Ferrotec Malaysia has powered its new manufacturing site in Kulim, Malaysia, with SAP. Leveraging GROW with SAP, a cloud-based ERP offering, helped Ferrotec advance manufacturing through a standardised framework, tools, and guidance.
“With the implementation of GROW with SAP, we established a strong ERP foundation at our new manufacturing site in Malaysia, setting the stage for future growth,” said Jason Ong, IT & IS manager Ferrotec.
“Manufacturing advanced components like semiconductor parts demands precision and specialised technology, so our priority was implementing a reliable system to support our finance, sales, supply chain, and manufacturing processes. Today, we’re operating more smoothly and efficiently, with significant productivity gains and lower costs,” he added.
Advancing manufacturing
GROW with SAP enabled Ferrotec to accelerate cloud ERP adoption, supporting future growth and operational scalability effectively.
Since deploying the solution, the Tokyo-listed manufacturer has reported the following gains in its first-ever plant in Southeast Asia:
- Procurement efficiency has surged by 90%
- Finance productivity has improved by 40%
- Supply chain process costs have been reduced by 50%.
- Data accuracy issues have dropped by 80%

“Ferrotec Malaysia chose GROW with SAP to provide it with a comprehensive, cloud-based ERP foundation that streamlines operations, improves efficiency, and enables data-driven decision-making,” said Vipin Chandran, managing director, SAP Malaysia. We are proud of how our technology is helping businesses across Malaysia modernise and scale with confidence.”
Transition to the cloud
To ensure a smooth and confident transition to the cloud, Axxis Consulting collaborated closely with Ferrotec and SAP to deliver a structured, two-phase implementation.
Phase 1 covers Finance, Procurement, and Supply Chain, followed by Phase 2, enabling Sales and Production.