Case Study: Hitachi Construction Machinery achieves multi‑billion margin boost with Syncron Price (Syncron)

Hitachi optimizes market pricing to boost margins by billions

Hitachi Construction Machinery (HCM), a global construction equipment manufacturer, was struggling with eroding margins from low‑cost competition and grey market activity while pricing more than 1,000,000 parts (adding ~24,000 per year). Their legacy, spreadsheet-driven cost‑plus pricing process lacked value‑based segmentation, built‑in approvals and advanced analytics, producing long annual revision cycles (five months) and poor market responsiveness; HCM engaged Syncron and implemented Syncron Price™ to address these gaps.

Syncron’s implementation of Syncron Price™ consolidated pricing into a single system, applied science‑based segmentation, value- and market‑based price logic, built‑in approval handling, and advanced analytics with scenario simulation. As a result, HCM cut price revision lead time from five to three months, reduced new‑part pricing lead time by 30%, scaled to handle 1 million parts plus 24k annually, automated manual tasks, and projects a JPY 2 billion (≈ $20M) gross profit gain over five years — all delivered by Syncron.

Hitachi Construction Machinery

Kazuhiro Ishido

Marketing Group Manager