«Kazakhstan Petrochemical Industries Inc.»
(«Казахстан Петрокемикал Индастриз Инк.»)
Limited Liability Partnership

An important step towards digitalizing of KPI

28 April
2021
An important step towards digitalizing of KPI

The Kazakhstan Petrochemical Industries (KPI) petrochemical complex under construction in the Atyrau region will become the country's first fully digital plant. An important step towards digitalization of the enterprise is the integrated implementation of the SAP S/4HANA system.

SAP S/4HANA is a new generation corporate ERP system designed to fully automate management and accounting processes. This KPI project includes not only the launch of basic modules (ERP), but also production planning systems, integration with existing production systems (MES, LIMS) and a repair planning system, as well as the launch of a single digital window (business intelligence tool).

The implementation of SAP S/4HANA, taking into account the need to transfer a large amount of data and integrate all information systems of the enterprise, was decided to be carried out in 3 stages. As part of the first stage ("Early start"), from the beginning of this year, KPI employees do such operations in the system as maintaining contracts and data on suppliers, materials and services, registering cargo customs declarations, invoices, and requirements for materials and services, reflection of receipts, formation of orders, accounting for the absence and presence of personnel, payments for business trips and calculation of wages, establishment and processing of bank statements, etc. Thus, the main routine corporate business processes are automated.

Currently, at the second stage of the project, preparations are underway for the launch of the SAP BPC program, with the help of which the KPI will automatically develop, adjust, agree and approve the annual budget, as well as its execution and control. The necessary methodological documents and budget forms have already been developed. Now they are setting up operating and master budgets, as well as testing the system itself.

At the third final stage of the project, critical for the company modules for production and repair planning, integration with other systems will be implemented. A single digital window will also be deployed - the latest visualization and business intelligence tool that contains key performance indicators of the enterprise and combines data from various systems. A single digital window provides complete, transparent and uniform information about the plant's operation for making effective management decisions. It is noteworthy that this window is intended not only for the head of the enterprise, but is also a "workplace" for the operational activities of cross-functional teams.

The experience of integrated implementation of SAP S/4HANA in KPI can be considered for replication in other companies of the “KazMunayGas” group.

The project started in March 2020 at the same time as the global pandemic began. Curiously, most of the implementation participants from the KPI and the “Accenture” contractor have never met in person. All work: from daily discussion to employee training, integration and acceptance testing, is carried out remotely without loss of efficiency.