advantage. Shipping containers are often managed with a fragmented application landscape. This setup challenges the ability to respond quickly to packaging trends and new business requirements. It also limits the transparency needed to reconcile customers’ returnable-packaging accounts accurately and outsource delivery services to the right shared-service center. Suppliers using the same containers operate on a separate third-party system, leading to disjointed operations.

“After using SAP solutions for around 40 years now, during the past five years, we have established a strategic partnership with SAP to develop and introduce new IT application systems while forging ahead in our desire to run a more sustainable operation,” says Gerhard Stoessel, IT program lead for SAP S/4HANA at the Schaeffler Group. “Such a relationship is allowing Schaeffler and SAP to identify unmet industry needs and launch numerous innovations.”

Introducing Industry-Wide Circular Logistic Flows

One of those innovations is the SAP Returnable Packaging Management solution. The industry-specific solution supports circular logistic flows for returnable and reusable packaging material such as containers, boxes, and pallets — from supplier and customer deliveries to intra-company movements and the journey back to the company.

When Schaeffler first used SAP Returnable Packaging Management, it covered only 30% of container management requirements. Sven Proschek, product owner of SAP S/4HANA Cloud for logistics at Schaeffler, notes that the company’s close collaboration with SAP was key to turning this trend around: “Our partnership with SAP enabled us to enrich the solution with the industry-relevant capabilities that companies like ours need, as well as near-seamless, end-to-end integration of the container management cycle.”

Schaeffler is currently rolling out the solution across over 80 manufacturing plants in its worldwide ecosystem. This approach is streamlining the supply chain into a more efficient and robust network, resulting in fewer delivery failures and deeper transparency in the company’s packaging material inventory. The overall workload is decreasing even though the company ships products to more customers — thanks to AI capabilities such as container reconciliation automation and self-services for reordering packaging materials and checking inventory.

“We can now react quickly to new trends, support an end-to-end collaborative solution for suppliers and customers, and save time and costs through automation,” Proschek reports. “Efficient container management also helps us avoid delivery failures due to shortages.”

Making Sustainability More Cost-Efficient

Schaeffler is also exploring new AI-enabled capabilities for SAP Returnable Packaging Management that can help the business, as well as its peers, further bridge the gap between sustainability and cost efficiency.

One idea that is gaining traction is machine learning-powered returnable packaging account matching. It aims to reduce the manual effort needed to analyze unmatched items and determine whether the underlying issue is a logistical exception or a discrepancy in matching attributes between incoming statements and open line items.

With this capability, Schaeffler can perform returnable account matching with the help of machine learning models and automate the matching process by activating line-item matching. Doing so streamlines the reconciliation process and enhances efficiency, empowering packaging planners to focus on strategic tasks. Additionally, it minimizes errors and increases the accuracy of the returnable packaging material inventory across the supply chain.

Expanding the Possibilities with a Future-Minded Vision

Schaeffler’s commitment to innovation and sustainability is evident in its adoption of AI-powered solutions for sustainable packaging and supply chain management. By using technologies such as the line-item matching functionality available in SAP Returnable Packaging Management, Schaeffler is not only streamlining its operations but also reducing costs, minimizing errors, and increasing efficiency.

As Schaeffler continues to lead the way in sustainable packaging practices, it sets a compelling example for the industry, showcasing the transformative potential of cloud innovations and AI in driving sustainable business practices.

Korbinian Koblitz is Business Development lead at SAP.

• New offering designed to move SAP S/4HANA workloads from IBM Power Systems on-premises to cloud within 90 days

• IBM realized 30% reduction in infrastructure costs and related operations over 18 months in RISE with SAP modernization project supporting 150,000 ERP users

ARMONK and WALLDORF — Today, IBM (NYSE: IBM) and SAP SE (NYSE: SAP) announced the upcoming release of RISE with SAP on IBM Power Virtual Server, designed to help make it the fastest and easiest path for IBM Power customers to accelerate their ERP transformation.

Together, SAP and IBM aim to help organizations more seamlessly transition and modernize their on-premises ERP environments to the cloud and support AI-powered business processes.

RISE with SAP is a guided journey delivering outcome-driven services, cloud ERP and platforms to help organizations rethink their operating model. As a new SAP hyperscaler offering, RISE with SAP on IBM Power Virtual Server can help reduce risk and improve SAP S/4HANA Cloud migration time from IBM Power Systems on-premises to cloud within 90 days.*

“RISE with SAP has emerged as a business priority for enterprises across all industries as they move to SAP S/4HANA Cloud,” said Anurag Agrawal, Founder and Chief Global Analyst, TechAisle. “The new offering from IBM and SAP promises to be a compelling option for buinesses looking to migrate their mission-critical ERP workloads securely, quickly and with minimal disruption.”

