JVCKENWOOD builds an integrated accounting system with Oracle Cloud ERP and EPM

JVC and KENWOOD, two leading video, audio, and communications providers, merged in 2008. After the merger, the combined company was renamed JVCKENWOOD and focused on creating synergy between the two organizations while also maintaining existing systems.

Just as the company embarked on a program to modernize its global accounting systems and exert stricter operational controls, the COVID-19 pandemic struck, causing unforeseen disruption. Semiconductor supply chain issues risked business continuity. JVCKENWOOD looked for ways adapt to the new normal.

Further, the company’s existing core systems were built to optimize segmented tasks, which required time-consuming manual processes for budget forecasting.

Simplifying and modernizing business processes and IT infrastructure would enable JVCKENWOOD to reap early benefits in its digital transformation initiative. The company needed world-class digital finance and accounting processes to improve both key internal accounting tasks and financial transparency.

The company evaluated multiple options that would provide business standardization, help expand sales and logistic systems, and offer cloud-based supply chain management along with the latest SaaS functions. After an in-depth analysis, the company selected Oracle Fusion Cloud ERP and Cloud EPM to help JVCKENWOOD reduce costs, generate business insights, and remove operational inefficiencies.

The implementation of Oracle Cloud ERP and Cloud EPM helped JVCKENWOOD standardize and automate business processes that previously took several hours to complete. Also, the company consolidated companywide data seamlessly. Accounting sales and inventory forecasts, which linked to management decisions, were connected to a sales and inventory management system, and selling prices and costs were linked to an integrated price master. This helped increase data accuracy, while the efficiency of collecting and analyzing large amounts of data vastly improved.

“The information on individual Excel files used to be okay, but now only the data structured by integrated logic in our core system works. This is an outstanding achievement,” says Yoshio Sonoda, board director, managing executive officer, CTO, and chief information security officer.