How to save a whole year of working time on docflow? Case study of Megafon Tajikistan company

About the company

TT Mobile ZAO (tm MegaFon Tajikistan) is a joint Russian-Tajik project of Megafon mobile phone provider and the Government and the Ministry of Communications of the Republic of Tajikistan, devoted to mobile communications development in the country.

Since 2001, the company has built more than 2,000 cell towers, and has provided communication to 98% of Tajikistan population, 75% of the republic residents have 3G access now.

17 years of patient commercial work have lead MegaFon Tajikistan to leadership in the area of digital telecommunications technologies implementation. Now more than 200 service centers and branded communications stores work throughout the country.

The case

TT Mobile ZAO is a large company. It employs more than 600 employees, and the company offices are scattered over the country’s four regions.

The company’s head office is situated in Dushanbe city, as well as regional office for republican subordination regions and Dushanbe. Three other offices are located in Khojend, Bokhtar and Khorog — large cities at north-west, south-west and east of the country.

Until year 2015, hard-copy paperwork prevailed in the company. Particularly, the most important process of contracts approval was made in paper form. This caused a wide range of problems, together with geographical isolation of the offices:

  • Documents signing took a lot of time. Approval of one contract could take up to 15 days.
  • There was no bottleneck revelation mechanism for the processes. Delays in paperwork could arise; documents could be passed to a designated manager too late.
  • Responsibility for documents approval was ill-defined. Papers were passed for signing in manual way, corrections were discussed verbally, approval deadlines were set by individual arrangement between employees.

In this regard, the company management has defined the following goals:

  1. Determination of business processes rate, and its increase.
  2. Improving transparency of business processes.
  3. 3Increase of employees’ responsibility and discipline.

The solution

It was decided to achieve the goals by means of electronic document flow system implementation. The following requirements for the system were determined:

  • Online analytics capability for contracts under approval;
  • Capabilities for business process modeling and improvement;
  • Performance discipline control mechanisms.

Docs on bpm’online system was chosen as an instrument meeting the requirements. Samarasoft company, the product developer, was chosen for this project implementation and development.

In just three years, the project on electronic approval of contracts was implemented in Megafon Tajikistan company, as well as a full range of budgeting and purchasing functions, including:

  • Automation of processes of approval and signing of contracts;
  • Implementation of complex approval routes;
  • Setting up possibility of affixing electronic seals;
  • Adjust processes of approval contracts and report generation;
  • Migrating data and processes from FinOnline system;
  • Creation of a budget tree for each financial period with possibility of details;
  • Budget adequacy control, deadlines adequacy control. and amounts adequacy control;
  • Notification of prospective or real overspending concerning contracts under budgeted items;
  • Quick approval of requests for budget lines break in electronic form;
  • Maintenance of payment register, and bills storage;
  • Purchase process automation — from ordering to fixation of arrival of the purchased goods to the storage.

Implementation experience was so successful, that new features are added to the features set again and again<>, — Aleksandr Shamilov, the company’s financial director, says. — If firstly the features set was limited by electronic contracts approval, then now the system independently estimates budget sufficiency for contracts and orders, and it has allowed to automate payment register preparation. In this year, procurement processes digitalization has also been completed

The result

At the project start, the project coordinator was trained to work with the system, in order to impart knowledge to other users. As the result, currently 80 employees work in the system: all departments of the head office, as well as managers and employees of the regional offices.

Time-saving in documents approval

Главным положительным следствием использования системы Docs on bpm’online стало то, что работа с документами стала объективно быстрее.

The major benefit of Docs on bpm’online system usage became the significant speed up of document management.

For three years of project implementation, more than 6,000 contracts were approved in the system, more than 16,000 invoices and about 1,500 other documents were approved. Whereby, 99,5% approvals were completed within a single cycle.

The longer the system was used in the company, the less time was needed for each contract approval, in average:

  • Before the system implementation — 11 days (year 2015);
  • A year after the system implementation — 5 days (year 2016);
  • Two years after the system implementation — 3 days (year 2017).

Nowadays, up to 10 contracts a day, in average, are approved and signed in the company.

Other documents approval speed has significantly increased also:

  • Duration of funds transfer between budgets has lowered from 7 to 3 days;
  • Additional agreements approval takes 3 days now instead of 5 days;
  • Invoices registers are approved in 1 day.

So, the speed of document approval processes in the company has increased twofold, in average. Moreover, document loss was nullified at year-end 2017, due to the storage in electronic form.

The results we have achieved are good for absolutely everyone. As for me as an employee of the department of contracts, this is also salvation, because, firstly, all deadlines are now respected, and secondly, all documents are stored electronically and can not be lost, — Kristina Dobrynina, the project coordinator of TT Mobile, comments.

Time-saving in the related processes

Electronic document flow system implementation in MegaFon Tajikistan has allowed to shorten time needed for indirect tasks solution by the employees:

  • Due to automated budget control functionality, matching a contract to budget takes less than 25 minutes. Whereby, risks of exceeding the budget were minimized, based on the results of three-year usage of the system.
  • Due to automated report generation functions, preparation of standard reporting, which is done twice a month in the company, takes no more than 96 hours of each employee’s working time per year.
  • Information search and preparation of additional reporting (about 10 times a month for each employee) takes no more than 60 hours per year, due to convenient mechanisms of search in electronic form.

In general, total time saving on the related processes is more than 2,500 hours per year.

Each initiator of a contract is interested in its quick approval for fast start-up. But convenient and reliable system will help to solve other business issues, too.When contracts are stored in one place, they cannot disappear without a trace, and you will need only a few mouse clicks to view a contract or history of its changes, – Artur Galanin, the business manager of Samarasoft company, comments.

Each initiator of a contract is interested in its quick approval for fast start-up. But convenient and reliable system will help to solve other business issues, too. When contracts are stored in one place, they cannot disappear without a trace, and you will need only a few clicks of the mouse to view a contract or history of its changes. – says Galina Ivanova, the head of implementation consultants, Samarasoft.

Company-wide time-saving

Total business effect for the company is also measured in hours. Due to speed up of document management and report management for three years of the system usage, the company’s employees have saved more than 2,716 hours, i. e., 339 and half business days. This is almost a whole work year.

Time-saving as an instrument for raising staff responsibility

Before the system implementation, the approval process itself took a lot of body and mind resources, — Aleksandr Shamilov, the company’s financial director, explains. — Now these resources are redirected to execution of other tasks.

Before the system implementation, employees’ time was divided in the following way:

  • 50% of time was taken by physical document movement;
  • 16% of working time was taken by rework after corrections;
  • 11% of time was taken by document archiving in paper and electronic forms;
  • 23% of time was taken by reports making.

Now, three years later, working time is divided in the following way:

  • 7% of time is taken by physical document movement;
  • 5% of time is taken by rework after corrections;
  • 10% of time is taken by document archiving;
  • 3% of time is taken by routine reports making.

For what the rest of time is spent for? Analysis revealed that 15% of it the employees spend for assistance and consulting to other users of the system. And the rest 60% of working time — for analysis and improvement of their work results.
As early as in the first three months after the system implementation, employees began to analyze number of the contracts processed. As the result, their loyalty to the system has increased quickly: they began to request for new functions connected to budget, payments, and purchases. So, the system users began to independently seek ways of their labor efficiency improvement, being now free from routine tasks and having analytics facilities.

Generally, as I said, I consider the project to be successful. Though, perfection knows no limits, — Aleksandr Shamilov says. — That’s why there is still many interesting supplements to the current functionality to be done in future.