XCMG Deploys NetSuite to Fuel Its Expansion

XCMG Deploys NetSuite to Fuel Expansion of Import and Export Business

For almost 80 years, XCMG has stood on the cutting edge of China’s construction machinery industry. The company manufactures and exports high-quality equipment including cranes, diggers, and trucks. As the third-largest construction machinery company in the world, XCMG recently ranked among the World Brand Lab’s 500 most influential brands globally.

COMPANY

XCMG

LOCATION

Xuzhou, China

Industry

Manufacturing

Revenue

$4 billion USD

Employees

500 to 999

Number of Countries

191

Number of Subsidiaries

SYSTEM REPLACED

SAP

NETSUITE PRODUCTS IMPLEMENTED

NetSuite OneWorld
NetSuite CRM
NetSuite Financial Management
NetSuite Fixed Assets Management
NetSuite Demand Planning
NetSuite Inventory Management
NetSuite Procurement
NetSuite SuiteAnalytics(opens in new tab)
NetSuite SuiteAnalytics Connect(opens in new tab)

Implementation Partner

HAND Enterprise Solutions(opens in new tab)

“XCMG chose NetSuite to take control of our import and export business.” Jiansen Liu, Vice President, XCMG

Global Powerhouse Builds Capacity for More Efficient Expansion

A leader in manufacturing and R&D: In addition to manufacturing, XCMG operates research and development centers in Asia, Europe, the United States, and Brazil. Its teams specialise in ‘intelligent manufacturing,’ or the use of real-time data analysis, machine learning, and artificial intelligence in the manufacturing process. XCMG sells its innovations in 191 countries and has 300 dealers, 22 subsidiaries, and 40 representative offices around the world.

Systems slow a subsidiary: One of XCMG’s most important subsidiaries is XCMG Import & Export Co., Ltd. The subsidiary previously ran on SAP like the rest of the organisation, but the system soon proved too rigid. For example, setting it up in new markets with varying currencies, tax laws, and compliance requirements took several months.

Saving time with a new ERP: XCMG moved to a two-tier ERP strategy this year, keeping its SAP system at headquarters and switching to NetSuite OneWorld for its Import & Export business. It rolled out phase one of the program in Indonesia, where NetSuite implementation took only four weeks. The Import & Export finance team now completes monthly reports for its Indonesian operation in half the time using NetSuite OneWorld’s multi-subsidiary, multi-currency, local tax, and local compliance capabilities.

Confidence to scale: XCMG Import & Export will implement NetSuite OneWorld in 14 additional countries over the next year. It also plans to explore opportunities in new markets, confident NetSuite OneWorld can be deployed quickly and make real-time insights available to XCMG’s head office.

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