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BHARAT PETROLEUM CORPORATION LIMITED

SELECTION OF ERP STRATEGY


A comparison between two approaches: Without Process Engineering Tangible benefits, quick implementation Process changes are software driven Mere Automation and integration, leads to downsizing of workforce Selected With process reengineering Long term benefits, slow in implementation Software adapts to standardized processes Long implementation time may cost in terms of firms agility in todays dynamic markets. Rejected

SELECTING ERP VENDOR


Selection process: IS plan team mapped all the major processes in BPCL and created over 600 process maps The team developed a detailed requirement -list and a comprehensive questionnaire based on these processes and wrote a number of scripts in order to capture significant business scenarios. The requirement-list and questionnaire served the purpose of pre-selecting/validating the ERP products for detailed evaluation, while the scripts were used in the final evaluation of the product. Each BU came out with its expected quantitative as well as qualitative benefits which formed basis for vendor selection.

EVALUATION CRITERION
Following criterion were considered:

EVALUATION OF VENDORS
Short-listing of three vendors based on their Indian presence, technology features, industry knowledge, and availability of manpower A cross-functional management team to evaluate the short listed vendors.

FINAL CALL
Oracles withdrawal from the evaluation quoting its inability to demonstrate the product as per BPCLs requirement. SAP's " R/3" was found more fit over Ramco's "Marshal Why SAP?
SAPs strong support for the complexity of current and future business needs of BPCL. Industry-specific functionality that is critical for the BPCL value chain
SAP for Oil & Gas (SAP for O&G) solution

Total of 9 out of top 10 oil companies leverage SAP software SAP NetWeaver BW component giving employees throughout the entire enterprise access to critical facts and figures

STRATEGIC PARTNERS
Strategy partner: Arthur D Little Inc. (ADL)
An international management consulting firm Expertise in Oil and Gas sector practices Responsible for co-creating a vision for the company and to strategize change initiatives

CDP phase: Price Waterhouse Coopers (PWC)


Selected from bidding process

DDI phase: SAP India


Two options: Implementation led by In-house team / SAP India SAPs ASAP methodology consisted of 5 phases: project preparation, business blueprint, realization, final preparation, and go live and support. However, in BPCL, the whole project was divided into a pilot phase and a roll-out phase