Hoa Phat Dung Quat Steel and Citek implement BW/4HANA & SAP Analytics Cloud project

On July 20, 2021, Hoa Phat Dung Quat Steel Joint Stock Company signed a contract with Citek Technology Joint Stock Company and launched a project to consult the implementation of smart digital enterprises for Hoa Phat Dung Quat Iron and Steel Production Complex.

Thép Hòa Phát Dung Quất và Citek ký kết dự án tư vấn triển khai Doanh Nghiệp Số Thông Minh
Mr. Mai Van Ha – Director of Hoa Phat Dung Quat speaks at the online kick-off ceremony

Mr. Mai Van Ha, Director of Hoa Phat Dung Quat Steel Joint Stock Company (HPDQ) said: “Hoa Phat Dung Quat iron and steel production complex is the largest project of the Group and is now operating at full capacity with 11 factories, a seaport with an output of more than 5 million tons per year. In the coming years, it is expected that the factory size will double, so HPDQ needs an overall solution to build Data Warehouse with centralized connection data from systems such as SAP S/4HANA, MES, SCADA, quality management systems, others to standardize, Enriching data, building governance indicators (KPIs) with multidigional analytics reports and dashboards to serve the operation smoothly, quickly and accurately. The smart digital enterprise implementation project is an important project in Hoa Phat Dung Quat’s development strategy, which will have the participation of HPDQ’s Board of Directors, department heads and Hoa Phat Group’s Digital Transformation Board”.

SAP Vietnam representative Truong Manh Cuong said that three years ago, SAP and Citek were also partners who successfully consulted and implemented SAP S/4HANA solution for HPDQ and put it into operation in early 2019. For more than 2 years of operation, SAP S/4HANA has brought practical efficiency in the company’s production and business operations. Today SAP is honored to join Citek in accompanying HPDQ in this important project, which is a data warehouse construction project, with the longer-term goal of forming big data and exploiting data with advanced technology applications such as artificial intelligence (AI), Machine learning to analyze, forecast, make recommendations, make operations and management smarter, create many differences and competitive advantages, thereby helping businesses develop sustainably.

HPDQ is implementing a digital transformation roadmap towards a comprehensive smart digital enterprise. Since January 1, 2019, HPDQ has officially operated the SAP S/4HANA Enterprise Management system and continuously improved to optimize operations and improve operational efficiency. In March 2021, Citek continued to work with HPDQ in phase 2 to expand the factory and double its capacity in the near future.

Thép Hòa Phát Dung Quất và Citek ký kết dự án tư vấn triển khai Doanh Nghiệp Số Thông Minh
Hoa Phat Dung Quat Steel ‘s factory

Mr. Nguyen Cong Tuan, General Director of Citek Technology Joint Stock Company shared at the ceremony: “HPDQ iron and steel production complex has reached an output of more than 5 million tons / year, the future is more than 10 million tons / year, so the amount of data from ERP is very large and needs to be standardized, Ready to build data warehouses for analytics indicators (KPIs) as well as build management and operation dashboards using SAP Analytics Cloud (SAC) solutions. The construction of data warehouse not only stops at analyzing indicators from ERP systems, but in the long run, HPDQ can also connect data from many other systems, from departments and factories to form big data, serving the overall analysis of hpdq iron and steel production complex operations effectively and timely”.

To date, Hoa Phat Group is the largest steel producer in Vietnam and Southeast Asia with a capacity of 8 million tons of crude steel per year, including over 5 million tons of construction steel and 3 million tons of HRC. In particular, the iron and steel production complex in Dung Quat has the largest scale in the group with production output of 5.2 million tons / year, followed by Hoa Phat Hai Duong iron and steel complex with 2.5 million tons / year. The Smart Digital Enterprise Project in Hoa Phat Dung Quat is an important part of the development strategy of Hoa Phat Dung Quat in particular and Hoa Phat Group in general.