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Friday, 6 December 2019, 17:20 HKT/SGT
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Source: Fujitsu Ltd
Fujitsu Launches SAP Solution to Support Mass Customization in Engineer-to-Order Production
Begins Sales of "Fujitsu Application for ETO on SAP Cloud Platform"

TOKYO, Dec 6, 2019 - (JCN Newswire) - Fujitsu Limited today announced the launch of the "Fujitsu Application for ETO(1) on SAP Cloud Platform," which will improve the efficiency of operations, including estimating specifications, arranging materials after receiving orders, and issuing production orders, for manufacturers receiving orders for individual specification products.

This solution reduces production lead time while enabling the prompt information sharing of specification changes among sales, design, and manufacturing departments. With minimal master operation that enables production and parts information to be estimated and arranged even when it is not registered as master data, a navigator that aggregates essential business information, and a configurator that can determine the consistency of specification combinations during the sales process, the new solution alleviates the burden and shortens the cycle of estimating and arranging work.

Fujitsu will continue to provide solutions for the manufacturing industry to support the digital business of manufacturing customers worldwide.

Development Background

On site, BOM(2) information required for manufacturing must be registered in the system in advance as master information for quoting, instructing on the manufacturing floor, and ordering materials. In the case of individual specification product manufacturers, since their products will have individual specifications for each order, the number of master registrations of product configurations can range from several hundred to several 1000 a month. This has led to problems such as delays in actual work on-site due to registration lead times. In addition, since specification changes occur frequently after orders are placed, it is necessary to maintain consistent specification combinations and ensure that such changes are communicated to the design and manufacturing departments. This also casts a burden on manufacturing sites where workers have to reflect such changes on bills in the system for each business.

In April 2019, Fujitsu began collaboration with SAP Japan Co., Ltd., and have developed solutions that extend the functionality of standard SAP applications on SAP Cloud Platform to further improve the implementation efficiency of related solutions. This solution will be the first service from Fujitsu to industries under such cooperation, now being offered to manufacturing customers with Individual specification products.

Features of the solution

Inheriting Fujitsu's experience in offering GLOVIA solutions for manufacturers and carrying out many SAP solution implementation projects, the new solution offers the functionality to improve on-site system usability utilizing the standard function of SAP S/4 HANA, on the SAP Cloud Platform. Furthermore, this "SAP Cloud Platform" development method minimizes the impact of upgrading "SAP S/4 HANA".

1. Enabling shorter manufacturing lead time with minimal master operation

The sales management system normally requires information such as products and parts to be registered on the master at the time of invoice registration (quotations and orders), but this solution can register invoices without prior master registration. This reduces the number of man-hours required for master registration and maintenance of individual specification products. Moreover, it shortens the manufacturing lead time by accelerating the communication process between departments including sales, production management, manufacturing, and procurement, which had to wait until the master registration had been completed.

2. Minimize operations with navigator consolidating key business information on one screen

A navigator which displays order information on a single screen for individually specified product configurations, such as procured materials and instructions to factories, makes it possible to quickly check comprehensive information and register various business information. This dramatically improves the efficiency of complicated bill operations, which previously required several hundred to several 1000 screens to be activated and switched per day, and contributes to reducing the burden of fieldwork. In addition, even if the specifications are not finalized, it is possible to procure the parts that have been finalized or to arrange to manufacture, thereby reducing the lead time required for the provision of individual specifications.

3. Configurator that enables consistent specification combinations during the sales process

For some Individual specification product manufacturers, customers' requirements are met by a combination of pre-set specifications and options. In this case, it is very effective to operate the configurator function which systematically determines the consistency of the combination of specifications and options to realize individual specification estimation during the sales process. However, since the constraints and rules for combinations of specifications and options are enormous and complex, the master operation to utilize the configurator function can be very time-consuming.

This solution can determine the consistent combination of specifications and options at the time of estimation, reducing the number of man-hours for communication with the design department and dramatically improving operations by utilizing excel tools for master registration and maintenance.

Pricing and Availability

Product name: Fujitsu Application for ETO on SAP Cloud Platform
Price (excl. tax): 20 million yen~
Availability: From December 23, 2019

Sales Target

Sales of 1.5 billion yen by the end of December 2022.

Future Plans

Fujitsu will continue to offer SAP complementary solutions to globally support the digital businesses of customers in the manufacturing industry. From March 2020, the company will launch the new solution in Germany, the U.S., and China.

(1) ETO (Engineering to order)
A manufacturing system that takes to individual orders.
(2) BOM (Bill of materials)
A list and configuration of components in a product, including information such as product name, quantity, specifications, and potential materials in the product.

About Fujitsu

Fujitsu is the leading Japanese information and communication technology (ICT) company, offering a full range of technology products, solutions, and services. Approximately 132,000 Fujitsu people support customers in more than 100 countries. We use our experience and the power of ICT to shape the future of society with our customers. Fujitsu Limited (Code: 6702) reported consolidated revenues of 4.0 trillion yen (US $36 billion) for the fiscal year ended March 31, 2019. For more information, please see www.fujitsu.com.

Fujitsu Limited
Public and Investor Relations
Tel: +81-3-3215-5259
URL: www.fujitsu.com/global/news/contacts/


Dec 6, 2019 17:20 HKT/SGT
Topic: Press release summary
Sectors: Enterprise IT
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