We Are Modernizing the ERP of Turkey's Largest Steel Producer

We Are Modernizing the ERP of Turkey's Largest Steel Producer

Project's Year 2021
Industry Iron and Steel
Type Consultancy
Client Erdemir

The ERP system of a giant industrial organization that has been producing continuously for decades is the daily breath of the institution. However, over the years, this system becomes heavy, accumulates technical debt, and becomes unable to keep up with new needs. For Erdemir, Turkey's first and largest flat steel producer, we step in exactly at this point as a technology partner with VBT. We develop the existing ERP infrastructure, update it with modern technologies, and expand it according to new needs. Our approach is not to build the system from scratch, but to preserve the existing structure and carry it into the future.

Featured Results

In this project, we assume a role of direct active development and product development, not just maintenance or support. We develop new modules on the ERP system, improve and restructure existing components, and expand the system according to the needs coming from business units. The core of our modernization approach is this: instead of rebuilding the system entirely, we preserve the existing structure, making it compatible with current technology standards and increasing its long-term developability. This is not a one-time delivery; it is a long-term technology partnership that continuously evolves the system according to the institution's changing needs.

Active Development and new module creation
Modernized While preserving the existing structure
Long-term Continuously evolving technology partnership

Who the Client Is and the World They Live In

Erdemir (Ereğli Demir ve Çelik Fabrikaları T.A.Ş.) is Turkey's first and largest integrated flat steel producer, manufacturing in Karadeniz Ereğli. Today, it operates under the umbrella of the OYAK group. In a heavy industry organization of this scale, ERP is the backbone through which everything operates—from production to supply, from finance to operations—and it has no tolerance for downtime. The fundamental difficulty here is the technical debt accumulated by aging technology. The system grows layer by layer over the years, and some of its parts become outdated. However, stopping it entirely and rebuilding from scratch is also impossible because that system keeps production spinning every single day. Therefore, the issue is renewing the engine of a working giant while flying it, without ever stopping it.

Cross-Cutting Concepts and Architecture

The first issue running through this entire work is managing technical debt. Technical debt is a cost that accumulates for the sake of quick solutions in the past and eventually slows down and fragile a system; this is the biggest burden of a large and old ERP. Our approach is not to try and wipe this debt out overnight, because completely rewriting a working system is both risky and unnecessary. Instead, we conduct modernization incrementally. We preserve the existing structure, making it compatible with current technology standards and improving it piece by piece. As a result, the institution gains a more sustainable, flexible, and developable system without ever stopping its production.

The second issue is continuity. The value of an ERP lies not in a single delivery, but in its ability to keep pace with the institution over time. Therefore, we designed the work not as a one-time development, but as a continuously evolving partnership. As new modules are developed, existing components are restructured, and business needs change, the system grows with them. In practical terms, this means the ERP is kept continuously updated to handle not just today's, but also future operational requirements.

How the Collaboration Began

We are involved in this work as a technology partner with VBT; we contribute directly with development power to Erdemir's ERP development and modernization needs. Our role goes beyond being a passive support line. We work as an active development team that understands the needs of the business units and expands the system according to these needs. That is why the relationship does not end with a project delivery, but transforms into an ongoing partnership as the institution's needs change.

Building Blocks of the Solution

The work progresses along several axes. On the module development side, new modules are developed on the ERP and the system is expanded according to the needs of the business units. On the improvement side, existing components are restructured and made more sustainable. On the modernization side, the existing architecture is made compatible with current technology standards without being rebuilt from scratch. And on the partnership side, this entire process is carried out with active development and engineering support that continuously evolves the system according to the institution's changing needs.

Not wiping the debt out overnight, but modernizing piece by piece, without ever stopping production.

The Impact We Created

Erdemir's ERP ceases to be a system carrying the burden of aging technology, transforming into a sustainable backbone that is modernized without ever stopping production and capable of growing according to new needs. Because the existing structure is preserved, the institution continues to operate uninterruptedly while the system is simultaneously prepared for the future. Thanks to the long-term partnership, this transformation is no longer a one-time project, but a journey that continuously advances alongside the institution's needs.

Want to modernize your working ERP without stopping it, with a long-term development partner?