Semiconductor chips, as the heart of the digital economy, have become the cornerstone of modern industrial development. On a global scale, countries and regions are tirelessly increasing investment in the semiconductor industry to enhance their technological level and market competitiveness. Especially in China, the government has launched a series of industrial development policies aimed at accelerating the growth and innovation of the domestic semiconductor industry.
With the vigorous development of cutting-edge technologies such as artificial intelligence, the semiconductor industry is ushering in a spring of digital transformation. To help semiconductor industry chain enterprises better respond to challenges and seize opportunities, we have specially written the following “Digital Transformation White Paper for the Semiconductor IC Industry“.
The purpose of this white paper is to conduct an in-depth analysis of the digital transformation of the semiconductor IC industry, explore its impact on global economic and technological development, and provide practical guidance and suggestions for industry enterprises in responding to current challenges and seizing future opportunities.
As a pure cloud SAP partner, Acloudear Network provides numerous digital solutions around SAP digitization for many enterprises in the semiconductor IC industry, including IC design, wafer manufacturing, packaging and testing, and sales.
Successfully served well-known domestic semiconductor IC companies such as GPIXEL, SMEE, UNIOC, GIGADEVICE, HDSC, YUNSILICON, etc., and achieved customized digital solutions according to their demands.
We are based on a deep understanding of customer needs, combined with a cost controllable and fast implementation methodology, and carry out joint innovation with customers through flexible and easy to expand selection solutions. We combine theory with practice, hoping to help enterprise customers improve their digital competitiveness and continuously create value!
In today’s increasingly digitized global economy, the digital transformation of the semiconductor IC industry has become a key driving force for industry development. This digital trend is not only a catalyst for continuous innovation in the industry, but also a necessary path for enterprises to enhance their core competitiveness and ensure sustainable development in fierce market competition.
How to seize current opportunities and win future competition?
This white paper mainly proposes three major transformation ideas
Making value creation and investment return the core requirements of the enterprise, focusing on creating differentiated products and efficient operational management systems
Taking IC design as an example, there are currently 2000 IC design companies of all sizes in China, with long chip development cycles, high investment, and high risks. How to win the race of time and create differentiated products and efficient operational management systems has become the key. On the other hand, some large downstream manufacturing companies are attempting to build ecosystems, mergers and acquisitions, and internationalization. These strategic measures also need to be more accurately implemented to achieve expected returns.
Innovation comes first
In promoting the application of new technologies, transitioning from trying to quickly switch to a new normal of systematic promotion
Since the beginning of the information age, the semiconductor industry has been the enabler and carrier of new products and technologies, and in the future, it should become the most widely used user of new technologies. With the promotion of the digital wave, business leaders should abandon the inherent mindset of only valuing product technology and neglecting the application of technology in business and management. In promoting the application of new technologies (AI, AR/VR, Blockchain, digital twins, etc.), we are transitioning from trying to quickly switch to a new normal of systematic promotion.
Emphasize experience management
Improving user experience while also valuing employee experience
In the era of personalized design, how to provide customers with high-quality products and brand experiences has become a compulsory course for enterprises. Thanks to the support of data and AI analysis capabilities, the experience has evolved from a vague subjective concept to one that can be improved through management methods. Faced with the demand for personalized and fragmented chips, experience management is not only the responsibility of terminal manufacturers, but also a powerful tool for semiconductor companies to compete in differentiation.
Semiconductor IC companies must plan ahead in order to stand out in the constantly fluctuating external environment, market, and fierce industry competition.
