Tongcheng New Materials | Chemicals & New Materials SAP S/4HANA Success Story

Tongcheng New Materials Group Co., Ltd.（彤程新材）, founded in 1999, has grown into a leading new materials group with 7 lean manufacturing plants, 4 R&D centers, and operations spanning 40 countries and regions. Its products include photoresist resins, rubber additives, biodegradable materials (PBAT), and semiconductor electronic materials. The company listed in 2019 and serves over 3,000 global customers.

Challenges

• Fragmented systems (Yonyou NC covering only sales/finance; production planning in Excel)

• Low process efficiency, long financial closing cycles, and multiple data silos

• Difficulty in group control for cross-border subsidiaries after acquisitions

• Inventory turnover below industry average and poor order fulfillment rates

Solution Starting in 2020, BOS Cloud implemented SAP S/4HANA focusing on master data standardization, process automation, and industry-finance integration. Key modules included MDG for master data governance, IBP for sales-production synergy, and TM for transportation management.

Key Results

• Inventory turnover increased by 35%

• Purchase order processing efficiency improved by 40%

• Financial closing cycle reduced from 15 days to 5 days

• Order on-time delivery rate rose from 75% to 96%

• Master data accuracy improved from 68% to 99.2%

• Warehouse efficiency up 50%; cross-border settlement cycle shortened from 10 days to 2 days

Customer Quote “When our business covers 40 countries and over 400 product categories, departmental-level informatization can no longer support global operations. We needed a unified digital management foundation.” — Tongcheng IT Department