Cloud Migration Enabled by Industry-Leading SAP Certified Infrastructure

Using IBM Power Virtual Server, the cloud-based version of the mission-critical IBM Power server platform used for on-premises ERP, customers can more rapidly transform on-premises SAP ERP systems on cloud, modernize business processes and become more agile. Known for its high security, scalability and reliability, IBM Power servers are ranked #1 in availability among SAP-certified infrastructure**, engineered for fewer disruptions and faster migration, supported by the highly resilient and secured IBM Cloud platform.

“IBM has worked hand-in-hand with SAP to provide a seamless and fast migration path for customers that rely on the IBM Power platform for their SAP workloads and applications,” said Rob Thomas, Senior Vice President, Software and Chief Commercial Officer, IBM. “This new capability helps reduce the complexity of moving to the cloud and accelerates impact, benefits we experienced firsthand in our own modernization journey using RISE with SAP.”

IBM Completes Global SAP S/4HANA Cloud Modernization Using RISE with SAP

IBM has deep expertise with SAP S/4HANA Cloud modernization and managed services projects. In one of the largest and most complex SAP S/4HANA Cloud modernization projects of any SAP customer to date, according to SAP, IBM recently moved its quote-to-cash and record-to-report processes to RISE with SAP on IBM Power Virtual Server.

The IBM project touched more than 150,000 users across 175 countries in 18 months. During this time, it resulted in a 30% reduction in infrastructure costs and related operations by rationalizing overall server and data footprint and increasing process automation.† IBM Consulting led this transformation work end-to-end, providing the technical services, implementation and application management services expertise required to help securely move and run these complex solutions.

“SAP is helping organizations run their best through cloud-based enterprise applications embedded with the power of SAP Business AI,” said Thomas Saueressig, member of the Executive Board of SAP SE. “This announcement is yet another milestone in SAP’s long-term partnership with IBM, offering our joint customers a clear path to the cloud designed for faster time-to-value, increased flexibility, and continuous innovation.”

IBM Consulting and Ecosystem of Partners to Help Accelerate Transformation

Customers will also be able to accelerate transformation with SAP S/4HANA Cloud by working with IBM Consulting or any other SAP partner. To give clients choice, IBM is also in the process of working with other global systems integrators and services partners to architect, deploy and migrate RISE with SAP projects.

The two companies, along with an ecosystem of partners, intend to work together to help IBM customers transform through RISE with SAP on IBM Power Virtual Server with combined solutions, capabilities and joint go-to-market efforts. RISE with SAP on IBM Power Virtual Server customers and IBM Business Partners will also have access to a new IBM Transformation Suite for SAP Applications to help begin the migration to SAP S/4HANA Cloud and RISE with SAP. It will include a bundle of best-of-breed software and services for the assessment of current environments, data migration and automated testing.

More than 10,000 SAP customers over 50 years have used IBM to deliver and run SAP solutions on IBM systems. IBM is a full lifecycle strategic partner of SAP, providing end-to-end consulting and technology solutions for SAP customers, including hybrid cloud, automation and generative AI with watsonx.

RISE with SAP on IBM Power Virtual Server is planned to be available in second quarter of 2025, along with a customized investment program from IBM. Customers can learn more here to begin planning for their transformation using assessment and migration services from IBM Consulting and other IBM and SAP Business Partners.

Visit the SAP News Center. Follow SAP at @SAPNews.

Statements regarding IBM’s future direction and intent are subject to change or withdrawal without notice and represent goals and objectives only.

*Estimate based upon internal IBM modeling of onboarding customers in an SAP landscape when moving from SAP S/4HANA on Power on-premises to Power Virtual Server assuming the right level of customer collaboration around network integration and testing.
**Based on the ITIC 2023 Global Hardware, Global Server Reliability Report and list of all SAP-certified and supported certified SAP HANA hardware.
†Based on IBM results from worldwide migration to SAP S/4HANA Cloud and RISE with SAP.

About IBM

IBM (NYSE: IBM) is a leading provider of global hybrid cloud and AI, and consulting expertise. We help clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. Thousands of government and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM’s breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and consulting deliver open and flexible options to our clients. All of this is backed by IBM’s long-standing commitment to trust, transparency, responsibility, inclusivity and service. Visit www.ibm.com for more information.

About SAP

As a global leader in enterprise applications and business AI, SAP (NYSE: SAP) stands at the nexus of business and technology. For over 50 years, organizations have trusted SAP to bring out their best by uniting business-critical operations spanning finance, procurement, HR, supply chain, and customer experience. For more information, visit www.sap.com.

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While the vision of a paperless workplace has been around for years, the tools to make it a reality are finally within reach. Yet, surprisingly, many organizations are still stuck on a hamster wheel of manual processes, siloed information, and on-premise software.

How can companies jump off that wheel and truly transform?

According to recent IDC research* sponsored by SAP and OpenText, the answer lies in starting with a content management platform that is accessible, integrated, and, above all, comprehensive. The paper highlights that this approach ignites digitalization outcomes that “enable efficiencies and higher quality as teams readily identify and obtain the information they need.”

