OREANDA-NEWS. On 30 April 2009 EuroChem, Russia’s largest mineral fertilizer producer, and Oracle Corporation announced successful deployment of Oracle E-Business Suite, a full-featured enterprise management system, at EuroChem’s key enterprises.

OJSC Mineral and Chemical Company EuroChem comprises mining and processing enteprises, logistics companies and a sales network in various parts of the world. EuroChem ranks among the top three European and top ten world leaders of the industry. The company’s annual turnover in 2008 amounted to USD 4.5 billion with over 70% of its products exported.

The holding company’s corporate information system is now used by its 2,000 plus employees, while its integrated information field encompasses its entire staff. Furthermore, the system covers actually all areas of OJSC EuroChem business activities, in particular, finance management, logistics and sales management, including supply chains, continuous production management, project management, personnel management and enterprise asset management.

The system was replicated by OJSC EuroChem in record short time, when in 2008 as few as twenty members of its staff deployed the required functionality at five plants. A pilot project to introduce Oracle E-Buisness Suite was started in 2005 at the holding company’s headquarters and one of its manufacturing enterprises (OJSC Nevinnomyssky Azot). Within the framework of that project, EuroChem’s project team, which subsequently replicated the system at the holding company’s other enterprises, underwent training guided by Oracle Consulting.

Introduction of Oracle E-Business Suite by OJSC EuroChem has been one of Europe’s most prominent projects in the recent years in terms of the volume of Oracle E-Business Suite functionality set in commercial operation, the number of end-users operating in an integrated information field and the quality of introduction.

This project, implemented at the level of the whole holding company, has given its executives a powerful tool of enterprise asset management, cost reduction, and ensuring a higher business transparency for shareholders and external investors. “We have achieved a major improvement in the quality of business and the company itself by managing our holding company with such world-renowned system as Oracle E-Business Suite, applied by the world production standard-bearers, such as POSCO and Alcoa. And we are confident that this is of no small importance for implementation of any strategic plans,” states OJSC EuroChem Director for Business System Development Vladimir Chibisov.

Implementation of the system has made it possible to increase shipment transparency, to reduce the volume of manual work of accountants at enterprises, to produce more accurate estimates of equipment’s final costs and to increase considerably reliability of reports and efiiciency of operations.

Efficiency and reliability of reporting is a tool for the company’s executives to ensure timely management decisions on the basis of necessary analysis comprising a great variety of dynamic factors. Oracle E-Business Suite automates joint operations of various structural units reducing the time of managerial decision-making, and achieves a more substantiated, accurate and hence efficient enterprise resource management. A high level of detail ensures transparency of reports, making them ready for analysis and comprehension not only by the company’s managers and founders, but also by potential investors.

The integrated corporate information system has been now deployed on a transnational level and is used by seven of the holding company’s manufacturing enterprises (OJSC Nevinnomyssky Azot, OJSC Novomoskovskaya Joint-Stock Company Azot, OJSC Kovdorsky Mining and Processing Combined Works, LLC Industrial Group Phosphorit, LLC EuroChem-BMU, Usolye affiliate of OJSC Kovdorsky Mining and Processing Combined Works , and LLC EuroChem-VolgaKaliy), as well as ten of its commercial structures (Headquarters of OJSC Mineral and Chemical Company EuroChem, EuroChem Trading GmbH, Harvester Shipmanagement Limited, EuroChem Trading USA Corporation, Representation Office of OJSC Mineral and Chemical Company EuroChemin in Rostov-on-Don, Representation Office of OJSC Mineral and Chemical Company EuroChemin in Kursk, Representation Office of OJSC Mineral and Chemical Company EuroChemin in Ukraine, Representation Office of OJSC Mineral and Chemical Company EuroChemin in the Republic of Belarus, Representation Office of Harvester Shipmanagement Limited in Novorossiysk, and EuroChem A.M. Limited).