30 october 2007
GMCS to build Naryanmarneftegas finance management system
GMCS has started a rollout of the corporate finance management system project at Naryanmarneftegas, a joint venture between LUKOIL and ConocoPhillips, a US oil company. 

Finance management optimization becomes the first phase of establishing an integrated corporate management system. The objectives of this project will be achieved by implementing the GMCS oil&gas industry solution based on Microsoft Dynamics AX.

It is essential for Naryanmarneftegas as a joint venture between Russian and U.S. oil holding companies to have its record keeping meet both Russian and GAAP standards. When this project is implemented, Naryanmarneftegas financial activities will be completely transparent and easy to analyze for the executives of both managing companies, LUKOIL and ConocoPhillips.

Strategically, the project is divided into two phases so as to minimize risks when implementing a full-scale resource management system for Naryanmarneftegas. The key objective at Phase I is to improve business efficiency and control through accurate on-line financial data on company performance. To achieve this, GMCS consultants will automate key business processes in the sphere of finance management: finance, tax and management accounting as well as reporting according to GAAP standards. At Phase I, GMCS will optimize corporate finance system as well as remote warehouses management.

At Phase II, GMCS is expected to re-engineer and automate the budgeting process as well as other business processes of the oil company such as holding tenders, project management, etc.

The key business objectives of this oil and gas company will be achieved by implementing the GMCS oil&gas, an energy-sector specific solution developed by the GMCS team. The customized GMCS solution expands the basic functionality of Microsoft Dynamics AX and covers the company demands for accounting according to the policies existing at this company as well as for creating corporate reports in line with company standards. The GMCS oil&gas software product and the consulting company’s successful experience of optimizing management of oil and gas producing companies have been recognized by Microsoft. Microsoft named GMCS its leading partner in building management systems based on Microsoft Dynamics solutions for the oil and gas sector in the financial year 2007.

"Implementing full-featured solutions in oil and gas companies is one of strategic business areas for GMCS," says Ilya Drozman, GMCS Microsoft Department Director. "The Naryanmarneftegas project is a great responsibility and an excellent opportunity to widen the functionality of our business application to provide solutions for a larger scope of tasks the energy sector companies have to deal with. We hope that our experience of working together with the Naryanmarneftegas specialists will set a starting point for automation of business processes in the energy sector companies with a new level of quality."

The NMNG corporate finance management system is expected to be put into operation in early 2008.

About Naryanmarneftegas

Naryanmarneftegas is a joint venture between LUKOIL and ConocoPhillips established in 2005 to develop hydrocarbons in Russia.

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