Hitachi Data Systems Announces Strategic Global Transformation To E-Business Infrastructure Solutions Provider
Apr 6, 2000 08:25 AM
Empowers new Independent Business Units to speed delivery of IT solutions for the information age
New business model streamlines organization, places 80 percent of employees directly in front of worldwide customer base
SANTA CLARA, California, 6 April, 2000 — Hitachi Data Systems Corporation, a wholly-owned subsidiary of Hitachi, Ltd. (NYSE: HIT), today announced a comprehensive global transformation plan designed to increase revenue-generating opportunities for its customers, channel partners, alliance partners, and the entity itself, enabling all parties to better take advantage of the Internet economy.
Underscoring Hitachi, Ltd.’s medium-term business plan, the “i.e.HITACHI Plan*” disclosed late last year, Hitachi Data Systems Corporation is evolving from its traditional business model as strictly a sales and marketing arm for Hitachi, Ltd., to a new, more nimble cluster of autonomous business units that leverages its consulting skills as well as its expertise in selling high-tech products.
Dr. Jun Naruse, newly appointed CEO of Hitachi Data Systems, said, “Our future is tied to our customers and the knowledge we have to offer. By separating our hardware from the human talent, we are unleashing our underutilized capabilities and applying them in a more business-centric approach, rather than our traditional technology-centric approach. This will enable HDS to provide more value to our customers.
“HDS is changing in the same way that the market is changing: we are focused on e-business infrastructure solutions, storage networking solutions, information sharing, business continuity, and emerging market segments. In the midst of all this change, we’re still working hard to develop new platforms on which to base our business solutions. I know, for example, that customers will be excited to see the lightning-fast performance of our next-generation high-end storage system when we launch it later this year.”
Initial public reaction to the HDS strategic global transformation has been very positive.
“This is a very smart move for HDS,” said Carl Greiner, Vice President & Director of Enterprise Data Center Strategies at META Group. “The company is now better positioned to increase its worldwide presence and put more of its expertise into the hands of customers.”
“Under the new structure, HDS customers should receive even greater service and support,” said Kyle Tager, Manager of e-Government services at the CityofBoston.com. “The fact that the new business model places 80 percent of their employee resources directly in front of customers breaks new ground in today’s marketplace, and adds a fresh dimension to the term ‘customer relationship management.’”
Jack Scott, Managing Partner of the Evaluator Group, said, “This is a positive move for HDS. It strategically positions the company to increase market share, particularly in the rapidly growing area of storage solutions.”