Press Release
Dallas, Dec. 21, 2015 – Hitachi Consulting, a subsidiary of Hitachi, Ltd (TSE: 6501) and a leading provider of IT consulting and management consulting solutions and services, today announced an agreement with SAP (NYSE: SAP) to deliver a fully integrated Hitachi Consulting Enterprise Cloud for SAP for Industrial Machinery & Components (SAP for IM&C) solutions. Hitachi Consulting will offer an affordable, ready-to-use, subscription-based offering of SAP® solutions in its private hosted cloud, helping IM&C companies to access SAP software quickly and easily without the need for up-front infrastructure costs associated with on-premises software deployments.
The subscription-based Hitachi Consulting Enterprise Cloud for SAP for IM&C can reduce the total cost of ownership by as much as 25% compared to full on-site implementation, and eliminate traditional IT overhead and up-front perpetual licensing costs.
"Hitachi Consulting Enterprise Cloud solution for discrete manufacturing allows us to help companies across multiple industries realize the potential of SAP applications in a simple, modular, easily accessible environment," said Michael Driessen, senior vice president at Hitachi Consulting. "With our new solution geared specifically for discrete manufacturing, companies with the most intricate processes and fulfillment needs are now able to capture the operational benefits of SAP software in the cloud."
Through the Enterprise Cloud Framework, Hitachi Consulting will provide customers with a cost-effective, on-demand, cloud-based delivery model of their SAP software solutions. This capability is designed to bundle a company’s entire IT environment (whether on-premises or software as a service), their applications, integration to third-party systems, as well as managed services – as a single package – for one monthly price.
"Organizations running SAP software can now purchase the infrastructure, software, deployment and management services, and ancillary solutions as a bundle from one source by way of subscription-based pricing," said Jim Cole, Hitachi Consulting senior vice president, Cloud Solutions. "We plan to deliver standardized modular offerings – think of them as building blocks – with fixed pricing. Think ‘small, medium and large offerings’ with the ability to tailor to each company’s unique needs."
The Hitachi Consulting Enterprise Cloud for SAP for IM&C is built on the Enterprise Cloud Framework, specifically designed for SAP applications and tailored to address the complexities of various industries. With more than 100 industry-specific scenarios spanning finance, accounting, manufacturing, sales, distribution and more, the solution is equipped for the unique challenges of dynamic, discrete manufacturing industries including automotive, aerospace and defense, and industrial machinery components. Key business capabilities of the Hitachi Consulting Enterprise Cloud for SAP for IM&C include:
- Inventory and forecasting control – Decrease overhead and forecast material needs in a shifting environment
- Production and process control – Increase agility of processes and production, vital in discrete manufacturing
- Product development – Enable integrated R&D management and product development processes
- Procurement – Automate and streamline procurement processes
- Supply chain management – Help ensure synchronized demand and supply and avoid out-of-stock situations
- Manufacturing – Plan and execute both discrete and batch or process manufacturing
- Environmental, health & safety – Support environmental, occupational and product safety processes, regulatory compliance and corporate responsibility requirements
- Sales and service – Streamline, automate and integrate sales processes; manage complaints and material returns
- Quality management and compliance – Manage and document product quality; support financial and regulatory compliance
- Corporate services – Support critical business functions
"SAP is pleased with its partnership with Hitachi Consulting as an easy, ‘one stop’ cloud opportunity for customers," said Luis Verdi, senior vice president, global head of OEM & Partner Managed Cloud, SAP. "The Hitachi Enterprise Cloud Framework delivers an integration solution across hardware, software, IT and business services. What’s exciting is that an SAP product can become the pillar of a company’s on-demand success in their market."
Hitachi Consulting has helped move large SAP systems successfully to the cloud, and hosts and manages mission-critical SAP cloud applications for some of the world’s largest enterprises. The Hitachi Consulting Enterprise Cloud Framework puts Hitachi Consulting firmly at the center of an enabling environment that helps every company become a "clickable enterprise" – nimble, fast-moving organizations with their entire IT applications portfolio, whether SaaS or on-premises applications, or both, being managed and delivered through the cloud.
About Hitachi Consulting Corporation
Hitachi Consulting is the global management consulting and IT services business of Hitachi Ltd., a global technology leader and a catalyst of sustainable societal change. In that same spirit – and building on its technology heritage – Hitachi Consulting is a catalyst for positive business change, propelling companies ahead by enabling superior operational performance. Working within their existing processes and focusing on targeted functional challenges, we help our clients respond to dynamic global change with insight and agility. Our unique approach delivers measurable, sustainable business results and a better consulting experience.
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About Hitachi, Ltd.
Hitachi, Ltd. (TSE: 6501), headquartered in Tokyo, Japan, delivers innovations that answer society’s challenges with our talented team and proven experience in global markets. The company’s consolidated revenues for fiscal 2013 (ended March 31, 2014) totaled 9,616 billion yen ($93.4 billion). Hitachi is focusing more than ever on the Social Innovation Business, which includes infrastructure systems, information & telecommunication systems, power systems, construction machinery, high functional materials & components, automotive systems, healthcare and others. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.
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