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RAK Ceramics goes live with SAP ERP

RAK Ceramics, the world’s largest manufacturer of ceramic and porcelain tiles, has gone live with software solutions from SAP in a bid to markedly improve process efficiency and drive sustainable business growth.

Phase one of the project is the culmination of an 8 months’ coordinated effort by RAK Ceramics and SAP teams and will see a comprehensive suite of Enterprise Resource Planning (ERP) tools improve transparency, efficiency and productivity across all 12 of RAK Ceramics’s UAE factories, 15 warehouses, 6 showrooms and various administrative offices.

“The SAP ERP system is a key part of our strategic decisions to invest in new technology and solution that will ensure our vision for taking the company forward as I am confident we shall overall improve our operations management with better efficiency in every aspect of the organisation,” said Abdallah Massaad, CEO, RAK Ceramics.

“This will lead to better productivity, as well as better products and services to our clients worldwide. We are confident that by embracing these cutting-edge solutions, we are putting the company on the fast track to exceeding expectations.”

Over 100 executives across RAK Ceramics departments were engaged in the project and over 350 employees underwent training to handle the system. The core implementation team was led by Dinesh Mohan, General Manager- SAP Projects and Manoj Aheeray, CFO of RAK Ceramics.

Internationally-acclaimed external audit firm, KPMG, was on hand for quality assurance.

“SAP ERP software gives us a platform for an integrated system that will take our reporting and corporate governance to the next level.  The system will be useful in taking quick strategic decision to enhance asset utilisation and rationalise the overall manufacturing and procurement costs. SAP ERP system will ensure improved working capital management and effective in taking cost-saving measures reflecting positively in the bottom line,’ said Manoj Aheeray.

Dinesh Mohan remarked, “With RAK Ceramics migrating from a 13 year-old legacy system to a world-class ERP, we have established efficient and secure core business processes that give us a platform to create a responsive front-end for interacting with our customers and various other stakeholders. To support the SAP system, the company has built a new data centre based on cutting-edge technology that will ensure smoother operational processes”

The company now plans to ramp up its IT capabilities for rolling-out the system to its manufacturing facilities in other countries.

“Teaming up with SAP feeds into our unceasing mission of continually surpassing the expectations of our customers, dealers and partners,” said Khaled Abdulla Yousef, Member on Board of Directors, RAK Ceramics and the Sponsor for the SAP Project.

“In an era of global competitiveness and borderless economies, the only organisations that will thrive are those that remain truly receptive to innovation in its many and varied forms. Embracing cutting-edge IT solutions from SAP is a major step in making RAK Ceramics run better, improving end-to-end process integration and harmonisation, and driving sustainable business growth.”

Qais Gharaibeh, UAE Managing Director, SAP MENA, added: “RAK Ceramics is the number one company of its kind in the world and a glittering jewel in the Middle Eastern manufacturing sector. The company’s inspiring pursuit of excellence and innovation makes it a vital player in the UAE’s economic landscape and SAP is proud to help maximise value and improve its efficiency wherever possible.”

Established in 1991 by H.H. Sheikh Saud Bin Saqr Al Qasimi, the ruler of Ras Al Khaimah, RAK Ceramics is a USD 1 billion global conglomerate that supplies to over 160 countries across five continents. His Highness Sheikh Mohammed Bin Saud Al Qasimi, Crown Prince of Ras Al Khaimah heads the company as Chairman and directing the company to global competitiveness.

The company employs around 8,000 employees in UAE and 15,000 employees through its various manufacturing facilities and distributions worldwide. Currently, state-of-the-art Ras Al Khaimah plants produce 227,000 sq.m of tiles and 8,500 pieces of bathware per day. Global production exceeds 360,000 sq.m of tiles and 12,000 pieces of bathware per day.

RAK Ceramics has achieved the milestones of supplying 1 billion sq.m. of tiles and 50 million pieces of bathware worldwide within two decades, which is an unparalleled feat in the Middle East region.

Global acclaim has also been forthcoming for the company’s focus on eco-friendly products and its role as a founding member of Emirates Green Building Council, which supports the development of sustainable buildings in the UAE. RAK Ceramics was awarded SUPERBRAND status in 2011 for third consecutive year in a row by the Council of Superbrands, the world’s largest independent brand arbiter.

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