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Challenges:
- As a medium size organisation, Toyota Australia is not justified to invest so much on manpower to support the major IT activity.
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Benefits:
- By outsourcing, it could be more flexible and better take advantage of the latest developments in technology.
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TOYOTA
Fujitsu Drives Outsourcing for Toyota
Toyota Motor Corporation is the third largest automaker in the world and produces a full range of model offerings - from mini-vehicles to large trucks. Global sales of its Toyota and Lexus brand, combined with those of Daihatsu and Hino, totalled 5,94 million units in CY2001. As of March 2002, besides its 12 own plants in Japan, Toyota has 54 manufacturing companies in 27 countries/locations which produce Lexus - and Toyota brand vehicles and components, employed 246,700 people worldwide (on a consolidated basis), and markets vehicles in more than 160 countries. Toyota Australia is one of these companies.
The Challenge
As a medium size organisation, Toyota Australia is not justified to invest so much on manpower to support the major IT activity. By outsourcing, it could be more flexible and better take advantage of the latest developments in technology.
The Solution
An outsourcing contract signed between Toyota Australia and Fujitsu in 1997 resulted in 77 Toyota IT staff transferring to Fujitsu as full-time employees. In late 1997, Fujitsu has managed Toyota's mainframe and midrange data centre services, including the operation of a Fujitsu M780/20 mainframe. Toyota moved its legacy applications to a SAP/3 ERP (Enterprise Resource Planning) platform some years ago, and Fujitsu has the service support contract for these SAP operations. Fujitsu manages Toyota's IBM AS/400 midrange machines, and it also supports the car manufacturer's PAMS (Parts Application Management System) application. Fujitsu is now working with Toyota as IT manager to improve not only IT services, but also to assist Toyota to use IT as the enabler to improve its many business services.
The Benefits
Fujitsu's close relationship with major technology suppliers allows Toyota to gain access to the latest hardware and software. This has insured Toyota's IT infrastructure are managed by Fujitsu professionals trained on the latest technology. Fujitsu's global IT experience provides Toyota the IT capability, capacity and coverage they need to achieve and sustain competitive advantage in today's rapidly changing business marketplace. Outsourcing its day-to-day IT management and supporting functions to Fujitsu, Toyota can concentrate energies on future strategies for systems without worrying about operational issues.