SAP ERP implementation project in DSK2

The system of SAP integrated all divisions of the company in a common information space and gave to the management an opportunity of control and planning of activity of the company in real time. All basic processes of productive activity and financial accounting entered an implementation scope:

• Project management;
• management of material flows;
• production management;
• sale;
• cost accounting and cost accounting;
• accounting;
• IFRS and tax accounting;
• management reporting and budgeting

The decision on implementation was made at the end of 2006. After the analysis of the ERP solutions prisutvuyushchy in the Russian market, it was revealed that SAP NetWeaver is the only system which allows to integrate in itself all business processes of construction on a single platform: expense optimization on the enterprise IT sphere, reduction of risk of loss of important information, a possibility of operational adaptation to business changes and also a system was ideal for the size of the enterprise. The management made the decision to begin the project covering the most part of primary activity of plant on the basis of the version of SAP ERP.

In DSK-2 much attention was paid to information support of the project during which for the staff of the company there was a corporate edition "Novosti Proyekta SAP ERP". Now in SAP 462 persons work, all divisions of the company are involved.

Project implementation as a result allowed the company to get the following quantitative advantages:

• Project management is Reduction of labor costs on project planning for 50%.
• Production planning is Reduction of labor costs on planning and reproduction planning for 25%.
• Purchase management is Reduction of labor costs on purchase management for 15%.
• Sales management is Reduction of labor costs on control of accomplishment of sales orders for 10-15%.
• Finance and reporting - Reduction of labor costs on preparation of the reporting and analytical activity for 50%.

The IBS company performs maintenance of a corporate information system of the House-building plant No. 2 (DSK-2) entering into PIK Group, one of the leading Russian public developers of large-scale housing projects in Moscow, the Moscow region and regions of Russia. Maintenance of construction activity and the supporting business processes is conducted in a corporate information system based on SAP ERP. DSK-2 selected from quality of the partner for rendering technical support and system maintenance the Service center for support of business applications of IBS company.

Within the outsourcing contract IBS will perform complex technical support: prevention and elimination of technical issues, user support and also change and development of a system upon the demand of the client.

All parameters of support (such as response time and problem solving) are recorded in the agreement on the service level (SLA). The agreement between the companies is signed for a year with a possibility of automatic prolongation. The main works on maintenance of a system are performed by IBS in the remote mode that allows to increase efficiency of problem solving and to reduce the cost of services.

"Relying on the qualified IBS resources, we solve problems of day-to-day running and ensuring smooth operation of the ERP system of the company with the guaranteed result. At the same time the scheme the offered IBS, allows us to plan accurately costs for support of a system for a year, regardless of emergence of unforeseen problems and possible growth of amount of works in the future" - Alexander Prygunkov, the Chief financial officer of JSC DSK-2 says.

The service center for support of business applications exists in IBS since 2006. Service quality of the center is confirmed with responses such to the company as: ALRO, ABB, Schneider Electric, Alpha Cement, Administration of Perm Krai, Bakhetle, Lukoil Oversiz and others. Main advantages of the Service center are: the work model on the basis of SLA including the financial responsibility of the outsourcer, existence of one of the largest teams of the SAP consultants in the Russian market, examination and experience of support of business applications, reasonable cost of services. In total during operating time more than 20 companies became clients of IBS in the direction of support of the systems of SAP.