Regarding the end-to-end value map of the semiconductor IC industry, we comprehensively examine today’s and future business scenarios from multiple perspectives of IC design, wafer manufacturing, packaging and testing, materials and equipment providers, and define the direction of digital driven semiconductor enterprise business transformation from the following five aspects:
● R&D end (IC design company): Shorten the time to market and mass production of new products
● Manufacturing end (wafer manufacturing/FAB, packaging testing): Efficient manufacturing based on the pursuit of high product quality
● Business and finance end: improving the return on financial investment
● Customer Relationship and Talent Management: Improving the Experience and Satisfaction of Customers and Employees
● Strategic layer: Agile strategy adapted to the global market
Considering the business characteristics of semiconductor IC enterprises in different industry chains, as well as the different stages and development strategies of their own digitalization process, Acloudear can provide digital strategic consulting and planning for semiconductor IC enterprises, as well as a one-stop solution package based on industry best practices to support business transformation.
Enterprises can obtain cost-effective services and tools centered on cloud ERP without the need for early investment, quickly realizing transformation value.
1 SAP Cloud ERP Solution for Semiconductor IC Industry
The SAP Cloud ERP solution has a comprehensive range of functions, covering various fields such as accounting, finance, procurement, inventory, sales, customer relations, as well as reporting and analysis. Growth enterprises only need this solution to comprehensively manage the entire enterprise. Including SAP S/4HANA Cloud: an intelligent cloud ERP that helps enterprises build a core platform that adapts to the digital economy.
2 Acloudear Semiconductor Industry Digital Transformation Solution Package
①SAP S/4HANA Cloud+SAP Customer Experience Electronic Distribution Industry Solution Package
Equipped with SAP S/4HANA Cloud and SAP Customer Experience, we have established a comprehensive management platform that integrates sales, procurement, customer, distributor relationship management, finance, and management accounting. It supports multiple business forms of multiple companies and organizations, order splitting and consolidation, flexible pricing management mode, outsourcing process, triangle trade, tariffs, electronic invoice processing, etc., to meet the needs of business and finance integration and improve enterprise operational efficiency.
● Quick implementation: 550 person days online; Cost control;
● Flexible Expansion: Rich Add on optional solutions;
● Joint Innovation: Creating Exclusive Cloud Services and Settling Industry Solutions
② SAP Customer Experience chip design industry solution package
It is recommended to integrate SAP Customer Experience and Sixiang Dealer Portal solutions to help enterprises quickly build an end-to-end digital marketing system that integrates information reporting, sales forecasting, direct sales/distribution sales processes, order and shipment tracking. The former perfectly supports the control of various links in the sales process through customer management, product management, competitor management, project opportunity management, order management, sales forecasting, etc.
The latter satisfies the complex and frequent interaction between internal operations, sales management, and dealer management through basic dealer information, performance evaluation, business opportunity reporting, price application, order management, commission, etc., greatly improving management efficiency. At the same time, this solution supports integration with ERP, OA, BI, and other systems through CPI.
● Based on SAP best business practices, quickly go live within 16-24 weeks;
● Rich Add on options for flexible expansion;
● Provide collaborative innovation to create exclusive cloud services for customers
③ Acloudear Extension Integration Solution Package
This solution package is built on top of the SAP Business Technology Platform and is ready to use out of the box. It comes with pre built configurable templates, so you don’t have to worry about SAP’s standard API not meeting business needs, nor do you have to worry about your own CPI knowledge reserves. Let Acloudear enjoy the network, and you can easily integrate and integrate SAP’s multiple cloud products, third-party systems, and SAP’s cloud solution with our innovative solution!
In addition to digital practice guidelines and strategies, this white paper also delves into successful digital cases in the semiconductor IC industry: GPIXEL, SMEE, UNIOC, and GIGADEVICE. These four companies represent different business models for design and manufacturing, pure chip design, and chip equipment manufacturing and sales, which can be used for reference.
The Acloudear Semiconductor IC Industry Digital Transformation White Paper provides a detailed interpretation of the challenges, opportunities, and future trends in the semiconductor IC industry, as well as in-depth exploration of digital strategies and solutions, sharing of successful cases, and practical implementation. It helps semiconductor IC industry enterprises seize digital opportunities and enhance their core competitiveness!
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This article "Acloudear’s White Paper on Digital Transformation in the Semiconductor IC Industry Released" by AcloudEAR. We focus on business applications such as cloud ERP.
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