OREANDA-NEWS. On September 04, 2007 JSC “IDGC of the Center” announced about project completion on setting up and launching a system for controlling business processes effectiveness on the basis of ARIS Process Performance Management (PPM). This is the first project on the Russian corporate market, reported the press-centre of JSC “IDGC of the Center”.

Work on improving business processes using BPM-platform ARIS in “IDGC of the Center” started in 2004. The first project wasment to develop strategic targets and a Balanced Scorecard. By that time, IDGC-1 had purchased a ARIS corporate license, which allowed to create additional an endless number of job places for simulating the processes.

In 2006 the company started to optimize and unify business processes within the framework of SAP R3 and quality management system, while planning to switch to a process-focused corporate management from 2007.  It was necessary to install an evaluation system of the business processes.

Hence, the grounds for installing ARI PPM  in JSC “IDGC of the Center” were:
- Establishment of a new operational management system;
- Demand for benchmarking of the operating business processes;
- Demand for a survey of business processes effectiveness;
- Necessity to install effective systems of survey and  assessment of results of organizational and structural adjustments;
- Enhancing the requirements for informational support in management decision making;
- Integration into a unified management system.

The outcome of the project on installing and launching the ARIS PPM-based process controlling system as was to enhance the transparency and the quality of business processes, the effectiveness of management, while defining the factual degree and level of automation of the controlled processes.

The ‘Technical Connection” (JSC “Belgorodenergo”), “Project Management” and “Financial Management” (JSC “IDGC of the Center”) were chosen as pilot projects.

The project general contractor is “Faynomika”, subcontractor – IDS Scheer Russia and CIS countries; IDS  Scheer EMEA, “KorSSis” and Sciener companies are the consultants.

The project was implemented in 4 stages from December 2006 till May 2007: diagnostics (business processes modeling, analysis of data source, and the development of a process controlling concept), the installation and configuration of software and hardware, testing (including staff training), competent usage.

In the course of the project the business process libraries (“as is” and “as it should be”), on execution chart were set up, data sources for pilot processes (different SAP R3 transaction models, which are the corporate standard in IDGC of the Center”) and process effectiveness check points were determined. A unified system of key performance indicator (KPI), including indices description, data sources for their change, valuation (time, financial, quality, quantity) etc was designed. The control panels in ARIS PPM with a process effectiveness indicator were adjusted.

All this allowed to create preconditions for the organization of a full ARIS-based business processes management life cycle in the company, including policy design, processes development and their implementation and further control.

This is the first project of such a type in Russia where an advanced solution, which has a limited number of competive products in the world, was applied.

“We have been cooperating with IDS Scheer  for 20 years. During this period we managed to do a lot in IDGC management system formation, - said Evgeny Makarov, the General Director of JSC “IDGC of the Center”. – I am sure the process focused approach to company management, which we  have implemented with IDS Scheer, will play an important role in providing operational transparency, and in enhancing the company’s investment attractiveness, but main thing remains offering qualitaty and accessible services to our customers.”

“The team dealt with a set task. In keeping with the best traditions of consulting, practices, experience and knowledge were shared, - said Stanislav Geraskin, the Head of the Project on behalf of IDS Scheer Russia and CIS countries, - the customer received a modern solution, based on the latest world practices in company controlling activities”.

The IDGC of the Center Directorate, which is purposefully aiming at a process focused approach in company management, received an opportunity to check, analyze and correct the usage of business processes on-line.

Semyon Schetinin, the Head of the Project on behalf of “Faynomka” Ltd  noted,  - “Successful project implementation will allow the IDGC Directorate to be quick in decisions, do business with a high level of information awareness on the actual situation, as well as, determine advantages received due to the improvement and automation of business processes.”

The transparent KPI control mechanism provides transparency of company subdivisions internal cooperation. Analytical potential both on process and non process indices as well as on detailed analysis of the current business processes automation level was expanded.

“IDGC of the Center is the leader in management system innovation, - Alexei Chernikov, the Managing Director of “Faynomika” said, - We are happy, that international cooperation is developping the competence of our staff and makes possible the implementation of the most ambitious (revolutionary) management changes taken on by the IDGC of the Center Directorate. All implemented projects are united by the concept of process focused management. Practice shows that every element of ARIS creates conditions for effective management of the company business processes.”

‘”The interest of the world companies to the automated system of business controlling is constantly growing. The number of such projects implemented by IDS Scheer is increasing. It is pleasant, that Russian companies are among the trail blazers to launch management innovations, - said Maria Kamennova, the General Director of IDS Scheer Russia and CIS countries. – The project in JSC “IDGC of the Center” is the first step in Russian power industry and a major project on establishinh ARIS PPM-based controlling over business processes. Its results will allow other companies of the industry to follow in the wake of the tested and advanced technological solution from IDS Scheer.”

In the future, IDGC of the Center plans to expand the ARIS PPM-based pilot processes solution  to new business processes and to the regional grid companies of its service area.