In order to efficiently manage books of accounts for 32 legal entities and generate MIS after comprehensive financial consolidation, Cronos chose Dynamics AX to replace the existing Oracle Financials (Applications) . In order to efficiently manage books of accounts for 32 legal entities and generate MIS after comprehensive financial consolidation, Cronos chose Dynamics AX to replace the existing Oracle Financials (Applications) .
Overview
Country: United Kingdom
Industry: Distribution and logistics
Customer Brief
Cronos is one of the world’s leading lessors (by aggregate TEU capacity) of inter-modal marine containers. It owns and manages a fleet of dry cargo, refrigerated, tank and dry freight special containers. Through an extensive global network of offices and agents, Cronos leases both its own and other owners’ containers to over 400 ocean carriers and transport operators, including a majority of the 30 largest ocean carriers. The total revenue for the year ended 2003 was 126.3 million US Dollars.
Business Situation
Cronos had developed its software in-house, to address its key business processes of leasing operations and asset tracking. And Cronos was maintaining its financial data in Oracle Financials (OF). The existing systems were manually integrated with the Operational System (OPS) as well as the Fixed Assets (FA modules) existing in Cronos.
Due to the complexity of its business, Cronos had to compromise on a lot of functionalities in financial management. For example: consolidation and depreciation calculation was done externally through the use of spreadsheets. It was also not able to perform certain critical analysis as interfacing with other applications was not comprehensive.
Therefore the existing systems became rigid and Cronos had to do much of its analysis and calculations using an Excel Spread Sheet. The existing financial system was merely used to pass journal vouchers.
The Challenge
Cronos wanted to replace the existing financial system with a robust system which would be completely integrated with its existing legacy systems. They also wanted to record financial transactions and wanted this new system to perform an automated consolidation process. Apart from this, Cronos wanted to generate financial statements using the new system and wanted the flexibility to generate user defined financial documents.
Since Cronos was dealing with 32 entities across the world, Cronos wanted the new system to handle multiple currencies as well. Apart from financial accounting, Cronos wanted the new solution to handle its budgeting & fixed asset management needs also.
Cronos also had to replace the existing financial system at minimal costs as the company had already invested heavily in the earlier system.
The Solution
After evaluation of multiple financial accounting solutions, Cronos decided to implement Microsoft Dynamics AX to address its requirements. Some of the reasons for the selection of Dynamics AX were its comprehensive functionality in financial management including financial accounting, fixed assets management, budgeting and consolidation.
Apart from this, the ease of use and ease of adaptability to its business were the reasons to decide in favor of Dynamics AX.
Since the budgetary allocations for this project was low, SIS suggested deployment of this solution through a 100% off-shore model.
Based on this, SIS provided Cronos with a comprehensive financial management solution in Dynamics AX. SIS delivered the modules relating to financial accounting, fixed assets management, budgeting and financial consolidation. SIS customized the solution to address the needs of Cronos. Based on this Cronos was smoothly able to perform its financial operations and consolidation processes. It also was able to easily handle the multi-currency operations. During the implementation process, SIS also migrated the required historic data into Dynamics AX.
Apart from handling its financial management needs, SIS also integrated Dynamics AX with existing systems which handled the business operations.
Unique Model of Implementation
While this entire implementation was completed in a record time, the highlight was that the implementation was done completely offsite. Requirements gathering and review sessions from India and UK were done through video conferencing. A communications network was established between India and UK. Through this, both the parties were able to access applications from each of the locations – which would be required during data migration and testing. Other modes of communications were also used such as voice chat and emails. SIS had visited the client’s place for a brief period of 15 days and completed the user training and deployment onsite.
By using this model of implementation, SIS could provide Cronos a cost saving of over 50%; and met not only the technical expectations but also the commercial expectations of the client.
For More Information
For more information about Sundaram Infotech’s Enterprise Solutions products and services, call +91-44-28604066, or visit www.sundaraminfotech.in
Contact Information
901-906, Raheja Towers
177, Anna Salai,
Chennai – 600002
India
http://www.sundaraminfotech.in
E-mail: info@sundaraminfotech.in
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