OREANDA-NEWS. 19 June 19, 2013. Four divisions of TATNEFT have completed automation of financial and economic activities based on SAP ERP. The project has been carried out by specialists of Energy Consulting within the framework of the corporate financial management system replication in subdivisions of unrelated activities.

The main result of this work is the successful submission of quarterly financial, management and tax statements in the following subdivisions of the company: Regulatory Research Station, Engineering Center, Tatar Geological Exploration Department, as well as the Representative Office of TATNEFT in Moscow.

The project has been completed in the course of the program on developing a system for the preparation of SAP ERP-based consolidated financial statements in OJSC TATNEFT. Within the framework of the project some certain off-the-shelf solutions in the field of financial, tax and management accounting have been developed and implemented. As well, the Company has substituted its FORT software for a new platform - SAP ERP.

The financial and economic activity of the Company has been automated in record-breaking short time: just in four months after the integration testing of standard project solutions the system has been adapted to the business processes of each of its divisions and has been put into commercial operation. Over the next three months, these divisions have successfully formed their monthly and quarterly financial statements in this new system.

Elena Loboiko, Deputy General Director of Energy Consulting: "In order to launch SAP in medium and small subdivisions of OJSC TATNEFT we have applied a type assignment experience gained earlier in oil and gas production departments and in other major business units. However, despite the apparent simplicity of the implementation process in some individual divisions, the project as a whole in a view of the number and complexity of assignments is comparable to the designing a ERP system for a large enterprise".

Employees of Energy Consulting/Tatneft (the Energy Consulting Group) have been fully engaged in this project. Energy Consulting/Tatneft is the first specialized company in Tatarstan for the support of SAP-based business applications. Among the objectives of Energy Consulting/ TATNEFT in this project we should pay attention to an analysis of launched project solutions in terms of absence of any discrepancies with other systems being already in commercial operation.
Tatiana Zakharova, Deputy Head of Accounting & Financial Statements Department in OJSC TATNEFT: "This project is very important for us, as it is the final stage in the transfer of all accounting processes of TATNEFT into SAP and designing a unified information system for the preparation of consolidated financial statements in the Company".

Now, after transfer of all divisions for the use of standard business operations and unified analytical attributes and facilities, the project team shall do a great methodological work. One should make an analysis of all available forms of consolidated financial statements, describe and actualize their composition, design algorithms for the collection and preparation of consolidated financial statements and implement them in the system.

Further replication of this new system landscape based on the SAP ERP platform will continue in the Executive Office of OJSC TATNEFT, TATNIPINEFT, Lease Relations Department, the Bugulma Mechanical Plant, motor transport enterprise, in branches of the Company.

The new system will not only give support to bookkeeping, financial accounting, cost accounting and tax accounting. It will also help in the preparation of such elements of the consolidated financial statements as unified balance sheet, unified income statement, unified payables & receivables database etc. In the forthcoming future, the Company intends to launch the functionality that enables to calculate provisions for doubtful debts automatically.