Prodimex Holding (1C:ERP Agro-Industrial Complex)

2020: Implementation of "1C:ERP Agro-Industrial Complex"

The Prodimex group of companies is one of the largest agro-industrial holdings in Russia, owning more than 800 thousand hectares of land and engaged in the cultivation of sugar beets, grain and oilseeds. To improve and optimize accounting and tax accounting, the company decided to switch to a more modern and functional solution, choosing the configuration of the 1C:ERP Agro-Industrial Complex. In the process of implementation, in particular, the task was to automate cost calculations, distribution of costs and speed up the process of closing the month, which included working with a fleet of several thousand pieces of equipment. To solve industry problems, the ERP Band company was involved, specializing in the implementation of solutions for the agro-industrial sector.

Project objectives

The main objectives of the project were:

• Automation of accounting for the cost of work of vehicles and agricultural machines.
• Implementation of the mechanism for automatic distribution of costs, taking into account the specifics of income tax.
• Optimization of the month-end closing process for the fleet and the entire holding company in order to speed up reporting and reduce labor costs.

Solution Architecture and Implementation

The project was implemented on the basis of the 1C:ERP Agro-Industrial Complex, with the implementation of a number of specific improvements to the standard functionality to take into account the peculiarities of the work of agro-industrial enterprises.

• Accounting for the work of vehicles and agricultural machinery: added accounting for work in conventional production units and mechanisms for re-evaluation to actual values ​ ​ at the end of the year. This made it possible to accurately take into account the work of the equipment at the planned accounting prices.
• Distribution of tax costs: a mechanism has been developed that allows you to automatically allocate costs based on various bases, such as revenue, revenue from agricultural and other activities, as well as the share of waybills. This made it possible to more accurately account for expenses and determine income taxes.
• Algorithms for closing cost accounts: algorithms are implemented that take into account all lower divisions, both crop production and animal husbandry. Additionally, new bases have been introduced for the distribution of costs for rural and livestock production.
• Optimization of work with the fleet: automation of filling out income tax reports and optimization of the process of recording the work of vehicles were implemented, which made it possible to speed up the process of closing the month for more than several thousand units of equipment.

Project uniqueness

The project was unique due to the introduction of complex cost allocation and cost calculation algorithms with minimal changes in typical system mechanisms. This provided high flexibility and avoided significant improvements in standard accounting processes.

One of the key difficulties was the need to work with a huge amount of data - more than 900,000 hectares of fields and cost accounting for 100,000 fields, which required a thorough study of all accounting mechanisms.

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Фото: ERP Band

Project results

As a result of the implementation of the solution, the company has achieved significant improvements in its work:

• The speed of reporting has been increased by more than 5 times. This was made possible by the automation of a number of processes and the implementation of flexible cost sharing mechanisms.
• Flexibility in cost account closing mechanisms. It is possible to adjust the closure for various bases, including the costs of crop production and animal husbandry.
• Automation of income tax report. An effective mechanism has been implemented to automatically complete reports, which has reduced labor costs for preparing documents.
• Correct additional assessment of the cost of agricultural machinery and vehicles. Accounting for planned accounting prices and automatic additional valuation to actual values ​ ​ have significantly improved the year-end closing process.

The project became an example of successful automation of accounting and tax accounting, taking into account all the features of the agro-industrial industry and became the basis for further growth and development of the Prodimex group of companies.