Case Study

AERO ASAHI CORPORATION

Managing Multiple Businesses with a Single System: A Case Study of Core System Introduction

Transportation ERP SAP

Challenges

Building a system infrastructure for group management
Achieving operational efficiency through systems
Realizing a system that can quickly respond to external and internal changes
Establishing a maintenance and operation management system that thoroughly manages risks and is fully capable of responding to failures.

Implemented Products/Solutions

SAP ERP 6.0 (FI/CO/SD/MM/PS), NetWeaver7.3, Solution Manager7.1

Project Background

AERO ASAHI CORPORATION operates two pillars of business: the aviation business, which operates helicopters and business jets to transport goods and passengers, and the spatial information business, which conducts survey aerial photography, aerial surveying, aerial laser measurement, etc. It conducts sales activities at more than 60 locations nationwide and through six group companies, and as a Toyota Group affiliate, it is expected to play an active role in the ITS (Intelligent Transportation Systems) field.

The core system that had supported the company was facing a situation where the server equipment was due for replacement and there was no guarantee that the existing system would work for the accompanying OS version upgrade. The system also had a variety of issues, so the server replacement was an opportunity to review the system and plan the introduction of a new accounting system best suited for the management of Aero Asahi and its group companies.

Implementation Project Overview

The basic principles required for the new system were the following seven items:

Can be used by the entire group and can be managed and operated consistently
A single system can process transactions between group companies and transactions between multiple businesses.
Ability to promptly respond to legal revisions, changes in accounting standards, etc.
Ability to promptly respond to subsidiary reorganization and organizational changes
Easy data interface with other systems
Easily extract and aggregate data
Ensure necessary and sufficient security

The policy for system implementation is to use a single packaged software series in principle for ease of maintenance and operation, but if the requirements do not match the basic functions of the packaged software, it may be possible to adapt the business to the system. Instead, the company's policy was to respond through customization or add-on development.

Reason for Solution Selection

Multiple software packages were in the ring for selection for this project. All of them required customization to meet the company's requirements, but SAP ERP had an 80%+ fit rate, which was higher than any other package. The company selected SAP ERP because of its high adaptability in the project-based cost area, as well as its track record as a package that has been used in many industries, and the expectation that it could be adapted to the company's multiple business categories.

System Overview

The new accounting system covers financial accounting, management accounting, project management, receivables and payables management, sales management, purchasing management and expense management. 11 external systems were interfaced to automate processing.

System Configuration Diagram

By maximizing the functionality of SAP, the project cost management with different requirements in aeronautical and spatial information was realized in one system, as well as improving management accuracy.

In particular, for expense reimbursement, which is used by more than 1,400 end users, a system that is more convenient for end users than the previous system was realized through repeated hearings through explanatory meetings.

In addition, in terms of risk management, a high level of security is achieved through SAP ERP's internal control management function for business processes, control functions across IT such as system access, various authority settings, and change history management.

B-EN-G as a Partner

Regarding the reason for choosing B-EN-G as the construction partner, the national security executive officer in charge of general management said:

"We evaluated their many SAP ERP achievements, especially their experience in establishing project accounting for transportation companies. In addition, their responses to our pre-selection meetings and hearings were accurate and showed a wealth of knowledge backed up by their track record, which made us feel that they were a reliable partner. The response to our questions and requests for improvement in the subsequent execution of the project was also excellent," said Mr. Kato.

In addition, Mr. Saito from the Accounting Department, who served as the secretariat, expressed his impressions about B-EN-G during the project implementation, "Many proposals were made to take advantage of SAP's standard functions, taking into account costs and possible future upgrades. If you do that, you tend to end up in conflict with internal users who have many requests. However, they were patient and worked together with the secretariat to persuade the users. There were times when I was encouraged."

Implementation Results

Now that the system has entered the maintenance and operation phase, the two have the following to say about their evaluation of the system and their future plans.

"The system has been running without major disruptions, thanks in part to the thorough training provided to the staff. We are looking forward to our first settlement of accounts under the new accounting system in terms of increased operational efficiency. In addition, as an administrative office, we would like to conduct promotional activities so that our clients can make effective use of the fact that they can now grasp the 'current situation' onsite in real time." (Mr. Saito)

"We have almost achieved our goals of developing a system that is easy to use in the field, has a full accounting analysis function, and ensures stable operation. Our goal, including B-EN-G, is to have "complete documentation" so that even in the event of legal revisions or version upgrades, we can quickly identify the areas that need to be addressed, decide on a response policy, and ensure the quality of the results, thereby speeding up the response, making costs more visible, and reducing our man-hours." (Mr. Kuniyasu)

Because it is a core system that will be used for a long time, the company's new accounting system is being operated every day with a strong desire to avoid turning it into a black box.

*Please note that organization names, positions, numerical data, etc. in the article are based on the time of the interview and may have changed by current viewing.

Related Case Studies

Nippon Cargo Airlines Co., Ltd.

Aiming to Shift to High-Value-Added Businesses: A Case Study of Accounting System Restructuring with RISE with SAP

Logistics

ERP

SAP

Idorsia Pharmaceuticals Japan Ltd.

Compatible with Global Requirements: Case Study of a Project to Build a Sales Management System Compatible with JD-NET

Medicine

ERP

Pharmaceutical & Medical Device Industries

SAP

GE Healthecare Pharma Limited

Promoting Understanding among Global IT Teams: JD-NET-compliant Enterprise Resource Planning System Implementation Project Case Study