13 August 2025
Surety: A leader in regulatory solutions
Read MoreFor years, PT. Ispat Indo has been Indonesia’s leading steelmaking producer, commanding the highest market share and holding a strong foothold in neighboring markets. Strategically positioned for global trade, the company manufactures a wide range of low and high carbon grades of billets, wire rods, and bars, with an annual production capacity exceeding 700,000 tons.
But as the business grew, the need for faster decision-making, greater operational transparency, and seamless system integration became more urgent.
The Need
On paper, the existing systems supported day-to-day operations — but in practice, they were slowing progress.
Ispat Indo needed:
- An improved business solution powered by SAP technology to accelerate decision-making.
- IT-enabled operations that deliver best-in-class performance with robust business and system controls.
- Transparent, collaborative processes that encourage innovation while ensuring smooth information flow.
The challenge was to optimize and secure operations while enabling agility for a fast-changing market.
The Solution
A Value-Driven SAP Partnership
Since 2016, PT. Ispat Indo has partnered with SAP experts to deliver L2/L3 support services for core application modules — FICO, SD, MM, PP, QM, ABAP, and BASIS.
Key initiatives included:
Advanced Reporting:
Development of complex integrated reports such as a stock valuation report (MB5B alternative), audit reporting, sales stock insights, and validations in MIRO for better visibility and process optimization.
24×7 Critical Support:
Covering problem management, incident resolution, change requests, new developments, and system enhancements.
CORE Team Engagement:
A dedicated team operating under an SAP Center of Excellence (CoE) to ensure business value delivery.
Performance and Process Improvements:
Streamlined BASIS administration, system performance tuning, and stronger process controls.
The Impact
Productivity: Real-time tracking of hours for accurate invoicing and margin analysis; faster sales order processing.
Decision Enablement: Quicker financial closing, better inventory visibility, and improved supply chain efficiency.
System Resilience: Enhanced controls, validations, and optimized BASIS administration.
Scalable Model: Capacity-based approach delivering high productivity (2000 hours/year) before requiring additional resources.
Looking Ahead
Ispat Indo aims to build on this momentum with:
- Business Process Optimization: Eliminating duplicate or wasteful efforts.
- Enhanced Controls: Stronger checks and validations in financial and supply chain processes.
- Better Insights: Improved visibility through advanced information and reporting systems.
With its SAP-powered backbone and a clear vision for operational excellence, PT. Ispat Indo is well-positioned to continue leading the steelmaking industry in Indonesia and beyond.
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PT. Ispat Indo: Indonesia’s leading steelmaking producer
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