Additional reported benefits include fast document migrations, streamlined invoice and finance-related operations, and effective regulatory compliance.

Digitalization Takes a New Turn

Resistance to digitalization is more than just an inconvenience; it’s a significant barrier to achieving the resilience, efficiency, and sustainability needed to stay competitive in a dynamic market. However, it is easy to be intimidated by the massive effort required to scan, consolidate, manage, govern, secure, and integrate a vast volume of information, documents, and content to achieve true business digitalization.

SAP enterprise content management (ECM) solutions by OpenText calm these fears, as demonstrated by IDC interviews with current SAP customers. IDC calculates that organizations save an average of US$54,600 per 1 million documents stored in the solutions, totaling $9.29 million on average. These savings directly impact different departments, streamlining workflows and freeing up resources for more strategic tasks.

The key to this transformation lies in integrating business processes with ECM solutions to drive continuous, efficient, and error-free processes. This integration moves beyond merely digitizing paper-based information to actively using content to work, innovate, and create new content more effectively and with greater impact.

Take, for example, invoice management. Organizations can digitalize and automate the accounts payable process, enabling them to manage and accelerate invoice processing and comply with regional and global regulations. The capture of incoming business documents can also be modernized and automated to extract and process critical information from invoices and related documents, eliminating the need for manual intervention.

Quantitative Benefits of Digital Content Integration

The advantages of SAP ECM solutions by OpenText extend beyond just financial operations. IDC found that businesses using these solutions achieve a 351% three-year ROI. This is primarily due to the fast and efficient handling of document-related tasks such as intake, processing, and auditing — all of which are critical components of ECM.

As a customer shared during the IDC study, one of the standout benefits is streamlined data management: “We can now look at all types of data in one place with OpenText connected to SAP. It’s all about speed and efficiency of access by having one place to go instead of many, and the ability to take data governance seriously.”

What do all these advantages mean to everyday business operations? Here’s what some of the surveyed customers shared.

35% Faster Document Migrations
Document migration is often one of the most challenging aspects of digital transformation, particularly when transitioning to a cloud ERP system such as the private and public editions of SAP S/4HANA Cloud. However, by integrating ECM solutions with BPM strategies, organizations can experience a 35% reduction in migration time and a 53% boost in efficiency among employees required for the task.

This efficiency translates to lower costs and a smoother transition. As one customer said: “One of the most significant impacts has been the automation of invoice approvals, which has drastically reduced processing time and minimized human intervention.”

$5.36 Million Saved in Invoicing and Accounts Payable
One of the most significant benefits of linking business processes with ECM is the reduction of errors, particularly in areas such as invoicing and accounts payable. Manual processes are prone to mistakes, leading to costly penalties and missed opportunities.

As an example, by using the AI and machine learning capabilities within the SAP Information Capture Core application by OpenText to automate invoicing and accounts payable tasks, organizations reported a 37% increase in team efficiencies. In addition, they realized a $1.74 million savings in accounts payable process costs and an additional $5.36 million saved in total invoicing and accounts payable.

These findings suggest that incorporating ECM solutions into business strategies not only improves financial performance, but also enhances overall compliance. By providing secure, centralized access to documents, these solutions support remote work and collaboration, which are increasingly important in today’s globalized business environment. As a result, businesses can maintain high levels of productivity and compliance, regardless of where their employees are located.

25% Faster Payment on Vendor Invoices
Another benefit highlighted in the IDC research is the 25% acceleration of vendor payments, generating an annual savings of $1.08 million per organization. This acceleration in payment processing directly impacts cash flow, enabling companies to optimize working capital and potentially secure early-payment discounts, while reducing the risk of late-payment penalties.

As one customer from the IDC study noted, “The AI and ML functionality integrated has revolutionized our invoicing operations. One of the most significant impacts has been the automation of invoice approvals, which has drastically reduced processing time and minimized human intervention.”

The improvement in payment speed is driven by the automation and intelligent processing capabilities of SAP ECM solutions by OpenText. By automating invoice data capture, extraction, and validation, these solutions eliminate bottlenecks and errors that typically slow down manual processing while enhancing accuracy and compliance.

The Full Potential of ECM Unlocked

The IDC research shows that integrating SAP ECM solutions by OpenText with business processes enabled by SAP S/4HANA Cloud is essential for breaking free from manual processes and outdated systems. With significant ROI, faster document migrations, improved invoice processing, and quicker vendor payments, these solutions drive operational efficiency and financial performance.

Explore the calculated cost savings and business benefits of integrating BPM with SAP enterprise content management solutions by OpenText in the *IDC White Paper, sponsored by SAP and OpenText, “The Business Value of SAP ECM Solutions by OpenText,” doc #US52389824, July 2024.

Learn more about SAP ECM solutions by OpenText here.

Bil Khan is senior director of Global Partner Marketing at SAP.

*IDC Business Value White Paper, “The Business Value of SAP ECM Solutions by OpenText ,” commissioned by SAP and OpenText, IDC #US52389824, July 2024