Rohto Pharmaceutical Enhances Global Operations with Microsoft Dynamics 365
Rohto Pharmaceutical Co., a prominent player in healthcare and skin care products, has recently transformed its global business framework by implementing Microsoft Dynamics 365. This integration, facilitated by Hitachi Solutions, aims to consolidate accounting and supply chain data for 30 major overseas subsidiary companies into a two-tier ERP system, dramatically improving management information visibility across its global operations.
Overview of the New ERP Structure
The new system architecture consists of a two-tier ERP configuration where the existing ERP systems of group companies constitute the first tier (Tier 1). Over this foundation, Rohto has deployed Dynamics 365 as the second tier (Tier 2). This approach minimizes operational disruptions to existing systems while effectively breaking down data silos, allowing comprehensive integration of key data from its subsidiaries around the world.
Additionally, Rohto has adopted the 'Fabric' for its business intelligence reporting infrastructure. This choice has automated the processing and integration of diverse data formats from various group companies, enabling a streamlined analysis process all on the same platform. By making these changes, Rohto projects a reduction in the time required for data collection and analysis by approximately two weeks compared to previous methods.
Challenges Faced Prior to Implementation
Before the integration, Rohto struggled with disparate ERP systems across various countries. Each subsidiary operated independently, which led to significant time and effort being spent on information collection and achieving a consolidated view of the overall business health. Furthermore, the need to standardize master data and codes across these subsidiaries, as well as enhance governance, presented additional challenges to effective global management.
In order to build an optimized business foundation from a holistic management perspective, Rohto recognized the high compatibility of Dynamics 365 with daily operational tools such as Excel and its capability to handle everything from data integration to analysis on a single platform.
Project Development and Implementation
Since 2021, Rohto Pharmaceutical has been examining ways to establish an ideal business framework aimed at enhancing synergies among its subsidiaries and accelerating growth. In pursuit of this goal, they conducted extensive consultations with group companies and decided to implement a two-tier ERP system using Dynamics 365. This strategic undertaking not only retains the beneficial aspects of each company's ERP and business processes but also lays the groundwork for making informed global management decisions.
The company plans to gradually replace the first tier of ERP systems with Dynamics 365 at timing suitable for each subsidiary, enhancing operational coherence across the entire group.
Key Benefits Achieved
1. The two-tier ERP structure maintains the advantages of individual company systems while allowing for consolidated data visibility across the entire group.
2. The implementation of Fabric for data integration has reduced the labor required for data collection.
3. The cloud-based Dynamics 365 ensures flexibility for future business growth, accommodating sustainable expansion.
4. The standardized master data and code systems at Tier 2 facilitate improved data management for operational use.
Customer Feedback
Mr. Yasumitsu Mori, Director of Core Information Systems at Rohto Pharmaceutical, expressed his satisfaction with Hitachi Solutions, stating, "Hitachi Solutions has been a trustworthy partner, always collaborating closely with us and understanding our priorities. Their effective communication instilled confidence in our shared vision for the system. We also look forward to their continued support during the rollout for other subsidiaries in different countries."
About Hitachi Solutions and Its Dynamics Business
Hitachi Solutions boasts strengths in global strategic capabilities, extensive implementation experience, and sector-specific knowledge, all bolstered by a strong partnership with Microsoft. Leveraging these advantages, they offer consistent global solutions alongside group companies, continuously addressing core system challenges to enhance customer efficiency and expedite decision-making through services like Microsoft Dynamics 365 solutions.
For more information on Hitachi Solutions and its offerings, visit their official website
here.