Aramco Continues Progress in Digital Transformation with SAP Strategic Alliance

Aramco announced a strategic alliance with SAP Saudi Arabia to expand the digitalization of its Enterprise Resource Planning (ERP) systems. (Aramco)
Aramco announced a strategic alliance with SAP Saudi Arabia to expand the digitalization of its Enterprise Resource Planning (ERP) systems. (Aramco)
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Aramco Continues Progress in Digital Transformation with SAP Strategic Alliance

Aramco announced a strategic alliance with SAP Saudi Arabia to expand the digitalization of its Enterprise Resource Planning (ERP) systems. (Aramco)
Aramco announced a strategic alliance with SAP Saudi Arabia to expand the digitalization of its Enterprise Resource Planning (ERP) systems. (Aramco)

Aramco announced on Monday a strategic alliance with SAP Saudi Arabia to expand the digitalization of its Enterprise Resource Planning (ERP) systems.

The agreement with SAP is another step in Aramco’s digital transformation journey, paving the way for further integration of new technologies in a rapidly evolving technological landscape.

The SAP ERP system will deepen the deployment of innovative IR4.0 technologies including cloud-based services, embedded analytics, mobility, machine learning, artificial intelligence, advanced analytics and Internet-of-Things solutions.

By extending the strategic alliance with SAP Saudi Arabia, Aramco’s contribution to the in-Kingdom business ecosystem will be enhanced through job creation, training and by localizing supplier services and R&D. In addition to enabling greater efficiencies, SAP’s Data Center in Saudi Arabia will offer new cloud solutions to Aramco and other companies.

Ahmad A. Al Sa'adi, Aramco Senior Vice-President of Technical Services, said: “We are committed to our digital transformation program, which is improving our ability to meet the needs of our customers around the world and setting a new standard for technology deployment in our industry.”

“Technologies and solutions within digital transformation initiatives will touch all facets of our operations. This is just one more example of how we are applying best practice in this space and embracing 4IR solutions. It is an important milestone on our digital journey and also contributes to our iktva target.”

Luka Mucic, Member of the Executive Board of SAP SE, Chief Financial Officer, said: “In 23 years of strong collaboration, Aramco and SAP have become strategic partners. With numerous co-innovation initiatives, we have jointly introduced oil and gas best practices, enhanced business operations, and expanded the horizon of opportunities in this industry.”

“Aramco has taken the next step on their digital transformation journey and towards becoming an Intelligent Enterprise, implementing S/4 HANA and the Business Technology Platform amongst others.”

SAP’s new platform will serve the entire Aramco organization, supporting the Company’s Digital Transformation Program and enabling new processes for a majority of the company’s enterprise applications and solutions. The new architecture leverages emerging technologies that will propel Aramco into a new era of Intelligent Enterprise and benefits include faster processing, intuitive user experience, real-time reporting, integration with cloud solutions and system consolidation, which reduces total cost of ownership.



Samsung Electronics Workers Strike as Union Voice Grows in SKorea

The National Samsung Electronics Union (NSEU) workers hold placards and shout slogans during a general strike to disrupt production between July 8 and 10, in front of the Samsung Electronics Nano City Hwaseong Campus in Hwaseong, South Korea, July 8, 2024. REUTERS/Kim Soo-hyeon
The National Samsung Electronics Union (NSEU) workers hold placards and shout slogans during a general strike to disrupt production between July 8 and 10, in front of the Samsung Electronics Nano City Hwaseong Campus in Hwaseong, South Korea, July 8, 2024. REUTERS/Kim Soo-hyeon
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Samsung Electronics Workers Strike as Union Voice Grows in SKorea

The National Samsung Electronics Union (NSEU) workers hold placards and shout slogans during a general strike to disrupt production between July 8 and 10, in front of the Samsung Electronics Nano City Hwaseong Campus in Hwaseong, South Korea, July 8, 2024. REUTERS/Kim Soo-hyeon
The National Samsung Electronics Union (NSEU) workers hold placards and shout slogans during a general strike to disrupt production between July 8 and 10, in front of the Samsung Electronics Nano City Hwaseong Campus in Hwaseong, South Korea, July 8, 2024. REUTERS/Kim Soo-hyeon

Samsung Electronics workers began a three-day strike for better pay on Monday, with their union pointing to further action should South Korea's biggest conglomerate continue to fall short of its demands.
The National Samsung Electronics Union (NSEU), whose roughly 30,000 members make up almost a quarter of the firm's South Korean workforce, also wants an extra day of annual leave for unionized workers and changes to the employee bonus system, Reuters reported.
Low participation and automated production means the strike is unlikely to have a significant impact on output at the world's biggest memory chipmaker, analysts said. Still, it signals a decline in staff morale at a pivotal point in the chip industry as tech firms embrace artificial intelligence.
The union's first industrial action last month involved coordinating annual leave to stage a mass walkout, which Samsung said had no impact on business activity. The firm said on Monday there was no disruption in production.
The union, which did not disclose last month's strike participation levels, said 6,540 workers will be striking this week, mostly at manufacturing sites and in product development. It said the strike includes workers who monitor automated production lines and equipment so operations could be affected.
Union officials said about 3,000 strikers attended a rally in the rain near Samsung's headquarters in Hwaseong, south of Seoul.
Union president Son Woo-mok disputed media reports of low participation, telling Reuters that the five-year-old union did not have enough time to educate members about the issues.
"Education about labor unions ... has not been enough. But I don't think this participation is low because our union is still young compared to other unions," he said.
Lee Hyun-kuk, the union's vice president, said there could be further strikes if Samsung does not improve its proposals.
Samsung's proposals include flexibility in pay and annual leave conditions but do not meet union demands of increased pay and leave, Lee told Reuters.
Union officials also want equality in the bonus system. They said bonuses for rank-and-file workers are calculated by deducting the cost of capital from operating profit, whereas those for executives are based on personal performance goals.
The union's membership has grown since Samsung pledged in 2020 to stop discouraging organized labor. Its growing voice is demanding attention just as Samsung struggles to navigate competition in chips used for artificial intelligence (AI) applications, analysts said.