BAT reduce 62 systems to 6
BAT has cut their local SAP enterprise resources down to 6 from 62. After expansion, the company has found that a number of separate resource planning systems were not interlinked, and have made the decision in order to simplify set up, save costs, and allow more flexibility with regards to IT.
British American Tobacco, which operates in 180 markets and has 54,000 employees, had costs of £34 Million for support and development, which have been reduced by £26 Million over a two year period.
Another advantage of the reduction, BAT have said, is that it’s now easier for them to set up financial shared service centres, with plans for one in eastern Europe already in motion.
The cuts are part of a 2005-2009 plan which projects savings of £549 million on supply chain costs by the programmes end.
