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Connected Agribusiness – how digitization transforms agribusiness from farm to fork Harald Schlueter, Chief Solution Architect, SAP SE

Berlin, 22. März 2018

2 PUBLIC © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

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Trends in the agribusiness industry

Source: Food and Agriculture Organization (FAO) of the United Nations

The food supply chain’s banquet of risks: Product recalls,

quality issues, tougher regulations, new industry standards,

rising costs: The industry must adopt a “culture of quality”.

To meet these challenges, farmers, agribusinesses and food

companies are turning to digitization to enable the next

agribusiness and food supply chain revolution.

Source: The Supply Chain Brain

Until 2050 worldwide agricultural output needs to double to

feed the growing population and to meet the demand for

higher-value foods.

New opportunities from changing demand: Consumers are

increasingly willing to pay a premium for ensured food

traceability, and certified food quality and safety. Source: European Federation of Food Science and Technology

Run Simple

At SAP, we did not invent the digital economy, but we

unquestionably understand where it’s going... It is

time to simplify, time to innovate and time to

leverage digital connectivity. Bill McDermott, SAP CEO

http://discover.sap.com/hana/index.html?source=social-glo-slideshare-saplogo

http://discover.sap.com/runsimple?source=social-glo-slideshare-categories

http://discover.sap.com/hana/index.html?source=social-glo-slideshare-saplogo


The Bi-Modal Architecture of the Modern Enterprise A Digital Core and a Digital Innovation System

Mode 1: Digital Core

SAP S/4HANA SAP Hybris

SAP SuccessFactors

Concur

SAP Fieldglass

SAP Ariba

Mode 2: Digital Innovation

SAP Leonardo IoT

Machine Learning

Big data

Modern Analytics

Blockchain

Data intelligence

SAP HANA SAP Cloud Platform

Business Intelligence

Connect all parts of

your business to

run live with

S/4HANA

Tailor, Integrate &

Expand

the Core with SAP

Cloud Platform


Food

Manufacturing

and Packaging

Retail Provision of Input Consumer Origination and

Trading

Commodity

Processing

Agricultural

Production and

Farming

Grain mills, oil mills,

sugar refineries, ethanol

processing plants

Farm

equipment

Animal

feed

Seed, fertilizer, and crop

protection

Agri trading

companies

(soft commodities)

and cooperatives

Soft commodities:

Grain, coffee, cocoa,

sugarcane, oilseeds

Meat

(pigs, cattle, poultry),

fish and dairy products

Livestock trading

companies and

cooperatives

Slaughtering,

milk processing

Breeding, medicine,

nutritional

supplements, farm

equipment

Liv

esto

ck

Cro

ps

Farm to Consumer Agribusiness Value Chain


SAP industry specific Solutions and Innovations for Agribusinesses span

across the agribusiness value chain. They are supporting five key themes.

Food

Manufacturing

and Packaging

Retail Provision of Input Consumer Origination and

Trading

Commodity

Processing

Agricultural

Production and

Farming

Transparent and Sustainable Food Supply Chain

Efficient and sustainable

farming

Commodity Origination

and Trading

Efficient and sustainable meat management

Efficient and sustainable

dairy management


System of Innovation: Digital Agriculture Platform

Digital

Agriculture

Platform

Analytics &

Insights

Layer

Machine

IoT

data

Sensor

data

Aerial/

satellite

images

Farm Mgt.

Process

Layer

Data

Layer

System of Innovation

Data from

System of

Record

SAP Analytics Cloud

SAP Digital Boardroom

SAP Predictive Analytics

SAP Leonardo Machine

Learning Foundation

SAP Connected

Agriculture

SAP Cloud Platform

SAP Leonardo IoT

SAP Spatial Suite*

SAP Data Hub

*Planned solution – delivery date tbc


Partner example Pessl Instruments: weather station data integration


Integration of Machine Data – Customer Example: Stara


Proof of Concept: Individual Oil Palm Tree detection & Health analysis Featuring Machine Learning and Image Analysis

apply the neural network, processing images

shows likelihood of two classes

• palm center

• no palm center

• training set: ~400 palms, ~400 no

palms

• test set: ~100 palms, ~100 no palms

• retrain

1. Train Neural Network 2. Detect trees applying Neural Network 3. Digital Twin

Apply for optimized business operations

• Digital Twin in SAP Connected Agriculture

with relevant attributes like size, green ration,

NDVI, …

• Select attribute and analyze area, drill into details & analyze tree, view all attributes per tree

• Use Case: Illness probability


Farm-to-Consumer: Business Network Approach

Farmer/ Raw

material

supplier

Food Value

Chain

Intermediaries

Carriers/ 3PL Consumers Government

Consumer

Products

Companies

Retailers

SAP Global Track and Trace

augmented by Blockchain


Co-Innovation

SAP und Maschinenring:

Erwin Ballis, Geschäftsführer des

Bundesverbands der Maschinenringe:

„Wir sind eine landwirtschaftliche

Selbsthilfeorganisation. Die Landwirte haben

uns gegründet, damit wir ihnen bei der

wirtschaftlichen Nutzung der Maschinen helfen,

jetzt helfen wir ihnen bei der Digitalisierung. Mit

intelligent genutzten Daten werden wir künftig

effizienter arbeiten können, was die

Zukunftsfähigkeit unserer Mitgliedsbetriebe

sichert. Wir sind angetreten, damit der

einzelne Landwirt unabhängig und effizient

arbeiten kann. Und das gilt genauso in einer

digitalisierten Landwirtschaft. Mit SAP haben

wir jetzt einen Partner an der Seite, der die

Erfahrung und das nötige Know-how mitbringt.“

Thank you.

Harald Schlueter

SAP SE

T +49 6227 7-45835

M +49 160 90 432 809

E [email protected]

Chief Solution Architect

SAP Solutions for Agribusiness &

Commodity Management

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