Client Profile
Established in 1938, Kumagai Gumi Co., Ltd. is Japan’s leading general construction company. The company has also been actively involved in the unmanned construction system promoted by the Ministry of Land, Infrastructure, Transport and Tourism, and is making steady progress in the construction of disaster prevention facilities in Mount Unzen.
Industry
Construction
Geography
Shinjuku, Tokyo (Headquarters), Fukui, Sapporo, Sendai, Nagoya, Kanazawa, Osaka, Hiroshima, Fukuoka, Tsukuba, Hong Kong, Taiwan, Vietnam, Sri Lanka
Revenue
$2.3 billion USD
Employees
2,167
Applications
SAP R/3 4.7
Technology Platforms
Windows, NEC
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Client Story

Challenges

Even global construction companies that design and build skyscrapers and undersea tunnels find that vendor maintenance and support of their ERP systems are an excessive drain on their operating budgets. When the SAP R/3 system that Kumagai Gumi had relied on for decades was due for yet another upgrade that offered few benefits, the organization looked at reducing the support and maintenance fees it was paying SAP.

Rimini Street Solution

On the face of it, moving to independent support made economic sense, but Kumagai Gumi was concerned about quality of support for its extensively customized system as well as receiving complex and highly critical tax, legal and regulatory updates. The company’s experience with Rimini Street has been reassuring. Kumagai Gumi receives all necessary updates plus support for any issues resulting from custom code and technology stack interoperability conflicts. Kumagai Gumi expects that by using Rimini Street support, its current SAP R/3 system will deliver another 10 to 15 years of service.

Client Results

  • Reduced support and maintenance costs 50 percent by switching to Rimini Street.
  • Gained confidence that its SAP R/3 system would function effectively another 10 to 15 years, making it possible create a comprehensive roadmap to address the next generation of ERP.
  • Received superior support from Rimini Street PSEs with deep technology expertise, allowing the company to focus on growing its global construction business, rather than maintaining its software infrastructure.