Oracle Customer Success — Jiangxi Isuzu Motors Co., Ltd.

Jiangxi Isuzu Motors Co., Ltd.

Jiangxi Isuzu Triples Year-on-Year Sales with Oracle Engineered Systems

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Running Oracle E-Business Suite Release 12.2 on high-performing and scalable Oracle Engineered Systems tripled our year-over-year auto sales growth, reduced our total cost of ownership by 20%, and cut inventory costs. The integrated ERP platform also enhanced our price advantage and increased agility.

— Zhu Qiongpeng, CIO, Jiangxi Isuzu Motors Co., Ltd.

Jiangxi Isuzu Triples Year-over-Year Sales, Reduces Ownership Costs by 20%, and Gains Competitive Price Advantage with Oracle

Jiangxi Isuzu Motors Co., Ltd. (Jiangxi Isuzu) is a joint venture company between Isuzu Motors Ltd. and Jiangling Motors Co., Group. It specializes in manufacturing and selling diesel engine vehicles—including light trucks and SUVs—and high-end pickup trucks.

To achieve its target of launching pickup trucks and SUVs two years after its inception in 2013, Jiangxi Isuzu needed to deploy an engineered system to improve the performance of its ERP system and enhance brand and product advantages in China’s diesel engine vehicle market.
 

 
Challenges
  • Support business growth by deploying the existing Oracle E-Business Suite on engineered systems to improve automotive manufacturing efficiency and meet vehicle production targets
  • Reduce the automotive manufacturer’s total cost of ownership (TCO)—including hardware purchase and system maintenance costs—by working with a single vendor to implement an integrated IT platform
  • Cut inventory and purchasing costs and boost competitive advantage by gaining insight into automotive manufacturing operations
  • Streamline collaboration between multiple business functions—such as finance, purchasing, and logistics—to boost overall production management efficiency
Results
  • Minimized inventory cost by using Oracle Inventory Management to reduce holding cost and provide real-time visibility into thousands of different models for auto parts and vehicles
  • Achieved competitive price advantage by using Oracle Order Management and Oracle Project Costing’s powerful price and cost management capabilities to analyze the costs of vehicles with different configurations, such as varying production conditions and part prices
  • Increased business agility across the entire supply chain process—from parts purchase to auto assembly, logistics, and transportation—by synchronizing the production of latest pickup trucks and SUVs models with Oracle Advanced Supply Chain Planning and Oracle Purchasing
  • Complied with International Financial Reporting Standards by standardizing and normalizing financial reports with Oracle Financials and meeting internal control and financial information disclosure requirements imposed by Chinese and Japanese investors
  • Improved vehicle manufacturing efficiency by integrating the core functions of Oracle E-Business Suite Release 12.2, including financials, discrete manufacturing, supply chain, and inventory, into a single platform and enhancing team collaboration
  • Enabled timely delivery of best-selling SUVs by providing real-time visibility into work-order status and standardizing bills of materials to enhance production control, thanks to Oracle Discrete Manufacturing
  • Ensured continuous manufacturing operations by eliminating single point of failure with Oracle Real Application Clusters and reducing system downtime

 

By deploying Oracle E-Business Suite Release 12.2 on Oracle Exadata and Oracle Exalogic, we were confident that the integrated platform could support our rapid growth. Oracle E-Business Suiteā€™s powerful financial and manufacturing management modules also helped to ensure production efficiency.

— Zhu Qiongpeng, CIO, Jiangxi Isuzu Motors Co., Ltd.

Execution

Jiangxi Isuzu began planning and building an integrated ERP platform to improve production management efficiency in 2013. It implemented Oracle Exadata and Oracle Exalogic to increase the processing capacity of Oracle E-Business Suite Release 12.2. Jiangxi Isuzu successfully completed the project in less than 12 months.
 


About Jiangxi Isuzu Motors Co., Ltd.

Headquarters

 
Jiangxi, China

Employees

 
3,000

Founded in 2013, Jiangxi Isuzu Motors Co., Ltd. (Jiangxi Isuzu) is a 50/50 joint venture between Isuzu Motors, Ltd.—a major global commercial vehicle and diesel engine producer—and Jiangling Motors Co., Group—a leading Chinese light work vehicle manufacturer with 32 subsidiaries. Recognized as an international expert in diesel engines for nearly 80 years, Jiangxi Isuzu sells it vehicles to over 100 countries and ensures a comfortable lifestyle for its customers.

Published:  Jan 20, 2017