The multibrand holding Avtograd increases car sales with the help of 1C: Manufacturing Enterprise Management

Vizard-S LLC automated managerial, accounting, tax accounting of the multibrand automobile holding Avtograd, largest in the Tver region. Implementation of the software product "1C: Management of manufacturing enterprise" helped to reach pre-crisis sales level, to increase labor productivity of customer services by 20%, to receive an integral picture of a status of finance of holding.

The Avtograd holding is an official dealer in the territory of the Tver region of such automobile brands as: Lada, UAZ, SsangYong, Chevrolet, Chrysler, Jeep, Opel and Fiat. Holding integrates several legal entities, two motor shows and several sales points of auto parts, performs all range of maintenance, mechanical, body, painting and other repair work.

Before sale of different brands were considered in the different systems, the management of holding had no opportunity to see a financial picture of the enterprise in general. Many business processes were considered manually, without finding reflection in information systems. Each brand was serviced by several legal entities in the different directions (sale, service, repair, etc.). As a result each legal entity represented the autonomous organization, interacting with others not in an optimal way. It is possible to carry to the most burning issues of that time:

• increase in a taxable basis as a result of resale of spare parts from one yur of the person of holding (on which they were bought) to another yur to the person (which really used them for repair);
• difficulties of material resource planning;
• impossibility to manage labor resources for the benefit of holding. Use of the employees suited in one legal entity in another led to increase in labor input of payroll;
• very long calculation of a motivational component of the salary leading occasionally to its very approximate charge;
• cash ruptures, difficulties of planning of cash expenditures;
• impossibility to estimate effectiveness of the directions of business which are not tied to legal entities.

The company should solve the following problems:

• Sales management of cars and service works in two car showrooms (and in the long term in four) from the single database on the basis of the uniform normative reference information;
• Budgeting of expenses, income, cash flows in general on holding;
• Formation of a uniform warehouse stock with a possibility of operational redistribution of material resources between legal entities;
• The correct formation of accounting entries on the basis of primary documents, including the schemes of postings reflecting the relations of legal entities in holding minimizing manual transactions in accounting and optimizing a taxable basis;
• Payroll, including calculation of different schemes of motivation of employees;
• Obtaining the management reporting on holding in general allowing to analyze effectiveness of the different directions of business.

For the solution of these tasks at the enterprise started implementation of the unified information system. A choice was made for benefit of a technology platform of 1C:Enterprise 8 and the application solution "1C: Manufacturing Enterprise Management 8" as its functionality and opportunities allowed to solve assigned tasks.

The Vizard-S company which by this time already had experience of automation of motor shows became the contractor of the project.

As a result of system implementation the Customer got the following advantages:

1. An opportunity to sell cars according to different schemes (from a warehouse, under the order, including the old car, etc.) what reduced time for service of one client several times. As a result transaction time with the client decreased by 1.2 times.

2. Use of the tolling scheme by transfer of spare parts from one legal entity to another allowed to optimize a taxable basis and also to reduce the number of own legal entities in holding.

3. On the basis of accounting of rendering additional services (insurance policies, services of the commission of cars, etc.) there was an opportunity to manage this direction of business, to create plans for employees, to analyze results.

4. Acceleration by 30 times of settlement process of the salary for the account of automation of settlement process of its motivational component. There was an opportunity in real time to control the salary level of employees depending on development and accomplishment of sales plans. Earlier settlement process of a motivational component was very labor-consuming.

5. Labor costs when obtaining accounting records for each legal entity are much reduced. When closing month job cost automatically is calculated, settlement between legal entities of the company forms, costs including all-holding are correctly distributed.

6. On the basis of the plan-fact analysis of budgets there was an opportunity to estimate a financial picture of the enterprise in general that gave the grounds for adjustment of the development strategy of the enterprise.

According to the CEO Terebukhin Alexander Valentinovich: "The new system created based on the 1C: Manufacturing Enterprise Management program on the 1C:Enterprise 8 platform allowed to achieve effective objectives. Car sales in our company increase, gradually reaching pre-crisis level. Our enterprise services rather big range of automobile brands, and their quantity grows. When a system was already implemented, we started sale of such brands as Chrysler and Jeep. And though at these brands there are a lot of specifics of sales and accomplishment of service works, their start took place for an information system imperceptibly that speaks about its high quality and potential. In the near future the third showroom for sales of Mercedes-Benz will be open what we are ready thanks to including to information support of the Wizard company too to - Page. All of us prepare for the main event of year – to the beginning of sales of new model of AvtoVAZ of LADA Granta on which the great demand forms already now. Now sales plans are discussed, technologies of service maintenance and our information system meets all requirements of the producer".