In Silicon Valley and beyond, Hitachi Data Systems vehicles were a familiar site parked near top tech firms. Now those vehicles read Hitachi Vantara, a change that points to a profound shift in how this enterprise company does business in over 60 countries.
The company was an established leader in the data storage and mainframe industry; however, a few years ago the industry shifted and its products started to become commodities. To stay competitive, Hitachi Vantara needed to pivot to a relationship-based business model, but its systems and processes were not built for the complexities of recurring revenue. The company needed a trusted partner to help transform the business.
“The pace of commoditization was ramping up, and we had to change fast.”
Many companies have tried to achieve this type of digital transformation. In a CFO.com
study, 55% of business executives surveyed estimate that in five years 40% or more of their revenue will come from recurring revenue streams. But Hitachi Vantara is making this change at enterprise-levels of scale and complexity. The company operates in 60 countries selling hardware, software, and services in ever-shifting combinations to 10,000 brands, including 80% of the Fortune Global 100. To do so, requires a system capable of quoting large solutions with hundreds of line items, multiple revenue models, and contract renewals. But that was just one piece of the puzzle; Hitachi Vantara also needed a connected customer experience to make its new business model come to life.
In 2017, Hitachi Vantara partnered with Salesforce to embark on a two-year digital transformation from a linear product-based business to one founded on customer partnerships. To fulfill the goals of project Mirai, the Japanese word for future, Hitachi Vantara uses multiple Salesforce Clouds to create a digitally connected lead-to-revenue process around a 360-degree view of its customers.
But standing in the way of this vision were data silos built up from years of acquisitions and systems building. By transitioning from its on-premise CRM system to Sales Cloud and Service Cloud, Hitachi Vantara took down those silos to build a new and improved customer experience. Streamlined renewals — powered by Salesforce CPQ — are an essential part of the new recurring-revenue business model.
Before Salesforce CPQ, account managers had to manually stitch together every renewal quote by painstakingly searching different data silos. Now, they have a complete view of all the assets owned by an account and can easily create large, complex renewal quotes, often over 1,500 lines. Because of this reinvented renewals process, account sales and service reps have the time and information to meet customer needs proactively.