Hitachi to outsource finance & accounting ops to Genpact

Genpact today said Japan-based diversified manufacturing conglomerate Hitachi has selected the outsourcing services provider to transform and outsource a number of its finance and accounting (F&A) operations.
The US-based BPO services provider will take over the F&A operations to support Hitachi's smart transformation strategy aimed at optimising and streamlining operations while ensuring continued global growth and innovation.
Financial details of the deal was not disclosed.
"Genpact has been selected by diversified manufacturing leader Hitachi to transform and outsource a number of F&A operations to support Hitachi's Smart Transformation strategy aimed at optimising and streamlining operations while ensuring continued global growth and innovation," it said in a release.

The partnership between Hitachi and Genpact also shows the value of Lean and Six Sigma principles, originated in Japan more than thirty years ago, implemented beyond the production floor and into business process services delivery - a practice which Genpact pioneered for GE fifteen years ago, it added.
Genpact will increase its Japan footprint by assuming management of Finance Solution Business Division of Hitachi's shared services unit, Hitachi Management Partner Corporation, including 170 employees, in addition to further investing in re-engineering and consulting capabilities in the market.

Genpact has been operating in Japan since 2000, with 2,500 employees serving a number of major clients including Nissan and GE Japan, it said.

"With offices in Tokyo and Yokohama and additional delivery for Japan from Dalian, China, Genpact also continues to invest in its Japanese management team. As one of its key growth geographies, Genpact aims to employ over 1,000 professionals in Japan in the next three years," Genpact added.
Genpact will also provide Hitachi its domain expertise including its Smart Enterprise Processes (SEPSM) methodology for transforming business processes, in addition to its global footprint and specialised technology and analytics.
"In order to grow and be a leading company in a global market, the Hitachi Group is accelerating the 'Hitachi Smart Transformation Project.'

"We believe this BPO initiative will make Hitachi's business process in Japan much more efficient and will also improve the quality of its operations," said Hitachi executive VP and CFO Toyoaki Nakamura said.