PAO Severstal, one of the world's largest vertically integrated mining and steel companies, received the highest platinum award in the SAP Value Award 2020 in the New Horizons category. It is awarded to SAP customers for outstanding business initiatives, where results have been achieved through the use of the most innovative technologies available on the market.
Severstal is recognized for the implementation of the iDeaL project, which aims to manage the lifecycle of ideas and initiatives. It provides for the use of several SAP products - SAP Iovatio Maagemet, SAP Aalytics Cloud and SAPS /4HANA Project System.
Severstal's updated strategy provides for the achievement of additional EBITDA by 2023 with an annual increase of 10-15%, excluding independent from the company of market factors. For this, innovation centers were formed, the main task of which was to develop ideas and proposals aimed at increasing EBITDA. Previously, the company did not have a unified management system for these initiatives, which made it almost impossible to check for duplication, complicate the consolidation of information and assess the potential of an idea, and also delayed the process of its implementation.
The iDeaL system allows online control of the conversion of innovative ideas, which are generated and implemented in various divisions of the company. As a result of the implementation, the time for preparing a unified reporting for innovation committees was reduced by 3-4 times, and the efficiency planning horizon increased to 5-10 years ahead. In addition, thanks to the iDeaL system, the construction of financial models for each initiative takes place online. Severstal became the first company in the world to realize this opportunity.
Severstal CIO Sergey Dunaev commented:
“iDeaL is a transparent and well-structured initiative management system. We created it as a single team - business units, IT, SAP consultants - and we are pleased that our joint efforts were appreciated by the jury of the award. The iDeaL solution helps us to implement and control innovations faster, making decisions based on data and bringing the time to economic effect closer. At Severstal, the rule is: not in iDeaL - not anywhere else, so this is a transformational, technological and cultural project at the same time. We thank our colleagues for their help in implementation! "
" Our cooperation with Severstal is over 12 years old. Each joint project is the involvement of a large number of people from both sides. We are impressed with the enthusiasm and speed with which Severstal is opening up new digital horizons. How timely does the company announce its IT initiatives, the very existence of which seemed impossible before. We congratulate Severstal on this well-deserved award and hope that iDeaL will become one tool that will allow the company to maintain the title of innovator in the Russian mining and metallurgical industry, "said Alexey Leontovich, Deputy CEO of SAP CIS.
The SAP Value Award is being held in Russia for the fifth time. In eight nominations, projects are evaluated according to a number of criteria: the effect of changes, the impact on the company's operations and strategic development, the presence of a strong connection between the implementation of SAP solutions and business results.
