PiLog Rus, the Russian division of the PiLog group of companies, has completed the design phase of its first client in the Agricultural sector.
For PiLog, entering the agricultural sector was regarded as a low risk addition to the many industries in which PiLog has delivered many successful projects. This was mainly because of the wide experience of the PiLog consultants and PiLogs Ontology in multiple languages. Also some of PiLogs consultants personally knew the industry very well in other parts of the world.
Reinhard Schiel, Regional CEO for PiLog Eastern Europe and Russia, said The ontology is absolutely key to a master data project. The extensiveness of PiLogs ontology was proven in the design phase of this project during which it was determined that less than 5% new templates were required to cover all the procurement Master Data. This is actually less than expected as every project requires a small percentage of unique templates. In this case we expected to encounter very specific templates, such as for veterinary items, as well as a few items that are very specific to their plant.
In Russia agriculture has become big business. Typically, companies have grown from a single farming entity through a series of mergers and acquisitions to become large corporate groups. Irina Krasnobryzhaya (CEO PiLog Rus) commented that with this growth the introduction of big business management systems came. It requires superior master data governance to bring together such a variety of business units and obtaining the benefits of combined and centralized management.
This client is fully integrated with business units covering all steps from seed production for feed, and the production of eggs, through to all the stages required to finally produce a host of chicken meat products, which are delivered to the large supermarket chains. The production volumes are enormous and requires detailed management and coordination between business units.
The aim of the project was initially to realize the benefits that can be achieved with centralized procurement with supportive master data governance, but as the PiLog consultants soon identified a number of other areas in which the company could easily pick additional low hanging fruits, PiLog agreed to extend the design phase scope, whilst remaining within budget.
Irina Krasnobryzhaya added that The first design phase was delivered within the original timeframe and within budget, to the satisfaction of the client. The wide experience of the PiLog team combined with PiLogs international expertise was key to the easy delivery of a very professional service; thereby providing the client with a result that went beyond the original scope of the project covering Master Data for materials, maintenance and stores verification. The PiLog team has identified the potential financial benefits that the client can gain in multiple areas.