ConSite service solution to contribute to Hitachi's Lumada business
Hitachi Construction Machinery has entered into a license agreement with Hitachi, Ltd. to expand the scope of application of Hitachi's ConSite service solution beyond remote monitoring and data reports for construction machinery, to target industrial machinery manufacturers outside the construction machinery.
Specifically, the agreement authorizes the disclosure of Hitachi Construction Machinery's knowledge and expertise to Hitachi, in areas such as computer programs related to services for delivering 'Monthly report' and 'Alarm report (emergency report)' on Hitachi Construction Machinery's construction machines currently deployed around the world, and also approves the use of the ConSite trademark. The agreement enables Hitachi to leverage ConSite in the development of value-creating, maintenance service enhancement solution for industrial machinery manufacturers, which is scheduled for commercial release in October 2020.
Since 2000, Hitachi Construction Machinery has equipped its hydraulic excavators with communication terminals as an option, has equipped them as standard since 2006 and utilized IoT to collect big data, such as information on the operational status and location of construction machines, in the Global e-Service.
Furthermore, Hitachi Construction Machinery has since 2013 provided the ConSite service solution, which improves failure risk awareness through remote monitoring based on Global e-Service data and delivers data reports on the status of construction machines, thereby contributing to the reduction of lifecycle costs, which is an important customer concern.
As of March 2020, the number of machines with ConSite data report service contracts has reached 143,000 in 113 countries and regions, which makes up approximately 73% of total unit sales for which the ConSite service solution is available. The service has been well received by the many customers in a short period of time. In addition, by actively incorporating AI and analysis technology, the failure prognostic detection rate via remote sensing has been increased to 71%. In and after fiscal year 2020, Hitachi Construction Machinery set a new goal to further increase the failure prognostic detection rate to 90% in the future.
ConSite is also registered as a use case for 'Lumada,' the collective name for advanced digital solutions, services, and technologies of the Hitachi Group, and sales of Hitachi's Lumada business also include sales of Hitachi Construction Machinery's parts and service business for construction machinery.
Hitachi Construction Machinery developed ConSite by combining long-standing knowledge of maintenance and inspection operations, big data analysis and Hitachi Group's cutting-edge IT technology. In the future, Hitachi will bring the knowledge, expertise and experience from ConSite and further develop it for the Lumada next generation maintenance solution for Hitachi’s customers.