Maruti Suzuki Drives Business Growth on a Full Oracle Stack

Summary

India's automobile industry has seen remarkable growth, with Maruti Suzuki leading the passenger car market for 24 years. To manage its expanding operations, Maruti Suzuki adopted Oracle's full stack of IT solutions, including Oracle e-Business Suite, Fusion Middleware, and Hyperion Enterprise. These tools helped the company streamline business processes, improve controls, and enable real-time data management. The partnership with Oracle began in 1995 and has since facilitated Maruti Suzuki's ability to handle its large dealer network, scale its systems, and efficiently manage its diverse operations, including new and used car sales, leasing, finance, and insurance.

Takeaways

• 🚗 India's automobile industry saw unprecedented growth from 2002 to 2007, with a 15% increase in the passenger car market.
• 🏆 Maruti Suzuki has maintained leadership in India's passenger car industry for 24 years.
• 🔧 Maruti Suzuki is not only an automobile manufacturer but also a single-source vendor for new and used car sales, service, leasing, finance, and insurance.
• 🌍 Maruti Suzuki's dealer network spans over 400 dealers across India's vast geographical landscape.
• 💻 Maruti Suzuki has been working with Oracle since 1995, migrating its systems to Oracle's open UNIX-based technology.
• 📊 Oracle Real Application Clusters, Oracle Fusion Middleware, and Oracle WebLogic have been essential in building Maruti Suzuki's large-scale real-time dealer management system.
• ⚙️ In 2002, Maruti Suzuki revamped its IT system by implementing Oracle e-Business Suite for better control and consolidation.
• 📈 Oracle Hyperion Enterprise was added to improve enterprise performance management, reduce turnaround time, and enable complex data consolidation.
• ⏱️ With Oracle's solutions, Maruti Suzuki is now able to complete financial consolidation of 21 subsidiaries and joint ventures in just 24 hours.
• 👥 Oracle's HR modules provide Maruti Suzuki with the flexibility to meet India-specific and function-specific HR needs.

Q & A

What growth did India's passenger car market experience between 2002 and 2007?

India's passenger car market grew by 15% annually between 2002 and 2007, making it the fastest-growing passenger car market in the world during that period.

What role does Maruti Suzuki play in the Indian automobile industry?

Maruti Suzuki is the market leader in the Indian passenger car industry, maintaining its leadership for 24 years.

Why did Maruti Suzuki choose Oracle products to manage its business growth?

Maruti Suzuki selected Oracle's full stack of products to support its business growth and maintain its leadership position in the competitive Indian automobile market.

What makes Maruti Suzuki unique in terms of its business model?

Maruti Suzuki is not just an automobile manufacturer but also a single-source vendor for new and used car sales, service, leasing, finance, and insurance, offering a comprehensive suite of services to customers.

How extensive is Maruti Suzuki's dealer network in India?

Maruti Suzuki has over 400 dealers across India, a vast network that covers the entire country, which is comparable to managing a continent in terms of geographical distance.

When did Maruti Suzuki begin working with Oracle, and why?

Maruti Suzuki started working with Oracle in 1995 when it migrated its databases and technologies to Oracle's open, Unix-based platform to support the company's growing IT needs.

What technology solutions did Oracle provide to Maruti Suzuki to handle large-scale operations?

Oracle provided Maruti Suzuki with Oracle Real Application Clusters, Oracle Fusion Middleware, and Oracle WebLogic to build a large-scale real-time dealer management system that supports more than 5,000 users simultaneously.

Why did Maruti Suzuki decide to revamp its IT systems in 2002?

As Maruti Suzuki's business grew and diversified, the company realized it needed to overhaul its IT systems to implement better controls and provide data consolidation across its operations.

What were the benefits of implementing Oracle E-Business Suite for Maruti Suzuki?

Oracle E-Business Suite helped Maruti Suzuki introduce standardized practices, make data available online without batch processing, and improve control and turnaround times in its business operations.

How did Oracle Hyperion Enterprise improve Maruti Suzuki’s enterprise performance management?

Oracle Hyperion Enterprise provided Maruti Suzuki with a comprehensive view of data, reduced turnaround time in producing consolidated accounts, and improved the reporting process for its parent company, Suzuki.

Outlines

00:00

🚗 India's Automobile Industry Boom and Maruti Suzuki's Market Leadership

India's automobile industry has experienced remarkable growth, with its passenger car market growing by 15% from 2002 to 2007, making it the fastest-growing market in the world. Maruti Suzuki, a subsidiary of Suzuki Motor Corporation, has maintained its position as the market leader for 24 years, a significant feat in a competitive industry. The company’s success is attributed to its broad range of services, including new and used car sales, leasing, finance, and insurance. To manage its operations efficiently, Maruti Suzuki relies on Oracle's full stack of products, connecting over 400 dealers across India. This relationship with Oracle started in 1995, when Maruti Suzuki migrated its systems to Unix-based Oracle technology, facilitating real-time dealer management.

