Ostchem implements the system of budget planning

On November 29, 2013 the nitric holding OSTCHEM announced end of a significant stage of deployment of a single system of budget planning and control on the basis of Oracle Hyperion Planning and the system of the operational reporting using Oracle Business Intelligence.

Project Tasks

Formation of master budgets of divisions of holding was a labor-consuming task, with the complicated budget control and opaque planning at the level of business units. There was no uniform library of the reporting — budgets of the enterprises were stored in separate files on separate resources. Uniform tools for collecting, calculation, visualization, control and consolidation of budget data were required for holding. For the solution of these tasks selected a complex of business applications Oracle Hyperion Planning.

Project Progress

Possibility of creation of a single system for all processes of budgeting, consolidation and drawing up all types of the reporting and also lower cost of ownership and possibility of support and development of a system by internal forces of the customer - the major criteria when choosing the supplier. At the first stage single sample solution is developed for budget management and the analytical reporting and implemented on a pilot object. At the second stage the solution is replicated on all enterprises of holding.

Project Results

As a result of implementation the budget policy is unified, formation of a uniform organizational and functional and financial structure of business units of holding is provided. It received a single information platform, transparency and comparability of budget data, unification of budget models of the enterprises and models of calculation of cost value, end-to-end approach to planning and accounting on places, and the companies of holding could accelerate preparation of daily analytical reports several times.

The project embraces all spheres of business activities of holding:

• production,
• accounting of a remaining balance in warehouses,
• cost accounting,
• finance,
• sales and shipment,
• purchases,
• material balance of natural gas and ammonia.

The single system of budgeting on the basis of Oracle Hyperion Planning provides collection of data, calculation and check of indicators, approval of budgets, monitoring of execution on terms and the centers of responsibility. Implementation made possible full budget control and operational adjustment of budgets is available.

"We received a convenient and flexible system for budgeting, consolidation and creation of all types of the reporting on the basis of the business applications of Oracle, best in the class. Now the holding has a single solution for monitoring of budget process with a possibility of forecasting and review of budgets of all companies. Accounting of production specifics of our business — one more important advantage of a new system" — Kikta Oleg Aleksandrovich, the First Deputy CEO of OSTCHEM noted.