About "Kazakhstan Aluminum Smelter" JSC
Kazakhstan Aluminum Smelter JSC is the only company in Kazakhstan that produces primary aluminium. The company is one of the five breakthrough projects implemented in Pavlodar region. The first phase of the plant was commissioned in December 2007. At the moment, the second phase of construction is on, along with other production objects that allow reducing production costs.
Business challenge
The company used to apply the automated system based on “1C:Enterprise 7.7”, but due to the increase of production, workflow and information base it became necessary to carry out a transition to a higher level of automation.
The main requirements to the new system were:
- Organizing objects construction process accounting
- Controlling fixed assets costs and acceptance
- Transferring the accounting system to the IFRS chart of accounts
- Reducing the volume of manual information processing
- Automating cost calculation process
- Reducing the complexity of corporate reporting collection
- Streamlining the accounting of a large number of contracts with suppliers and contractors
- Providing a fully functional tool for planning and controlling of cash for financial department
- Providing a convenient accounting mechanism for transport department
Solution description
Good previous experience with 1C products helped to create a clear vision: “1C:Manufacturing Enterprise Management 8” was the right product for Kazakhstan Aluminum Smelter JSC and would bring many benefits. The main reasons choosing for this system were as follows:
- More functionality and flexibility
- High scalability
- Functionality of management accounting
- Solution complexity
Project results
- Holistic information system containing full information by financial and material flows of the company with once information input was formed
- New NFRS Chart of accounts was implemented (based on IFRS)
- Bookkeeping department receives comprehensive information on equipment and components acceptance certificates
- Semi-finished products and products costs calculation processes are successfully operating now. Additional developed package of reporting has been taken for more accurate costs calculation
- For formation of objective payroll and quick recruitment decision-making, actual staff information base was formed
- Many routine operations are excluded
- Primary information input is simplified for foremen, warehouse keepers, financiers and purchasing managers
- Accounting and analytical information quality and plant manageability were significantly improved
