SOCAR-STP has implemented a production ERP system SyteLine

2022: ERP Production System Implementation SyteLine

On May 17, 2022, FRONTSTEP CIS announced the implementation of the ERP SyteLine production system at the SOCAR-STP Plant (Azerbaijan).

According to the company, the work was carried out in the conditions of restrictive measures related to the pandemic, and in a short time for a project of this scale.

Due to the fact that SOCAR-STP is a production site on which there was no entrenched management practice, the business logic of industrial ERP SyteLine formed the basis of the integrated plant management system.

Project implementation stages by FRONTSTEP CIS and APERTECH experts:

• 1 stage. Survey and questionnaire of employees: work was carried out in the mode of audio and, videoconferences exchange data and documents.
• Stage 2. Configuration of the prototype management system based on ERP SyteLine: based on the results of the previous stage, a prototype system was created, the solution was implemented in the English version of the interface.
• Stage 3. Training employees, data entry and configuration of user workplaces: work was carried out remotely, and was iterative: as you entered, the information working user interface of managers of various services clearly presented the relevant data necessary for the work.
• Stage 4. Set up performance monitoring and analysis functions: A list of events is defined, the occurrence of which by sending messages by e-mail is automatically alerted to the Company Management. To make management decisions, the corresponding documents are routed, which pass the entire  negotiation chain  in an automated mode, moving along a pre-built  route.

Managers panels have also been created to monitor operational data in real mode with indication of critical deviations from the systematic operation of the enterprise.

The functionality of the system was put into operation sequentially. First of all, the basic Regulatory Information was introduced into ERP SyteLine, which made it possible to implement a set of tasks related to the construction of a management system. Next, the Logistics loop was implemented, and SOCAR-STP management now manages all materials in a single ERP system. The financial and accounting blocks were fully implemented "inside" ERP, SyteLine during commissioning minimal settings and improvements were required, for the transparency of the entered data, the functionality of Trial Balance was expanded with the ability to deploy to the final posting, as well as to build a balance by company analysts. All business-related activities automatically generate data in the system for financial analysis and fiscal reporting. The task of transferring VAT directly to the Treasury of the Republic of Azerbaijan was also solved. Treasury management includes enterprise asset management with the ultimate goal of managing a firm's liquidity and reducing its operational, financial and reputational risks. Treasury management includes payments, investment and financial activities of the firm.

From the vendor balance sheet, payment documents are created with different dimensions. The documents are confirmed by the authorized persons, after which the data are sent for payment. The results of the work of the project team and SOCAR-STP employees made it possible to begin the implementation of the main task - Production Management, since all technical and organizational conditions for its solution were created.

The data collection system is implemented through the Data Collection barcode. Electronic information terminals and kiosks record the beginning - completion of operations, release of parts and assemblies, working time.

Castomization of the Solution was carried out under the requirements of specific consumers by making changes to the basic functionality in ERP SyteLine. In particular, the following functionality is implemented:

• Selection of competitive supplier offers. RFQ places purchase requests for goods and services, gives access to potential suppliers with the ability to place their offers with a price, delivery dates, payment terms, volume discounts, logistics before a certain date. Each request has a limited deadline for accepting bids, after which a vendor summary table is automatically generated. The summary table is confirmed by the company responsible, and the purchase order is automatically created after the final decision.
• Automatically Create master contracts and their attachments after you enter basic data in the system.
• Ranking of vendors. This form of evaluation is necessary to monitor and analyze supplier performance in order to manage risks and costs, as well as to maintain an appropriate level of product quality.
• The ranking of suppliers is based on a set of parameters. For example, quality, fulfillment of obligations, competence, availability of certificates, production facilities, level of interaction, and so on. Thus, data is accumulated and a portfolio of best-in-class suppliers is formed.
• Customs Declaration Management Module. The declaration is carried out by forming and submitting to the customs authorities information on the customs procedure for the movement of goods and vehicles, as well as other information necessary for customs purposes, in the established form. The module is integrated with the purchasing module, all the necessary information is recorded and linked to the supplier order. The necessary files are attached and the status of the distribution of customs services and duties on the value of the goods during capitalization to the warehouse is controlled.
• The module for controlling the access of cars to the territory of the company allows you to track through the driver registration system and cargo tied to contracts and suppliers, record the arrival in the system and predict unloading to warehouses.
• Chat inside the Chat System.All function modules and business processes are accompanied by information exchange between employees, tasks are set in the chat, responsibility is assigned, current management issues are discussed, decisions are made and approved. The entire history for each module is saved and can be used at any time.

Our company was engaged in automation of production activities. I want to note that despite the fact that the formation of the staff of SOCAR-STP took place over time, the work inside the enterprise was professional - for each newly accepted employee its place in the structure of the company and its business processes was clearly defined. All this is the merit of SOCAR-STP top management, which has experience and competencies  in the field of production management. As an example, accurate and reasonable setting of tasks when configuring user interfaces of managers of various services: in accordance with the division of authority, duties, and a set of data necessary for work. As a result, each workplace in ERP SyteLine organized on the principle of "necessary and enough," without excesses. said Musin Vladimir, General Director of FRONTSTEP CIS

{{quote 'author
= told Anar Bayramov, CEO of APERTECH'By automating the financial management loop, we identified processes that should be supported through the financial function, developed a detailed implementation plan and implemented a set of solutions to achieve the client's goals. This is a labor-intensive activity that required the systematization of not only routine operations and reduction of working time losses, as well as the development of a financial strategy. As a result, accounting and management accounting are automated and synchronized with IFRS reporting, financial indicators and their deviations are monitored. During the information entry process, we checked whether SOCAR-STP's management and fiscal records were correctly displayed and made sure that the optimization of processes and solutions to enhance functionality were in line with the customer's objectives.}}