Kaluga Turbine Works implements SAP ERP in six months

Kaluga Turbine Works OJSC – a member of the Power Machines OJSC (the Russia’s leading producer and supplier of end-to-end products and solutions for the power-plant industry) has received a new production management tool based on SAP solutions. A principle of replication of the solutions successfully implemented in the parent company by SAP Consulting’ specialists has enabled to implement the project within a short period of time – six months.

Kaluga Turbine Works OJSC (hereinafter KTZ OJSC) with the number of employees over 4000 people is a member of the power engineering company called Power Machines where the SAP platform is a corporate standard. 

The creation of a unified management system at KTZ OJSC has become the most important task aimed at the company’s development and securing its competitive advantages, including by increasing the transparency of planning and cost optimization and by transitioning to a method of production planning and accounting based on parts and assembly units. The SAP solution has united the enterprise’s divisions into a single information space and made possible to control and change the key business processes in line with best SAP implementation practices. 

The SAP ERP implementation project has been realized using the program for unification of processes at the enterprises of Power Machines OJSC by replicating the SAP solutions used in the parent company. It has allowed to reduce the project realization time to six months, as well as to cut the project cost. 

“The project implementation deadline was set very tight, which complicated the task, but changes of this kind should be carried out promptly. Moreover, SAP is not only an informative system, but also a disciplining one. Having run the system, we realized that it does not allow to break the rules and regulations, to deviate from the specified scheme of business processes any more”, emphasized Alexander Yankovsky, IT Director of Power Machines OJSC.

“This project is a model for the Russian power machine building for a number of reasons. First, the solution created during the project implementation in Power Machines OJSC has become a corporate standard for Kaluga Turbine Works OJSC. It has allowed to realize the set goals in a short period of time – the transition to productive operation has taken place in six months since the start of the project. Second, we have applied a process approach to the formation of a functional scope and implementation, which has contributed to the increase of business processes efficiency in the enterprise and to the commitment of the staff and project team to achieve business results”, commented on the project Roman Zhuravlev, Consulting and Training Director, SAP CIS.