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Customer Snapshot: Overview

It takes 5,000 silkworms to make enough silk for 1 kimono

At the very beginning of Japan’s Modern Age, Sadasuke Taki I became a kimono wholesaler. For 150 years, the fortunes of the company that bears his family’s name have largely mirrored its nation’s history. But globalization is creating new opportunities, and TAKISADA-OSAKA’s latest ambitions are supported by a partnership with SAP.

Company
TAKISADA-OSAKA CO., LTD.

Revenue
¥83.2 billion (US$725 million)

Number of Employees
749

Industry
Wholesale Distribution

Headquarters
Osaka City, Japan

Customer Website
www.takisada-osaka.co.jp

Line of Business
Finance, Sales, Sourcing and Procurement

SAP Solutions
SAP Business Warehouse, SAP Consulting, SAP ERP, SAP HANA, SAP Mobile Platform, SAP BusinessObjects

Customer Snapshot: History

150 Years of Wholesale Success

TAKISADA-OSAKA CO., LTD. has been a leader in the Japanese textile industry since 1864. Its new corporate brand, STYLEM, embodies the company’s pursuit of customer value in the fashion and lifestyle markets and the company‘s ongoing efforts to create and develop new materials and products.

Customer Snapshot: Business Model

A Cornerstone of the Fashion Business

Celebrating 150 years in business, TAKISADA-OSAKA CO., LTD. is a leading wholesaler and trader of textiles and garments, serving apparel wholesalers and retailers in Japan, the United States, Europe, Asia, the Middle East, and the Near East.

Customer Snapshot: Success Strategy

An Emotional Connection to the Customer

Joy, pleasure, and hope are among the values TAKISADA strives to provide customers. Helping every individual achieve his or her personal lifestyle goals creates emotional connections and new perspectives among customers.

It is TAKISADA’s position that treating customers well and giving them what they need will lead to a better society.

The Challenge

Visualizing What Keeps Customers Engaged

TAKISADA-OSAKA maintains an overwhelming share of the textile market in Japan, but the market is shrinking due to a number of factors, including the nation’s falling birth rate. The company is also searching for ways to respond to rapid industry changes, such as a number of wholesalers turning to finished products instead of textiles.

Additionally, the absence of centralized textile information was interfering with sales. Individual samples had to be gathered from various divisions. That made sending textile samples for overseas trade shows a challenge because, even though trade show samples were barcoded, trade show representatives had to record orders with pen and paper.

TAKISADA knows customer satisfaction is critical in a shrinking domestic market and against aggressive global competition. So the company is continually searching for ways to accelerate decision making with data analysis and visualization, improve internal information sharing, and improve trade show support.

Enter SAP

Partners Changing How Business is Done

In 2010, TAKISADA-OSAKA launched a management transformation program, Chance to Change, to redefine its supply chain concept. The first step was to deploy the SAP ERP application for accounting, purchasing, and sales. In November 2012, the company launched a three-year program to change its working style and global deployment strategy. Among its primary aims were data actualization and data visualization. The company selected the SAP Business Warehouse (SAP BW) application powered by SAP HANA and SAP BusinessObjects Analysis software for analytics.

To address the trade show dilemma, TAKISADA-OSAKA worked with the SAP Consulting organization to deploy SAP Mobile Platform and build a mobile app to read bar codes from product samples and communicate order information to back-end systems. In situations where wireless connectivity isn’t available, the platform allows the app to run offline, so that the interaction between TAKISADA representatives and customers can occur without interruption.

Enter SAP: The SAP Experience

Big Solutions, Rapid Implementations

TAKISADA-OSAKA did not have a database or structures for analytics. Developing them from scratch would have taken a lot of time and resources. By implementing SAP BW powered by SAP HANA, TAKISADA was able to rapidly enable real-time analytics by replicating SAP ERP data to SAP HANA and then extract data using an SAP HANA view. TAKISADA also designed a way to migrate existing reports to SAP HANA while carrying out work in the analytics environment.

