S-OIL, a South Korean refiner and petrochemical producer and subsidiary of Saudi Aramco, has completed a full migration of its enterprise resource planning (ERP) system to the cloud. The project, delivered by Samsung SDS and SAP, aims to align with global group standards and improve operational efficiency. The upgrade is expected to cut annual costs by KRW 5 billion and streamline 40 business processes across its refining, lubricants, and petrochemical divisions.
Project scope and technology
S-OIL adopted SAP S/4HANA Cloud Private Edition through the RISE with SAP program, replacing its legacy on-premise ERP. Samsung SDS acted as the overall project partner, implementing a greenfield approach that rebuilt the system from scratch. The new platform serves approximately 3,500 employees across S-OIL's three core business units and its domestic and overseas subsidiaries.
Process innovation and efficiency gains
The transition has enabled 40 process innovations across 10 key business areas, including finance, logistics, production, and human resources. By integrating SAP's business intelligence tools and Fiori apps, S-OIL has increased automation levels and enabled real-time mobile task processing. The company expects annual efficiency savings of about KRW 5 billion.
HR digitalization and future AI plans
Alongside the ERP upgrade, S-OIL deployed SAP SuccessFactors to digitize the entire talent management cycle, from recruitment to performance management and learning. The company is also evaluating the introduction of SAP's AI-powered Joule copilot to further automate ERP-based tasks and enhance predictive analytics capabilities.
What buyers should watch
For overseas buyers of S-OIL's refined products, lubricants, and petrochemicals, this digital transformation signals improved supply-chain visibility, order processing speed, and inventory management. The cloud-based ERP should enable more accurate demand forecasting and faster response to market changes, potentially benefiting importers and distributors through more reliable delivery and pricing transparency.
Source: Read the original report | Published: November 12, 2025