TOKYO, Nov. 12, 2021 /PRNewswire/ -- Oracle Corporation
Japan announced that it is helping Honda Motor improve the
efficiency of its procurement for operations in Japan with Oracle Fusion Cloud Enterprise
Resource Planning (ERP), optimizing the procurement cost of
indirect materials.
Honda and its group companies are adopting Oracle Fusion
Cloud Procurement, part of Oracle Cloud ERP, to consolidate
purchasing of indirect materials for their operations in
Japan. Previously, each company
managed its own procurement systems and processes.
Standardizing on Oracle's cloud procurement system enables Honda
to adopt the latest best practices, and centrally analyze data for
the efficient use of corporate resources. This will enable better
planning for future procurement strategies and increase agility to
respond to changing external factors and minimize additional
costs.
In line with Honda's 2030 Vision to serve people worldwide with
the joy of expanding their life's potential, Honda is engaging in
new business areas while solidifying its existing businesses, which
form its foundation. As part of these efforts, Honda has
decided to reform its procurement operations for indirect materials
in Japan to optimize costs and
improve operational efficiency within its group companies.
"By utilizing Oracle Cloud Procurement, we aim to improve the
efficiency of our indirect material operations, optimize costs and
shift to higher value-added operations," says Nobuyuki Hattori, General Project Manager,
Interdepartmental Projects, Honda Motor Co., Ltd. "We also
appreciate that it is a SaaS application that enables us to
comprehensively analyze spending of combined data from group
companies, is always updated with the latest technology, and can be
used in remote and paperless environments. We will continue to
promote efforts to optimize our overall procurement
operations."
Honda plans to embrace the standard features of Oracle Cloud
Procurement, organized by purchase request, quotation request,
price determination, ordering, and payment. In the future, the
company will accumulate reasons for selecting suppliers and
transaction data in the system to strengthen data-driven analysis
for forecasting management and optimal supplier selection. Oracle
Fusion Cloud Applications' Oracle Guided Learning feature will
help employees with step-by-step workflows that Honda's 4,000
indirect materials suppliers and 25,000 employees will follow.
"The automotive industry is rapidly developing new technologies
such as next-generation vehicles and the use of renewable energy,"
said Toshimitsu Misawa, Member of
the Board, Corporate Executive Officer, President, Oracle
Corporation Japan. "With Oracle Cloud ERP, Honda Group will benefit
from self-updating platform that provides new procurement
capabilities every 90 days, giving it the ability to build,
innovate, automate, and adapt on-demand. We expect Oracle Cloud
Procurement will support the sustainable growth of the Honda
Group."
"The past 18 months has propelled the procurement function to
the front lines of business, and supply chain risks have been
elevated to a board-level concern," said Tom Anthony, Vice President, Procurement Product
Strategy, Oracle. "Oracle Cloud Procurement will enable Honda Group
to simplify supplier management and enforce compliant spending to
minimize supply chain risk and streamline indirect purchasing."
Reference links
•Honda Motor:
https://global.honda/
•Oracle Fusion Cloud Procurement:
https://www.oracle.com/erp/procurement-cloud/
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SOURCE Oracle