BPCL ERP Implementation

Group-6
• Implementation in two phases
• Project ENTRANS
• Selection of Vendors
• Scope of phases
• Objectives
• Areas to be addressed
• Benefits of implementation
• Obstacles to ERP
 Two Phase Implementation

CDP
(Conceptual Design and Planning)

DDI
(Detailed Design and Implementation)

ANNEX 3
 Enterprise Transformation
• Project steering committee: heads of all SBUs
•Two phases of implementation
• Conceptual design and planning
• Pricewaterhouse (PWC) Coopers
• Six months time line
• Detailed design and Implementation
• SAP India
• In house team of 70 SAP consultants with
inputs form PWC
• ASAP technology with 24 month timeline
 Two phase implementation

• Pilot implementation by
• IT Readiness and
• Proximity to project team
 Selection of SAP/R3

Business
Technology Oil Industry Vendor
Functionality credentials
Performance Specifics
Fit with throughput Localizatio
current Implem Market
Scalability n
requireme Fit with entatio share
nt hardware n in Oil Excise Financi
Fit with and network
future plan
industry MODV al
requireme Technical and AT strengt
nts design of the abroad Sales h
Options for product
Integration
support tax Technol
process
Ease of to oil ogy
flexibility
deployment
TDS
Ease of use accoun partner
Road map
Audit trail ting ship

(ANNEX 1)
 Conceptual Design and planning
Key modules
• FI/AM: Financial Accounting
• TR-CM: Cash management
• IM: Investment management
• MM: Materials management
• PM: Plant maintenance and service
• CIN: Country localization India version for
Excise, MODVAT, Sales tax, Octroi
• HR QM etc
(ANNEX 4)
Post Design and Implementation Phase
Post implementation benefits

●
Customer centric business model
●
E-business capabilities

●
Cost reduction to a huge extent
●
No need for major upgrades

●
Scalable solution
●
Member of SAP global advisory council
 Objectives under ERP

Bringing retail
Transition from Billing of all Customize
rental to profit outlets from existing SCM
outlets
basis BPCL machines module under SAP
Areas to be Integrated
Check
Real time pilferage
inventory
check

Automatic
reminders for
faulty machines

Employee
performance
monitoring

Single view
Entire process
 Rationale for ERP Investment
• Choice made but to move
• Three Options
Upgrade legacy system
Replace it in parts
Big bang implementation
• One ERP solution for all systems in 2 yrs time
• ERP Project Cost: few millions
Upfront capital very high
Justification: No cost benefit Analysis & Business way
requirement
Estimated Quantitative Benefits

Refinery Lubricants
5 Cr 11.5 Cr

Engg Retail
products logistics
4.8 Cr 5.6 Cr

Others Finance
10 Cr 5 Cr

(ANNEX 2)
 The new revolution
●
Dispensing pure ●
Pilfer proof
and correct padlocked tank
quantity oil trucks

Enhanced fuel Guaranteed Q

Proposition &Q

Courteous Efficient
service fuelling

●
Performance
●
Feel good factor to
monitoring
customers
measures
Revenue Generated after the
Implementation after ERP

Source: BPCL website

 Value ads

GPS system for BPCL truck tracking

Injecting BPCL culture

Training truck drivers

Employee satisfaction surveys

Voice of the customer portal

Number of complaints vs action

One minute IN & OUT option

ADDITIONAL BENEFITS

Partnership with SAP

Global industry advisory council

SAP customer competency

Centre
 Implementation challenges

Improve
Streamline Enrich
Communication competitive
process relationships
edge
 Areas of focus
Customer
Training focused
the trainers reorganization

Empowering Aggressive
knowledge implementation
transfer plan
 Selecting Team Members
• Hand pick the best for the Team
• Rules of Engagement
Short term
No career change
It was a challenge
• To each person:
The project was THE opportunity
Key requirements: SAP training academy

BPCL training Leverage on the current

academy to be average experience of the
transferred to BPCL- SAP consultants which is
SAP consulting wing close to 12 years

Core competence in Strong team of 70

downstream oil and gas, certified and
project management and experienced SAP
Development of core team consultants