Portrait of GRINN Corporation Ltd corporation of GRINN Corporation Ltd - the multi-profile enterprise which field of activity include:
the largest network of food hypermarkets "LINIYa" in the Black Earth. Shops are constructed and two work in Belgorod, Stary Oskol, Gubkin, Kursk, Zheleznogorsk, in Voronezh, Lipetsk, Dirt, two in Oryol, Bryansk, Kaluga, Yelets, Tambov; </li>the largest autotechnical center in the Central Black Earth region on sale and service of heavy-load and autospecial equipment; </li>successfully developing network of shopping and hotel complexes in the Black Earth. Turnover of the company in 2007 made more than one billion dollars. The number of employees of corporation - 14,000 people. For four years of "GRINN" annually doubles business, both on turnovers, and by quantity of the constructed objects. The corporation not only constantly cooperates with a number of the foreign companies, but also actively works on attraction of foreign investments.
Prerequisites of the Project
From the moment of opening of the first LINIYa hypermarket in Belgorod in December, 2002 the GRINN corporation began active expansion of business out of borders of Kursk region. By the end of 2007 LINIYa hypermarkets worked already in 13 cities, having turned GRINN corporation into one of the largest enterprises and employers of the Black Earth.
For conducting personnel records and payroll in corporation products 1C which features did not allow to process information on the staff of all branches in uniform base were used, there were no built-in mechanisms for unification of personnel management processes, control of correctness of the entered information was practically not exercised.
With growth of scales of business and development of corporate culture of management the existing system of personnel records and payroll ceased to meet requirements of the enterprise both in terms of functionality, and on high-speed performance. Due to the lack of the uniform corporate standards supported at the level of an information system in different branches different approaches to accomplishment of personnel business processes, execution of primary documents, time keeping and payroll often were used. Control over a situation on places required conducting frequent exit checks by specialists of head-office of corporation.
Thus, by 2007 the management of GRINN corporation came to awareness of need to make a personnel management process of the company more controlled and transparent. Without creation of a single system of personnel management and complete replacement of the existing software it was impossible to make it.
The scale of corporation, its geographically-distributed structure, diversification of business which each direction has the features of personnel management and payroll - all this imposed increased requirements to an information system which will have to become a basis for creation of a single system of personnel management of corporation.
For the choice of the solution having all necessary potential the tender during which several systems – market leaders were considered was held. The solution "System Alfa/personnel Management (Alfa-HRMS)" of[1]Informkontakt company became the winner.
The big role in a victory was played by existence of successful experience of Informkontakt company in carrying out similar large, difficult projects of automation, existence of the developed functionality and also a possibility of scalability and high-speed performance of the proposed solution shown on the existing projects.
The project in three stages
Taking into account an enterprise scale, complexity of structure of its divisions and according to methodology of "besshokovy" implementation of Informkontakt company the decision on carrying out the project in GRINN corporation in three stages was made. Each of stages represented the sound project and was logical continuation previous:
pilot project of implementation in LINIYa hypermarket of the city of Kursk; </li>the project of replication of the solution on all network of LINIYa hypermarkets; </li>an implementation project in branches of construction, torgovorazvlekatelny and hotel business, autotechnical center. The management of corporation considered reasonable to implement the project the joint command consisting of specialists of GRINN corporation and Informkontakt company.
Pilot project
For setup of the solution of personnel management and payroll which was supposed to be used further in all hypermarkets "LINIYa", one of the "oldest" shops was selected from the city of Kursk which state totaled about 700 employees. The project started in July, 2007 and was implemented by the joint working group of specialists of "GRINN" and[2]"Informkontakt" in 4 logical stages:
</li> preparatory work; </li>transfer to the new system of personnel department; </li>start of maintaining the sheet in a system; </li>calculation in a new salary system, taxes, contributions to funds. During the course of performance works on a stage the complex of the preparatory work necessary for successful start "Systems - / Personnel management", included was carried out:
1. Development and the approval of instructions and regulations of work in a new system.
2. Development of the mechanism of import and data purification about employees, import of data for all previous periods.
3. Approval of forms of not unified orders and setup of orders according to requirements.
4. Setup of the specific report forms necessary for personnel department and settlement department of accounting.
5. Formation in the system of the working schedules of employees used in hypermarket.
6. Primary setup of algorithms of automatic calculation of charges/deduction, contributions to funds and also accomplishment of the other settings affecting correctness of payroll.
