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Study of SAP R/3

Implementation in NFCLName Roll No

Harvinder 8

Sundeep Ankisetty 16

Amit Sahu 18

Kinshuk Das 19

Amandeep 22

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Introduction

The Company : NFCL

Specialization : Fertilizer company

Foot print : 14 states across country, 5 zonal

and 22 area offices.

Strong distribution network, 8500 dealers and 183

warehouses to support logistics

Primary reasons: Reaching large Farmer fraternity ,sharing of important data for suitable fertilizer to the

soil and crop etc.

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Agenda

Situations before ERP

IT Situation

Firms Readiness for ERP Implementation phases

Process changes

ERP Pilot

Go Live

Learnings

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Situation before ERP

Connectivity problem b/w branches and Head-

office

Communication was only through Floppies Report generation was centralized, only at

Head office. Hence no access to these reports

at branches

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Pros and cons of alternatives

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Readiness for ERP

No IT hardware supporting the ERP implementation

Business Process Reengineering has been done for 8

months in 1998 to be ready for an ERP solution

Integration of sales and distribution departments

eradicating duplication of data

Proposal to implement I-Kisan agri-portal and kiosks

for better customer services

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Readiness for ERP

Measures of Performance Identified

Eliminatesales order

Duplication

Consistencyin master

data

Real timeinformation

for Executives

EnhancedCredit check

Faster TAT inOrder

processing

WarehouseStock

planning

Dynamicallocation of 

transport

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Implementation structure

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IT infrastructure

Robust infrastructure support was required

for implementation of ERP.

Had to replace existing IT infrastructure withERP Compliant infrastructure

Develop connectivity through VSAT installation

Kiosks for Customer service in various areasnear to farmer fraternity

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IT Application

Implementation of SAP R/3 4.0 B at all departments

of the firm

Development of i-portals for better Customer

service.

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Benefits of ERP implementation

1. Monitoring and Control

 ± DSS for management from online data.

2. Marketing & development

 ± Reduction in order to payment cycle

 ± Information on New markets & for new &existing

Product development

 ± Formulating communication strategy

 ± Efficient customer complaint re dressal for

customer satisfaction

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Benefits in Sales

Sales

 ± Flexibility in pricing as per mkt. needs.

 ± Efficient dealer A/C management

 ± Less lead-time for issuing invoice, credit/debit

notes.

 ± Credit management: Reduced credit

 ± Exposure, reduce deviations

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Benefits in Distribution

Distribution

 ± Automation of Sales forces through hand held

devises

 ± Efficient execution of Indents, dispatches, Stocks

management & min. Tsp. Cost.

 ± Proper monitoring of movement

 ± Connectivity of WH to ERP system

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Customer Service

Implementation of Erp has enabled the firm to

concentrate on the core business improving

customer experience

Launched I- portal called I-Kisan to educate thefarmer

Successful integration of research data on soil tests

are shared to educate the farmer

Improvisation in Customer awareness about the firm

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Lessons Learnt