Carrying out all-round finance control is a task that only seems easy to fulfill. Two-way integration based on the Microsoft Dynamics AX system allowed MC NTT, a company offering cutting edge telecommunication technologies and communication services, to eliminate the problem of data decentralization and obtain full control over the financial state of the enterprise on all levels.
About the client
MC NTT is a Rostelecom subsidiary established in 1995 in order to promote cutting edge technologies and communication services on the market. Cooperation with the leading provider of national and international communication allows MC NTT to provide its clients with communication services of the highest quality. In its work the operator strives towards domestic and international quality standards.
MC NTT offers a wide range of fixed communication services in Moscow and the Moscow Region. All services are duly certified.
The communication service provider maintains regular contacts with its clients paying specific attention to their desires in terms of the level and quality of customer service. In its work MC NTT strives to account for its clients’ needs and deliver the best result possible. This is why over 100 Russian and international companies have already become MC NTT subscribers.
Situation
Without a modern multi-functional finance system at MC NTT corporate finance management was intrinsic of data decentralization and irrational manhours when carrying out budget control on all levels. In order to efficiently manage corporate finance, create a unified financial data storage warehouse, improve budgeting and management accounting systems MC NTT made the decision to implement specialized software. Thus the necessary and timely step towards constructing an open and easily manageable system was made in the form of the project for the automation of the finance management system based on Microsoft Dynamics AX, which is a corporate standard for many Russian telecom operators.
Julia Filippova, Chief Accountant, MC NTT comments on the results of the work: “Initially the main reference books (such as clients, contracts) were formed in the billing system and subsequently moved on to the finance system. The billing system issued the invoices, data on which was then exported to the MC NTT finance system. At the same time payments from the “Bank-Client” system would be gathered in the finance system then imported to billing. Using Microsoft Dynamics AX we solved this situation of overly complex information flows by carrying out two-way integration of the billing system and the “Bank-Client” system in a unified information environment. Receipting is now conducted simultaneously in 2 systems: Microsoft Dynamics AX and billing. As a result we have obtained reliable financial information, operator errors have been brought down to zero, manual work has been decreased. For example, batch downloading of the most up-to-date information from the finance system is now conducted every 30 minutes”.
Solution
The full volume of works – design, implementation, post-project support and servicing – was laid upon GMCS consultants, who have unique experience in implementing IT projects in large telecom companies. The main requirement during the development of the automated system for MC NTT finance management was strict abidance by Russian legislation and international reporting standards. The ERP-class management system Microsoft Dynamics AX as well as the industry-specific business application GMCS Telecom, which allows to expand functional possibilities of the ERP-system with account of the particularities of the telecommunication industry, became the foundation for the implemented solution.
The project for automated MC NTT financial system implementation was conducted in 2 stages. Preliminary discussion with GMCS consultants allowed to determine the need for analytical information from the point of view of various users at MC NTT. Clearly defining the tasks and successfully solving them during implementation allowed to avoid the need for additional works after the launch of the IT system. As part of the project GMCS consultants developed the main components of the future automated finance management system that were approved by MC NTT. The following functions were among the automated processes: fixed and cash asset accounting, settlements with suppliers and clients, inventory control, customer relations, production cost calculation and determining the financial result in terms of services provided.
Results
As a result of the works conducted cash asset budgeting and cash asset requisition maintaining processes were automated. GMCS consultants designed corporate reporting forms for MC NTT, which fully correspond to the standards of the parent company (Rostelecom, OJSC). Moreover, Microsoft Dynamics AX was integrated with the human resource management and billing systems used by MC NTT.
The automated finance management system at MC NTT was launched in October 2007, just 6 months after the start of the project. GMCS currently carries out technical support of the finance management information system at MC NTT.
According to Olga Severyukhina, CFO, MC NT: “Work on this project was completed on schedule. We immediately found common ground with GMCS specialists, which greately contributed to the efficiency and effectiveness of our joint efforts. Microsoft Dynamics AX enabled the implementation of a budgeting mechanism and the unified integration of all existing systems, which previously operated separately and functionally duplicated each other. We now have all the tools that are necessary to conduct full-scale budget control, starting from the moment the payment requisition is formed. Unifying all financial subsystems into a single information environment offers the possibility to make balanced and proactive managerial decisions”.
Perspectives
At the moment a fully-functional automated finance management system based on Microsoft Dynamics AX operates at MC NTT. Reliable financial information, simplicity of control over financial processes at all levels – all this only contributes to the development and prosperity of the service provider, thus enabling it to constantly move forward.
Projects
