Zespri begins next Horizon phase with NZD $3.2m in savings

Zespri has commenced the second phase of its Horizon digital transformation programme in collaboration with SAP.

The prior phase has resulted in substantial savings, including 15,000 hours in productivity enhancements, savings of NZD $2.2 million in profit and loss, and the avoidance of NZD $1 million in infrastructure costs.

The transition to a cloud-based ERP infrastructure has allowed for a seamless upgrade of its SAP S/4HANA platform, minimising the necessary resources for implementation.

The digital transformation aims to bolster Zespri's finance and supply chain processes, ensuring stability and efficiency. David Scullin, Chief Digital Officer at Zespri, emphasised the intention behind these upgrades. "Zespri's transformation is entirely focused on creating sustainable, long-term value for our kiwifruit growers by ensuring robust digital platforms enable offering consumers the world's leading portfolio of branded kiwifruit all year round," noted Scullin. He mentioned that the partnership with SAP facilitated the distribution of more than 193 million trays of kiwifruit to 51 countries, addressing the increasing global demand.

The next phase of the Horizon programme concentrates on improving decision-making through data, simplifying operations, modernising systems, and providing higher returns to the community of growers. As part of this initiative, Zespri has integrated SAP Sustainability Control Tower to monitor, report, and act on environmental, social, and governance (ESG) data within its business processes.

Zespri's ongoing digital transformation journey began in 2021. They went live with SAP S/4HANA Cloud and SAP Integrated Business Planning in 2022. Enhancements included capabilities like SAP Analytics Cloud, SAP Integration Suite, and SAP Extension Suite. They also incorporated endorsed partner solutions from OpenText, Tricentis, and Celonis.

On the transformative potential of these initiatives, Scullin commented, "Our Horizon transformation programme is designed to amplify and enhance our business capabilities and creating a seamless, user-friendly experience across our operations. By deepening our use of SAP RISE and S/4HANA, we've created a robust, clean core that can scale for success, fuel our data-driven ambitions, and unlock the full potential of our customer, grower, and staff ecosystem."

Zespri has also collaborated with SAP partner Clarifruit to introduce an AI-powered Quality Control software. The implementation includes a mobile app and a specialised AI engine tailored for the fruit and vegetable industry, leading to a 5% improvement in supply chain quality and efficiency and a 25% increase in inspection productivity.

Angela Colantuono, President and Managing Director of SAP Australia and New Zealand, remarked on the success of Zespri's digital overhaul. "In the same way kiwifruit growers invest in their orchards and nurture them over time to create something magical, Zespri's transformation has really shown the value of focus, innovation, and excellence in delivery," Colantuono stated.

She commended Zespri for being forward-looking and expressed anticipation for the next phase of their RISE with SAP programme, which aims to innovate and enhance sustainability while maintaining high returns for growers.