Hitachi Construction Machinery Drives Digital Transformation by Moving Large-scale Systems to Oracle Cloud Infrastructure

Oracle Cloud VMware Solution and Oracle Exadata Database Service help ensure fast and reliable cloud migration of mission-critical systems

The company has reduced operating costs by 20 percent while improving performance in other key areas

AUSTIN, Texas, July 1, 2024 /PRNewswire/ -- Oracle today announced that Hitachi Construction Machinery Co., Ltd. has selected Oracle Cloud Infrastructure (OCI) to migrate its large-scale, mission-critical business systems for accounting, development, production, design, sales, parts, export, human resources, and services. By selecting Oracle Cloud VMware Solution and Oracle Exadata Database Service on OCI, the company has achieved a fast and reliable cloud migration with minimal changes to applications and databases from previous on-premises environments.

Hitachi Construction Machinery develops, manufactures, sells, rents, and services hydraulic excavators, wheel loaders, road equipment, and mining equipment, with more than 400,000 units of construction equipment in operation worldwide. As part of its digital transformation effort (DX), it's migrating its large-scale core system to the public cloud to unify data from mission-critical systems and construction equipment and prepare for future AI implementation.

Hitachi Construction Machinery selected OCI because it enabled a safe and secure migration strategy without requiring application changes. Additionally, the company benefits from improved business continuity and a reduced total cost of ownership (TCO). By moving to the cloud, Hitachi Construction Machinery has quickly and dynamically scaled its resources, increased flexibility as its business grows and changes, and reduced its infrastructure operating costs by 20 percent. In addition, online transaction processing performance has improved by 50 percent, and batch processing performance has enhanced by 60 percent on several core business systems.

"OCI is the only public cloud that can securely migrate mission-critical databases running on Oracle Exadata and VMware virtualization environments since we can migrate quickly without configuration changes and reduce costs. Other clouds would have increased our costs due to having to rebuild applications," said Noriko Momoki, senior officer and president, DX Promotion Group, Hitachi Construction Machinery. "The increased performance has significantly improved business processing time while reducing operational and management tasks, meaning our IT department can now focus on new projects to strengthen our business competitiveness."

Hitachi Construction Machinery is migrating approximately 500 virtual servers from an on-premises VMware virtualization environment and 100 databases to Oracle Cloud VMware Solution and Oracle Exadata Database Service on OCI. The migration will allow the company to benefit from better architecture, enhanced automation, improved performance, availability, data security configurations, and optimized costs without making application changes. In addition, Hitachi Construction Machinery is implementing a new disaster recovery environment using Oracle Cloud Tokyo and Osaka regions to strengthen business continuity.

"Organizations across all industries worldwide have realized that moving to the cloud can help them accelerate digital transformation," said Ashish Ray, vice president, Mission-Critical Database Technologies, Oracle. "Exadata Database Service and Oracle Cloud VMware Solution on OCI enable Hitachi Construction Machinery to quickly and reliably migrate mission-critical systems to the cloud, capture the cloud's economic benefits, and deliver on high-performance expectations from customers and employees. Both these services extend on-premises environments with cloud elasticity and leverage existing knowledge, skills, processes, and tooling — and having both applications and databases on OCI simplifies operations and increases performance."

Hitachi Construction Machinery plans to modernize applications to cloud-native OCI and migrate its remaining databases from on-premises environments. By consolidating its business data into OCI to develop a DX platform, the company plans to leverage multicloud and AI capabilities.

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SOURCE Oracle