Building a foundation for visualization with SAP BW powered by SAP HANA took just six months. A similar solution involving the design of data cubes from scratch would normally take at least one year.

To develop the mobile sales solution, SAP software experts worked with TAKISADA-OSAKA to create a mock-up of the mobile app on the SAP Mobile Platform, verify it in a test environment, and then deploy it to users at trade shows. The real-world use resulted in immediate feedback for the development team. The final version of the app was completed in only five months.

5 months to deploy a mobile app for taking orders on the trade show floor

In the days ahead, we plan to make the reports more user friendly by releasing them without delay to meet our users’ needs and then adapting the reports based on feedback from on-site users. – Toshihiko Moriguchi, Officer and Division Manager of SCM Division, TAKISADA-OSAKA CO., LTD.

Better Business

Employees Spread the Word – No More Delays and Better Customer Service

Real-time display and analysis of data, complete with visualization capabilities, helps TAKISADA-OSAKA extract data and create reports much faster. Automated report distribution enables expedited decision making. Faster access to data also improves customer service by enabling prompt responses to inquiries about stock and delivery dates. Another bonus is easy integration with customers’ own external business-to-business IT systems.

TAKISADA-OSAKA’s mobile app supports the efficient collection and management of customer information and orders, and that information can immediately be used company-wide for sales and marketing. Prompt customer support has helped reduce the number of lost sales opportunities by making trade show representatives more responsive and by eliminating manual processes. Because users were part of the development process, they are now promoting the app’s performance and convenience, which is creating excitement for the app among other departments.

We listen to our employees and use their feedback to make reports more user-friendly and add more functions. User satisfaction is growing, and the number of users is increasing by word of mouth. – Takeo Sawamizu, General Manager, Information Systems Group, SCM Division, TAKISADA-OSAKA CO., LTD.

Better Business: Benefits

Speed and Accuracy to Get Customer Orders Delivered Faster

Workers throughout TAKISADA-OSAKA are working more efficiently and with fewer errors because of SAP solutions. Users of SAP ERP and SAP HANA can extract data 20 times faster and processing time has been slashed by 88%. Such performance improvements help TAKISADA provide better service to customers by determining and responding to their needs much faster.

Similarly, trade show customers are receiving superior service because of mobile-enabled ordering. TAKISADA can deliver samples 85% faster, reducing the delivery window from one week to one day. Inquiries about missing deliveries have almost dropped to zero. Before the app on SAP Mobile Platform was implemented, up to 30% of total deliveries resulted in inquiries. Today, it’s less than 1%.

20x

Faster data extraction

88%

Faster processing

85%

Faster sample delivery, reducing the delivery window from a week to a day

>99%

Fewer delivery inquiries from customers (from 30% of total deliveries to less than 1%)

Better Business: Run Simple

Finding New Uses for Real-time Data

TAKISADA-OSAKA is currently evaluating how to use SAP ERP to gather and manage customer responses related to trial models. The company could use such data for marketing and to improve responsiveness to the short production cycles in the fashion industry. Following the successful launch of the mobile app, TAKISADA is planning a company-wide release to boost the accuracy of customer acquisition forecasting. Using what it learned from the first app, TAKISADA will be developing new mobile apps on SAP Mobile Platform to link product information, customer management, and other business functions.

Journey Ahead

A New Frontier in the Cloud

The future is wide open, and TAKISADA-OSAKA is eager to experiment. The company anticipates developing applications on SAP HANA for demand forecasting. It also plans to run SAP ERP powered by SAP HANA to make information delivery from line-of-business systems faster and more flexible. Another possibility is to begin preparations for larger business volumes using the SAP HANA Enterprise Cloud service.

With SAP Mobile Platform, TAKISADA-OSAKA is evaluating the feasibility of online customer ordering via mobile app by expanding Web functionality to mobile devices. Linking mobile solutions with SAP ERP would allow sample information from trade shows to be synced with online orders, bulk orders, and other data, improving inventory management efficiency.

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