Presented by : Group 6

Implementation @

BPCL

AGENDA
About BPCL (Bharat Petroleum). IT initiative @ BPCL. Introduction to ERP ERP implementation @ BPCL. Benefits of ERP.

BPCL
1951- Government of India entered into an agreement

with BURMAH OIL COMPANY & SHELL PETROLEUM Co. 1952- Incorporation of Burmah-Shell oil refineries. 1975- Acquisition of Burmah-shell by Govt. of India. Govt. changes name to BHARAT REFINERIES. 1976- Govt. of India acquired 100% shares. 1977- Name changed to Bharat Petroleum Corporation ltd.

Effect of Economic Reform

BPCL entered into marketing contracts with Indo-

Burmah Petroleum (IBP), Madras Refineries Ltd (MRL) and Cochin Refineries Ltd (CRL). Pulling back of 30% share from financial institution & Mutual funds. 1990- Indias 2nd largest oil company in market shares 1993- Tied up with Shell Bharat Shell Ltd
To Launched Lubricants.
Marketed by BPCL & BSL.

 1996- IT initiatives takes place to retains its market

in Post APM era. 1998-99- Disinvestment of 26% stakes from one of the Nvaratnas. 1999- Acquisition of 32% of Indo-British Petroleum Stake. 2001- BPCL nationwide retail n/w 4500 outlets.
60% outlets company owned or leased. Highest % among Oil PSUs.

2000- market share 32%- petrol 27%- diesel

Post APM era APM- Administered Pricing Mechanism was

introduced in 1976. Used for petro products and supplanted the role of the market through command and control. APM compensated Producers, Refiners, and Marketers for operating costs and gave them assured return on their assets. With abolition of APM , private players were allowed to enter oil sector.

IT Initiatives @ BPCL
Began in 1996
Divided into 3- pronged strategy To create Communication Network To Create basic Information Network for entire

corporation
To Process Transactions with all customer.

Reasons
Problem Before IT Procedures were not streamed line Poor communication channel Difficulties in faster decision making Obstruction in companys activity by communication network. High cost in traditional communication . Problems in quick access to executives. Not able to communicate with recipients over multiple location. To Overcome these BPCL : Decided to establish Intranet. Choose Microsoft Exchange server Platform

BPCL INTRANET SERVER:

Window NT Server & Exchange Server BPCL connected three location on VSAT based N/W. Bandwidth- 64 Kb/sec To share TDM/TDMA access. VSAT n/w rated as

Ease of Deployment Speed of mail delivery Zero message loss & response time

BPCL corporate office is connected with various

regional offices and users via this VSAT hub in bangalore.

Other IT initiatives :

Implemented various application To facilitate information retrieval from corporate database, including intranet applications that allowed employees to access and update personnel records. Introduced QBM (Query By Mail): By this remote users could extract business transactions from corporate database. This system based on WAN bandwidth And scheduled database queries at night

Then BPCL planned to implement ERP solution to face

the challenges of an imbalance between refining and marketing.

ERP
Is a software driven business management system that

helps to integrate all functions of a business like

ERP in India
Early Users:

The Indian ERP Market:

8000
6000 4000 2000 0 in Rs. Million

 SAP R/3 Modules:

Financial Accounting Controlling Asset Management Project System Workflow Industry Solution Human Resources Plant Maintenance Quality Management Production Planning Material Management Sales Distribution

ERP Implementation @ BPCL

Implemented SAP R/3s Modules. Consultants are Coopers & Lybrand. April 2001- Frist phase of ERP implementation satarts For Online Business Security of BPCL Sun Ultra 5 Firewalls Real Secure Internet Scanner Floodgate Web Trend Web Sense

 Also implemented Tivoli ESM (Enterprise System

Management) solution. 2001- First Indian Company in oil Industry to have ERP BPCL Server Architecture:
THE SERVER ARCHITECTURE SAP Servers Production Server SAP, Oracle DB Server DB Failover Server Class Servers HP N HP N MHz 440MHz-CPUs 6CPUs Memory 4Gb 4Gb

Quality Assurance Server

Development Server

HP L
HP L

2CPUs
2 CPUs

2Gb
2Gb

Storage server HP sure store E disk array XP 256 with- 2TB HD, 6Gb Cache Mem. HR Servers- HR production Server, HR QAS and HR development server, which had the same configuration as production servers.

 SAP R/3 helped BPCL to launch its e-biz

initiatives. To track the I & C customers to tack the status of their orders online. To retain existing customers. Management of inventory become easier and time saving. Cash Management become easier. Tracking of Petro cards and Fleet cards inventory. Integration of manufacturing Execution System of its refinery with the system.