Tuochen Technology | Home Hardware & Smart Home SAP S/4HANA Cloud Success Story
Tuochen Technology (Guangdong Tuochen Technology Development Co., Ltd.) (拓臣科技) has been deeply engaged in the home hardware industry for over 30 years. The company is committed to empowering traditional hardware with technology and has launched intelligent products such as voice-controlled, electric, and AI-connected hardware. With 97% of its business overseas, covering more than 150 countries and regions, Tuochen needed a powerful digital platform to support its globalization strategy and achieve fine-grained management from group level to individual product lines.
Challenges
Traditional experience-driven management could no longer meet the demands of rapid global expansion and intelligent product development. The company needed to optimize supply chain, inventory, and logistics management, shift from experience-based to data-driven decision-making, and build a multi-level accounting system to support fine-grained profit analysis across business units.
Solution
In August 2024, Tuochen officially launched the SAP Cloud ERP project based on SAP S/4HANA Cloud Public Cloud. BOS Cloud helped the company establish a group-level control model, introduce Variant Configuration (VC) for product configuration and cost quoting, integrate CRM with SAP, and build an industry-finance fusion management system. The solution enabled real-time inventory visibility, automated procurement alerts, and intelligent logistics optimization.
Key Results
Achieved fine-grained management from group level to product lines with multi-level profit accounting
Significantly improved financial calculation accuracy through VC and order-based configuration
Optimized end-to-end processes from sales and procurement to production and logistics, enhancing supply chain flexibility and risk resilience
Realized data-driven transformation, stimulating business unit enthusiasm and improving overall operational efficiency
Built a solid digital foundation to support Tuochen’s goal of becoming a global leader in smart home hardware solutions