Rusavto implemented an enterprise management system

On April 22, 2016 the Centre company reported^[1] about system implementation of 1C: Manufacturing Enterprise Management in Rusavto LLC company ^[2].

Project Tasks

The company management set the tasks of increase in the entering flow of clients and increase in profitability of production. It was for this purpose necessary to increase company competitiveness in the market - to reduce costs and to provide to clients more beneficial prices, to provide timely accomplishment of orders and to improve quality of products. It was required to adjust smooth operation of production, to optimize loading of the available production capacities and to organize operational supply with necessary resources.

Project Results

• Operating control behind accomplishment of orders at all stages of production process - after the date of transmission of materials in production before finished product output is organized. It allows the management to reveal timely failures in work of any section of production, to set origins of these failures (for example, the reasons defects emergence) and to quickly take measures for their elimination. As a result accomplishment of orders for production accelerated for 20%, losses from defects are reduced by 15%.
• A system helps to control accomplishment of production plans and to quickly adjust them according to the actual indicators - for example, to create purchasing requests and production of missing materials and component parts. It excludes both idle times on production, and emergence of excesses of material.
• Control of costs of the enterprise is strengthened, cost accounting accuracy increased. It helped the management to develop effective measures for production cost reduction. As a result cost value of production is reduced by 20%, profitability of production increased by 35%. The company had an opportunity to manage more flexibly price policy, its competitiveness in the market increased.
• Effective management of purchases of component parts, materials and spare parts for production is organized. A system provides the managers who are responsible for supply, information necessary for timely decision making about replenishment action, cutting of costs for purchases and the accurate organization of vendor interaction - beginning from selection of the optimal supplier, finishing with the choice of a method of acceptance of goods. Now at decrease in stocks to the predetermined level, a so-called order point, in a system the supplier order automatically forms. It helped to adjust a regular supply of production by quality materials and component parts.
• The system of pricing is optimized. Now the prices form taking into account up-to-date information about the prices of suppliers and competitors, accumulative discounts on discount cards of clients and also demand data and the offer in the market. The company could offer the clients the beneficial prices and actions, the flow of clients as a result entering increased by 1.5 times.
• Control of a remaining balance of materials and finished goods is strengthened. There was an opportunity to keep the detailed account of goods, materials and spare parts taking into account different parameters - colors, dimensions, serial numbers, etc. It allows managers to place optimum orders of buyers in supplier orders and to reserve goods in warehouses. Strict observance of terms of accomplishment of orders is as a result provided.
• Means of statistical analysis of stocks allowed to estimate attractiveness of each product by such criteria as a share of sales in turnover or the profit of the enterprise, stability of sales, an average term of storage, an expense for the period and turnover coefficient. The company could reveal plokhoprodavayemy and low-profitable products and reoriented production on release of more demanded products.

The system created on the basis of 1C: Manufacturing Enterprise Management helped us to bring indicators of work of the enterprise to new level: analyze and upgrade work of production, a warehouse, purchasing department and sales that led to achievement by us originally effective objectives - to increase in profitability of production by 35% and increase in a flow of clients by 1.5 times in comparison with the last quarter. We thank specialists of Centre company for the help in implementation of such project, important and significant for us. Ageev Mikhail Vladimirovich, acting director of the company of Rusavto

Notes

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