Since September, 2007 transfer process on the new system of personnel department began. Within a month parallel operation in two systems and reconciliation of the transferred personnel data was carried out, and in October personnel department passed to full-time employment in a new system. In the middle of September works on transfer of manual accounting of a worked time to electronic sheets were begun. For this purpose individual working schedules were set to all staff of shop. In two weeks timekeepers could master new features and create the sheet in electronic form. From this point the paper version of the sheet is printed only for signing and transfer to the archives.
At a final stage, in the middle of October, test work there began payroll officers of hypermarket. Working in parallel in two systems, they checked data and received necessary skills of work with new functionality.
The first test payroll made for October, 2007 revealed need of adjustment of mechanisms of closer and regulated interaction of personnel department, timekeepers and accounting as, in connection with complete elimination of double entry of data, the interrelation of departments significantly increased in a new system. Repeated test payroll for November showed readiness of Alfa-HRMS for work in the industrial mode. Based on a pilot project the decision on the beginning of replication "Systems Alfa/personnel management" on all hypermarkets "LINIYa" since January, 2008 was made
Replication of the solution
In January, 2008 preparatory work of a new stage began. According to the approved diagram of replication from February to November, 2008 all network of hypermarkets had to pass to work in a single system.
14 hypermarkets were broken into pairs in the geographical neighbourhood and every month from February to August of work began in a new couple of shops. About six hypermarkets "LINIYa" at the same time were in process of transition to a new system. All cycle of works, from data transfer from an old system before working payroll, made three and a half months. This term allowed to use optimum limited resources of a joint project team and provided the most painless phased transition for work in a new system.
During replication development of the solution was performed – new orders and orders were configured, improved and partially the business personnel management processes existing in hypermarkets changed.
Implementation in branches of construction, trade and entertaining and hotel business, autotechnical center.
In July, 2008, in parallel with works on replication of the set-up solution in network of LINIYa hypermarkets, the project team started setup and implementation of Alfa-KHRMS in branches of construction, production, trade and entertaining and hotel business of corporation and also in GRINN autotechnical center.
Selection of works on these branches in a separate stage was caused by existence of essential features in their work, basic of which:
</li> price-work dresses, piece-work pay; </li>shift method of work; </li>traveling operation mode of drivers of the motor transportation enterprise. For accounting of these and many other features connected with specifics of functioning of each business of corporation additional methodical study and setup of the solution on personnel management developed for hypermarkets of corporation were required. At a new stage in the Alfa System the staff of bureau of regulation of construction service and management of a technological complex was employed. Together with them and settlement accounting in a new system calculation of a piece-work pay with input of primary data by norm setters, a possibility of obtaining all documentation from a system and automatic calculation of wage fund for dresses was configured.
According to general strategy of the project replication in retail chain stores and implementation in branches of construction, trade and entertaining and hotel business, autotechnical center had to end at the same time prior to the beginning of 2009, - and the joint project team coped with the task set by the management.
In December, 2008 "Personnel management system Alfa/" became an integral part of an information system of GRINN Corporation Ltd.
Project Features
Geographically-distributed structure of divisions
Branches of GRINN corporation and, respectively, the staff of personnel departments, settlement departments of accounting, timekeepers are, etc. located in 13 cities of the CFD. Such specifics of the distributed management structure caused implementation of a number of the project solutions inherent for geographically distributed business.
Consolidation of separate databases
At the time of the beginning of the project personal data on employees and results of payroll were broken into several independently working bases. It was connected with restrictions of the used software product to activity scales. Information exchange between bases was not made.
Data transfer in a new system demanded accomplishment of two big and labor-consuming tasks:
</li> developments of procedures of converting of the values of data and reference books given with comparison; </li>reconciliations of information on personnel and associations of all bases of the enterprises. Number of users
For launch in commercial operation of a single system of personnel management in it more than 700 users of different divisions from which in a system not less than 400 people daily work were registered.
The automated formation of orders on personnel
Before Alfa-HRMS implementation all orders on personnel were published manually in the text editor. At the moment after input of primary data in templates of orders printed forms of the unified and not unified orders automatically form and printed from a system. After signing data from orders are automatically entered in cards of employees.
Electronic copies of all orders are stored directly in a system and are available to viewing according to access rights. The printed forms of orders admissible to use of a formulation, and also algorithms of automatic data validation from orders on correctness, are configured on a centralized basis and are uniform for all branches.
