Oil India’s Digital Leap: Migrating to S/4HANA ERP for a Future-Ready Enterprise

Summary

Oil India Limited, a key player in India's energy sector, has transformed its operations through ERP, enhancing efficiency across finance, HR, production, and supply chain. The ERP journey began in 2005 with the launch of Project Arohan and was driven by visionary leadership. Over time, it mapped over 1,600 processes and integrated external stakeholders. Today, with the transition to SAP S4 HANA, Oil India is embracing cutting-edge technology to drive innovation, improve operational efficiency, and empower employees. The shift to a digital-first approach is redefining how the company operates, positioning it for a future of continued progress.

Takeaways

• 😀 Oil India Limited (OIL) plays a crucial role in India's energy security as the national upstream oil and gas company.
• 😀 The ERP system implemented by OIL has significantly enhanced operational efficiency and integration across departments such as finance, human resources, production, and supply chain.
• 😀 OIL's ERP journey began in 2005 with the launch of Project Arohan, marking a shift from paper-based systems to a digital business framework.
• 😀 The ERP system at OIL went live on December 1, 2005, driving the transformation of the company's core business processes.
• 😀 The implementation of ERP was not only a technical change but also a cultural shift, requiring commitment and collaboration from all team members.
• 😀 From its inception, the ERP system has grown to manage over 1,600 business processes and connects with external stakeholders through 17 interfaces.
• 😀 The ERP system has automated many tasks, reducing manual work and enhancing the efficiency of day-to-day operations across various functions.
• 😀 Key benefits of ERP include real-time progress tracking, efficient procurement management, integrated financial operations, and streamlined hospital management for OIL.
• 😀 OIL is now transitioning to SAP S4 HANA on a private cloud, offering advanced analytics, mobile solutions, and increased speed, which promises further operational improvements.
• 😀 The implementation of SAP S4 HANA is seen as a major milestone, expected to bring greater efficiency, improved employee satisfaction, and a culture of innovation.
• 😀 The contributions of power users in refining the ERP system have been essential in ensuring its success and driving the company's digital transformation.

Q & A

What role does Oil India Limited play in India's energy security?

Oil India Limited is a cornerstone of India's energy security, acting as the country's national upstream oil and gas company. It plays a vital role in fueling growth, innovation, and progress by exploring hydrocarbons and delivering energy to millions.

Why did Oil India Limited implement an ERP system?

Oil India Limited implemented an ERP system to streamline its core business processes, enhance operational efficiency, and integrate functions across various departments, including finance, human resources, production, supply chain, and plant maintenance.

What was the significance of Project Arohan for Oil India Limited?

Project Arohan, launched in 2005, marked the transition from legacy paper-based systems to a digital environment, significantly enhancing business processes and operational efficiency at Oil India Limited.

What were the key features of the ERP system implemented at Oil India Limited?

The ERP system at Oil India Limited included integration across 1,600 business processes, 17 external interfaces, automation of tasks, and a reduction in manual work, impacting areas like drilling reports, procurement, inventory management, and financial accounting.

How did the ERP system improve user experience at Oil India Limited?

The ERP system improved user engagement through user-friendly applications like the HCM self-service app, making processes more streamlined and effective for employees.

What role did ERP play in Oil India Limited's accounting processes?

ERP fully integrated the accounting processes at Oil India Limited, handling everything from payments and receipts to the preparation of financial statements, ensuring greater accuracy and efficiency.

What new technology is Oil India Limited transitioning to with its ERP system?

Oil India Limited is transitioning to SAP S4 HANA on a private cloud, which offers advanced analytics, mobile solutions, and superior speed, marking a significant leap from the previous on-premise solution.

What improvements have been noticed in the testing of SAP S4 HANA?

During SAP S4 HANA testing, significant improvements in efficiency and effectiveness were observed, particularly in finance and accounting processes. Tasks like quarterly cycle completion were reduced from 3 days to just one, and real-time reporting was enhanced.

How does the mobile app feature of SAP S4 HANA benefit Oil India Limited?

The mobile app feature of SAP S4 HANA improves operational efficiency and boosts employee satisfaction by providing tailor-made functionalities to meet organizational needs, particularly for HR professionals and employees.

How does Oil India Limited view the role of ERP in its future?

Oil India Limited views its ERP system as the backbone of its spirit of innovation, efficiency, and progress. The company is committed to leveraging ERP to empower every process, team, and individual, driving future growth and success.