Sat, 12 Sep 2026

Ferrotec Malaysia scales advanced manufacturing with SAP

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.

ā€œWith 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,ā€ said Jason Ong, IT & IS manager Ferrotec.

ā€œManufacturing 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,ā€ he added.  

Jason Ong

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%
Vipin Chandran
Vipin Chandran

ā€œFerrotec 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,ā€ said Vipin Chandran, managing director, SAP Malaysia. We are proud of how our technology is helping businesses across Malaysia modernise and scale with confidence.ā€

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.

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