Magazine FUJITSU 2011-3 (VOL. 62, NO. 2)

Special Issue: Solution Services for Private Sectors

• Fujitsu System Solutions' Approach to Helping Customers Create Corporate Value

Fujitsu System Solutions (Fsol) is the Fujitsu Group's core company in the solution service business. As such, it has been offering total solutions that support the long-term growth of customers. These customers are in the manufacturing and distribution industries, and are located in the Greater Tokyo Metropolitan area and other parts of Japan. The environment that surrounds Fsol's customers has been changing from moment to moment. This is exemplified by the globalization that has been progressing rapidly these past few years and the migration toward Cloud computing. In addition, the market also demands that customers offer new value. Fsol has a track record in support that its more than 2500 systems engineers have provided to about 5000 customer companies. Fsol has been working to come up with solution services that help customers create corporate value and will strive to bring about new technological innovations and further improve quality.

• Using Customer Feedback for CS Improvement

The management policy of Fujitsu System Solutions (Fsol) is to focus on customers, it considers them in all its thoughts and actions, and it bases its corporate activities on improving customer satisfaction (CS). To be an indispensable partner for customers, each and every employee sees things from the customer's perspective and works to improve CS in day-to-day business operations. At the core of Fsol's CS improvement activities is Customer Feedback, where customers make comments via various channels of communication. Over 300 000 comments have been stored as Customer Feedback on the self-constructed system WebSERVE smart e-CRM (system for making use of Customer Feedback), introduced in 2004. The feedback is used in Fsol's organizational activities to ensure high-quality and consistent support. In addition, Fsol uses its Annual Support Plan to present annual action plans and support systems. In this way, it regularly makes proposals for improving customers' business issues and meeting their requests. This paper presents Fsol's unique framework for CS improvement activities and its specific efforts for concretely and reliably acting with customer focus.

• Approach to Service Enhancement to Support Global Operations of Private-Sector Business

As we enter the 21st century and the business environment in the private-sector is undergoing a transfiguration, global business expansion of companies is progressing while the domestic market matures. In particular, the establishment of business bases in China and ASEAN countries is expected to accelerate. With these circumstances in the background, this paper first examines the situation of Japanese companies' expansion overseas, the change of its purpose and challenges in global management using statistical data and past examples of implementation. Based on this examination, the roles and functions demanded of IT systems and expectations toward IT vendors are identified to discuss the measures to fulfill the need to support customers' global operations with a focus on support schemes. Lastly, this paper describes the state of global support provision for solutions owned by Fujitsu System Solutions (Fsol) and Cloud computing, which is a recent trend, to present the forms of solution services to be promoted by Fsol for China and ASEAN countries in the future.

• Approach to Manufacturing Business Solution to Support Changes

Because of the global recession and apparent saturation of the domestic market, the manufacturing industry in Japan is now accelerating its expansion to foreign markets that are likely to grow, and this has further increased the importance of information systems with global capability. Nevertheless, even in Japan companies have continuously made investment in new value-added businesses such as environment-related businesses from the perspective of reducing CO₂ and ensuring safety and security. Under these circumstances, the IT solutions companies are seeking are those intended for the manufacturing industry that are capable of being promptly adopted accompanying a new domestic business launch, rollout of offices inside or outside Japan during business expansion, and strengthening of governance of all companies in a group including the existing offices. This paper describes activities in relation to examples of system adoption in a short time and global solutions intended for the manufacturing industry. It focuses on two major trends in the industry: prompt launch of a new business in Japan and improved efficiency and optimization of companies in an entire group through globalization.

• Approach to Value Chain Expansion and Information & Communication Technology (ICT) Development in A/E/C Industry

Fsol has been engaged in system development to help its business partners enhance the areas of quality, cost, delivery, safety and the environment (QCDSE) at construction sites by making use of ICT. The Ministry of Land, Infrastructure, Transport and Tourism recently proposed its Strategy for Promoting ICT Construction, and companies in the architecture, engineering and construction (A/E/C) industry have been required to take measures in line with this strategy. The concept of ICT construction has two aspects: to enhance the work efficiency and precision of construction, and to help engineers make accurate judgments in building work where they usually face many uncertainties. Fsol focuses on developing systems to help engineers make more accurate judgments, and this work lies in the area of human management. This article introduces cases of ICT application and trends in the industry accompanying the Strategy for Promoting ICT Construction, as well as Fsol's activities for developing value chains in the construction process.

