Magnitogorsk Iron and Steel Works (MMK) has successfully adopted a new corporate information system (CIS) based on Oracle e-Business Suite v.12 technology.
The previous version of Oracle e-Business Suite (EBS) has been used by MMK since 2004. MMK’s incorporation of Oracle EBS into its corporate information system has been recognized by Oracle as the most successful example among similar initiatives in Europe, the Middle East and Africa. Over time it has become necessary to update to a new version of Oracle EBS and particularly, to optimize business processes by replacing our own IT developments with the more standard and newer version of Oracle and to create a single IT platform to be used by all enterprises in MMK Group.
In February 2018, MMK signed an agreement with Oracle for the incorporation of the 12th version of Oracle EBS into MMK’s corporate information system, as well as those of the United Service Company (USC) and MMK Metiz. The project requires the participation of both management and specialists from all structural units of the companies involved. The project manager from MMK is its Director for Economics Andrey Eremin.
“Since the start of 2018, the team has been working hard alongside Oracle consultants on the transition to the new corporate information system – on its configuration, data conversion and user training. Progress has also been made towards the optimization of MMK Group’s business processes by adopting a unified corporate information system. The new CIS will alter management of production (both continuous and discrete) inventories, repairs and purchases (including an e-trading platform), finances, personnel (including payroll), projects, orders and sales. Information streams have also been se t up in order to provide data for modeling the enterprise’s processes and for predicting the results of its activity. We have successfully reduced the number of old customizations and the updates have significantly increased the company’s efficiency,” says Andrey Eremin.
All preparations for the transition to the new version of Oracle EBS were completed on time. Thus, the first part of the project has been completed. The second stage of the project, during which MMK Metiz and USC will start using the CIS supported by the new version of Oracle EBS, will be completed in July. The company also has plans to introduce this CIS into the machine-building division of MMK Group, Mekhanoremontny Komplex, as well as into a number of other enterprises in the group.
The corporate information system will not only record the company’s business-related activity, but will also monitor the entire chain of production processes, the condition of all large mills and units, and equipment idleness and repairs. The system presents real-time data on the activity of the enterprise in question, allowing company management to make informed decisions based on readily available information. (MMK/Ukrainian metal)