Oracle is helping Honda Motor improve the efficiency of its procurement for operations in Japan with Oracle Fusion Cloud Enterprise Resource Planning (ERP), optimizing the procurement cost of indirect materials.
Honda and its group companies are adopting Oracle Fusion Cloud Procurement, part of Oracle Cloud ERP, to consolidate purchasing of indirect materials for their operations in Japan. Previously, each company managed its own procurement systems and processes.
Standardizing on Oracle’s cloud procurement system enables Honda to adopt the latest best practices, and centrally analyze data for the efficient use of corporate resources. This will enable better planning for future procurement strategies and increase agility to respond to changing external factors and minimize additional costs.
“By utilizing Oracle Cloud Procurement, we aim to improve the efficiency of our indirect material operations, optimize costs and shift to higher value-added operations,” said Nobuyuki Hattori, General Project Manager, Interdepartmental Projects, Honda Motor.
Honda plans to use features of Oracle Cloud Procurement, organized by purchase request, quotation request, price determination, ordering, and payment. In the future, the company will accumulate reasons for selecting suppliers and transaction data in the system to strengthen data-driven analysis for forecasting management and optimal supplier selection.
