Jurong appoints Satyam Computer Services for ERP solution

Shingka Kaur
10 January 2003

Singapore: The New York Stock Exchange-listed Satyam Computer Services (www.satyam.com) has been appointed by Singapore Exchange-listed Jurong Technologies Industrial Corporation (www.jht.com.sg) to implement an end-to-end enterprise resource planning (ERP) solution for the electronics contract manufacturer’s (ECM) all four plants in the Asia Pacific.

The project is the first SAP systems contract that the Indian software giant has secured from a Singapore-based ECM such as Jurong Technologies, which recorded a net profit of S$6.2 million on turnover of S$141.6 million for the six months ended 30 June 2002.

The ERP system will allow manufacturing plants of Jurong Technologies - a fast-growing electronics contract manufacturer - in Singapore, Batam (Indonesia) Johor Baru (Malaysia) and Suzhou (China) to be linked on a single SAP-based platform.

Under Phase 1 of the project to be completed by May 2003, Satyam will link Jurong Technologies’ plant in Singapore, Malaysia and Indonesia; and in Phase 2 (July 2003), the Indian IT provider will complete the loop with the linking of the China operations. Through the SAP system, Jurong Technologies will be able to unify its ERP needs for logistics, financial management, sales, distribution and administration.

“Satyam brings to the table its depth and width of global expertise in ERP for the contract manufacturing sector. In one level of the project, we will also be leveraging on our expertise in business process engineering for our client,’’ says Virender Aggarwal, Satyam VP, head of Asia Pacific. “Our expertise mustered in the electronics sector from the global front means shorter delivery time by three-four months for our customers such as Jurong Technologies.”

Says Jurong Technologies president Lee Lok Fui: “This new ERP platform is a necessary step for us to cater to our fast-growing business needs. It will allow us to retrieve on a real-time basis critical data such as material status, inventory levels, work-in-progress and manufacturing yield.