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64 Case Study
Juma Al Majid ‘marries’ all systems
with Oracle
Challenges
The challenge for Oracle was to set up an
integrated IT system to answer Juma Al
Majid’s needs.
The implementation of the new IT system
of Juma Al Majid basically started from
scratch. “We started the first phase of the
project with the new digital firm setup. We
bought new networking systems and new
servers. We started standardizing and
centralizing the IT and linking companies
together with office automation – like
email, windows, processing… Initially, we
trained all the users to learn how to use
PCs. We have a character-based system
that was 20 years old. We started to teach
them windows, outlook, and how to send
e-mail,” shared Abu Farha.
Juma Al Majid Group is one of the Middle
East’s oldest and most diverse trading
conglomerates. Made up of more than 40
business units, it is engaged in a variety of
industries including contracting,
manufacturing, real estate, trading and
automotive. The automotive business
operates three companies that represent
major automobile manufacturers, such as
Hyundai, Isuzu, and Kia Motors in the
United Arab Emirates.
Before the utilisation of Oracle software,
Juma Al Majid did not have a common
platform and business strategy across the
automotive division.
The president of the IT division of Juma Al
Majid, Jawad Abu Farha, said that, “the
turning point for Juma Al Majid to organize
Jawad Abu Farha
President, IT Division of Juma Al Majid
its IT system was the inspiration from
government, which is a very good initiator
of automation.” Abu Farha further
added that, “we cannot be using very
old technology systems and compete in
the market.”
Consequently, Juma Al Majid’s IT
renovation started in 2000 with a complete
plan to implement new technology. “This
plan started by an initial return on
investment study and also started with a
strategy that has been detailed and outlined
for all kinds of technologies, companies,
and businesses, for all implementations.
Once this return-on-investment plan was
approved by top management, we started
the implementation. And at that point in
time, the Company’s computer system was
de-centralized,” Abu Farha related.
The implementation of the new IT system
of Juma Al Majid basically started from
scratch.
The second phase, he added, started with the
selection of the application. “We went
through a selection process and then we
chose Oracle. We started Oracle
implementation in 2002 and finished mid
2003. All the SBUs of Juma Al Majid were run
by Oracle modules, including HR, Finance,
Management, Accounting, Contracting.
Also, we implemented CRM, Sales and
Marketing services,” Abu Farha said.
Another major problem area of Juma Al
Majid was the “visibility of the division’s
enterprise-level financial position to
accurately measure and control costs of
subsidiaries.” More, the Oracle system was
required to “create a uniform application
environment for staff to manage changing
customer needs and optimize resources.”
Solution
A unified program was one of the key
factors that Juma Al Majid needed, as
Oracle studies showed, to “provide the
needed flexibility and agility to enter new
markets and add new companies to the
corporate portfolio.”
“That was the fastest and the most
successful project for Oracle, and for a big
group like us in the region at that point in
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