Tirumala: Tightening Control and Making Every Drop of Milk Count with the SAP® ERP Application

1. SAP Business Transformation Study | Consumer Products | Tirumala Milk Products
PictureCredit|Usedwithpermission.
Tirumala: Tightening Control and
Making Every Drop of Milk Count
with the SAP® ERP Application
From sachet milk to butter, ghee, and other products, Tirumala Milk Products provides
Indian families with the very best in dairy. At the same time, it must maintain strong ties
with vendors and farmers while ensuring the best quality and without wasting a single
drop of milk in the process. To do this, it turned to Zensar Technologies and SAP.
With the SAP® ERP application, Tirumala now has better vendor management, fast and
accurate payments to farmers, and accurate monitoring of finished stock. Centralized
data can be managed and accessed online, helping improve loyalty programs and track
price changes. The result has been significant time savings in reconciliation processes
and better visibility into costs. Also, user activities can be closely monitored for tighter
governance and security. That means better business practices overall and more
delicious dairy products for consumers to enjoy.
©
2014SAPSEoranSAPaffiliatecompany.Allrightsreserved.

2. SAP Business Transformation Study | Consumer Products | Tirumala Milk Products
Executive overview
Top objectives
• Improve control over inventory, assets, products, sales, and financials
• Improve relations with vendors and farmers
Resolution
Worked with Zensar to implement and customize the SAP® ERP application
over a period of five months and within budget
Key benefits
• Complete and effective management of over 20,000 vendors
• Accurate data updates and payments to farmers
• Better monitoring and safer maintenance of stock
• Individual product costing, data on packing material consumption, tracking
of tanker movement, and daily loss-gain reporting
• Online access to sales, profit and loss, and tax data
• Management of customer loyalty programs based on sales volumes
• Auditing of price changes and default payments
• Secondary transport payment calculations, including fuel costs
• Significant time savings on reconciliation across regions
• Activity monitoring for greater governance and user-role segregation
Company
Tirumala Milk Products (P) Ltd.
Headquarters
Hyderabad, Telangana, India
Industry
Consumer products
Products and Services
Dairy products
Employees
Almost 5,500
Revenue
Rs 15 billion (US$246.3 million)
Web Site
tirumalamilkproducts.com
Partner
Zensar Technologies
www.zensar.com
“We wanted to implement best practices across our dairy units and
centralize data for greater efficiency in our processes, regardless of
geographic spread. With SAP ERP, we have the flexibility to connect
across all business locations and processes and have been able to
meet all organizational requirements.”
Mr. ER Sajeesh, IT Head, Tirumala Milk Products (P) Ltd.
BUSINESS TRANSFORMATION TOP BENEFITS ACHIEVED
90%
Visibility of live data
feeds, compared to 0%
visibility into online data
before implementing
SAP ERP
14 days
Reduction in time
needed to complete
monthly financial closing
(was completed on the
20th day of the month
and is now completed on
the 6th day)
100%
Milk procurement
vendors paid through
online transactions
©
2014 SAP SE or an SAP affiliate company. All rights reserved.

3. ©
2014 SAP SE or an SAP affiliate company. All rights reserved.
No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or
an SAP affiliate company.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of
SAP SE (or an SAP affiliate company) in Germany and other countries. Please see http://www.sap.com/corporate-
en/legal/copyright/index.epx#trademark for additional trademark information and notices. Some software products marketed by SAP
SE and its distributors contain proprietary software components of other software vendors.
National product specifications may vary.
These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty
of any kind, and SAP SE or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only
warranties for SAP SE or SAP affiliate company products and services are those that are set forth in the express warranty statements
accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty.
In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any
related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP
SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all
subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in
this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking
statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers
are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not
be relied upon in making purchasing decisions.