05:06

📊 Maruti Suzuki's IT Overhaul and Adoption of Oracle E-Business Suite

By 2002, Maruti Suzuki realized that the growing complexity and diversity of its business required a more advanced IT system. The company chose Oracle E-Business Suite (EBS) to revamp its ERP system for improved controls and operational consolidation. With Oracle's consulting services managing the implementation, Maruti Suzuki saw significant improvements in control measures and turnaround times, successfully going live after an 8-month implementation process. The adoption of Oracle’s Hyperion Enterprise further enhanced performance management, enabling faster, more accurate consolidation of accounts across 21 subsidiaries and joint ventures, significantly reducing reporting times.

Keywords

💡Automobile Industry

The automobile industry refers to the sector of the economy that designs, develops, manufactures, markets, and sells motor vehicles. In the context of the video, India's automobile industry is highlighted as experiencing unprecedented growth, particularly in the passenger car market, which grew by 15% per annum for five years to 2007.

💡Passenger Car Market

The passenger car market is a segment of the automobile industry that focuses on the production and sale of vehicles designed to transport passengers. The script mentions that India's passenger car market was the fastest-growing in the world during the specified period, with Maruti Suzuki leading the market.

💡Maruti Suzuki

Maruti Suzuki is an Indian automobile manufacturer, a subsidiary of Suzuki Motor Corporation of Japan. The company is a dominant player in India's passenger car market, as mentioned in the script, maintaining leadership for 24 years.

💡Oracle Products

Oracle products refer to the software and services offered by Oracle Corporation, a multinational computer technology corporation. Maruti Suzuki has chosen a full stack of Oracle products to manage its business growth, indicating the company's reliance on Oracle's technology for its operations.

💡Single Source Vendor

A single source vendor is a company that provides all the necessary goods or services required by a customer. Maruti Suzuki is described as a single source vendor for both new and used car sales, service, leasing, finance, and insurance.

💡Dealer Network

A dealer network is a system of retailers or distributors that sell a company's products or services. The script mentions Maruti Suzuki's extensive dealer network of over 400 dealers spread across India.

💡ID (Information Delivery)

Information Delivery (ID) is a term used in the script to refer to the common enabler that helps manage the large operation across the country. It likely refers to the systems and processes that facilitate the flow of information within the company.

💡Oracle Real Application Clusters

Oracle Real Application Clusters (RAC) is a technology that enables databases to be used in a clustered mode, providing high availability and scalability. The script mentions the adoption of Oracle RAC as part of Maruti Suzuki's technology stack to build a large-scale real-time deal management system.

💡ERP System

ERP stands for Enterprise Resource Planning, a system that integrates various company-wide processes into a unified system. Maruti Suzuki implemented Oracle eBusiness Suite as the basis for its new ERP system to improve controls and provide consolidation.

💡Oracle Consulting Services

Oracle Consulting Services is a part of Oracle Corporation that provides consulting services to help customers implement Oracle technologies. The script indicates that Oracle Consulting Services was engaged for the project management of Maruti Suzuki's ERP implementation.

💡Oracle Hyperion Enterprise

Oracle Hyperion Enterprise is a performance management software suite that provides tools for financial reporting, analysis, and data integration. Maruti Suzuki added Oracle Hyperion Enterprise to improve enterprise performance management, providing complete drill-down capabilities and reduced turnaround time for producing consolidated accounts.

💡Oracle eBusiness Suite HR Modules

The HR modules of Oracle eBusiness Suite are components designed to manage human resources within an organization. The script highlights that these modules are providing management flexibility and have been adapted to suit Maruti Suzuki's specific needs.

Highlights

India's automobile industry experienced unprecedented growth, with its passenger car market growing at 15% annually from 2002 to 2007, making it the fastest-growing passenger car market in the world.

Maruti Suzuki, a subsidiary of Suzuki Motor Corporation of Japan, has been the market leader in India's passenger car industry for 24 consecutive years.

Maruti Suzuki is not just an automobile manufacturer; it is also a single-source vendor for new and used car sales, service, leasing, finance, and insurance.

Maruti Suzuki's extensive dealer network includes over 400 dealers connected across the vast geographical expanse of India, which has been enabled through information technology solutions.

The company began working with Oracle in 1995, migrating its databases and technologies to the more open Unix-based Oracle technology.

Oracle's Real Application Clusters, Oracle Fusion Middleware Application Server, and Oracle WebLogic enabled Maruti Suzuki to build a large-scale, real-time dealer management system.

