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In May 2019, Huawei faced an unprecedented challenge and was placed on the "Entity List" of export controls by the United States, resulting in the disruption of many key software, hardware, and technology supply chains. What is particularly worrying is that even TSMC can no longer continue to manufacture, Huawei's Kirin chips are no longer available, and Qualcomm only provides 4G chips, putting Huawei's mobile phone business in deep trouble.
However, it turns out that the interruption of the supply of 5G chips has not had as much impact on Huawei as imagined. This is because in the field of mobile phones, Huawei can still release mobile phones and partially make up for the lack of 5G technology through the combination of 4G chips and WiFi 6. Moreover, Huawei's business is far more than mobile phones, but also includes carrier services, diversified consumer products, enterprise solutions, smart cars and other fields, and can also make up for the shortcomings of the mobile phone business to a certain extent through the development of other businesses.
However, what really worries Huawei is not the interruption of supply at the chip level, but the interruption of supply in the software field. In fact, software outages are far more frightening than chip outages. In the field of chips, there may still be some alternatives in China, but at the software level, such as databases, operating systems, middleware and ERP software, the interruption of supply is a greater disaster for Huawei.
Since 1996, Huawei has been using the Oracle ERP system, which has been supporting Huawei's global operations and managing Huawei's production, manufacturing, finance, sales, and procurement businesses. However, after being included in the Entity List, the supply of Oracle ERP systems was also disrupted. Although the old version is still available, the new version is no longer available, which is a huge problem for the growing Huawei business.
As Huawei expands its business, Huawei needs to continuously upgrade its internal ERP system to meet business needs. If an upgrade is not possible, production planning systems, sales systems, and other business-critical systems can face problems. How to schedule production, track orders and shipments, and how to do revenue recognition and costing will all be challenges.
In this case, Huawei had no choice but to develop its own alternative solution and replace Oracle's database and ERP system with its own products. After all, ERP technology is relatively difficult and the key lies in the integration with business practices. Therefore, Huawei launched its self-developed ERP project in early 2020 and named it MetaERP.
Huawei claims that it has invested thousands of resources in the MetaERP project and worked with partners to develop an alternative to Oracle's ERP system to meet the needs of internal resource management, order processing, human resource management, logistics management, and financial management. MetaERP has covered 100% of Huawei's business scenarios and 80% of its business volume, and has achieved zero failures, zero latency, and zero account adjustment, and has been tested by Huawei's internal trials.
Recently, Huawei officially released the fully autonomous and controllable MetaERP system and successfully completed the replacement of the old ERP system. In recognition of the teams and individuals who made significant contributions to this project, Huawei held a MetaERP commendation meeting for "Heroes Crossing the Dadu River" at the Dongguan Xiliu Backpo Village Park.
Huawei founder Ren Zhengfei said that MetaERP is a set of management system software, completely using Huawei's own developed operating system, database, compiler and programming language, and has withstood internal "application combat tests". Obviously, for the ERP system, Ren Zhengfei has been completely relieved, with the self-developed solution, they no longer worry about the impact of Oracle ERP's interruption on production, sales, finance, etc.
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