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Company Industry Company Size Revenue
The Yokohama Rubber Co. Ltd. Automotive 27,252 ¥570 billion (US$5 billion)

Executive Overview

On its establishment more than 100 years ago, The Yokohama Rubber Co. Ltd. identified the importance of using technology to improve and grow. Now one of the world’s leading producers of automotive tires and other rubber products, Yokohama Rubber relies on efficient, responsive procurement systems to increase productivity and reduce costs across the enterprise. In keeping with its founding pioneering spirit, the company set out to upgrade these systems to tap into the benefits of the cloud and collaborate with suppliers across the world.

Before: Challenges and Opportunities

  • Transition from on-premise procurement to a cloud solution to increase productivity and cut costs
  • Reduce errors and expand procurement functionality, including with better search tools and catalogs

Why SAP

  • High level of trust in SAP software and long-term relationship with SAP
  • SAP Ariba solutions, helping digitalize and simplify processes on one integrated platform in the cloud
  • Auction functionality of the SAP Ariba Sourcing solution, helping dramatically reduce costs by eliminating individual negotiation
  • Ariba Network, letting buyers and suppliers collaborate on transactions, strengthen relationships, and discover new business opportunities

After: Value-Driven Results

  • Enhanced procurement offering with a more powerful search function and global reach
  • Fewer procurement errors, speeding production and freeing teams to focus on satisfying customers
  • More-accurate internal authorization processes, better meeting business needs
  • Increased efficiency with customized procurement catalogs and the PunchOut feature available with SAP Ariba solutions, which lets a buyer access a supplier’s website from within its own procurement application
  • Robust basis for enabling continued growth while addressing environmental, compliance, and corporate social responsibility concerns
In considering the transition to Ariba Network, we were motivated by a desire to move to a higher level across procurement productivity, procurement costs, and internal dynamism.
Shinji Yamamoto General Manager, Indirect Materials Procurement Department, Global Procurement Division, The Yokohama Rubber Co. Ltd.
A tire executive reviews inventory amongst tall stacks of car tires.

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