Kobelco Construction Machinery has adopted IFS Cloud to improve its ability to respond to customers. The solution will introduce advanced digital transformation in the field and improve market responsiveness within its entire supply chain, from procurement to manufacturing, sales, and service management, at a time of continuing disruption worldwide.

This major agreement will see IFS Cloud implemented for 8,000 users across Kobelco’s operations in 11 countries, starting with its home market in Japan.

Kobelco’s construction equipment can be customised in the field and requires individualised management even after sale, and the company found its previous platform was unable to support the required functionality without the development of a huge add-on system.

IFS Cloud, by contrast, offers excellent functionality, the ability to handle customer’s customisation management and integration with services, thus improving the quality and speed of service Kobelco provides to customers. The IFS suite of solutions will optimise all of Kobelco’s global operations in production, supply chain management, logistics, final assembly, service and sales.

“IFS Solutions has a proven track record of supporting the core operations of global machinery manufacturers and has a high level of expertise that contributes to the realisation of business transformations,” said Hiroyuki Hosomi, managing executive officer of Kobelco Construction Machinery. “We expect it to also have the ability to achieve a high level of responsiveness to expanding global customers.”

The implementation of IFS Cloud will be executed by IBM Japan, a leading systems integrator with a proven track record of implementing ERP solutions for many companies in Japan and globally. This is the first time IFS has collaborated with IBM Japan in ERP, and IFS will continue to expand this collaboration.

“Kobelco Construction Machinery is transforming to meet customer requirements through innovation, excellence, and the ability to adapt quickly to changes in demand. We are proud to partner with them on their digitalisation journey,” said Michael Ouissi, group chief operating officer of IFS.

“IFS will deliver the next-generation ERP capabilities and comprehensive solution set that Kobelco needs for end-to-end optimisation in today’s rapidly-changing markets where organisational agility and responsiveness are essential.”