• Approach to Solution Anticipating Changes in Retail Business

A company needs the ability to foresee potential needs and incorporate them into solution services and anticipate customers' demand as much as possible to be trusted and chosen by retail businesses as an attractive business partner. This paper presents two case examples of activities that embody this type of anticipation. The first example mentioned is an approach to a service business for the purpose of creating a comfortable and stress-free consumer environment. This approach makes effective use of logs of consumer behavior (lifelogs) to analyze and take a close look at consumer behavior. The second example is an approach to an automated merchandising solution intended for specialty stores, which can flexibly change business schemes in line with consumer attitudes. Lastly, this paper shows a case example of an approach to a POS system. This system continuously meets social demand and waits for customers with the reliability and stability achieved by its high standards of quality.

• Next-Generation Solution Strategy for Transportation and Warehousing Industry

Since its establishment, Fujitsu System Solutions (Fsol) has provided support to more than 200 customer companies in the transportation and warehousing industry. In addition, by making use of the know-how gained through providing this support, it has been offering an integrated logistics solution since fiscal 2002. However, the warehousing and transportation industry is currently in a difficult business environment, affected by the high price of oil and governed by laws and regulations such as the Energy Conservation Law. Accordingly, its IT needs are becoming more diversified and shifting from the conventional needs, such as administrative efficiency and early settlement, to needs for environmental protection, safety and security, and real-time revenue management. This paper introduces Fsol's strategy for next-generation logistics solutions. Such solutions include solutions to these changing customer needs, solutions to changes to development methods that use infrastructure for integrated development of solutions, solutions to the shift to Cloud computing, and solutions for coping with globalization.

• State of Application of Distribution BMS in Food Industry

The communication protocol that has long been a common infrastructure for supply chains in the food industry is about to change. For the first time in 27 years, a new communication protocol called the distribution business message standard (BMS) has been established to take the place of the existing Japan Chain Stores Association Protocol (JCA Protocol). Standardization will undoubtedly extend beyond the category of electronic ordering system (EOS) into business processes required for business-to-business cooperation and it will become common infrastructure for supply chains. The dissemination of this infrastructure will allow companies in the manufacturing, wholesale and retail sector to further reduce costs and improve efficiency. This paper presents application examples of distribution BMS in companies that adopted it as their own construction with the participation of Fujitsu, and discusses the future of business-to-business cooperation, which is expected to follow the distribution BMS infrastructure services being worked on by Fujitsu.

• Examples of Introducing Integrated ERP Solution in Information Service Business

The management environment surrounding the information service industry is about to undergo a sea change. With the severe internal and external environment in the background, management must strive to improve the organizational makeup and conduct reform. In particular, the visualization of management information, early identification of projects with problems, reduction of a monthly business period, centralized management of masters and strengthening of internal control are challenges to be addressed by any company. However, companies are apparently in the phase of searching for the best possible solutions. To provide solutions to these challenges, Fujitsu System Solutions (Fsol) has started to provide the integrated ERP solution (WebSERVE smart information service business solution, the GLOVIA smart series portal, accounting and human resource management/payroll), which has been adopted by a number of customer companies. This paper presents case example to describe how the introduction of this solution has aided business reform.

• Latest Case Example of Leasing Business ERP Package and Activities for Future

Leasing is now a form of business indispensable to the development of the Japanese economy and corporate management. In the leasing industry, LEASING-1 Neo, an ERP package for leasing business, has an excellent track record of installations and is still evolving. LEASING-1 Neo is equipped with standard system functions encompassing an entire range of leasing operations from inquiry and quotation to expiration, disposal and re-leasing. In addition, combination with a variety of peripheral optional systems allows flexible support for the business expansion of leasing companies. This paper first describes what is demanded of ERP packages in the ever-changing leasing industry while showing the features of LEASING-1 Neo. Next, the effect of introducing the package in a system reconstruction project at Tokyo Gas Lease Co., Ltd. is presented as a case example of making the most of its features. Lastly, future trends of the leasing industry are studied to discuss what an ERP package should aim for in the future.

• Case Example of Applying Solution for First Customer That Voluntarily Applied IFRS

Nihon Dempa Kogyo (NDK), a major producer and seller of quartz crystal devices, has disclosed its account settlement information for the fiscal term ended March 2010. As it did so, it was the first Japanese company to voluntarily adopt International Financial Reporting Standards (IFRS). For the first year of voluntarily applying IFRS in the Japanese financial market, account settlement information based on both IFRS and Japanese Generally Accepted Accounting Principles (JGAAP) must be prepared. Thus, NDK introduced GLOVIA/SUPERCOMPACT Pathfinder, Fujitsu's consolidated settlement solution that is compatible with IFRS, to reduce the workload of simultaneous disclosure and more efficiently and promptly prepare consolidated statements. To be ready for compulsory application for the fiscal term ending 2015 at the earliest, organizations including major and second-level companies have started to consider full-scale measures for the framework. Fujitsu System Solutions (Fsol) supports customers in wide-ranging industries including manufacturing, distribution, public services and healthcare and has embarked on studying the impact of IFRS so as to be able to quickly address customer demands. This paper describes these activities.