Standardization and standardization of planned working schedules
Explosive growth of corporation often did not leave time and forces for creation of uniform standards of management of working time for all hypermarkets "LINIYa". Actually in each hypermarket planned working schedules were developed independently and were not optimized from the point of view of structure of working time and number of staff of hypermarkets at different times day (hypermarkets, generally work round the clock). As a result, all reserves for cost reduction on compensation were not used. During the project of a task of development of planned working schedules and their tracking in Alfa-KHRMS began to decide on a centralized basis. Uniform working schedules are developed for the staff of different branches by employees head OOTIZ that completely solved a problem of "amateur performance" on places.
Formation of electronic organic journals
Timekeepers of branches create sheets of accounting of a worked time directly in "A system Alfa/personnel management", at the same time the primary documents issued by personnel departments that reduces functions of timekeepers to tracking of compliance of data of the sheet of a real situation and deviations from it, to control of timeliness of release of necessary orders and orders are automatically considered.
Project deliverables for business
In the project progress the following tasks are successfully solved:
</li> The single system of personnel management of GRINN corporation which covers all divisions connected with personnel management, maintaining sheets of accounting of a worked time, payroll is created. </li>All personnel transactions in remote divisions are made in a single system in a real mode of time. </li>The standard report forms necessary both for internal use, and for transfer to tax authorities, the Pension fund, military registration and enlistment offices, archives, etc. are created. </li>The quality of payroll and its reflection on costs due to automatic correct accounting of changes of salaries and wage rates of workers within both month, and the working day is increased. </li>The uniform regulations of work with a personnel management system on the basis of the solution "System Alfa/personnel Management" in GRINN Corporation Ltd describing actions of contractors and relationship between divisions are developed. </li>New regulations on awarding are developed and released. </li>Due to automatic verifications of the entered information the quantity of the mistakes made by users considerably is reduced, and, as a result, the quality (reliability) of information on employees of the enterprise is increased. Results of control automation by personnel of GRINN Corporation Ltd were expressed in the following good points:
</li> Personnel document flow of all branches of corporation due to transition to uniform schemes of work, use of uniform forms of orders and orders, consolidation of separate databases with information on workers is completely ordered and brought to uniform standards. Thereof process of control of work of remote branches became simpler. </li>The management reporting is prepared on a centralized basis both on all corporation, and on separate branches that expands opportunities for the analysis and decision making in the field of planning of the HR policy. </li>Time for formation of the internal reporting under the enterprise and also reports for transfer to tax authorities, the Pension fund, military registration and enlistment offices, archives, etc. is reduced. The new management reporting allows to keep account as on a centralized basis, and on separate branches, the accounting system and charges became more controlled and managed. </li>Accuracy of the information thanks to minimization of manual entry and the configured mechanism of automatic checks raised. </li>Significantly the timeliness and completeness of reflection of information on employees of corporation grew. </li>Considerably the quantity of disagreements and not coordinations in work decreased, interaction of staff of personnel departments, OOTIZ, settlement departments of accounting, the economists and norm setters who are responsible for the solution of specific objectives within the general personnel management process improved. </li>Uniform standards of formation of working schedules are enacted, and, as a result, the number of staff and an operation mode of hypermarkets is optimized. Creation of a single system of personnel management acted as one of catalysts of optimal redistribution of a part of functions both between departments, and between branches and corporation. "A system Alfa/personnel management" allowed to arrange information on personnel of GRINN corporation, to simplify and accelerate exchange of personnel information between remote divisions, to increase the speed and quality of payroll. The constructed system completely supports the Russian legislation and, actively developing, meets requirements of upcoming business of GRINN Corporation Ltd. In present difficult economic conditions timely created personnel management system helps corporation to manage effectively human resources and to reduce costs at the expense of the centralized carrying out the optimal HR policy.
Prospects
The newly created personnel management system of GRINN corporation allows to solve quickly both current, and future requirements of dynamically upcoming business. Now "A system Alfa/personnel management" is for corporation the uniform tool for accumulation of all data on the issued orders and orders, the movement of personnel, structure of working time and its distribution by a cost structure. "Accumulation" of volumes of the management and analytical reporting received from Alfa-HRMS and, due to ample opportunities for the analysis, optimization of all business kprotsessov personnel managements will become the main direction of works on the near-term outlook.
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