Saudi Diesel Embraces Cloud-based ERP to Support Equipment & Power Generation Market


Infor®, the industry cloud company, today announced that Saudi Diesel Equipment Co. (SDEC), the Al Khobar, Saudi Arabia-based leader in diesel power generation, transportation and support equipment manufacturing, is migrating its existing deployment of Infor M3 on-premises to Infor CloudSuite Equipment, enabling it to improve and automate business processes — particularly for its remote field service workforce — raise efficiency, and boost its ability to innovate. The move to the cloud forms part of SDEC’s wider digital transformation project, Digi-Step, and will be invaluable as the company scales its operations to support strong demand for equipment, machinery, and power generators across a range of sectors in Saudi Arabia.

Mega-projects such as the new city of Neom, Medina Metro project, and Qiddiya, an entertainment zone in Riyadh, are driving demand for all types of construction solutions and accessories. Saudi Arabia’s diesel generator market is expected to register a compound annual growth rate of more than 5% from 2021 to 2026, driven by demand for uninterrupted power from a range of sectors including construction, transport, oil & gas, and retail, according to research from MarkNtel Advisors.

“To keep expanding to support our customers and Saudi Vision 2030, SDEC needed to transform its ability to manage sales, business processes and supply chain management,” said Ahmed AlKooheji, director of corporate services at SDEC. “By migrating to the cloud with Infor, we will gain agility and improve visibility across the business, enabling us to seamlessly manage multiple complex projects. This will improve outcomes for customers while enhancing the way we allocate resources. The solution also will create a solid foundation for our growth by streamlining vital business processes and allowing us to transform into a truly smart business.”

SDEC was established in 1978 and employs some 750 people. It plays a key role in supporting Saudi Arabia’s industrial and economic diversification. The company manufactures and provides general and bespoke diesel power generators, in addition to other accessories and solutions for construction, lifting, and concrete production.

SDEC had been using an on-premises version of Infor M3 as its ERP (enterprise resource planning) solution for more than 12 years, but wanted to migrate to Infor CloudSuite Equipment powered by Amazon Web Services (AWS) and expand its use of Infor solutions to reduce complexity, and increase efficiency, visibility and its ability to innovate and help future proof its business. The company will benefit from using Infor’s OS cloud operating platform while also consolidating its processes around a more comprehensive CloudSuite solution, which includes the Infor Birst business intelligence data analytics solution.

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By moving to the cloud and replacing various legacy systems from other vendors with Infor solutions, SDEC is set to simplify, automate, and gain visibility of business processes including supply chain management, production, financial management, stock taking, and after-sales service. This will transform the company’s ability to work efficiently and integrate with partners including original equipment manufacturers (OEMs) to deliver the specific solutions customers want.

This is particularly important given that SDEC has service centers and showrooms across Saudi Arabia and deals with hundreds of partners and customers. Moreover, it handles thousands of components and parts, enabling it to design, configure, build, and provide equipment tailored for the specific needs of companies operating in diverse sectors. SDEC also acts as an agent for heavy machinery and engine manufacturers, including Doosan, Everdigm, Mitsubishi and Daewoo. By automating its systems, including the way it integrates ordering systems with OEMs, SDEC will save thousands of man-hours, allowing it to allocate more resources where they are needed, such as product design and innovation.

The move to a multi-tenant cloud environment also will allow SDEC to benefit from integrating with other Infor products and continuous innovation from Infor, with software updates and upgrades taking place automatically as soon as Infor implements them, without the need to perform manual updates at set intervals.

“SDEC is also looking at future Infor innovations such as business process management and RPAs, which we believe can automate non-ERP-related systems and manual repetitive tasks, which is expected to yield more than 10% savings to our bottom line,” concludes AlKooheji.

Kerry Koutsikos, Infor VP and GM for Middle East and Africa, said: “By migrating to the cloud and replacing legacy systems with Infor, SDEC is demonstrating the power of industry-specific solutions to help organizations raise their efficiency, agility, and overall ability to serve customers and support national diversification and development plans. We look forward to continuing to support SDEC on its digital transformation journey.”