About the client
Petersburg Transit Telecom (PTT) was established in January 2000. It is wholly owned by Telecominvest. PTT operates on the wholesale telecommunications market, providing services to fixed and mobile communication operators, as well as Internet-providers. The main services of PTT are connection of operator grids at local and inter-zone level, local and inter-zone traffic transit, data transfer and Internet access services.
Situation
The decision to implement a new system was made by Petersburg Transit Telecom management due to the fact that the company needed a more flexible and adjustable product, with open architecture for bookkeeping, tax accounting and accomplishing business management tasks, as well as in connection to the end of the support time offered by the supplier of the previous management information system.
Choice of solution
The main requirements set out by the client when selecting the automated management system were: full functionality of the system in terms of conducting bookkeeping, tax accounting, GAAP; presence of open interfaces within the system; simplicity of modification; possibility if quick changes to the system to conform with legislation; quality of technical support, as well as minimization of costs of implementation and support of the system in the future and risk minimization during system implementation, even in conditions of extremely tight schedules. In the end the decision was made in favor of the Microsoft Dynamics AX system.
When selecting the supplier of the solution the following criteria were considered: thorough expertise and existence of a number of successful projects in companies of the telecommunication industry, as well as the supplier’s ability to solve a wide range of tasks within the necessary functionality of offered solutions.
Thus, the main goal of the project was to automate financial, managerial and tax accounting in order to actualize the mechanism of presenting up to date and reliable information on the current state of economic activities of the enterprise so as to ensure valid and effective managerial decision-making.
Solution
A particularity of the project is its tight schedule: the project was implemented in 6 months. Launch of the Microsoft Dynamics AX system was conducted in two stages. During the first stage the RAS section was automated. The goal of the second stage was to launch the following sections: Tax Accounting, Managerial Accounting and International Accounting Standards (GAAP).
One of the complications of this implementation was the need to account for changes in legislation, both for companies in general in terms of VAT and for companies of the telecommunication market in terms of amendments to the Law on Communication. In order to solve this task GMCS specialists implemented the GMCS Telecom solution based on Microsoft Dynamics AX, which complies with the new design of agency settlements with service providers. Moreover, thanks to the professionalism and smooth operation of specialists of the executor and client the said changes did not affect the time frame of project completion.
Thus, during the project for PTT the following main functions were actualized within the system:
- Automated reporting through three accounting models (RAS, Tax Accounting, International Accounting Standards (GAAP)) using functionalities of GMCS Consolidation and GMCS Reporting, which are part of the GMCS Telecom solution.
- Reflecting operations in compliance with legislative requirements and internal regulations.
- Determining the value of a fixed asset unit through all accounting, including picking.
- Preparation of all primary forms in compliance with legislative requirements.
- Keeping the budget of cash assets using the GMCS Cash Flow module, which is part of the GMCS Telecom solution.
- Mechanism of separate cost accounting implemented.
Results
Currently bookkeeping, tax and managerial accounting, as well as accounting according to international standards (GAAP) have been launched into industrial operation at PTT.
The Microsoft Dynamics AX system is integrated into the unified information space of the company using designed interfaces with the billing, bank-client and BOSS-Kadrovik systems that are currently being used by the service provider.
As a result Petersburg transit Telecom was able to solve a whole range of difficult tasks, which allowed to gain several significant advantages:
- Decrease the time needed for the preparation of managerial reports and data, and increase their reliability;
- Implement software and dataware needed for managerial decision-making;
- Increase efficiency of servicing and internal control procedures;
- Cut time and the number of operations on manual entry of data into the system, eliminate double entry of data;
- Create conditions and mechanisms for the verification of information being entered and processed.
Projects
