Pavlodar petroleum chemical plant (1C:Enterprise 8.3)

‎ the enterprise, Largest in Kazakhstan, for production of oil products "Pavlodar Petroleum Chemical Plant" continues release of demanded products in the volume, necessary for needs of the country, together with "1C: Manufacturing Enterprise Management 8 for Kazakhstan"

The 1C Rating company completed an implementation project of a corporate information system on the Pavlodar petroleum chemical plant - the enterprise, largest in Kazakhstan, for production of oil products. The system unrolled in 713 workplaces covered most divisions of the plant and allowed to reach rather serious level of transparency of business processes and also to make rather weighed management decisions.

Pavlodar Petroleum Chemical Plant LLP – the enterprise, largest in Kazakhstan, for production of oil products and also the only enterprise in the Republic of Kazakhstan for a set of the process systems providing depth of oil refining of 80-85% of masses. On technology the plant is focused on processing of the West Siberian oil. Primary activity of the enterprise consists in gasoline production, fuels for jet engines, diesel, boiler fuel, liquefied gases, bitumens, coke, sulfur of different brands, etc.

In 2009 the company was a part of JSC Oil Company KazMunaiGas (the Kazakhstan national operator on investigation, production, processing and transportation of hydrocarbons) that defined the choice of strategic direction of development of the enterprise.

Premises of the beginning of the project:

• Accounting at the enterprise in more than 100 separate programs (Automated workplaces) of development of 80th, 90th. Absence at the enterprise of the complete accounting system which would allow to carry out the elementary analysis and to control correctness of reflection of economic transactions on accounts as in real time, and with a certain frequency.
• Lack of planned and managerial data and the reporting in the current information system.
• Insufficiently regulated procedure of maintenance of the main qualifiers.
• Insufficient automation of some sections of accounting or functional units.
• High percent of the data processed "in manual", request of the necessary information at the staff of related departments that distracted them from accomplishment of direct duties.
• Double entry of data on some sections of accounting.
• The requirement of management company to enter completely perimeter of the companies which are handing over the reporting through a 1C system: SIKFO (based on 1C: Consolidation).
  

Project particular purposes were the management of the enterprise customer:

• consolidation of all information in the single database;
• minimization of manual information processing;
• decrease in time for providing reporting information;
• input and quality improvement of information on places i.e. where it is formed;
• obtaining operational, timely and reliable information for acceptance of management decisions;
• organization of effective interaction of divisions;
• formation of the centralized methodology of accounting of financial and economic activity of divisions, implementation of this methodology within accounting model of a corporate information system;
• ensuring interrelation of accounting and operational accounting of production business activities;
• development of mechanisms of management accounting and planning on the centers of the financial responsibility and sale of these mechanisms software tools of a system;
• improvement of accounting and audit control;
• increase in production efficiency.
  

As the contractor of the project on implementation of an information system the 1C Rating company which proved as the reliable partner during creation of complex corporate systems with the maximum scope of jobs was selected. As the beginning of cooperation making decision on implementation "1C: Payroll and HR Management 8 for Kazakhstan" on 4200 employees served. Further the decision on the full-scale project with use of the configurations "1C: Manufacturing Enterprise Management 8 for Kazakhstan" - for automation of the main document flow and "1C: Consolidation 8" - for development of the reporting was made.

In connection with the requirement of management company about entry into perimeter of consolidation of the companies of holding working at the 1C Platform, the project was broken into two queues:

The first – the termination the 1st quarter 2013.
Main objectives - creation of the unified information system and transfer of information input on places of emergence, the uniform normative reference information (NRI), the scope of operational and management accounting, greatest possible at this stage, integration into the system of consolidation of management company.

The second - 2014.
Main objectives – creation of expanded management accounting and planning, the plan-fact analysis on the basis of already working block of the subsystems "delivering" the actual information.

In implementation process of the project the accompanying consulting services were executed:

• Development of a tripartite mepping of charts of accounts (existing before implementation – the chart of accounts of management company – the target chart of accounts of a system), approval and partially development of the principles and approaches of regulated accounting mostly sections of accounting.
• Formalization and development of the existing model of accounting and allocation of costs, reflection of release and cost accounting of semi-finished products and products.
• – beginning creation of model of future subsystem of accounting of objects of a social sphere from creation and development of new sections of the chart of accounts, tables of correspondence, a method of calculation of cost value and finishing with embedding of this model in the general model of cost accounting on the plant in general.
  

Key project deliverables:

• The unified information system functions, manual information processing is minimized, the regulated circuit in full functions.
• Information input is transferred to places.
• In enough subsystems the managerial circuit functions (treasury, NSI, implementation, production management, etc.).
• In the conditions of rather complex production circuit (a set of repartitions, counter release, the unrolled industry specifics, raw materials supplied by the customer) and emergence nearly an every month of new accounting situations, in a uniform subsystem works all divisions anyway participating in reflection of release and costs, allocation of costs and cost accounting. Control of reporting period with tracking what divisions provided all information is exercised.
• In repair shops job order accounting of products and services is entered.
• In a management subsystem all warehouses and storerooms of the plant work with stocks.
• The subsystem of the normative reference information allowing users to create and approve the project of the new or already existing reference book element functions, specifying future rekvizitny structure, etc. information, and to the expert of the normative reference information to analyze and fulfill the arriving requests. The centers of responsibility for these or those qualifiers are set, regulations of work with qualifiers are made and appropriate means of control function.
• At the enterprise the subsystem of salary and personnel management on 4200 employees functions. Users of a subsystem are timekeepers of all divisions, HR department, OOTIZ and clerks – about 70 people. Besides, the subsystem rather densely interacts with other subsystems (the expense accounting of future periods, other implementation, production management, accounting with advance holders, etc.).
• 250 employees of the enterprise are trained.
• Within requirements of a System of the Management Reporting of holding the charge subsystem allowing to reflect transactions on the basis of these last months / arrangements with suppliers, metering devices and other factors is implemented.
• Within a subsystem Control of implementation is exercised document creation of shipment of oil products of the pipeline, automobile and by rail from the request of the client to the rail waybill.
• The enterprise is integrated into perimeter of consolidation of the companies of holding working for 1C.
  

The end of trial operation and input of a system in commercial operation took place 4/1/2013.

Users of a system is the staff of all divisions of the enterprise, 713 jobs are automated.

At the moment the following subsystems are put into commercial operation:

• production management and cost accounting of products;
• sales management;
• purchase management;
• inventory management;
• accounting;
• tax accounting;
• personnel management;
• management of OS and intangible assets;
• cash management;
• product data management – structure of a product;
• product data management – the production technology;
• vendor relationship management (SRM);
• order management of buyers;
• order management in production.
  

The deputy CEO for corporate development Mukhit Muratovich Mazhenov so commented on results of implementation:

"Plans for implementation within the performed works were implemented in full. It would be desirable to note that using the unified information system which covered most divisions of the plant will reach rather serious level of transparency of business processes, control of financial flows of the enterprise is substantially strengthened that in total allows to make rather weighed management decisions".