SAP on AWS: How UCT is saving over 60% in Infrastructure costs

Leading manufacturing provider deploys SAP S/4HANA on cloud in quest for a robust, global and scalable ERP system 

Business Case

Ultra Clean Holdings (UCT) is a global contract manufacturing firm and a leader in designing and engineering critical subsystems and turnkey solutions using ultraclean manufacturing techniques, specializing in the semiconductor equipment industry. UCT is dedicated to providing its customers with seamless product introductions, efficient transitions to full production, and high-quality delivery performance

As Ultra Clean Holdings expanded their operations, their legacy operating system could no longer handle the capacity required to handle peak demand. They were using a ten-year-old Infor VISUAL system, and were overdue for an upgrade to a Tier 1 ERP system. UCT also had been through multiple mergers and acquisitions and had to contend with multiple ERP systems and infrastructures that they were having difficulty managing. Furthermore, these systems were geographically dispersed making it even more difficult for the company to standardize and simplify their environments.

Initially, they considered upgrading their existing solution by adding more hardware, but after analyzing the cost to benefit ratio they determined that this was not a good choice for them. For instance, the legacy system lacked a consolidated, centralized database, that created several data silos that made it impractical to upgrade. Additionally, poor performance was causing users to request that they do something to fix the situation. UCT decided that they needed to partner with an organization that could provide the guidance and expertise they lacked to implement and manage SAP applications.

Solution

Ultra Clean Holdings evaluated various AWS Partner Network Consulting partners with expertise in SAP deployments on AWS based on their specific needs. They conducted interviews with existing AWS customers and the decision came down to TCO, how quickly they could complete the process, and how much experience they had with SAP architectures. The clear choice was Mactores, as they were able to help quickly design and manage the new SAP architecture on AWS, specifically for SAP S/4HANA. Mactores also provided a clear consultation plan that would help UCT standardize, centralize, and understand their processes and databases, all things they were struggling to achieve

They conducted an assessment that took roughly four months, and formulated a plan on how to develop a new environment around their needs. Once a plan was in place, Mactores began developing the architecture in which UCT’s new SAP workloads would live. This new architecture gave UCT a centralized management system that would allow them to easily standardize and control their globally distributed environments. The creation of the architecture took about three months, with the approval process going through iterations to ensure it met all the requirements,

Business Outcome

With their new SAP environment on AWS, Ultra Clean Holdings will reduce their TCO by approximately 60%, but they predict they will be able to cut costs even further once they fully understand their requirements and can make the switch from on-demand to Reserved Amazon Elastic Compute Cloud (Amazon EC2) Instances. UCT currently has 1400-2000 users leveraging SAP applications at any given time. Since migrating, 90% of their business worldwide is conducted through SAP, with the organization leveraging nearly all SAP applications deployed. Since partnering with Mactores, UCT has been able to standardize, simplify, and understand their operations environment. Mactores is assisting with an intelligent documentation project, going through UCT’s processes to simplify and optimize them.

Prior to migration, UCT’s global databases were not connected, meaning they had to log off one to log onto another. Since adopting their new architecture designed by Mactores, this is no longer a problem and the IT team at UCT can operate more efficiently.

UCT has also benefited from Mactores’s accessibility and willingness to help on an ongoing basis. Since the beginning of their engagement, UCT has been able to reach out to Mactores with any issue, even if it required leadership and the executive team for resolution.

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