cloud, automotive, seating system, case study, adaptive ERP

HAPM Magna Seating System (Thailand) is a global automotive supplier and leader in the seat adjusting mechanism industry. In April 2017, Magna International entered into a joint venture cooperation agreement with Hubei Aviation Precision Machinery (HAPM) in China to expand the company’s expertise throughout Asia. By July 2018, the cooperative relationship was fully established with HAPM Magna Seating System Co Ltd. in Thailand and Magna International in Canada.

As is often the case, the new company needed to get their production lines up and running as quickly as possible. They had a new customer, and a big one at that, with a large contract to supply seating parts for the new BMW X5 in Thailand.

Meeting New OEM Customer Expectations

The parent company’s headquarters uses a two-tier ERP approach with both SAP and QAD, so HAPM Magna decided to focus their research on these two systems. Several members of the HAPM team had a great deal of experience and familiarity with SAP, but after doing their due diligence on both systems, they realized that QAD better understood their business and the automotive industry. So, with no systems yet in place and a short timeframe to get started, HAPM Magna turned to QAD Adaptive ERP. 

“QAD is totally different from other ERP solutions. They have been in the business since 1979 and they are a financially strong, global business. The company profile is impressive, but the best thing about QAD is they have a team that expertly understands the manufacturing business and the customer’s needs,” said Mr. Chaiwat NaSongkhla, General Manager, HAPM Magna Seating System (Thailand).

Why Choose a Cloud ERP System Over On-premise?

Once HAPM Magna had determined QAD was the right technology partner for them, the next decision was between an on-premise ERP solution and a cloud ERP solution. Their parent company had limited experience with the cloud environment and had concerns about the risk involved in such a project.

“After the QAD team shared with us the risks of staying on-premise and the costs associated with that decision, we made the decision to go cloud. In the fast-changing automotive industry, not having to invest in headcount and infrastructure, allows us to focus on our core business,” explained NaSongkhla.

“The entire automotive industry is ripe for digital disruption, but I feel confident that QAD will enable us to adapt to changes with ease and help our business grow,” concluded NaSongkhla. “We selected QAD because we felt confident in the team and their ability to execute and understand our business. And we made the right choice.”

For more information, check out the full case study that talks about the many benefits HAPM Magna Seating System realized through their continuous improvement strategy and a rapid ERP solution implementation process.