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September 7, 2022 10:24 JST
Source: Hitachi
Hitachi Acquires Key Industries 4.0 System Integrator — Flexware Innovation
With this acquisition, Hitachi will accelerate its product offering between shop floor operations and enterprise systems, especially in North America.
NEW YORK AND TOKYO, September 7, 2022–(JCN Newswire)–Hitachi (TSE: 6501) announced today, It acquired Flexware Innovation, Inc. on August 31, 2022. A leading manufacturing systems integrator (SI) since 1996. Flexware Innovation is a strategic acquisition for Hitachi as it focuses on TOTAL SEAMLESS SOLUTION(1) technology that connects the “floor” and “top floor” with data and numbers.
With this acquisition of Flexware Innovation, Hitachi will strengthen and enhance its presence in MES (Manufacturing Execution System), SCADA (Supervisory Control and Data) fields Business Acquisition), Software Development, Business Intelligence (BI) and ERP (Enterprise Resource Planning) implementation capabilities in North America and accelerated digitalization with JR Automation(2) engaged in robotics SI and automation. Additionally, by partnering with Hitachi Vantara, which has expertise in building and deploying enterprise and cloud applications*5, Hitachi will be able to provide TOTAL SEAMLESS SOLUTION from robotics SI and automation, MES, SCADA, BI and ERP and help manufacturing leaders Improve enterprise value.
Background and business strategy
Hitachi’s basic approach in the industrial sector is to develop TOTAL SEAMLESS SOLUTION that solves shop floor boundary problems on a global scale, by leveraging products, OT Products such as (operational technology) and IT (information technology) systems integration capabilities, top layers and supply chains create new business value.
On top of that, North America is expected to continue its high growth and North America will continue to adopt advanced digital technologies, so Hitachi is positioning North America as a key market. In 2017, Hitachi acquired Sullair (3), which is engaged in the air compressor business, and in 2019, JR Automation. In addition, Hitachi established Hitachi Industrial Holdings Americas (4) in 2020 to strengthen integrated business operations in the industrial sector in the region. Under the leadership of Hitachi Industrial Holdings Americas, there are Sullair, JR Automation and the newly acquired company Flexware Innovation. The global pandemic and the resulting supply chain challenges have resulted in the need for continuous improvement in quality and productivity across all industry sectors. By leveraging global platforms such as Lumada(5) and the strengths of JR Automation and Flexware Innovation in the IT/OT space, Hitachi is uniquely positioned to provide comprehensive and seamless solutions.
The strategy behind the acquisition of Flexware innovations
Many technology companies focused on manufacturing and industrial sectors only focus on specific Industry or limited to control or mechanical layers. Flexware Innovation is unique because they have focused on manufacturing execution systems since 1996 and have proven they can add value to enterprise customers in many vertical industries such as life sciences, food and beverage, utilities, metals and steel, and automotive and discrete manufacturing. Their competencies range from control engineering and security assessment all the way to ERP implementation. Having developed or implemented many complex enterprise MES solutions, Hitachi plans to leverage Flexware Innovation’s expertise to complement the capabilities of JR Automation and Hitachi Vantara. Hitachi recognizes that the North American market is a major growth area and is keen to add business value to customers. This synergy with Flexware Innovation’s history made this partnership an obvious choice. Notably, Hitachi plans to support and grow Flexware Innovation’s current customer base, which includes well-known global brands.
“I am delighted to have Flexware Innovations as a new family member of the Hitachi Group. In the future, we will be through Hitachi products, OT, IT and Leveraging the combination of Lumada’s advanced digital technologies to address customers’ challenges and maximize their enterprise value in North America, Flexware Innovation’s SI technology and development capabilities, JR Automation’s robotic SI and automation, and other resources,” Hitachi Kazunobu Morita, Vice President and Executive Officer and Chief Executive Officer of the Industrial Digital Business Unit said
“Our employees are passionate about solving problems for our customers. The new partnership with Hitachi The partnership will allow us to do this on a larger stage, with a strong vision and respected support for global technology companies. We have developed a unique culture of Flexware Innovation that blends perfectly with Hitachi’s founding spirit. I am truly excited about our shared future,” – Scott Whitlock, founder and president and CEO of Flexware Innovation.
Whitlock will continue as president and CEO of Flexware Innovation, a leader in partnership with Hitachi Industrial Holdings Americas.
(1)TOTAL SEAMLESS SOLUTION is a registered trademark of Hitachi, Ltd. in Japan, USA.
(2) Hitachi Corporation issued a press release on April 24, 2019 entitled “Hitachi Agrees to Acquire US Robotic Systems Integrator JR Automation”.
(3) Press release dated July 6, 2017 by Hitachi, titled “Notice of Determination of Execution Date for Transfer Related to Acquisition of U.S. Air Compressor Manufacturer.”
(4) Hitachi Corporation press release dated April 1, 2020 entitled “Hitachi Announces Formation of Hitachi Industrial Holdings Americas, Inc. to Strengthen North American Industrial Business”
(5) Lumada: A collective term for solutions, services, and technologies that leverage Hitachi’s advanced digital technologies to create value from customer data and accelerate digital innovation
About Hitachi Co., Ltd.
Hitachi drives social innovation business, using data and technology to create a sustainable society. We will solve the challenges of customers and society with Lumada solutions utilizing IT, OT (operational technology) and products under the business structure of digital systems and services, green energy and mobility, connected industries and automotive systems. Driven by green, digital and innovation, we aim to grow by partnering with our customers. The company’s consolidated revenue for fiscal 2021 (ending March 31, 2022) totaled 10,264.6 billion yen ($84,136 million), with 853 consolidated subsidiaries and approximately 370,000 employees worldwide. For more information about Hitachi, please visit the company website https://www.hitachi.com.
Industry: Cloud and Enterprise
Copyright © 2022 JCN Newswire. all rights reserved. A division of the Nippon Enterprise News Network.
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