Founded in 2004, PIPE SYSTEM specializes in two major lines of business: the first one centers around wholesales and retailing of pipes, water supply and sewerage systems, while the second focuses entirely on the construction industry and installation projects.
Throughout the years, PIPE SYSTEM has gradually augmented the number of services and products offered, thus altering company’s organizational structure to adequately meet the requirements of the changing environment. Operating two warehouses – one in Sofia and one near Burgas, PIPE SYSTEM provides jobs for over 100 full-time employees and hundreds of project subcontractors, depending on workload. Today, it is one of the leading companies on the Bulgarian market within the water supply and pipe installations sector. But what facilitates their lucrative results?
Since its establishment, the company has relied on IT to aid its business processes. Initially, various software applications were in use for each department – i.e. there was an accounting software application, which depicted cash flows; an inventory management program that monitored availability of materials and coordinated sales; and the most widely used tool was Microsoft Excel spreadsheets where each division entered their data and insights, keeping them archived within their own back offices.
As the business developed, processes grew more complex, scope of operations expanded, and the initial efficiency and usefulness of the numerous non-integrated pieces of software instruments became obsolete. Workload was increasing progressively and Еxcel was not being time-wise efficient anymore, as each division was using different sheet for reporting.
Some of the foremost difficulties that PIPE SYSTEM faced were duplication of data entered throughout all the applications in use due to the lack of a centralized data source, issues in cost reporting for construction projects, pricing formulation, waste of time resources and misplaced efforts, and limited capabilities for real time reporting and analyses.The solution was one – deploying an ERP system to boost efficiency and optimize all evident business processes: from accounting through inventory management to database management, and interchangeability
Soon after the strategic decision was made, PIPE SYSTEM management received an ample commendation by a distinctive partner for the performance of Microsoft Dynamics business solutions. “We wanted what they had” explains Mrs. Guneva. Eventually, the company initiated the implementation project of Microsoft Dynamics AX.
Being kindly referred to benefit from the deep expertise and know-how of Intelligent Systems Bulgaria, PIPE SYSTEM chose them for deployment partner. “Intelligent Systems Bulgaria is a reliable partner that can be trusted in such vital projects. They possess highly skilled team of professionals who completely supported us during the process of deployment.” states Mrs. Guneva.
Another reason that enhanced PIPE SYSTEM’s decision to work with Intelligent Systems Bulgaria was the integrator introduced SPLA licensing model benefits to them. Through SPLA model the company pay on monthly basis solely for actual consumption generated without any additional taxed or commissions and with no initial solid investment in soft-ware or hardware. In that manner, PIPE SYSTEM receives more flexibility in today’s dynamically altering business environment; significantly decrease system maintenance expenses; reaches faster ROI; and many more. In addition, Intelligent Systems possess experience in providing ERP systems in the form of Cloud services within the construction industry.
Within a few months after the start of the project Intelligent Systems have already implemented the modules and functionalities that PIPE SYSTEM sought: General ledger for finance operations, Accounts payable, Accounts receivable, Inventory management, Project management, Intercompany functionality, and CRM. In an attempt to enhance company’s key processes, Intelligent Systems also developed a large number of new functionalities including:
- Support for maintaining construction job lists in the system;
- Import from Excel of the list of jobs/activities from prospects in order to facilitate the bidding process;
- Price-formation of the jobs with the help of construction norms and activities;
- Contracts management for investor contractors as well as sub-contractors;
- Automatic invoicing proposal according to the finished quantities of the different jobs for specific period;
- Automatic proposal for consumption of materials based on the finished quantities and the construction norms;
- Numerous reports and print forms specific for the construction business.
As an add-on, Intelligent Systems integrated the unified software solution with Microsoft’s online service Office 365, which combines all familiar applications from Microsoft Office – Excel, Word, PowerPoint, etc. Through these means PIPE SYSTEM obtains a complete set of corporate class tools with recognizable interface, speed, and predictable monthly fee.
The integrated solution Microsoft Dynamics AX streamlined every key business process of PIPE SYSTEM. Some of the major benefits are:
- Quick return on investment (ROI) due to small initial cost for soft- and hardware
- Option of modification of the hired resources in accordance with business needs and environment dynamics
- Automatic data update and information flow throughout all divisions
- Quick real time access to information
- Easy pricing formulation and sales processes optimization
- Improved time management of employees
- Amended communication
- Detailed reports and analyses based on KPIs
- Enhanced planning throughout all departments
PIPE SYSTEM’s management, being thrilled by the added value of the ERP software, intends to introduce further Business Intelligence (BI) solution to supplement operations and expansion, bringing the company to the next level. Within the future developments they prepare to include additional functionalities to the existing CRM module, and to dive deeper into reporting and analysis while dividing budget per activity to generate distinct contributions to bottom line.
“Intelligent Systems maintains and adds complementary functionalities to the ERP, aiming to most favorably satisfy our business needs. We are pleased to be working with such a reliable partner with yet extensive expertise”, comments Mrs. Guneva.
We realized that our employees were operationally overloaded as the data was being entered manually by each department in their own software application.
We needed automatic data flow within one unified system to optimize our resources utilization and we required one sole information source.