Home Tech CEO Weekends: SAP Helps Kenya Ports Authority Save Millions with Automation

CEO Weekends: SAP Helps Kenya Ports Authority Save Millions with Automation

by Caroline Vutagwa
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Since 2002, SAP has helped the KPA to become a world-class sea port of choice by enabling them to consolidate its business processes and streamline its supply chain into one holistic and online system.

Growth of The Kenya Ports Authority (KPA) for in 12 years has been quite impressive. Traffic through the port of Mombasa, East and Central Africa’s main maritime gateway, has received an increment per annum by 7.4 percent. In 2000, KPA realized traffic of 9.126 million tons moving through the port, and this increased significantly to 19.953 million and 21.920 million tons in 2011 and 2012 respectively.

KPA has implemented SAP Financial Supply Chain Management (SAP FSCM) software, SAP Supplier Relationship Management (SAP SRM) software, SAP Employee and Manager Self-Service software. This is the first SAP FSCM and SRM implementation in East Africa.

“Previously, we used to experience serious stumbling blocks like lost revenue and mismanaged customer disputes due to the outdated manual systems with which we used to work. With SAP’s help, we installed a first-class financial supply chain management system and brought everything online. Through this process, we have recovered over 210 million Kenyan Shillings in unpaid credit, which equates to 2.5 million US dollars,” says Catherine Wairi, Chief Financial Officer at KPA.

Other benefits that came along include improved employee data accuracy as staff members are able to transparently view their own data, informed decision-making as reports became more easily accessible, quicker completion of processes, and improved traceability and visibility in tendering processes.

“The first benefit of partnering with SAP manifested itself during the very first week we went live, where the average weekly cash collections went up by more than 35%. The transparency that has come with the implementation in the dispute and credit management processes has also brought us strictly in line with all vital compliance issues,” continued Wairi.

“This East African success story clearly demonstrates how SAP software helps forward-looking businesses remain ahead of the game. We look forward to the future growth of this partnership in making Kenya the primary gateway into the region,” said Pfungwa Serima, CEO SAP Africa.

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