Microsoft DynamicsPartner Solution Case Study

Global Consulting Company Evolves Its Winning Approach to Meeting Public-Sector Needs

OverviewCountry or Region: United KingdomIndustry: Professional services

Partner ProfileHitachi Consulting in the United Kingdom, a part of the global Hitachi Corporation, has approximately 400 employees and generates revenue of £50 million (approximately U.S.$81 million) per year.

Business SituationHitachi Consulting aims to advance its practice to meet current and future needs of public-sector clients for savings, efficiencies, optimal service quality, and innovation.

SolutionStaying current with the latest Microsoft advancements, the company uses the full range of Microsoft solutions to translate its public-sector expertise and process consulting into tangible customer benefits.

Benefits Enable clients to meet savings goals Facilitate improvements in service

quality Drive public-sector innovation

“In partnership with Microsoft, we can serve public-sector clients with an unbeatable combination of insight, responsiveness, and technology.”

Mark Campbell, Vice President, Public Sector, Hitachi Consulting

Serving the public sector at a time of severe cost reductions, Hitachi Consulting continues to deliver the savings, efficiencies, and service-quality improvements clients hope to achieve. In doing so, the company continues to refine its winning approach, finding the most effective bundling of its deep understanding of client needs and a broad spectrum of powerful technologies. For example, Hitachi Consulting participates together with clients in Microsoft Technology Adoption Programs to help realize the value of such solutions as Microsoft Dynamics AX 2012, the new ERP system with significant enhancements for the public sector. Delivering effective public-sector infrastructures that incorporate a vast range of Microsoft solutions, Hitachi Consulting is helping public-sector clients achieve spectacular results today and is poised to continue doing so as market needs change.

SituationMandated by the central government of the United Kingdom, public-sector organizations across the country must deliver extreme reductions in operational costs, ranging between 10 and 35 percent of the budget. Mark Campbell, Vice President, Public Sector, at Hitachi Consulting, says, “The first question I hear from public-sector entities is, ‘How can you save me money?’ There isn’t a second question.”

In the United Kingdom, the public sector produces close to half of the gross domestic product (GDP), so the opportunity for companies catering to this market is large. Hitachi Consulting serves U.K. customers in all areas of the public sector, growing its practice through such governmental frameworks as Buying Solutions, customer referrals, personal contacts, and traditional business development. Hitachi Consulting’s main areas of capabilities are business consulting, managed services, and technology solutions. Microsoft is a strategic alliance partner for Hitachi Consulting.

Many governmental bodies make investments in technology to help generate operational savings and efficiencies. Such investments don’t always produce the desired results. “The public sector is very good about appraising options and choosing a way forward,” Campbell explains. “But—as with any organization—there are significant challenges in generating the tangible improvements and efficiencies. The challenge for suppliers is to demonstrate to decision makers and procurement officials solutions that deliver

the best value. However, those will not always be the same as the lowest-cost option. Effectively delivering these technology improvements typically entails aligning the right process improvements, effective change management, and sound stakeholder management.”

With hundreds of public-sector customers in the United Kingdom, Hitachi Consulting has a proven, successful track record in making sure technology investments by public entities pay off. However, when market conditions change or new technologies become available, the company is quick to adjust its engagement practice and expand its solutions portfolio.

SolutionWhen Microsoft announced a new version of its enterprise resource planning (ERP) solution, Microsoft Dynamics AX 2012, Hitachi Consulting immediately saw the opportunity for public-sector customers. Mark Roberts, Vice President at Hitachi Consulting, says, “Microsoft Dynamics AX 2012 is very much oriented toward the public sector. Microsoft has enhanced many solution capabilities that are very important to clients, such as budget accounting and forecasting.”

Hitachi Consulting participated in the Microsoft Technology Adoption Program for Microsoft Dynamics AX 2012 together with its customer Compass Point, which provides front-office and back-office support services for district councils. The customer implemented the solution almost entirely out-of-the-box and uses the ERP system to manage finances, human resources, and IT. Microsoft Dynamics AX 2012 integrates with Microsoft Dynamics

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“We have developed a winning approach to enabling vast savings for our clients. For example, we can help district councils implement a new shared-services model by aggregating and centralizing processes in a Microsoft technology environment, including Microsoft Dynamics AX as the ERP system. As a result, the councils can deliver higher-quality services at much lower costs.”

Mark Campbell, Vice President, Public Sector, Hitachi Consulting

CRM to support the responsive delivery of services to constituents and with Microsoft SharePoint Server to facilitate convenient self-service for them.

In selling to the public sector, Hitachi Consulting combines powerful technology, such as Microsoft Dynamics AX 2012, with insight into potential customers’ concerns. “We always present the possible savings, helping decision makers understand how they can use technology for that purpose,” says Campbell. “We also help them see the potential in technology that they already own and show how they can use it with greater impact as they become a more efficient organization.” At the same time, it’s important to assure clients that success is realistic. “Understandably, public-sector entities are often risk-averse when it comes to spending taxpayers’ money. They want proven solutions. We have very strong references and can show them case studies with clients whose requirements are very similar to theirs,” adds Campbell.

