Kolon Benit to Combine SAP and In-House Solutions, Expand ESG Integrated Management Business
TECHWORLD ·
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Kolon Benit said on the 3rd that it plans to expand its ESG integrated management system implementation business.
The combination target is SAP Sustainability solutions and its in-house ESG supply chain due diligence solution, and the implementation business is based on SAP SCT and SFM.
Kolon Benit plans to build on its SAP S/4HANA and SAP SuccessFactors implementation experience to improve ESG data integration and respond to supply chain due diligence, while also expanding into SAP Group Reporting and SAP Green Ledger.
Kolon Benit said on the 3rd that it plans to expand its ESG integrated management system implementation business. The combination target is SAP Sustainability solutions and its in-house ESG supply chain due diligence solution. The implementation business is based on SAP SCT (Sustainability Control Tower) and SFM (Sustainability Footprint Management).
The expanded initiative comes as demand is growing in South Korea for companies to introduce integrated ESG data management systems ahead of mandatory ESG disclosure. Among companies, the need to manage ESG data in an integrated way is increasing as related rules become more concrete.
The government finalized its ESG disclosure roadmap in July and included a plan to require listed companies above a certain size to incorporate ESG information into their business reports. It has also begun work on legislation to revise the relevant Capital Markets Act.
Accordingly, from 2028 (FY2027), Kospi-listed companies with more than KRW 10 trillion in consolidated assets will be required to disclose ESG information, including that of their subsidiaries, and the scope of companies subject to the rule is expected to expand gradually afterward. The disclosure range will also expand to Scope 3 greenhouse gas emissions from suppliers and other points in the supply chain, increasing the need for companies to systematically manage not only internal ESG data but also supply chain ESG data.
To strengthen its ESG response, Kolon Benit is expanding its ESG integrated management system implementation business based on SAP Sustainability solutions. Through SAP SCT, it integrates fragmented internal ESG data and supports disclosure and regulatory compliance. With SAP SFM, it supports both enterprise-level and product-level carbon footprint calculations using raw material and parts data.
Kolon Benit has carried out numerous SAP S/4HANA(ERP) implementation projects and SAP SuccessFactors(HR) implementation projects. Based on this, it has experience building systems that accumulate ESG source data and has secured data integration capabilities as well. In ESG system implementation, securing and linking source data takes the most time and cost, so Kolon Benit plans to leverage the competitiveness of that experience based on its direct experience in building and operating ERP and HR systems.
Kolon Benit has also developed its own solution for responding to supply chain due diligence. The Kolon Benit ESG supply chain due diligence solution includes functions for supporting partner ESG management level assessments, ESG rating evaluations, vulnerability analysis, identification of improvement tasks, and execution management.
Through this solution, Kolon Benit is building a workflow that supports everything from partner assessments to improvement execution management, and it said it also supports efforts to raise ESG standards across the supply chain.
Kolon Benit plans to implement its in-house supply chain due diligence solution in the BTP (Business Technology Platform) environment. The solution covers the entire process from collecting ESG source data and calculating emissions to disclosure reporting and supply chain management, and it operates on a single-platform basis.
Kolon Benit also has in-house capabilities in consolidation accounting and business planning solutions, and based on those capabilities it plans to expand the scope of implementation to SAP Sustainability solutions. The expansion targets are SAP Group Reporting for ESG consolidated disclosure and SAP Green Ledger for carbon accounting.
Jeong Ju-young, an executive director at Kolon Benit, said that the key to success or failure in ESG system implementation lies not in the type of solution but in the precise integration of distributed data. He added that the company intends to support customers' response to ESG disclosure requirements based on its broad ERP and HR implementation experience and technological capabilities.
Source: TECHWORLD · Park Kyu-chan
Original: https://www.epnc.co.kr/news/articleView.html?idxno=406484
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Source: TECHWORLD
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