• Approach to Diversified Accounting Business

This paper introduces Fsol's approach to handling changes in the accounting business. First, looking back the accounting solutions history, it introduces Fsol's efforts for handling the current key issues, such as its accounting solution by industry, management accounting solution, and SAP accounting solution. Next, it discusses the need for large accounting systems and the way that large-scale accounting solutions should progress. To solve the potential problems in building large-scale accounting systems, this paper raises the effectiveness of using industry-specific accounting solutions, and clarifies the needs for them and the way they should progress. This paper also introduces Fsol's management accounting solutions which review the rules on gathering information about onsite accounting procedures that are essential for business administration as well as for arranging and managing business. At the same time, they construct mechanisms that link the stances of each management level and onsite level and accounting service systems. Finally, it introduces Fsol's efforts for responding to globalization and meeting international financial reporting standards based on SAP for realizing shorter lead time and lower cost by introducing Fsol's accounting template.

• Realization of Hybrid Cloud by WebSERVE

A new era of Cloud computing is being ushered in. While Cloud computing has significant appeals including an overwhelming cost advantage, it also poses risks if used for corporate systems. One means of minimizing risks and maximizing advantages is to use a hybrid Cloud, which distributes systems to the Cloud and on-premise (operated in-house) environments and organically links them together. Fujitsu System Solutions (Fsol) has realized a hybrid Cloud by making a Cloud version of the common platform of WebSERVE, a group of integrated ERP solutions. Using this platform allows systems to be deployed either in the Cloud environment or on-premise. In addition, the systems distributed between the Cloud and on-premise environments can be integrated by using one login authentication and menu screen, and linked via SOA. In this way, Fsol's rich selection of business applications can be promptly adapted to a Cloud infrastructure, which customers can make use of while enjoying the advantages of Cloud computing.

• Approach to Integrated Solution: Constructing SOA Infrastructure and Standardizing Business Category

In recent years, the capability to promptly and flexibly adapt corporate systems to severe changes in the business environment has been called for. As a means to accomplish this task, service-oriented architecture (SOA) has been attracting attention for several years. However, many real-life challenges need to be solved before SOA can be implemented and as yet there are no case examples of effective application of SOA. Fujitsu System Solutions (Fsol) has been engaged in the development and provision of WebSERVE smart ERP solution, which has integrated solutions encompassing a wide range of business categories and operations by incorporating the concept of SOA. To achieve an integrated solution, challenges in relation to SOA including the shift toward service in business and standardization have been solved with concerted efforts across different organizations, based on the existing solutions and business know-how. This paper describes the activities carried out as part of these efforts.

• Approach to Cloud Business of Workflow Solution

Workflow systems have been used primarily to improve operational efficiency and speed. However, in addition to serving to preserve evidence in the process of approval, in recent years needs for such systems have been growing. Further, Cloud computing has been attracting attention for several years in various ICT markets in Japan and overseas. This is because it allows systems to be used cheaply and flexibly. Based on these backgrounds, Fujitsu System Solutions (Fsol) has been working to expand the business of WebSERVE smart workflow, a workflow solution, by analyzing and organizing problems related to it. This paper introduces Fsol's efforts for handling Cloud computing (Windows Azure) that it conducted in order to solve the analyzed and organized problems. It also describes the results of those efforts and future prospects.

• Approach to SaaS and Cloud Computing (tsPharma: Solution for Pharmaceutical Industry)

In recent years, the pharmaceutical industry has been having a hard time because of rapid globalization of the domestic market, other industries entering the drug field owing to deregulation, government measures for cutting back on medical expenditure, and the problem of main products' patents expiring. To counteract these issues, drug companies are especially streamlining their R&D processes and strengthening their sales forces. The Fujitsu Group has been launching a Cloud computing service suite called tsPharma (trusted service for pharmaceutical), which covers the chief pharmaceutical processes from R&D to production and sales. This paper describes two Cloud services: tsClinical, which specializes in the clinical study business; and SalesForce.com SFA template for pharmaceutical, which works as an SFA system. In addition, it shows the pharmaceutical business center concept that Fujitsu is going to develop and expand in order to meet customer expectations.

