OREANDA-NEWS. December 2, 2011. KAMAZ has signed a corporate license agreement with SAP – one of the world’s leaders on the markets of enterprise applications.

The signing ceremony took place in Naberezhnye Chelny. Rustam Minnikhanov, President of the Republic of Tatarstan, Sergey Kogogin, Director General of OJSC KAMAZ, and Frank Cohen, President of SAP EMEA, were present at the signing ceremony. The new agreement enables to launch a five-year program to implement SAP solutions at enterprises of KAMAZ.

This document regulates long-term mutually beneficial cooperation between SAP and OJSC KAMAZ, which will help KAMAZ efficiently use SAP solutions to build a corporate management system.

It should be recalled that in 2007 KAMAZ Group decided to modernize production management processes, information management systems in the first place. The analysis was performed on a production management system and solutions relating to control systems automation offered on the market. In 2008 Director General issued an order to launch the project “Implementation of Production Scheduling Control Information System of KAMAZ Group”. SAP for Automotive was chosen as a basic system.

“It is obvious that KAMAZ’s positive experience will give other enterprises an occasion to take the same approach,” noted Sergey Kogogin, Director General of OJSC KAMAZ, after the agreement had been signed.

An economic effect from the new production management system makes over 500 million roubles. A shortage of inventory holdings was reduced by 25%, reduction in defectives at the main production department of the vehicle assembly plant was 10%. KAMAZ Group optimized operating costs, eliminated idle time, and made three working days free in a 20-day working month. The new production control system enabled to receive more accurate estimates of costs connected with produced vehicle sets.

After completion of works at the automobile plant, the enterprise started to develop an interplant delivery planning system. By the end of 2011 OJSC KAMAZ will have formed a logistic system uniting plants of the main production string. Long-term plans for development of the system include application of solutions for sales and dealer network management, management of Kama Press and Stamping Plant, improvement of systems of the financial and economic unit.

“The presence of the President of the Republic of Tatarstan at the signing ceremony emphasizes attention of the governing body of the Republic of Tatarstan to the development and introduction of innovation techniques, therefore this event is of primary importance for the development of SAP business in the Republic of Tatarstan – one of the key regions for SAP in Russia,” noted Frank Cohen.

Reference

OJSC KAMAZ is the leader of the Russian market ranking 11th among the world’s largest producers of heavy-duty trucks. KAMAZ vehicles are used in more than 80 countries. OJSC KAMAZ is a company well integrated into the global automobile industry. It established 4 joint ventures with the participation of the world’s leading producers of automobile components: ZF KAMA (gearboxes), CUMMINS KAMA (engines), KNORR-BREMSE KAMA (brake systems), and Federal Mogul Naberezhnye Chelny (details of a cylinder and piston group). OJSC KAMAZ became a winner of the national award “Company of the Year” in 2011 in the category “Automobile Industry”. The KAMAZ-master team is a ten-time winner of Dakar rally raids.

SAP is one of the global leaders on the market of corporate applications. SAP helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device, SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 170,000 customers worldwide (including Sybase clients) to operate profitably, adapt continuously, and grow sustainably.

In 1992 SAP AG opened its office in Moscow. The company has also opened its representative offices in Yekaterinburg, Saint-Petersburg, Novosibirsk, Rostov-on-Don, Almaty, Minsk, and Kiev during the last 19 years. SAP employs over 700 people in Russia.