For Hitachi, competitive advantage is a combination of key elements. Says Campbell, “Our alliance partnership with Microsoft is relevant and meaningful to many clients. We know the challenges they face and the environments in which they work. And, we work with them to develop processes and solutions that meet their specific needs, as opposed to following a canned approach.”

BenefitsCustomer experience shows that Hitachi Consulting’s expertise and business process optimization, together with solutions such as Microsoft Dynamics AX 2012 and many other Microsoft technologies, deliver the dramatic results that public-sector entities look for. As Campbell comments, “In partnership with Microsoft, we can serve public-sector clients with an unbeatable combination of insight, responsiveness, and technology.”

Enable Clients to Meet Savings GoalsThrough a combination of powerful technology, business process consulting, and a deep understanding of public-sector needs, Hitachi Consulting successfully delivers the all-important cost savings that governmental authorities must achieve. Compass Point is on track to deliver savings of £30 million (approximately U.S.$49 million) during 10 years of operation. Another Microsoft Dynamics AX 2012 customer, the United Kingdom Accreditation Service, is also poised to realize significant efficiencies and savings. “We have developed a winning approach to enabling vast savings for our clients,” says Campbell. “For example, we can help district councils implement a new shared-services model by aggregating and centralizing processes in a Microsoft technology environment, including Microsoft Dynamics AX as the ERP system. As a result, the councils can deliver higher-quality services at much lower costs.”

Facilitate Improvements in Service Quality

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“The Microsoft Dynamics solutions have the power and flexibility to help us create an environment where the public sector can innovate with greater agility.”

Mark Campbell, Vice President, Public Sector, Hitachi Consulting

Hitachi Consulting analysts believe that cost reductions will remain critical for public-sector entities, but they expect that concerns about improving the quality of services may balance or eclipse them as the United Kingdom again faces general elections. “Around year three of the coalition government, the focus will shift from closing budget gaps to delivering improvements in education, healthcare, public safety, and other areas,” explains Campbell. “Many public-sector entities will be unable to achieve such improvements without assistance, and we can act on opportunities that are about more than saving money. We can demonstrate beyond a doubt that we can enable our clients to make these changes by bringing to bear the resources of our alliance partnership with Microsoft, the best technological tools available, and our public-sector expertise. The ease of use, ability to integrate with existing technologies, and low cost of ownership make the Microsoft platform particularly attractive.”

Drive Public-Sector Innovation

Looking beyond the immediate future, Hitachi Consulting anticipates more far-ranging changes in how the public sector in the United Kingdom operates. Says Campbell, “Given large-scale demographic changes and scarceness of resources, public-sector entities need to do more than conduct savings and drive service improvements. They need to think about different means of delivering outcomes. This will include more and smarter commissioning of services, often with new ownership models.” The Compass Point solution delivers on both counts by providing an innovative, corporate vehicle for the delivery of shared services. In this shift, solutions such as Microsoft Dynamics AX and Microsoft Dynamics CRM will continue to play a key role. “The Microsoft Dynamics solutions have the power and flexibility to help us create an environment where the public sector can innovate with greater agility,” Campbell adds.

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Additional Resources Learn more about Hitachi Consulting in

the public sector. Review details of Hitachi Consulting’s

management consulting and technology solutions offerings.

Hear about Microsoft Dynamics AX for the public sector.

Find out how you can acquire Microsoft Dynamics solutions.

Microsoft DynamicsMicrosoft Dynamics is a line of integrated, adaptable business management solutions that enables you and your people to make business decisions with greater confidence. Microsoft Dynamics works like familiar Microsoft software such as Microsoft Office, which means less of a learning curve for your people, so they can get up and running quickly and focus on what’s most important. And because it is from Microsoft, it easily works with the systems that your company already has implemented. By automating and streamlining financial, customer relationship, and supply chain processes, Microsoft Dynamics brings together people, processes, and technologies, increasing the productivity and effectiveness of your business, and helping you drive business success.  For more information about Microsoft Dynamics, go to:www.microsoft.com/dynamics

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For More InformationFor more information about Microsoft products and services, call the Microsoft Sales Information Center at (800) 426-9400. In Canada, call the Microsoft Canada Information Centre at (877) 568-2495. Customers in the United States and Canada who are deaf or hard-of-hearing can reach Microsoft text telephone (TTY/TDD) services at (800) 892-5234. Outside the 50 United States and Canada, please contact your local Microsoft subsidiary. To access information using the World Wide Web, go to:www.microsoft.com

For more information about Hitachi Consulting products and services, call 011 (44) 20 7947 4500 or visit the website at: www.hitachiconsulting.co.uk/0013.cfm

This case study is for informational purposes only. MICROSOFT MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY.

Document published October 2011

Software and Services Microsoft Dynamics− Microsoft Dynamics AX 2012− Microsoft Dynamics CRM

Microsoft Programs and Practices− Microsoft Technology Adoption

Program

Microsoft Server Product Portfolio− Microsoft SharePoint Server