10 november 2009
GMCS put SAP behind the SOLLERS-Naberezhnye Chelny steering wheel
GMCS and the SOLLERS-Naberezhnye Chelny plant, which is part of the automotive giant SOLLERS (previously – Severstal Auto), announce the completion of implementation of an automated management system for the car assembly enterprise. 

As a result of project implementation full-scale support of production and financial business processes for SsangYong and FIAT car assembly at the SOLLERS-Naberezhnye Chelny production line is provided by a new information system constructed by GMCS based on cutting edge SAP solutions for the automotive industry.

The implemented solution ensures efficient management of the entirety of car assembly production processes by optimizing the production cycle, lowering unfinished production volumes, centralizing control over vehicle set and spare part deliveries, as well as improving transparency of product cost formation. The background for SOLLERS-Naberezhnye Chelny management optimization was the modernization of production capacities and the start of serial production of SsangYong four-by-fours and FIAT cars.

As part of the project GMCS consultants automated processes of operative management of production material flows; sales; fixed assets; addressed warehouse storage; maintenance, repair and overhaul (MRO); as well as bookkeeping and  management accounting. During implementation a strategy of simultaneous deployment of the system's functional volume was employed, thus allowing to significantly speed up the first results.

Special attention in the project was paid to implementing production management process in the system based on technologies provided by SAP solutions for automotive companies: SOLLERS-Naberezhnye Chelny is currently one of the largest car assembly enterprises in Russia that uses the Advanced Planner and Optimizer  (APO) system successfully used by many large automobile construction companies in the world. Thanks to the Advanced Planner and Optimizer system SOLLERS-Naberezhnye Chelny specialists are able to make timely adjustments to planned placement of vehicles on the conveyor belt based on information about the availability of necessary components in stock. The use of this approach allows to decrease unfinished production volumes and cut operational costs. In turn, thanks to implementation of lean production principles in the system SOLLERS-Naberezhnye Chelny was able to rationally allocate production capacities avoiding situations when conveyor belts would be overloaded or idle.

According to the client-company's wishes and with account of logistics particularities in production planning, GMCS consultants created a specialized instrument for SOLLERS-Naberezhnye Chelny enabling to combine a production model without intermediate products and an accounting system with intermediate products. As a result accounting of unfinished production is more accurate and managers of the car assembly enterprise receive up-to-date data on product costs. The system also includes a precise item-specific distribution of transport and preparation expenses that account for a large portion of the cost of products in the automotive industry.

The new SOLLERS-Naberezhnye Chelny management information is system stands out thanks to its flexibility and potential of further developing the solution. In particular, the created system supports various production strategies, including made-to-order production, which is especially important in current economic conditions. The SOLLERS-Naberezhnye Chelny automated management system based on SAP solutions is currently in industrial operation. Over 200 employees of the car assembly enterprise, including top managers, use the system.

"Now that we have a new instrument in the shape of a full-scale management information system at our disposal, our enterprise will be able to move forward towards achieving the goals set for the SOLLERS-Naberezhnye Chelny holding company for the near future," comments Mikhail Nosov, Head of IT at SOLLERS-Naberezhnye Chelny, on the results of the project. "The system ensures efficient management of key processes throughout the entire business flow: from ordering car parts and up to assembling and selling vehicles through the SOLLERS dealership network."

"Based on volume of accomplished tasks the project at SOLLERS-Naberezhnye Chelny is one of the largest IT projects in the automotive industry recently implemented in Russia and the CIS," notes Andrey Sapozhkov, Head of the SAP Solutions Department at GMCS. "The implemented solution contains all the main features that are necessary for a car assembly enterprise."

"SAP CIS is continuing to implement industry-specific business solutions, and our clients appreciate the power of these industry solutions. We are certain that the information system built by GMCS based on advanced SAP solutions for SOLLERS-Naberezhnye Chelny is universal for the industry in general. Thanks to this set of solutions auto dealerships will not just be able to efficiently interact with suppliers and distributors, but also analyze their economic results with comprehensive information support for strategic decision-making in production, logistics and planning," says Roman Zhuravlev, Deputy Director General for Key Client Support at SAP CIS.


SOLLERS – is the Russian automobile company which provides a full scope of automobile services comprising all stages from manufacturing up to sales and maintenance services. We own manufacturing facilities to produce Russian UAZ off-road vehicles, Korean SsangYong vehicles, FIAT light and commercial vehicles, Japanese ISUZU cargo trucks, as well as ZMZ petrol and diesel engines. Besides, our company is developing a car dealership network and owns a leasing division.

Since its establishment in 2002 the Company has put its efforts in developing the first-class solutions for customers in everything related to automobiles. It drives us in launching new models and constructing plants, opening new dealerships, developing customer services and creating the ideas which provide new opportunities for our consumers and inspire them to move forward.

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