Zoomlion reduced service costs and improved equipment management efficiency for customers by up to 30 percent with a big data platform powered by Cloudera.
Zoomlion is China’s largest, and the world’s sixth largest, construction machinery enterprise. The company manufactures high-tech equipment, such as construction and agricultural machinery, that creates value for customers in more than 100 countries on six continents.
Decelerating economic growth, investment slowdowns, and a weak real estate market in China led to oversupply of construction machinery equipment and slowdown in demand for new equipment. At the same time, the market for equipment maintenance is strong, with an annual market size of nearly US$23 billion (¥150 billion).
To expand profitability in this challenging marketplace, Zoomlion wanted to quickly transform its business from a traditional manufacturing enterprise to a high-end intelligent services company. This included moving from "passive services" to "active services” to improve equipment quality, reduce construction risks, increase equipment uptime, and decrease costs.
But to do so, it needed the ability to conduct in-depth data mining on equipment and customers, with full sharing and integration of information across the supply chain.
We believe Cloudera’s approach can help Zoomlion more effectively integrate and securely manage data to achieve more in-depth data mining and analysis.
-Dr. Zhou Zhizhong, Chief Architect, Zoomlion
Zoomlion uses Cloudera to improve operational efficiency, drive predictive maintenance, and deliver new Internet of Things (IoT) enabled services to clients. For example, Zoomlion’s "Zhonglian e-housekeeper" application enables customers to view operational data in real time and manage equipment, greatly improving management efficiency.
With Cloudera, Zoomlion gained high-efficiency data analysis and deep mining of massive data sets, including IoT data. Data for Zoomlion’s platform comes from three areas:
IoT data, including real-time working condition and location information of more than 120,000 Zoomlion machines. Approximately 40 terabytes (TB) of data is stored, with one TB of data added daily, and 200 gigabytes (GB) of new data added daily after compression.
Internal core business system data, consisting of business information generated during operational processes. This mainly includes enterprise resource planning (ERP), customer relationship management (CRM), and financial service systems data, covering all aspects of research and development, production, sales, and service. Approximately 10 TB of internal core business system data is stored, and the data is updated daily.
External application platform data. This includes data from relevant application platforms, such as official websites, Zoomlion’s official WeChat account and enterprise accounts, and China United Mall; data purchased and exchanged from third parties; and public data of related companies. In addition to structured data, the platform also saves a large amount of user behavior log data.
Cloudera's enterprise-class services solved the technical difficulties, such as component integration, that Zoomlion staff faced in implementing open source. The Zoomlion team no longer worries about the operation and maintenance of the platform and can focus its time on generating higher value from data through business analysis and data mining.
To ensure data security, the platform incorporates enterprise-level data management components to achieve unified metadata management, data quality control, data traceability, data operation permission control, data desensitization, and data usage auditing functions, as well as data storage and application throughout the entire process.
With Cloudera's big data platform, Zoomlion’s service cost has dropped by 30 percent, and its spare parts turnover rate has increased by 20 percent. The company has realized about US$25 million (¥160 million) annually in new profit as a result of improved efficiency of working sites.
At the same time, service market revenue has increased significantly. Equipment leasing services, used equipment transactions, and spare parts sales accounted for a 10 percent increase in sales. Value-added service revenue from analysis increased by as much as 30 percent.
Zoomlion has also successfully helped its customers reduce operating costs, including manpower, fuel, maintenance, and management:
Its “Zhonglian e-housekeeper” application helps Zoomlion customers improve equipment management efficiency by up to 30 percent.
Its construction crane lifecycle management platform can help customers reduce the safety accident rate of cranes by 20 percent, increase the effective working time of the equipment by 20 percent, and reduce crane manpower and maintenance costs by 30 percent.
Its smart concrete application helps customers increase production efficiency of concrete mixing plants.
“The industrial big data application for the construction machinery industry is still in the exploratory phase,” said Dr. Zhou Zhizhong. “Zoomlion is on the road to intelligent transformation. The partnership and cooperation with Cloudera has played a leading role in not only helping us create more value for our customers but also helping in the standardization of China's equipment manufacturing industry.”