2 page Case Study
Posted: 7/17/2013
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CATA AS Modernization of Accounting allows for Optimization and Improvement of Work

Solution

The decision to implement Microsoft Dynamics NAV was made in the middle of 2009, and the first licenses were obtained at this time. The actual switch to the new system happened on January 1st, 2010. At that time, the company chose to also implement all of the Microsoft Dynamics NAV functions, that is, finance accounting, warehouse inventory, fixed asset accounting. With the implementation of Microsoft Dynamics NAV, maintenance of the company's finance accounting has been completely modernized, however the accounting for auto reserve parts and auto repair could still be further developed. For this purpose, CATA uses Elva DMS, the adapted module created on the Microsoft Dynamics NAV base for the automotive industry, that provides management of transportation and service.

"The Elva Baltic team has developed a specialized business and financial management system for the automotive industry that is secure and easy to manage, and it is designed 100% on the Microsoft Dynamics NAV platform. Use of Elva DMS allows CATA to better control the use of its resources and has improved its accounting process. These are essential aspects for the successful development of internal functions," explains SIA Elva Baltic International Sales Manager Alvils Tabaks.

The company's accounting for transportation has specific requirements, since passenger transporters receive compensation from the state budget, and that means that there must be very detailed accounting according to precise requirements. The Elva DMS module was also adapted for these increased requirements.

The company's implementation of Microsoft Dynamics NAV was relatively smooth and coordinated. Possibly, this happened because the software improvements were actively supported by CATA Chairman of the Board Māris Ozoliņš. Of significance was also the appointment of a project manager, meaning that all work associated with the implementation of the new software and data transfer was overseen by one person.

"The CATA project is a good example of how to effectively work in a team with a specially assigned project manager on the client side. This type of collaboration during the implementation of a solution is a good way to achieve quality and timely results. It helps the implementers of the system to concentrate on performing their tasks, because goals are clear and requirements defined, as a result of which, the work becomes more efficient. It is of importance that the assigned specialist has adequate authority and knowledge regarding the data to be linked between various departments, that is, where data is created, and where it is used. Of course, all involved parties must be interested, mutually understanding, and respectful towards one another and towards the job to be done. At CATA, the implementation of the Elva DMS solution happened quickly and professionally," admits Elva Baltic Automotive Solution Department Manager Raimonds Dilsons.

Future CATA plans also include the expansion of planning capabilities for transportation accounting. The complexity of the possible solution is determined by the company's operational specifics, which are also influenced by many unforeseeable factors, for example, technical problems occurring for a coach on the road or the driver getting sick. Automated planning would allow for more operative solutions in these situations, as well as for a more convenient way to review the utilization of the bus fleet.

Benefits

The Microsoft Dynamics NAV solution has allowed passenger transporter CATA to optimize resources and facilitate the company's organization of work.

"The opportunity was created to use human resources more rationally. For example, prior to the implementation of Microsoft Dynamics NAV, there were two people working in the IT department, but now it is overseen by one person who also has other responsibilities in the transportation department. In a way, we became independent from the human factor, because we use this globally recognized software with which not only one specialist knows how to work. It is not a self-made product, the use of which is dependent on the creator of the software, and if he switches jobs, then there are big problems," explains Anda Maurīte, CATA Head Accountant.

Finance accounting and transportation management was completely modernized. Data about transports and financial information, thanks to the Elva DMS module, was integrated into a unified system. The Elva DMS module has all of the advantages of the ERP (Enterprise Resource Planning) system. Completely integrated data, i.e., historical information, news about fixed assets, inventory, and personnel all in one place, that allows to create optimal business management.

Modernized service management enables effective monitoring of service-related processes, such as, control of the supply of spare parts, their cost and efficient use, as well as to effectively organize and monitor the bus fleet.

The processes of document exchange were substantially optimized, i.e., data input decreased by nearly a half, duplicate data transfer created by the previously fragmented system was eliminated, and the volume of documents to review decreased. Thus, the time spent for accounting was optimized.

"After the implementation of the new software, the company is able to control its resources more efficiently, and furthermore, data is more transparent and understandable. As a result, we have decreased fuel expenses by approximately 10%. This gain, that is, the decrease of fuel costs, itself proved that the investment in the Elva DMS solution pays off very quickly. The module specifically adapted for the automotive and transportation business has paid off many times over already during the first year of its use. Secondly, modern accounting methods led to a reduction of accounting employees by more than 30%, and it is possible to still continue optimization," points out the CATA Head Accountant.

Improved quality for operational decision-making, as decisions can be based on actual data analysis.

Currently, the human resource management module is being studied, data is being stored in it, but it is not being more widely used.

Solution Overview



Organization Size: 400 employees

Organization Profile
CATA is one of Latvia's largest public transportation operators, whose owners are twelve of the Vidzeme Region's municipalities and three individuals. The company provides passenger transportation in Vidzeme, as well as international transport.

Third Party Software
CATA implemented the Microsoft Dynamics NAV solution, supplementing it with the Elva DMS module that is created specifically for the automotive industry. This solution allowed for both modernization of accounting methods and optimal use and management of resources.

Software and Services
  • Microsoft Dynamics NAV
  • Microsoft SQL Server Technologies
  • Microsoft Dynamics NAV modules

Vertical Industries
Transportation

Country/Region
Latvia

Business Need
  • Business Productivity
  • Financial Management

IT Issue
  • Document and Records Management
  • Enterprise Resource Planning (ERP)

Languages
English

Partner(s)
ELVA

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