By 2002, Maruti Suzuki realized the need to revamp its IT systems to support its diversified business, leading to the adoption of the Oracle E-Business Suite as its new ERP system.

The new ERP system allowed Maruti Suzuki to implement better controls and provided data consolidation, resulting in more streamlined business operations.

The project management for the ERP system implementation was handled by Oracle Consulting Services, which completed the entire project within 8 months, allowing Maruti Suzuki to go live on the first day after completion.

The Oracle E-Business Suite implementation introduced standardized practices across the entire enterprise, ensuring immediate online data availability without batch processing.

With Oracle Hyperion Enterprise, Maruti Suzuki achieved a faster turnaround time for consolidated accounts, allowing the company to meet complex reporting requirements within 24 hours.

The implementation of Oracle E-Business Suite HR modules provided flexibility in managing human resources and addressed India-specific functional needs.

Maruti Suzuki's partnership with Oracle has evolved over the years, starting from database management to Fusion Middleware, and finally to the full suite of Oracle E-Business solutions.

The integration of Oracle products has helped Maruti Suzuki maintain its leadership position in the Indian passenger car market by providing scalability and flexibility to meet growing business demands.

Oracle's full stack of IT solutions has supported Maruti Suzuki's growth and diversification, enabling real-time data management and streamlined operations across its business verticals.

Transcripts

India's automobile industry is

experiencing unprecedented

growth for the 5 years to 2007 its

passenger car market grew a staggering

15%

perom making it the fastest growing

passenger car market in the

world maruti Suzuki a sub Cy of Suzuki

motor corporation of Japan is the leader

in this market maintaining this kind of

continuous leadership for a long period

of time is not easy but perhaps I think

this company has proved it for 24 long

years to be number one in the passenger

car industry in India to help maintain

this leadership maruti Suzuki has chosen

a full stack of Oracle products to

manage its business growth

one of maruti Suzuki's unique strengths

is that it is not only an automobile

manufacturer it is also a single Source

vendor for both new and used car sales

and service as well as leasing finance

and

insurance the dealer network is more

than 400 dealers being connected all

over this big uh country it's almost

like a continent in terms of

geographical distance and therefore

perhaps ID has been the common enabler

for us to manage this huge operation

across this

country maruchi Suzuki began working

with Oracle back in

1995 when the company migrated its

databases and Technologies to the more

open unix-based Oracle

technology with the adoption of Oracle

real application clusters Oracle Fusion

middleware application server and Oracle

web logic maruti Suzuki was able to

build a large scale real time deal

management

system we wanted a huge scale level

application which should support around

more than 5,000 user at a time so we

built the whole solution using Oracle

database as a back end and fusion

middleware as a

technology by 2002 maruchi Suzuki

realized as its businesses grew and

became more Diversified it needed to

revamp its it system to implement better

controls and to provide

consolidation Oracle e business Suite

was chosen as the basis for its new Erp

system we are looking for application

which is simple and scalable looking for

some flexible kind of application which

could integrate with our Legacy systems

and application which could scale up

with my business scaling up so that's

why looked for Oracle

EVS Oracle Consulting Services were

engaged to provide the project

management for the

implementation we wanted Oracle to take

a total responsibil for implementation

of this particular SED so Oracle

Consulting of obvious choice they

definitely had much better understanding

of the

product the whole project man

implementation was for 8 months and

after 8 month flat first day after that

we went life so I think that strong

project management of this team was fa

remarkable Oracle e business Suite

brought immediate benefits in terms of

introducing standardized practices right

across the the Enterprise and making

data immediately available online

without the need for batch

processing our major objective of

implementation was to ensure that there

are better controls because we've had

problems in controls in certain areas we

also wanted better turnaround

time I think both these objectives were

met and now for Enterprise Performance

Management maruti Suzuki has added the

extra power of Oracle Hyperion

Enterprise to provide complete drill

down with multiple views of data as well

as significantly reduced turnaround time

in producing Consolidated

accounts and we virtually get about 7

Days in which we have to send

information to our uh parent

Suzuki now you can imagine complexity of

21 subsidiaries Associates and joint

venture companies and common

transactions Etc but in 24 hours we are

done with

Oracle e business Suite HR modules are

also providing management

flexibility yeah I think the last

roughly about 10 11 years a lot of work

has been done on human resources in

terms of uh Erp applications now when we

look we look at India specific or

function specific needs within HR I

think the flexibility is much more high

and Oracle as as we are experiencing in

maruti is suiting our needs step by

step from database to fusion middleware

and onto Oracle e business Suite Oracle

has been providing a full stack of IT

solutions that have been helping marui

Suzuki Drive its business growth