SAP Enhances India's Supply Chain with Advanced Digital Technologies

In recent years, India has solidified its position as an emerging global economic power, driven by a burgeoning consumer market and the need to de-risk global supply chains. Digital technology plays a crucial role in creating efficient, reliable, and sustainable supply chains, which is key to India's ambition of increasing its participation in global value chains from around 40% to approximately 50%. To support this goal, the SAP Sustainability Data Exchange solution has been introduced. This solution facilitates the secure exchange of standardized sustainability data, including product footprints, throughout the value chain. It enables companies to share carbon emissions data with their customers, providing actionable insights into Scope 3 emissions by transitioning from average estimates to actual supplier data.

Commenting on the announcement, Manish Prasad, President & Managing Director, of SAP Indian Subcontinent, said, "To propel India as a global manufacturing leader, a robust supply chain and logistics infrastructure is vital. To expedite India's ambitious vision of being among the top supply chain hubs, it is crucial to integrate technologies like business network platforms and local data centers underpinned by Cloud and AI. At SAP, we are committed to this vision and are working with Indian enterprises, startups, and the wider ecosystem to promote transparent, efficient, and sustainable business value chains."

As part of its ongoing efforts to help enterprises build resilient supply chains, SAP has unveiled a study conducted in collaboration with Economist Impact. The study explores how businesses and industries are transforming procurement to address current and emerging challenges amid disrupted supply chains, rising costs, and growing uncertainty.

Key trends identified among businesses include:

Digitalization as the Top Business Priority: Digitalization remains the foremost priority for businesses, aligning with India's vision to develop reliable and efficient global supply chains through the use of digital technologies.

Emergence of Artificial Intelligence (AI): Advances in automation technology, AI, and generative AI are significantly influencing digitalization, with these technologies being the top trends businesses aim to implement over the next 12 to 18 months.

Focus on Sustainability in Procurement: Increasing legislation and compliance requirements around sustainability standards, supply chain transparency, emissions, and resource efficiency are putting pressure on businesses, especially procurement teams, to meet their organization's environmental, social, and governance (ESG) goals.

Ashwani Narang, Vice President & Head of Spend Management, at SAP India, added, “SAP has been working with customers, partners, and the Indian government for years to support the vision of a ‘Digital India.’ SAP Sustainability Data Exchange, coupled with multiple solutions available on a local India-based data center, which we announced last year, will help our Indian customers in bolstering supply chain resilience, transforming them into intelligent, sustainability, and future-ready businesses.”