• Approach to Adapting Solution for Information Service Business to SaaS

In recent years, it has become essential for companies to invest in introducing IT. Companies that did not require IT in the past have come to have a need for IT for various reasons. IT manufacturers are offering different solutions to meet that need. However, investing in the introduction of IT and actual business operations after introducing IT are liable to place major burdens on companies. For that reason, solutions in the form of SaaS are attracting attention. Fujitsu System Solutions (Fsol) is engaged in developing solutions in the form of SaaS and constructing individual systems by using Force.com, provided by salesforce.com Co., Ltd., and Windows Azure Platform (hereafter "Azure"), provided by Microsoft. This paper outlines the support that Fsol's information service business solution provides for Azure as an example of a SaaS solution. This is from the viewpoint of the features of Azure, effect of support for Azure and future outlook for the SaaS market.

• Diagnostic Service for Introducing Solution: smart SCOPE

It has recently become commonplace to use an enterprise resource planning (ERP) package or business solution to organize mission-critical tasks into a system. At Fujitsu System Solutions (Fsol), package- and solution-related sales account for over 20% of all sales. However, there have been cases in which customization and add-on development requirements increase after a decision to introduce a package is made, and the implementation turns out to be impossible within the original budget and time frame. This is mainly because customers decide to introduce a package without understanding its functionality, or SEs make estimates before understanding customers' operations or problems in operations. Smart SCOPE is a diagnostic service to help solve problems encountered at the time of introduction. It has systematized Fsol's know-how accumulated so far to give customers an understanding of the functionality of the package and allow SEs to grasp the progress of customers' operations with the use of the package. This paper presents smart SCOPE by describing the main points in solving problems during introduction and how the service is offered together with its effects.

• Example of Joint Business Type of Business Process Outsourcing Service

A joint business type of BPO service is one of the AplSERVE services. These are strategic outsourcing services that have utilized the advanced business know-how and information technology developed in the process of system planning, construction and operation support provided by Fujitsu System Solutions (Fsol). In addition, a joint business type of BPO service is also a business model in which the customer and Fsol share the investment risk, and the product of joint business is regarded as "customer value in IT investment" for dividing the profits. In this way, a win-win relationship between the customer and Fsol can be established. This paper presents e Genome Order, a case example of a strategic BPO. In this BPO, Eiken Chemical Co., Ltd. and Fsol have jointly invested to cut the customer's initial investment and fixed costs by half. In addition, as a joint business, profits are divided in conjunction with the sales.

• Infrastructure Service in Cloud Age

Along with the advancement of virtualization technology and the network environment in recent years, serious consideration about and introduction of Cloud computing has started in Japan. In this Cloud age, infrastructure services are undergoing significant changes as well. The design and construction of infrastructure with individual business systems partially optimized is the form of services that have been offered up to now. This is expected to shift to designing and constructing infrastructure from the viewpoint of total optimization so that multiple business systems can run on the Cloud infrastructure, which is likely to be mainstream in the future. This paper describes the following as new infrastructure services in the Cloud age: constructing private Cloud infrastructure for a Cloud deployment environment on customers' premises, constructing a large-scale Cloud operation environment for automation and more efficient operations in the Cloud environment, and an information security Cloud for providing information-related shared functions within enterprises to strengthen security.

• Innovation in Development Productivity and Quality Improvement by Development Support Tool INTARFRM

Along with the change in system usage patterns, technologies required for system development have undergone a remarkable change. With system development in the field, it is difficult to deal with technological innovation with system developers' skills alone, and changing the form of system and base architecture has required a tremendous amount of cost and time for ensuring quality and productivity. As a solution to this problem, Fujitsu System Solutions (Fsol) has been working on innovation in system development by using a mechanism, the development support tool INTARFRM, for dramatically improving design and manufacturing quality. As a result of applying INTARFRM to basically all development products and promoting thorough standardization and uniformalization, the productivity of development projects has improved by five to six times compared with when INTARFRM is not used. In addition, the application rate of INTARFRM with reference to the sales of Fsol for FY 2009 exceeded 40% and the product has produced satisfactory results in various projects. Furthermore, INTARFRM is used for offshore development in China as well as in Japan and its effectiveness has also been proven outside Japan.

• Approach to Process and Product Quality Improvement by Means of Verification and Testing Conducted by Third Parties

A majority of software development organizations have already adopted quality management systems (QMS) and regulated their organizational practices regarding software quality. Fujitsu System Solutions (Fsol) has been conducting improvement concerning QMS along with some global standards such as CMMI or PMBOK. In particular, it has been working to organize areas such as PDCA, quality assurance and quality management in each of its departments. Recently, it has begun addressing the issue of verification by a third party and testing support as a means of process improvement. The intention is to indirectly improve quality assurance and quality management over projects conducted at the headquarters and onsite. A third party that has no involvement in the projects is supposed to verify processes and evaluate products throughout their lifecycle. In addition, the third party contributes to projects with its tools for inspecting codes and testing so that it can help to specifically reinforce quality management through the coding and testing phase and to eventually enhance the entire product quality offered by Fsol.